KenolKobil Limited Growth at a Reasonable Price Recommendation: BUY
|
|
- Elaine Walker
- 6 years ago
- Views:
Transcription
1 March 2017 Initiation of Coverage KenolKobil KenolKobil Limited Growth at a Reasonable Price Recommendation: BUY We initiate coverage on the KenolKobil Group (Kenol) with a BUY recommendation based on a fair value of KES This presents a potential upside of 26.1% from the current share price of KES Kenol s growth trajectory remains intact and we expect the group to grow significantly on the back of stable oil prices, increased margins due to operational efficiency and higher volumes across the region. The group s position as a premier oil marketer across the region remains unchallenged even as competition from smaller players increases. A growing retail network is expected to power volume growth over the medium term. This will likely enhance non-fuel income, diversifying Kenol s income streams and reduce reliance on fuel generated income. Additionally, growth in consumption in the group s core Kenyan market on the back of increased infrastructure development will boost the group s top-line and increase headroom for regional growth. Furthermore, prudent working capital management policies are expected to improve margins and reduce the need for short-term borrowing, ensuring investors a steadily growing dividend pay-out. However, exchange rate volatility and the price of oil remain key risks. In our view, a pay-out ratio of c.25% - 30% will support the stock price as the group continues to expand its bottom line. We project a 12.7% CAGR in sales over the next 3 years, driven by higher volume in the group s niche product segments. Positives Wide market-leading regional presence (Kenya, Uganda, Burundi, Rwanda, Zambia, Ethiopia) Strong economic growth across regional markets expected to boost volumes Increased dividend pay-out on the back of low leverage and growing bottom line Growing non-fuel income stream expected to diversify revenue streams Highly cash generative business model to allow use of organically generated cash to fund expansion without the use of excessive long-term debt Risk Factors Share Statistics Bloomberg Ticker KNOC.KN Reuters Code KENO.NR Fair value (KES) Current price (KES) Issued shares (M) 1, week low (KES) week high (KES) Market cap (KES M) 20,678.8 Market cap (USD M) Financial year end Dec Average Traded Vol 3 month USD 74,113 Free Float (%) 62.1 Price Return Return KENOL NASI NSE 20 3m 0.4% -7.4% -6.2% 6m 21.6% -6.9% -7.6% 12m 32.5% -15.5% -25.0% Price Chart Source: Bloomberg, ApexAfrica Estimates Multiples Table FY12 FY13 FY14 FY15 FY16 FY17F FY18F FY19F Revenue (KES B) % growth y/y Gross Profit (KES B) % growth y/y EPS (KES) % growth y/y DPS (KES) % growth y/y P/E (x) EV/EBIT Source: Company Filings, ApexAfrica Research Research Analyst Abizer Sharafali, ACCA agulamabbass@apexafrica.com +254 (0) / +254 (0)
2 Growth Drivers Net Sales by Prod. Segment FY16 Net Sales by Prod. Segment FY15 Wide Regional Presence: The group has formidable presence in a broad range of markets across the region (Kenya, Uganda, Rwanda, Ethiopia, Zambia & Burundi ). This expansive network aids Kenol in mitigating country specific risks and allows diversification of income streams, which in turn translates to a defensive top-line. 41% 4% 54% 44% 4% 52% However, political risk and over diversification could result in erosion of competitiveness. For instance the group was recently forced to exit its unprofitable operations in Tanzania and Congo. In FY15, Kenol booked sales of KES 1.9B to Rwanda, making it the largest regional subsidiary by sales. The group operates a broad retail network of 380 outlets (as at FY16), with the bulk of the outlets located in Kenya. Additionally, the company has 12 supply terminals. Going forward, we expect Kenol to add c retail stations across the network per year over the medium term. Retail Network as at October 2016 No. of Stations Kenya 192 Uganda 37 Zambia 26 Rwanda 58 Ethiopia 24 Burundi 45 Total 380 Source: Company Filings Broad Product Base: Kenol has operations in a broad range of segments, from aviation fuel and exports to the inland (wholesale) market to lubes and LPG. Kenol is currently (FY16) a market leader in aviation fuel in Kenya. In FY16, the inland (wholesale) fuel market accounted for 54.0% (+2.0% y/ y) of total sales, while aviation, trading and export accounted for 41.0% (-3.0% y/y). The inland segment accounted for 68.0% of the group s gross profit in FY16, up from 66.0% in FY15, while gross profit from its export, aviation and trading segments remained unchanged y/y at 19.0%. Gross margin rose significantly to 7.1% in FY16, from 3.9% in FY13, largely as a consequence of increased focus on high margin product segments. Inland Mkt Export, Trading, Aviation Niche Business Source: Company Filings, ApexAfrica Capital Inlan d Mkt Export, Trading, Aviation Niche Business Strong economic growth in regional markets: Kenol is a direct beneficiary of significant economic growth in its regional markets. Kenya s medium term economic growth is expected to remain at 5.5%, while Uganda and Zambia are anticipated to record 6.5% and 4.0% respectively. Furthermore, the SSA region is expected to register some of the fastest economic growth rates in Africa over the next 5 years. Energy is a key driver of economic growth and we believe consumption of energy will increase significantly over the medium term as transport systems and manufacturing processes evolve to keep pace with rapid economic growth. KenolKobil is prominently positioned across the region to take advantage of the expected increase in fuel consumption. The group has a large retail outlet network and a strong brand name and we expect volumes to grow in line with economic growth in the region. Low leverage points to higher dividends: A key tenet of the group s turnaround strategy (implemented in 2012) was the significant reduction of debt. The group has paid down its foreign currency debt and deleveraged its balance sheet. Longterm borrowings stood at KES 36.3M as at FY16, down from KES 1.5B in FY11. While we expect Kenol to continue utilizing debt to fund working capital, the reduction in long-term debt will help boost the bottom line, translating to higher dividends for shareholders. Additionally, we expect all debt to be denominated in foreign currency (US Dollars) which the company is able to borrow at favourable rates. 2
3 Stable dividend pay-out: Kenol has maintained a dividend pay-out ratio of c.25% since 2012 and we expect this to increase to 30% over the medium term as the group matures. A level pay-out ratio is a key positive, especially as the bottom line is expected to grow over the medium term(3-yr CAGR 18.8%). Kenol announced a dividend of KES 0.45 (pay-out ratio of 27.4%) in FY16, up from KES 0.10 (pay-out ratio of c.26.3%) in FY13. While the current dividend yield of 3.5% remains below that of major dividend payers on the bourse, in our view, the yield remains justifiable given the growth potential implied in our valuation. Our estimates indicate a steady increase in pay-out ratio to a ceiling of 30% over the medium term. A steady dividend pay-out is also likely to auger well with the group s stock price by attracting yield hunting investors. Highly cash generative business model: Kenol operates a highly cash generative business model, which ensures a healthy cash and liquidity position. The group generated KES 2.5B (-51.5% y/y) from operations in FY16. Furthermore, the business remains highly liquid implied by a current ratio of 1.3x in FY16, up from 0.9x in FY13. Prudent working capital management, which is a key focus of the company, combined with a highly cash generative business model allows the group to fund its operations using organically generated capital and eliminates the need to take up excessive leverage. While the group does utilize short-term borrowings (KES 7.3B as at FY16) to facilitate working capital management, the uptake of debt remains manageable and the group s finance costs remain controlled. Long-term leases allows unburdened expansion: The group s growth strategy is focussed on expanding the retail outlets which in turn will boost volumes. However, the purchase and establishment of a new outlet often involves significant upfront costs. To reduce the burden on the group s balance sheet, Kenol has adopted an asset-light approach for retail outlet network expansion. New stations are on boarded on to the group through the use of long-term leases which significantly reduces pressure on