DGKC_KAPCO_1QFY18 Result Preview & FFBL 3QCY17 Result Preview
DGKC: 1QFY18 Result Preview
DGKC is scheduled to announce its 1QFY18 result tomorrow (Oct 18'17) where it is expected to post earnings of PkR1.85bn (EPS: PkR4.22), down 3%YoY. Lower earnings are expected to arise from 7.9pptsYoY decline in GM to 36.2% (avg. coal prices up 54%YoY in 4QFY17), despite 13%YoY growth in topline to PkR7.49bn (15%YoY increase in total cement dispatches to 1.13mn tons). On a sequential basis, 1QFY18 earnings are expected to rise by 21%QoQ mainly on account of 1.2pptsQoQ increase in GM to 36.2% and flattish topline growth. Having lost 36%CYTD, DGKC currently trades at a FY18F/F19F PE of 7.5x/6.9x, where our Jun'18 TP of PkR260/sh. implies a Buy stance (upside: 80%).
KAPCO: 1QFY18 Result Preview
KAPCO to announce 1QFY18 earnings on 19th October, where we expect the IPP to record NPAT of PkR2.37bn (EPS:2.69), showcasing reasonable +2%YoY/-12%QoQ. Earnings will be a function of: 1) higher load factors 65.6% load factor (1,893GwH) vs. 59.6% (1,719GwH) for 1QFY15, 2) increased generation on gas and RFO allowing for higher efficiency and O&M savings and 3) finance costs rising 18%YoY to PkR1.12bn rising as a result of mounting receivable load being financed. Earnings growth is a function of a timid 2.0%YoY appreciation in the US$ vs. PkR, RLNG filling the void left by reduced generation on FO and HSD, but being more expensive than gas (cost of generation for RLNG at PkR8.03/KwH vs. PkR4.37/KwH for natural gas) lifting fuel costs.
FFBL: 3QCY17 Result Preview
FFBL is scheduled to announce earnings for 3QCY17 on Thursday (Oct 19'17) where we expect the company to post net loss of PkR75mn (LPS: PkR0.08) vs. net loss of PkR159mn (LPS: PkR0.17) in 3QCY16. Expected key highlights of the result include: 1) 2%YoY decline in topline to PkR9.99bn reflecting 14%YoY expected decrease in urea off-take to ~133k tons where 15%YoY increase in DAP offtake (163k tons) restricted the decline and 2) 1.3ptsYoY decline in GM to 16% (including subsidy) in 3QCY17. On a cumulative basis, FFBL net loss is expected to reach PkR459mn (EPS: PkR0.49) in 9MCY17 compared with net loss of PkR1.05bn (LPS: PkR1.13) in 9MCY16. Having lost 32%CYTD, our Jun'18 SOTP-based TP of PkR52.1/sh (upside: 50%), advocates a Buy stance.
Co. is engaged in the production and sale of Ordinary Portland and Sulphate Resistant Cements.
AKD Securities Ltd. is one of the leading securities firm in Pakistan, providing a comprehensive range of investor focused services, including equity brokerage, economic and securities research, investment banking and financial advisory services. AKD Securities accounts for more than 6% of the average daily value of the Karachi Stock Exchange. AKD Securities was the first brokerage house to launch an online trading platform in Pakistan in November 2002 and now has the largest market share with over 6000 customers. This has helped diversify and expand the retail investor base in the country and ushered in a whole new universe of investors to the stock market.
AKD Securities Ltd. caters to a diversified group of domestic and international institutional investors, high net worth individuals and upscale retail clients, including expatriate Pakistanis. With high quality research, unparalleled execution and distribution capability for both regular and large block trades, AKD Securities Ltd. has earned an outstanding reputation in the Pakistani securities industry.Outside of commercial banks, AKD Securities Ltd. is one of the biggest capital market firms in the country. AKD Securities is the leader in raising and providing risk capital in underwriting, market making and mergers and acquisitions in Pakistan. Good corporate governance and professionalism are emphasized throughout the firm and AKD Securities Ltd. is amongst the very few companies to have introduced a firm-wide comprehensive CODE of ETHICS, overseen by an independent compliance manager.Ultimately, our success is based on the quality of service we provide to our customers and the trust and confidence reposed in us by them. Our focus, therefore, remains on customer satisfaction at all levels in the company.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.