the group s balance sheet. This method ensures fluid cash flow and increases headroom for expansion. Kenol plans on growing its network to 440 outlets by FY18 from the current 380 stations. The use of long-term leases is expected to control cash used in investing activities, which stood at KES 1.3B in FY16. Exit from Tanzania & Congo: The group sold off its underperforming subsidiaries in Tanzania and Congo. Increased competition, unfriendly regulations and a difficult market environment likely motivated the exit from the Tanzanian market. This is expected to boost the bottom line going forward as the loss-making (KES 464.6M as at FY15) Tanzanian unit is removed from the group s books. Furthermore, the Congo operations was fairly small consisting of one storage depot, while Tanzania operated 17 retail stations. Consequently we do not expect a significant decline in volumes in the wake of the exit. Non-fuel income to reduce reliance on petroleum: Filling stations in the region are increasingly becoming a one-stop shop for many and offer services from restaurants to retail shopping outlets. Consequently, we expect non-fuel income to play an important role in the group s revenue mix going forward. The group booked other income of KES 464.4M in FY16, down from KES 830.4M in FY15. This includes rental income, facility fees and other non-fuel income. Kenol has reiterated its commitment to enhance non-fuel income in a bid to diversify its income stream. The group is currently embarking on partnerships with retail and consumer brands to selectively rebuild and upgrade strategic facilities in order to enhance nonfuel income. For instance, two of its major outlets in South-C and South-B in Kenya were refurbished in In our view, non-fuel income will play a key role going forward, and we expect contribution of other (non-fuel) income to total income to steadily increase from 5.9% in FY16 to c.7.9% in FY19. 3
4 Risk Factors Exchange Rate Volatility: Kenol s regional operations exposes it to the risk of adverse currency movements in the often highly volatile East African (EA) currencies. Recent global macroeconomic developments across the globe have resulted in a broad weakening of EA currencies. As a result of prudent foreign currency management, Kenol recorded FX gains amounting to KES 2.3M in FY16 compared to KES 232.1M FX losses in FY15. Though astute working capital management and an efficient treasury function will likely contain FX losses over the medium term, the risk of adverse currency movements affecting the group s bottom line remains. Going forward, we expect some weakening of the Kenyan Shilling as we head into an election period and this could directly impact the group s FY17 numbers Source: CBK USD/KES 60 7-Feb-11 7-Feb-12 7-Feb-13 7-Feb-14 7-Feb-15 7-Feb-16 7-Feb-17 Oil Prices: Kenol s top line is intimately linked to the price of oil. A substantial increase in the price of oil would force the group to increase working capital which may result in higher finance costs, subsequently impacting bottom line performance. Net working capital increased 21.7% y/y to KES 7.2B in FY16. While the demand for petroleum and related products is largely inelastic, rising fuel prices would pressure the group s volumes and undermine revenue growth Feb-11 7-Feb-12 7-Feb-13 7-Feb-14 7-Feb-15 7-Feb-16 7-Feb-17 Source: Bloomberg Brent Crude (USD) Political instability and macroeconomic shocks: Continued civil unrest in Burundi could pose a risk for the group s operations in the country. While operations have been largely unaffected in the country so far, we cannot discount the possibility of disruption should the political landscape in the country deteriorate. Additionally, political uncertainty surrounding the general elections in Kenya also poses a short-term risk. A characteristic slow-down in the economy ahead of the elections could supress volumes over the election period in Kenol s biggest market. Increased competition: The group s market share has recently come under threat from increased competition. The rise of smaller marketers across the region has resulted in the encroaching of Kenol s market share which dropped 2.9% y/y to 15.5% as at June 2016 in Kenya. Provisions for KPRL yield shift: The group booked a provision charge of KES 600.0M in FY16 to provide for the KPRL yield shift receivable. We expect a further write down of c. KES 300M in FY17 to eliminate the total value of KES 1.1B held in the books. 4
5 An overview of the Petroleum sector According to the ERC, petroleum serves as the largest source of commercial energy in the country. The petroleum sector is organized into three major sections; upstream, mid-stream and downstream. 20.0% 15.0% 10.0% Market share in Kenya Upstream section involves the process of exploration, development and production of crude oil. Kenya has 4 petroleum exploration basins (Lamu, Anza, Mandera, Tertiary Rift Basins). Oil exploration began in 1956 but the breakthrough was seen in 2012 after the discovery of Ngamia 1 well at Lokichar Basin in Turkana Country. As at December 2015 seventy four wells had been drilled with 12 hydrocarbon discoveries to date, 9 of which are in Turkana County. With the oil exploration being undertaken by Tullow Oil in the Northern part of the country (Turkana), the country plans to start exporting crude oil by June this year whilst still importing refined petroleum products. The import of refined products commenced after the closure of the Mombasa refinery which will be used as a storage facility for the oil produced going forward. Midstream section entails storage, refining and transportation of crude oil into consumable petroleum products. Kenya still remains a net importer of petroleum products with the imported products being transported by pipe-line and road. The Ministry of Energy through the State Department for Petroleum coordinates the importation of oil in conjunction with oil marketing companies (eg Kenol) through the Open Tender System. The Kenya Pipeline Company provides a conduit pipe-line for moving petroleum products as well as providing infrastructure for the storage of the product. Downstream section involves availing the refined products to consumers through supply and distribution. The state body engaged in this section is the National Oil Corporation of Kenya. Being a liberalized sector, it boasts of over 30 oil importing and marketing companies. In terms of overall market share (1Q16), Kenol (13.8%) ranks second behind Total (14.2%) while in terms of petroleum sales market share, it ranks third (15.7%) behind Total (18.5%) and Vivo (17.6%). The oil marketer has in the recent past aimed at increasing its business in the low volumes high margins lubricants sphere from which it has a market share of 7.1%. 5.0% 0.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% Total Kenol Kobil Vivo Gulf Hashi Libya Oil Overall market share Market share by Lubricants and LPG Total Vivo Libya Oil Kenol Kobil LPG market share Nock Petro Gapco Petroleum market share Hashi Oryx Hass Nock Gulf Lubricants market share Regulation of the sector Fuel (Super Petrol, Kerosene and Diesel) are highly regulated in the country with the prices determined and regulated by the Energy Regulatory Commission (ERC). Power conferred to the commission are contained in the Energy Act The objects and functions of the ERC include regulating the importation, exportation, transportation, refining, storage and sale of petroleum and petroleum products. The commission has the power to issue, renew, modify, suspend or revoke licenses and permits for all undertakings and activities in the petroleum sector. The Energy Bill 2015 (which was sent back to parliament for amendments by the President) establishes the Energy Regulatory Authority (ERA) which shall take over the powers and responsibility of the ERC. In addition to the regulations aforementioned, the ERA shall regulate the exploration, extraction, production, processing, transportation, storage exportation, importation and sale of coal bed methane gas and other energy forms. 5
6 Company Background Kenol is a leading oil marketer with a prominent presence across the region (Kenya, Uganda, Burundi, Rwanda, Zambia, Ethiopia). The group currently operates 380 retail outlets across the region and has a broad product offering including a prominent presence in the inland (wholesale) and aviation fuel segments. Kenol trades in both crude and refined petroleum products which include motor fuels, industrial oils, LPG, aviation fuels, lubricants and various other specialist oils. Kenol also has an African Trading Desk which allows them to procure and sell petroleum products in large quantities to government bodies, large industrial establishments and refineries in Africa and other markets. In 1959, Kenol was incorporated and listed on the NSE in the same year. At this time, it was marketing Kerosene under the brand name SAFI. In 1960, Kenol won a bulk supply contract to the City Council of Nairobi, attracting over 600 shareholders. During this period, Kenol opened its first two service stations. Between , Kenol managed to penetrate other parts of the country partly driven by large scale farming carried out. During the 1980s, Kenol was faced with mounting headwinds and was placed under receivership. The company however turned the tides resuming operation in During this period of renewed resilience, Kenol commenced importing refined products and crude oil and was put on a permanent refining programme at the refinery. It then expanded into export business, and aviation refuelling in both Moi International Airport and Jomo Kenyatta International Airport in Nairobi. In 1987, Kenol entered into a joint operation with Kobil Petroleum Limited with the staff of the two companies being integrated to avoid duplication of jobs. Depot operations of the two companies were combined in order to make operational savings, benefit from technical advice and achieve delivery efficiency. In the period , the company established Kobil Uganda (1999), Kobil Tanzania (2001), Kobil Petroleum Rwanda SARL & Kobil Zambia (2002) and Kobil Ethiopia (2005). In 2008, Kenol acquired 100% shareholding of Kobil Petroleum Limited, creating the current company KenolKobil. The acquisition was a non-cash transaction through the issue of 45,480,000 Kenol shares as consideration at a price of KES per share amounting to KES 5,172,440,000. Maintaining its expansion spree, Kobil acquired 100% of Oil Burundi SA in 2009 and changed the name to Kobil Burundi SA. In the same year, Kenol entered into a joint venture with Engen acquiring the shell & BP operations in Zimbambwe. In 2013, the Group decided to divest from unprofitable operations and non-performing assets. This saw Kenol dispose its shareholding in Kenol Tanzania and KenolKobil Congo SPRL. Top Ten Kenol Shareholders Company Shares in Millions Percentage Wells Petroleum Holdings % Petro Holdings % Stanbic Nominees % Stanchart Nominees % Energy Resources Capital % SCB A/C Pan African Unit Linked FD % Stanbic Nominees % Stanchart Nominees % Aunali Fidahussein Rajabali and Saijad FidaHussein Rajabali % Stanbic Nominees % Others % Total 1, % Source: NSE 6
7 Valuation & Projections In our view, top-line growth will flow downstream to the group s profit relatively unhindered by costs. Our forecasts indicates a 38.7% CAGR of non-fuel income driven by a larger network of retail stations and increased rental income from anchor tenants. While the group s long-term borrowings has declined significantly since the implementation of a turnaround strategy in FY12, we nonetheless expect finance costs to increase (+33.6% 3-year CAGR) mainly due to higher working capital requirements necessitated by higher volume. We expect the group to retain a pay-out ratio of c.27% over the medium term, ensuring a steady return to investors. Kenol possesses a portfolio of high quality assets in the form of a wide retail network and a premium brand. The group s appeal comes from significant potential for growth across the region and product segments. Comparables Net Margin EV/EBITDA Name Country P/E(x) P/B(x) (%) (x) KenolKobil Kenya Total Kenya Kenya Total Nigeria Nigeria Puma Energy Zambia Zambia Total Petroleum Ghana Ghana Ghana Oil Ghana Caltex Australia Vivo Energy Mauritius Afriquia Gaz Morocco Mean Source: Bloomberg, ApexAfrica Research We value Kenol using relative valuation by applying the P/E and EV/EBITDA multiples of comparable companies. Our valuation, based on conservative and sustainable projections values KenolKobil at a fair value of KES 16.20, reflecting a potential upside of 26.1% from its current trading price of KES Comparable mean P/E (x) 9.1 Forward FY17E EPS 1.86 Fair Value (KES) Comparable mean EV/EBITDA (x) 5.4 Forward FY17E EBITDA (KES M) 4,666 EV (KES M) 25,194 Less net debt (KES M) 2,505 Equity Value (KES M) 22,689 No. of shares (M) 1,471 Fair Value (KES) Weight Fair value P/E method 50% EV/EBITDA method 50% Blended value (KES)
8 FY16 Financial Highlights KenolKobil posted a solid 19.8% y/y growth in net profit to KES 2.4B, driven by a 30% y/y growth in volume across the group s business segments. Total sales surged 19.6% y/y on the back of higher volume to KES 103.5B. The group increased dividend pay-out by KES 0.10 (+28.6% y/y) to KES Finance costs decline as net borrowings reduce: Finance costs plunged 59.8% y/y to KES 354.7M, even as higher oil prices necessitated an increase in working capital. A larger cash position (+410.0% y/y), mitigated the effects of an increase in short-term borrowings (+57.2% y/y). As part of its turnaround strategy, the group aims to rationalize borrowing to boost the bottom line and protect margins. Solid volume growth boosts top line: The first half of 2016 was characterized by low crude prices, boosting the group s top line. The group added a total of 30 retail outlets to its network in FY16, bringing the number of retail outlets operated by Kenol across the region to Net Sales (KES B) 193 KES M 30,000 20,000 10,000 6,449 19,129 11,640 24,668 15,633 14,424 12,856 11,694 13,602 9,447 8,234 5,925 7,209 3,900 3, Net Working Capital Borrowings Source: Company Filings, ApexAfrica Research Gross margin improves on lower costs of sales growth: Cost of sales grew 19.1% y/y to KES 96.1B; 50bps slower than the 19.6% y/y growth in revenue. Consequently, gross margin improved 40bps y/y to 7.1% in The growth in margins is attributable to increased focus on high margin products as well as the implementation of strategies to protect margins in an increasingly competitive environment. Consequently, the group registered an impressive 26.5% y/y growth in gross profit to KES 7.4B. Other income down on account of asset sale in FY15: Income generated from non-fuel revenue streams declined 44.1% y/y to KES 464.4M in FY16. The growth of non-fuel income has been a key tenet of the group s turnaround strategy and we expect non-fuel income to increase over the medium term on the back of retail outlet expansion and increased management focus on growth in the segment. Non-fuel income accounted for 5.9% of total income in FY16, down from 12.5% in FY15. Source: Company Filings, ApexAfrica Research Exchange rate gains boost bottom line: The group realized a net forex gain of KES 2.5M, in FY16; a considerable improvement from the FX loss of KES 232.1M realized in FY15. The exchange rate gain was attributable to relative stability of the Kenyan Shilling throughout the year. Nonetheless, the group faced some currency headwinds due to a volatile Zambian Kwacha. Cash generated from operations declines: Cash generated from the group s operations plunged 47.2% y/y to KES 3.1B. While the group currently sits at a healthy cash position (KES 3.9B as at FY16), we note that a decline in cash generated from operations may necessitate the uptake of more debt to fund the group s working capital requirements. This may be exacerbated by rising oil prices and increased currency volatility ahead of the 2017 General Elections in Kenya. Additionally, the group used KES 1.3B in investing activities for the year while generating KES 2.1B from financing activities. Total borrowings jumped 58.0% y/y to KES 7.4B, with the bulk of the increase coming from a jump in short-term borrowings to fund working capital requirements. 8
9 Bottom line jumps and pay-out ratio maintained: Strong volume growth allowed the group to shrug off the effects of rising oil prices in 2H16, to post a 13.2% y/y increase in EBITDA to KES 4.8B, translating to a 19.8% y/y increase in net profit to KES 2.4B. Shareholder funds climbed 15.3% y/y to KES 9.9B as the group brought a year of record performance to a close. Kenol announced a final dividend of KES 0.30, translating to a total divided of KES 0.45 (+28.6% y/y). The dividend translates to a pay-out ratio of 27.4%, largely unchanged y/y. We expect the group to maintain a pay-out ratio of c.25% 30%, over the medium term. KES M 20,000 15,000 10,000 5,000-21,929 19,942 14,718 14,644 14,865 13,614 13,982 11,209 11,650 9,818 9,865 8,556 7,359 6,446 6,666 7, Market Cap Shareholders Funds % % % % % 27% 26% 27% % 20% 80.0% 60.0% % % 69.1% % 56.3% DPS (KES) Pay-out Ratio 0% 40.0% 20.0% 0.0% 31.3% 26.1% 4.0% Source: Company Filings, ApexAfrica Research Gearing Ratio Current Ratio Key ratios pointing in the right direction: The group s gross margin rose 40bps y/y to 7.1% due to increased focus on higher margin business segments, while the current ratio increased marginally to 1.3 from 1.2 in FY15. The group s total borrowings as a percentage of shareholder equity rose to 74.7% in FY16, from 54.5% in FY15, largely as a result increased working capital requirements due to higher volume and crude prices. Return on equity (ROE) rose 90bps y/y to 24.5% while the group s interest coverage ratio remained at a healthy 10.7 times FY16 finance cost; alluding towards a higher pay-out for shareholders in the medium term. Source: Company Filings, ApexAfrica Research 9
10 FY13 FY14 FY15 FY16 FY17F FY18F FY19F 3y CAGR Income Statement KES '000 KES '000 KES '000 KES '000 KES '000 KES '000 KES '000 Sales 109,687,453 90,209,977 86,557, ,493, ,913, ,186, ,445, % Cost of sales (105,422,286) (85,088,414) (80,720,486) (96,110,370) (107,219,706) (114,545,420) (120,272,691) 11.9% Gross profit 4,265,167 5,121,563 5,837,450 7,383,555 8,693,490 10,640,831 11,172, % Other income 1,402, , , , , , , % Administrative and operating expenses (3,369,232) (2,543,206) (3,087,135) (3,451,163) (4,636,528) (6,259,313) (6,572,278) 38.0% Impairment provision for KPRL Yield shift receivable (600,000) (200,000) (100,000) Finance costs (1,777,106) (1,501,205) (883,408) (354,690) (558,694) (603,343) (633,535) 33.6% Finance income 43,932 67,792 83,909 92,461 98, , , % Profit before income tax 563,918 1,994,716 2,782,421 3,538,256 4,006,109 4,581,493 4,972, % Income tax expense (5,499) (571,705) (884,491) (1,125,049) (1,261,924) (1,443,170) (1,566,325) 18.0% Profit for the year from cont. operations 558,419 1,423,011 1,897,930 2,413,207 2,744,185 3,138,322 3,406, % Profit/ (loss) from discontinued operations - (331,727) 117, EPS (cont & discont. operations) (KES) % DPS (KES) % Balance Sheet Share capital 73,588 73,588 73,588 73,588 73,588 73,588 73,588 Retained earnings 1,270,811 2,067,743 3,567,610 5,318,524 8,062,709 11,201,031 14,607, % Total equity 6,666,294 7,330,496 8,555,639 9,865,151 13,809,772 17,020,931 20,476, % Borrowings 522,552 88,388-36,325 38, , , % Total non-current liabilities 716, , , , , , , % Payables and accrued expenses 5,591,360 5,633,064 3,695,586 6,393,653 6,954,792 7,511,175 7,886, % Borrowings 14,854,274 10,409,840 4,662,431 7,330,234 9,273,056 10,014,900 10,515, % Total current liabilities 20,738,754 16,298,922 8,610,667 14,024,301 15,948,480 17,206,583 18,055, % Total equity & liabilities 28,121,673 23,915,166 17,377,103 24,201,705 30,038,773 34,568,717 38,921, % Property, plant and equipment 4,667,999 4,648,477 3,544,414 3,887,525 4,120,777 4,285,608 4,392, % Prepaid operating lease rentals 600, , , , ,346 1,003,960 1,029, % Investment in associate 15,346 12,001 3,197 4,412 4,677 4,957 5, % Total non-current assets 8,740,004 8,427,147 6,722,294 6,564,485 9,039,748 11,879,657 15,166, % Inventories 6,528,533 4,141,183 3,095,900 5,828,398 5,332,007 5,758,568 6,046, % Receivables and prepayments 10,756,595 9,725,617 6,524,544 7,773,875 8,693,490 9,388,969 9,858, % Current income tax 321, , , , , , , % Cash and cash equivalents 1,775,058 1,051, ,095 3,886,332 6,806,955 7,351,025 7,642, % Total current assets 19,381,669 15,488,019 10,654,809 17,637,220 20,999,025 22,689,060 23,754, % Total assets 28,121,673 23,915,166 17,377,103 24,201,705 30,038,773 34,568,717 38,921, % Statement of Cash Flows Cash generated from operations 3,122,960 6,977,501 5,851,688 3,086,964 3,477,396 3,755,588 3,943, % Interest received 43,932 69,244 83,909 92,461 98, , , % Interest paid (1,671,759) (1,339,503) (651,344) (354,690) (502,824) (543,009) (570,181) 26.8% Net cash generated from operating activities 1,297,340 5,454,957 5,224,416 2,512,141 3,072,580 3,316,468 3,477, % Net cash generated/ (used) in investing activities (469,962) (986,616) 668,962 (1,284,222) (1,738,698) (3,129,656) (3,286,139) 60.0% Net cash generated from/ (used in) financing activities (1,246,612) (5,069,666) (6,313,815) 2,124,571 1,945, , , % Net decrease in cash and cash equivalents (419,234) (601,325) (420,437) 3,352,490 3,278, , , % Cash and cash equivalents at beginning of the year 2,191,005 1,775,058 1,051, ,095 3,886,332 6,806,955 7,351,025 Exchange losses/ (gains) on cash and cash equivalents 3,600 (122,272) 131,068 (228,253) (358,261) (386,896) (402,258) 32.8% Cash and cash equivalents at end of the year 1,775,371 1,051, ,095 3,886,332 6,806,955 7,351,025 7,642, % Company Filings, ApexAfrica Research 10
11 Key ratios FY13 FY14 FY15 FY16 FY17F FY18F FY19F Gross Margin (%) Net Margin (%) Issued Shares (M) 1,469 1,475 1,471 1,4772 1,472 1,472 1,472 Market Capitalization (KES M) est 18,883 18,950 18,899 18,908 18,908 18,908 18,908 Enterprise Value (KES M) 32,485 28,396 22,799 22,388 21,413 21,613 21,824 EV/EBIT EV/EBITDA Book Value per Share P/E P/B Dividend Yield (%) Average Share Price (KES) Current Ratio (x) Return on Assets (ROA %) Return on Equity (ROE %) Net Debt (KES M) 13,602 9,447 3,900 3,480 2,505 2,705 2,916 Total Debt/ Total Assets Total Debt/ Shareholder Equity Payout ratio (%) Earnings Yield (%) Source: Company, ApexAfrica estimates 11
12 Appendix Investment ratings Buy: A total return is anticipated in excess of the market's long-term historic annual rate (approximately 10%). Total return expectations should be higher for stocks that possess greater risk. Hold: Hold the shares with neither a materially positive total return nor a materially negative total return anticipated. Sell: Stock should be sold as materially negative total return is anticipated. Disclaimer ApexAfrica and its parent company Axys Group seek to do business with companies covered in their research reports. Consequently, a conflict of interest may arise that could affect the objectivity of this report. This document should only be considered a single factor used by investors in making their investment decisions. The reader should independently evaluate the investment risks and is solely responsible for their investment decisions. The opinions and information portrayed in this report may change without prior notice to investors. This publication may not be distributed to the public media or quoted or used by the public media without prior and express written consent of ApexAfrica or Axys Group. This document does not constitute an offer, or the solicitation of an offer, for the sale or purchase of any security. Whilst every care has been taken in preparing this document, no representation, warranty or undertaking (express or implied) is given and no responsibility or liability is accepted by Apex Africa or any of its employees as to the accuracy of the information contained and opinions expressed in this report. ApexAfrica Capital Ltd A The Riverfront, 1 st Floor, Prof. David Wasawo Drive, Off Riverside Drive P.O. Box Nairobi Kenya T: Fax: Cell: W : Part of Axys Group W : 12
KESTREL CAPITAL. KenolKobil Update - Cautionary Statement on Potential Take-over. 15 May Member of the Nairobi Stock Exchange
Member of the Nairobi Stock Exchange 15 May 2012 KenolKobil Update - Cautionary Statement on Potential Take-over KenolKobil released a fairly detailed statement last week cautioning shareholders and investors
More informationEQUITY RESEARCH. Fuelling Shareholder value
EQUITY RESEARCH Bloomberg: APAF Fuelling Shareholder value We initiate our coverage of KenolKobil with a BUY recommendation and advise investors to increase their exposure to this stock based on our
More informationKenya Oil and Gas Sector Overview
Kenya Oil and Gas Sector Overview EQUITY RESEARCH 15 February 2012 Recommendation: KenolKobil- BUY Total Kenya- SELL Analyst: Eric Musau emusau@sib.co.ke We initiate coverage for KenolKobil with a BUY
More informationKenya Oil and Gas. Sector and Company Valuation Update. Business strategies, margin evolution and working
Kenya Oil and Gas Sector and Company EQUITY RESEARCH 30 July 2013 Recommendation: KenolKobil- BUY Updated fair value: KES 11.51 Previous fair value: KES 17.00 Total Kenya- BUY Updated fair value: KES 37.68
More informationMarathon Petroleum Corporation
January 19, 2015 Marathon Petroleum Corporation (MPC-NYSE) Current Recommendation SUMMARY DATA NEUTRAL Prior Recommendation Underperform Date of Last Change 01/07/2014 Current Price (01/16/15) $77.56 Target
More informationIndian Oil Corporation Ltd.
Sep-16 Oct-16 Nov-16 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 s. Indian Oil Corporation Ltd.. October 25, 217 BSE Code: 53965 NSE Code: IOC Reuters Code: IOC.NS Bloomberg Code:
More informationIMPLEMENTATION OF VAT ON PETROLEUM PRODUCTS
IMPLEMENTATION OF VAT ON PETROLEUM PRODUCTS ALERT ALGERIA BOTSWANA ETHIOPIA GUINEA KENYA MADAGASCAR MALAWI MAURITIUS MOROCCO MOZAMBIQUE NIGERIA RWANDA SUDAN TANZANIA UGANDA ZAMBIA REGIONAL OFFICE: UAE
More informationKENYA MACROECONOMIC UPDATE: JULY 2016
KENYA MACROECONOMIC UPDATE: JULY 2016 18 th July 2016 OUTLOOK: POSITIVE GROWTH EXPECTATIONS DESPITE VOLATILE EXOGENOUS SHOCKS Building on our previous report, Kenya Macroeconomic Outlook: 2016, we maintain
More informationWeekly Statistical Bulletin
1 / Central Bank of Kenya Statistical Bulletin Weekly Statistical Bulletin Key Monetary and Financial Indicators January April 6, 2018 22, 2018 Highlights Inflation declined further to 4.2 percent in March
More informationVivo Energy plc INTERIM RESULTS. Six-month period ended 30 June nd August 2018
Vivo Energy plc INTERIM RESULTS Six-month period ended 30 June 2018 2 nd August 2018 Legal disclaimer IMPORTANT: Please read the following before continuing. No offer or solicitation This presentation
More information2016 Macro & Market Snapshot. December 2016
2016 Macro & Market Snapshot December 2016 Global Economic Overview International Monetary Fund in its World Economic Outlook (October 2016) projects global growth at 3.1% in 2016, down from 3.2% recorded
More informationSHAREHOLDERS CIRCULAR. Rubis Énergie S.A.S
KenolKobil Plc SHAREHOLDERS CIRCULAR (Pursuant to regulation 9 of the Capital Markets (Take-overs and Mergers) Regulations, 2002) in respect of THE RECOMMENDED ACQUISITION by Rubis Énergie S.A.S (a corporation
More informationOne Year Price Performance
In this report we present our views on Forte Oil Plc following the company s FY2014 results. We are inclined to place a SELL rating on the counter with a TP of N53.32 which represents a 74% downside to
More informationDangote Cement Plc. Improved Product Pricing Boosts Earnings. Nigeria Equities Industrial Goods April 3, 2018
Dangote Cement Plc Nigeria Equities Industrial Goods April 3, 2018 Improved Product Pricing Boosts Earnings INVESTMENT SUMMARY Dangote Cement Plc reported a stellar performance in its FY 17 audited account.
More informationAcquisition of Shell NZ Downstream Oil Assets. Marko Bogoievski CEO Infratil Limited March 29, 2010
Acquisition of Shell NZ Downstream Oil Assets Marko Bogoievski CEO Infratil Limited March 29, 2010 SNZ high quality asset in an attractive industry Transaction terms and purchase price 50/50 JV between
More informationOando Plc. Half Year 2011 Conference Call July, Half Year 2011 Conference Call 1
Oando Plc Half Year 2011 Conference Call July, 2011 Half Year 2011 Conference Call 1 Cautionary Statement ne The information presented herein is based on sources which Oando Plc ( Oando ) regards dependable.
More informationLETSHEGO HOLD. Failing to leverage up to expectations; down to Hold MICROLENDING. Recommendation: Market performance in US$ Share price performance
17 November 2016 MICROLENDING Recommendation: HOLD Price 2.4 Target price 2.50 Expected share price return 4.2% Expected dividend yield 7.6% Expected total return 11.8% Market cap (mn) 5,123 Market cap
More informationPBT growth slightly ahead of FY guidance. 9th November 2015 EQUITY RESEARCH THE COOPERATIVE BANK 3Q15 RESULTS REVIEW
PBT growth slightly ahead of FY guidance COOP s PBT increased by 33% y/y to KES 12.2bn, slightly ahead of management s full year guidance of 30%. The beat can be ascribed to a lower base as 9M14 s PBT
More informationMargins(%) EBITDA 30.0% 26.3% 25.4% NPM 26.5% 12.5% 18.1%
RESULTS REVIEW Share Data Market Cap Rs. 1,460.7 bn Price Rs. 177.2 BSE Sensex 15,049.86 Reuters NTPC.BO Bloomberg NATP IN Avg. Volume (52 Week) 2.6 mn 52-Week High/Low Rs. 291 / 148.75 Shares Outstanding
More informationSuncor Energy UNDERPERFORM ZACKS CONSENSUS ESTIMATES (SU-NYSE)
March 11, 2015 Suncor Energy (SU-NYSE) Current Recommendation Prior Recommendation Neutral Date of Last Change 12/18/2014 Current Price (03/10/15) $28.03 Target Price $25.00 UNDERPERFORM SUMMARY Amid weak
More informationDangote Cement Plc. Higher Volume, Improved Pricing and Exchange Rate Benefit Impact Earnings. Nigeria Equities Industrial Goods May 18, 2018
Dangote Cement Plc Nigeria Equities Industrial Goods May 18, 2018 Higher Volume, Improved Pricing and Exchange Rate Benefit Impact Earnings INVESTMENT SUMMARY Dangote Cement Plc reported another impressive
More informationKenya s IMF Standby Facility, & Cytonn Weekly #31/2018
Kenya s IMF, & Cytonn Weekly #31/2018 Focus of the Week The International Monetary Fund (IMF) recently concluded their visit to Kenya where they were holding discussions with the Kenyan Government on the
More informationINDIAN OIL CORPORATION LIMITED RESEARCH
RESULTS REVIEW Indian Oil Corporation Ltd. Hold Share Data Market Cap Rs. 439.99 bn Price Rs. 369.0 BSE Sensex 15,185.32 Reuters Bloomberg Avg. Volume (52 Week) IOC.BO IOCL IN 0.19 mn 52-Week High/Low
More information2Q16 Highlights: 12M FWD EV/EBITDA 12M PRICE PERFORMANCE VS. IPC P/E
GISSA Market Outperformer 12M FWD Price Target P$45.0 Price 31.4 12M Price Range 29.5/ 33.09 Shares Outstanding 356 Market Cap (Mill) 11,169 Float 19.5% Net Debt (Mill) 46 EV (Mill) 11,164 Dividend Yield
More informationOld Mutual Securities Equity Research Initiation of Coverage
Standard Chartered Bank Kenya Old Mutual Securities Equity Research Initiation of Coverage Summary Stable CTI ratio Estimated CTI projected to stabilize at 40.2% in FY2013e. +0.4% marginal improvement
More informationBHARAT FORGE LIMITED RESEARCH
EQUITY September 05, 2008 RESULTS REVIEW Share Data Market Cap Rs. 56 bn Price Rs. 250.45 BSE Sensex 14,483.83 Reuters Bloomberg Avg. Volume (52 Week) BFRG.BO BHFC IN 0.1 mn 52-Week High/Low Rs. 389.75/215.05
More informationKORADO INDUSTRY: ELECTRICAL EQUIPMENT RESULTS ANALYSIS HOLD BOTTOM LINE OUTPACES EXPECTATIONS EQUITY RESEARCH BULGARIA DATE: FEBRUARY 7 TH 2018
EQUITY RESEARCH BULGARIA KORADO INDUSTRY: ELECTRICAL EQUIPMENT BOTTOM LINE OUTPACES EXPECTATIONS KORADO S FY 217 FUNDAMENTALS MATCH TOP LINE EXPECTATIONS BUT OUTPACE BOTTOM LINE FORECASTS ON WELL MANAGED
More informationBIMBO Food. Quarterly Report October 27, BIMBO Market Underperformer 2016 Price Target P$41.9
Quarterly Report BIMBO Market Underperformer 2016 Price Target P$41.9 Price 51.51 12M Price Range 45.02 / 59.86 Shares Outstanding (Mill) 4,703.2 Market Cap (Mill) 242,262 Float 24.0% Net Debt (Mill) 72,562
More informationAn emerging cement major building shareholder value and prosperity in Africa
An emerging cement major building shareholder value and prosperity in Africa Audited results for the year ended 31 st December 2015 1 st March 2016 Disclaimer This document is not an offer of securities
More informationNational Industrialization Co. Diversified Operations Industrial NIC AB: Saudi Arabia 25 May 2014
RSI10 National Industrialization Co. NIC AB: Saudi Arabia 25 May 2014 Rating Target price Current price OVERWEIGHT SAR37.30 (18.7% upside) SAR31.40 Key themes & implications Sluggish petrochemical prices
More informationSub Saharan Africa Financial Services Report, & Cytonn Weekly #46/2017
Sub Saharan Africa Financial Services Report, & Cytonn Weekly #46/2017 Focus of the Week Having established a strong research team and delivery framework in Kenya, we have now launched a Sub Saharan Africa
More informationACCESS BANK RIGHTS ISSUE
Jan-14 Feb-14 Mar-14 Apr-14 May-14 Jun-14 Jul-14 Aug-14 Sep-14 Oct-14 Nov-14 Dec-14 Primary Market Watch Capitalising to push strategic growth plan Capital is key to achieving medium term strategic plan:
More informationFY 2017 Analysts and Investors Briefing. Pilipinas Shell Petroleum Corporation
FY 2017 Analysts and Investors Briefing Disclaimer NOT FOR PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES References in this presentation to our Company or the Corporation
More informationOando Plc H Performance Review
Oando Plc H1 2012 Performance Review www.oandoplc.com 1 Disclaimer This presentation does not constitute an invitation to underwrite, subscribe for, or otherwise acquire or dispose of any Oando Plc (the
More informationOando Plc. YTD September 2011 Conference Call October, YTD Sept 2011 Conference Call 1
Oando Plc ember 2011 Conference Call October, 2011 2011 Conference Call 1 Cautionary Statement ne The information presented herein is based on sources which Oando Plc ( Oando ) regards dependable. This
More informationOANDO PLC. Oando PLC: to be or not to be? Investment Summary & Highlight. MorganCapital Research. July 3, 2013
African Frontier Market. 444...leading the Global Investment Path to Africa TM Chuks Anyanwu ChuksA@morgancapitalgroup.com +234-08066397836 Stock Rating HOLD Industry View In-Line July 3, 2013 OANDO PLC
More informationWeekly Statistical Bulletin
1 / Central Bank of Kenya Statistical Bulletin Weekly Statistical Bulletin Key Monetary and Financial Indicators January July 6, 2018 22, 2018 Real GDP Growth Economic growth accelerated to 5.7 percent
More informationEAST ASIA SECURITIES COMPANY LIMITED 9/F, 10 Des Voeux Road Central, Hong Kong. Dealing: Research: Facsimile:
9/F, 10 Des Voeux Road Central, Hong Kong. Dealing: 3608 8000 Research: 3608 8097 Facsimile: 3608 6132 HONG KONG RESEARCH Analyst: Vincent Leung 31 st July 2007. HANG SENG BANK LIMITED ( 恒生銀行 ) Sector
More informationCement s Changing Landscape ARTICLE SUMMARY
PRUDENTIAL INSIGHTS Ielhaam Ismail Equity Analyst JUNE 2018 Cement s Changing Landscape ARTICLE SUMMARY One of the industries most likely to benefit from Africa s growing economies and infrastructure expansion
More informationSASOL LTD Sector: Materials Max Sector Exposure: 23%
Company Results Analysis 12 September 2017 Recommendation: Neutral JSE Capped SWIX weighting: 4.35% Recommended exposure up to: 3.85% JSE Code: SOL Current Share Price: ZAR 38453c SASOL LTD Sector: Materials
More informationNairobi Securities Exchange. 6th June 2015
Nairobi Securities Exchange Kenya Diaspora Trade and Investment Conference Investment in Securities For The Kenyan Diaspora Geoffrey Odundo Chief Executive 6th June 2015 CONTENTS 1. About the NSE 2. Kenyan
More informationInvesco Ltd. NEUTRAL ZACKS CONSENSUS ESTIMATES (IVZ-NYSE)
March 10, 2015 Invesco Ltd. (IVZ-NYSE) Current Recommendation SUMMARY DATA NEUTRAL Prior Recommendation Underperform Date of Last Change 10/03/2012 Current Price (03/09/15) $40.40 Target Price $42.00 52-Week
More informationSIEMENS INDIA LIMITED RESEARCH
RESULTS REVIEW Siemens India Limited Hold Share Data Market Cap Rs. 196.1 bn Price Rs. 581.6 BSE Sensex 14,961.07 Reuters Bloomberg Avg. Volume (52 Week) SIEM.BO SIEM IN 0.2 mn 52-Week High/Low Rs. 1,142.5
More informationCorral Q August 2017
Corral Q2 2017 August 2017 Disclaimer This presentation has been prepared by Corral Petroleum Holdings AB (publ) and/or its subsidiaries and affiliates ( Corral ). The information contained in this presentation
More informationBig Lots Inc. NEUTRAL ZACKS CONSENSUS ESTIMATES (BIG-NYSE) SUMMARY
March 13, 2015 Big Lots Inc. Current Recommendation SUMMARY DATA NEUTRAL Prior Recommendation Underperform Date of Last Change 03/24/2014 Current Price (03/11/15) $49.95 Target Price $52.00 52-Week High
More informationEast African Breweries Limited
East African Breweries Limited Email: researchke@securitiesafrica.com Tel: +254 735 571 530 Sector/Country: Beverages/ Kenya Stock Rating: Buy Equity Market Cap : Current Share Price : Target Price : 12
More informationNarnolia Securities Ltd. ADITYA GUPTA 19-Sep-17. Key Highlights of the Report: RoE to maintain over 13%
Sep-1 Oct-1 Nov-1 Dec-1 Jan- Feb- Mar- Apr- May- Jun- Jul- Aug- Sep- 19-Sep- INDUSTRY - OIL & GAS BSE Code - 500325 NSE Code - RELIANCE NIFTY - 1018 Company Data CMP 84 Target Price 900 Previous Target
More informationIndian Oil Corporation Ltd.
Sep-16 Oct-16 Nov-16 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17. Volume No.. I Issue No. 137 Indian Oil Corporation Ltd. September 18, 217 BSE Code: 53965 NSE Code: IOC Reuters
More informationAnta Sports (2020 HK)
Equity Research Consumer Discretionary Anta Sports (2020 HK) Buy (maintained) Target price: HK$18.50 Strong FY14 results; order book momentum maintained FY14 results above expectation Net profit jumped
More informationPrice Multiples/Ratios FY-2013 FY-2012 FY-2011 FY-2010 FY-2009
COMPANY PROFILE DANGOTE SUGAR REFINERY PLC commenced business in March 2000 as the sugar division of Dangote Industries Limited. DSR is a market leader in the Nigerian Sugar industry with operations spanning
More informationGAIL India NEUTRAL. Performance Highlights CMP. `363 Target Price - 2QFY2013 Result Update Oil & Gas. Investment Period -
2QFY2013 Result Update Oil & Gas October 26, 2012 GAIL India Performance Highlights Quarterly highlights (Standalone) Y/E March (` cr) 2QFY2013 2QFY2012 % chg (yoy) 1QFY2013 % chg (qoq) Net sales 11,361
More informationGuaranty Trust Bank plc.
Guaranty Trust Bank plc. Research Update Monday, June 11, 2012 What s New? Growing Economy and Bank s Cost Efficiency driving growth With an economy projected to grow at ~7% in 2012, and a bank committed
More informationHSBC Bank Oman SAOG. TP : OMR / share Upside/ (Downside): 19.7% HSBC Bank Oman SAOG. Page 1 of 7
Recommendation Accumulate Bloomberg Ticker HBMO OM Current Market Price (OMR).117 52wk High / Low (OMR).13/. 12m Average Vol. () 386.2 Mkt. Cap. (USD/OMR Mn) 68/234 Shares Outstanding (mn) 2,.3 Free Float
More informationFirst REIT. First-Rate Performance S$1.100 S$ Intrinsic Value Prev Closing. 27 April
First REIT First-Rate Performance Increase Exposure Intrinsic Value Prev Closing S$1.100 S$0.880 Update: First REIT ( Company ) announced its financial year 2010 first quarter results on 23 rd April 2010.
More informationKESTREL CAPITAL. January 2016
Member of the Nairobi Securities Exchange January 2016 Macroeconomic outlook and Equities recommendations Resonating with our Macroeconomic and Equity Market Analysis and Outlook report July 2015, the
More informationSupermax Corporation Berhad Super value on offer
PP 10745/05/2013/032438 19 July 2012 Initiating coverage Supermax Corporation Berhad Super value on offer BUY Target Price (TP): RM2.48 INVESTMENT HIGHLIGHTS World class latex glove producer. SUPERMAX
More informationNairobi Securities Exchange
September 2014 Markets Newsletter September 2014 Month s Biggest Price GAINS Orchards Longhorn Nairobi Securities Exchange 1 st Sept Kshs.15.20 30 th Sept Kshs.73.00 +380% 1 st Sept Kshs.15.00 30 th Sept
More informationPakistan State Oil. PSO: Pessimism overplayed. WE Detailed Report
1 KEY DATA KATS Code PSO Reuters Code PSO.KA Current Price (Rs) 198.97 Year High, Low (Rs) 251.74, 198.45 Market Cap (Rs' bn) 49 Market Cap (US$ mn) 496 Shares Outstanding (mn) 247 Free Float (%) 46 Source:
More informationEQUITY RESEARCH HOLD Medserv p.l.c. Stock Rating Price target (1Yr) 18 th January 2018
Medserv p.l.c. Stock Rating Price target (1Yr) HOLD 1.21 Executive Summary: We are initiating our coverage with a hold recommendation on Medserv plc ( MDS ). Despite the negative financial performance
More informationSimon Property Group Inc. (SPG-NYSE) Analyst Note
February 02, 2015 Simon Property Group Inc. (SPG-NYSE) Analyst Note NEUTRAL Current Recommendation Prior Recommendation Underperform Date of Last Change 09/11/2014 Current Price (01/30/15) $198.66 Target
More informationFY 2012 & Q Results. May 16, 2013
United Bank for Africa Plc FY 2012 & Q1 2013 Results Investors/Analysts Presentation May 16, 2013 Forward Looking Statements From time to time, the Bank makes written and/or oral forward-looking statements,
More informationBAT Kenya. When the going gets tough Recommendation: HOLD. April BAT Kenya. Positives. Challenges. Share Statistics
April 2017 BAT Kenya BAT Kenya When the going gets tough Recommendation: HOLD We initiate coverage on BAT Kenya with a HOLD recommendation based on a fair value of KES 730.69. This represents a 13.4% downside
More informationNigeria Equities Financial Services August 23,
Guaranty Trust Bank Plc Nigeria Equities Financial Services August 23, 2018 Result Meets Expectation as Non-Interest Income Lifts Earnings INVESTMENT SUMMARY In line with our projection, the H1 18 audited
More informationJindal SAW Limited Sector: Iron & Steel Products
Q4 & FY18 - Results Update Jindal SAW Limited Sector: Iron & Steel Products 28th May 2018 CMP (INR) (As on 25th May 2018) 107.40 Target (INR) 210 Upside(%) 95% Recommendation Strong Buy BSE Code 500378
More informationSAFARICOM LTD EARNINGS UPDATE MAY 2016
SAFARICOM LTD EARNINGS UPDATE MAY 2016 A I B C A P I T A L L T D We maintain our target estimates and only adjust for time value of money and debt on the valuation. We also factor in current numbers and
More informationChina Tian Lun Gas (1600 HK)
China Tian Lun Gas (1600 HK) Scrambling for growth in vehicle market We initiate on China Tian Lun Gas with an Outperform rating. Our DCF-based target price of HK$6.80 suggests 16% potential upside. The
More informationKCB INVESTOR AND MEDIA PRESENTATION 2012 FULL YEAR GROUP AUDITED FINANCIAL RESULTS
KCB INVESTOR AND MEDIA PRESENTATION 2012 FULL YEAR GROUP AUDITED FINANCIAL RESULTS 1 Outline 1. East Africa Macroeconomic View 2. The Bank at a Glance 3. 2012 full year KCB group Financial Results 4. Future
More informationLOTOS Group Q3 Consolidated Financial results
LOTOS Group Q3 Consolidated Financial results 29 October 2014 Disclaimer Not for release, publication or distribution, directly or indirectly, in or into the United States of America, Australia, Canada
More informationKESTREL CAPITAL. Deacons (East Africa) Plc (DCEA) Initiation of Coverage. July Key statistics
Member of the Nairobi Securities Exchange July 2016 Deacons (East Africa) Plc (DCEA) Initiation of Coverage Deacons (East Africa) Plc will be listing by introduction on the Alternative Investment Market
More informationHascol Petroleum Limited
Rating Report RATING REPORT REPORT DATE: November 6, 2017 RATING ANALYSTS: Talha Iqbal talha.iqbal@jcrvis.com.pk Muhammad Ibad Desmukh ibad.deshmukh@jcrvis.com.pk RATING DETAILS Latest Rating Previous
More informationMarket Access. Results Review 4Q15. M&A Securities. Digi.Com Berhad. Survives the Headwinds BUY (TP:RM5.90) Results Review
M&A Securities Results Review 4Q15 PP14767/09/2012(030761) Digi.Com Berhad BUY (TP:RM5.90) Wednesday, February 10, 2016 Results Review Survives the Headwinds Current Price (RM) New Fair Value (RM) Previous
More informationSPEEDY INDUSTRY: COURIER SERVICES RESULTS ANALYSIS GAINING MOMENTUM RECOMMENDATION: HOLD PREVIOUS RECOMMENDATION: BUY
EQUITY RESEARCH BULGARIA SPEEDY INDUSTRY: COURIER SERVICES GAINING MOMENTUM LEADING COURIER IN BULGARIA, SPEEDY, EXCELLED OVER THE 9M 2015 WITH NEWLY ACQUIRED DPD ROMANIA ADDING MOMENTUM. IN LINE WITH
More informationSpeakers and agenda. Speakers Mike Bennetts Chief Executive Mark Edghill Chief Financial Officer Richard Norris Treasurer
Disclaimer This document does not constitute a recommendation by ANZ National Bank Limited, Craigs Investment Partners Limited, Forsyth Barr Limited or Westpac Banking Corporation, acting through its New
More informationZenith Bank Plc. Earnings Below Expectation: Lower Provision for Loan Loss Saves the Day. Nigeria Equities Financial Services August 15, 2018
Zenith Bank Plc Nigeria Equities Financial Services August 15, 2018 Earnings Below Expectation: Lower Provision for Loan Loss Saves the Day INVESTMENT SUMMARY The recently released H1 18 audited result
More informationAt the heart of the African growth story
At the heart of the African growth story Corporate Presentation September 2018 Legal disclaimer IMPORTANT: Please read the following before continuing. No offer or solicitation This presentation is provided
More informationUni-Asia Group Limited
COMPANY UDPATE Marine; Property Uni-Asia Group Limited (UAG SP/UAFC.SP) BUY - Maintain Price as of 13 Dec 2017 1.23 12M target price (S$) 1.85 Previous target price (S$) 1.92 Upside (%) 50.4 Trading data
More informationBUY Target Price, Rp 4,350 Upside 11,9%
Friday, 9 May 214 BUY Target Price, Rp 4,350 Upside 11,9% SMSM IJ/SMSM.JK Last Price, Rp 3,885 No. of shares (bn) 1,439 Market Cap, Rp bn 5,591 (US$ mn) 484 3M T/O, US$mn 0.2 Last Recommendation 09Jan14
More informationBUY CMP (Rs.) 297 Target (Rs.) 385 Potential Upside 30%
Nov-15 Dec-15 Jan-16 Feb-16 Mar-16 Apr-16 May- Jun-16 Jul-16 Aug-16 Aug-16 Sep-16 Oct-16. Volume No.. I Issue No. 95 Dewan Housing Finance Corporation (DHFL) Nov. 4, 2016 BSE Code: 511072 NSE Code: DHFL
More informationCOMPARATIVE ANALYSIS OF LISTED UGANDAN BANKS
(Members of the NSE since 1954) 10 th Floor, Pension Towers, Loita Street P.O. Box 45396-00100 Nairobi, Kenya Tel: +254-20-3240000 Fax: +254-20-218633 Website: www.dyerandblair.com Bank of Baroda (Uganda)
More informationUnaudited 2016 First Quarter Results Presentation. April 2016
Unaudited 2016 First Quarter Results Presentation April 2016 Disclaimer and Note of Caution From time to time, the Bank makes written and/or oral forward-looking statements. These are included in this
More informationDisclaimer 2017 ACCESS BANK PLC H1 17 RESULTS PRESENTATION TO INVESTORS & ANALYSTS 2
Disclaimer The information presented herein is based on sources which Access Bank Plc. (the Bank ) regards dependable. This presentation may contain forward looking statements. These statements concern
More informationUchi Tech UCHI MK Sector: Technology
Still all about its yields Uchi s stock price has righfully re-rated over the past 2 years on its attractive valuations and above-average dividend yields. While the latter remains attractive at just under
More informationDRAGON CROWN GROUP HOLDINGS (935.HK) 1H 2013 Review: Bucked the Trend. Company Profile. 1-Yr Price Performance vs. HSI. Basic Share Information
20 August 2013 LOGISTIC SERVICES DRAGON CROWN GROUP HOLDINGS (935.HK) BUY TARGET Maintain HK$1.30 Previous Target HK$1.30 Consensus Target N/A Current (19/8/2013) HK$0.98 Upside 33% Market Cap. HK$1,087.5M
More informationThe changing landscape of cement in sub-saharan Africa Written by: Ielhaam Ismail, Equity Analyst at Prudential Investment Managers
FUNDS ON FRIDAY b y G l a c i e r R e s e a r c h 08 J u n e 2 0 1 8 V o l u m e 9 61 The changing landscape of cement in sub-saharan Africa Written by: Ielhaam Ismail, Equity Analyst at Prudential Investment
More informationNewOcean Energy (342.HK) Expansion Plans on Track
Company Update Rating BUY Target price HK$1.63 Share price (4 Aug 2010) HK$1.35 Ticker 00342.HK NewOcean Share price vs HSI (HK$) (HK$m) 1.6 300 1.4 250 1.2 1.0 200 0.8 150 0.6 100 0.4 0.2 50 0.0 0 Aug
More informationBed Bath & Beyond Inc.
January 21, 2015 Bed Bath & Beyond Inc. Current Recommendation SUMMARY DATA NEUTRAL Prior Recommendation Outperform Date of Last Change 11/23/2009 Current Price (01/20/15) $73.31 Target Price $77.00 52-Week
More informationInvestor Briefing & Q Performance. April 2016
Investor Briefing & Q1 2016 Performance April 2016 Presentation Outline 1. Macro-economic overview 2. Governance & leadership structure 3. Regional expansion and diversification 4. Digital bank 5. SME
More informationITC Ltd. BUY CMP (Rs.) 304 Target (Rs.) 336 Potential Upside(%) 11% Valuation: Investment Rationale. For private circulation only
Aug-17 Sep-17 Oct-17 Nov-17 Dec-17 Jan-18 Feb-18 Mar-18 Apr-18 May-18 Jun-18 Jul-18 Aug-18. Volume No.. I Issue No. 186 ITC Ltd September 21, 2018 BSE Code: 500875 NSE Code: ITC Reuters Code: ITC.NS Bloomberg
More informationQatar Banking. Qatar Banks - Result Update 3Q11. Global Research Sector - Banking Equities - Qatar December 7, 2011
Qatar Banking Global Research Sector - Banking Equities - Qatar December 7, 2011 Qatar Banks - Result Update 3Q11 Profitability jumps by 17%YoY and 3% QoQ in 3Q11 Top-line grows on account of volume growth
More informationState Bank of India (SBI)
Jun-16 Jul-16 Aug-16 Sep-16 Oct-16 Nov-16 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17. Volume No.. II Issue No. 126 State Bank of India (SBI) June 23, 217 BSE Code: 5112 NSE Code: SBIN Reuters Code:
More informationOur thesis considers the following:
Quarterly Report OMA Market Underperformer 2016 Price Target P$108.8 Price 114.23 12M Price Range 77.19 / 115.63 Shares Outstanding (Mill) 392.2 Market Cap (Mill) 44,796 Float 46% Net Debt (Mill) 2,782
More informationRecommendation: BUY. CIMC Enric Holdings Ltd. (3899.HK) 18 August 2014 TP: HK$14.2 (+42.7%) SECTION 1 RESULTS BRIEFING SECTION 2 COMPANY BACKGROUND
Recommendation: BUY TP: HK$14.2 (+42.7%) CIMC Enric Holdings Ltd. (3899.HK) 18 August 2014 SECTOR: Oil & Gas equipment HSI: 24,955.46 PRICE: HK$9.95 EARNINGS (reported in RMBm) KEY DATA For the fiscal
More informationDarden Restaurants, Inc.
Darden Restaurants, Inc. DRI: Reports Solid Performance; Expectations Were Pretty High Despite Evidence Segment Is Slowing Our View: We reiterate our OW rating following shares coming under pressure because
More informationTrevi Finanziaria. New investments to meet material intake. 12 May 2008 Capital Goods Update. Price: Target price: 16.
12 May 2008 Capital Goods Update Price: 16.44 Target price: 16.80 Outperform 17 16 15 14 13 12/5/08 2006 2007 2008E 2009E EPS Adj. ( ) 0.42 0.83 0.99 1.28 DPS ( ) 0.05 0.10 0.13 0.16 BVPS ( ) 1.91 2.23
More informationMarket Access. M&A Securities. Results Review (2Q16) SapuraKencana Petroleum Berhad. Solid Orderbook as a Shield BUY (TP: RM2.
M&A Securities Results Review (2Q16) PP14767/09/2012(030761) SapuraKencana Petroleum Berhad Thursday, September 17, 2015 BUY (TP: RM2.55) Solid Orderbook as a Shield Results Review Actual vs. expectations.
More informationKeppel Corporation Ltd
COMPANY UPDATE Offshore & Marine (KEP SP/KPLM.SI) BUY - Maintain Price as of 22 Dec 2017 7.47 12M target price (S$) 8.04 Previous target price (S$) 8.67 Upside, incl div (%) 10.4 Trading data Mkt Cap (S$m)
More informationECONOMIC SURVEY 2017 HIGHLIGHTS
ECONOMIC SURVEY 2017 HIGHLIGHTS PRESENTED BY ZACHARY MWANGI DIRECTOR GENERAL KENYA NATIONAL BUREAU OF STATISTICS 19 TH APRIL 2017 ECONOMIC SURVEY 2017 Outline International scene Highlights of the country's
More informationKEY MONETARY AND FINANCIAL INDICATORS
January 04, 2019 KEY MONETARY AND FINANCIAL INDICATORS Inflation Overall inflation increased marginally to 5.7 percent in December 2018 from 5.6 percent in November, but remained within target, mainly
More informationTATA POWER COMPANY LTD RESEARCH
RESULTS REVIEW Share Data Market Cap Rs. 239.30 bn Price Rs. 1080.50 BSE Sensex 13,769.15 Reuters TTPW.BO Bloomberg TPWR IN Avg. Volume (52 Week) 0.17 mn 52-Week High/Low Rs.1230 / 530.10 Shares Outstanding
More informationStandard Chartered Bank in Africa, ECOWAS
BM15-12E Standard Chartered Bank in Africa, ECOWAS Yasunori Takeuchi, CEO Japan Standard Chartered Bank October 28, 2015 0 Contents Opportunities in Africa Challenges in Africa Japanese Companies in Africa
More information