AlphaMena Corporate Services

AlphaMena is the MENA stocks leader in independent equity research, covering 142. MENA securities spanning across 19 sectors and 8 countries relaying on a team of 11 analysts. The breadth of coverage allows AlphaMena to formulate a coherent view on markets, sectors and to highlight the best investments in Mena zone using a robust homogeneous and transparent methodology, enabling pure and pertinent comparisons based on financial and extra-financial criteria.

Heavily impacted by Q2 achievements

Heavily impacted by Q2 achievements EARNINGS/SALES RELEASES Paltel recorded a decrease across all the board for the H1 2019 period, due to the slowdown witnessed during the Q2 2019. H1 2019 revenues decreased by 6.3%, yoy, to JOD149.2m due to the increasing competition in the mobile sector in addition to the unpleasant political and economic conditions in the country. H1 2019 net profit witnessed a drop by 3.2%, yoy, to JOD35.5m, on lower revenues, higher finance costs and lower investment portfolio return. On the other hand, general and administrative expenses witnessed a significant saving...

Lower FY 2018 results on negative FX impact and previous year one-time tax settlement

Lower FY 2018 results on negative FX impact and previous year one-time tax settlement EARNINGS/SALES RELEASES Paltel recorded lower than expected results in Q3 and Q4, which affected the group’s FY 2018 overall performance. Q4 2018 revenues decreased by 15.4%, at JOD 69.3m mainly due to the increasing competition in the mobile sector in addition to the negative FX impact, taking FY 2018 revenues to JOD 305.5m, down 8.7%, yoy. FY 2018 net profit stood at JOD 67.1m, slightly down by 4.9%, yoy, affected mainly by the drop witnessed in Q3 2018 net profit (-27.1% at JOD 15.6m), due to the non-rec...

Q3 results below expectations (Sanad)

Q3 results below expectations TARGET CHANGE CHANGE IN TARGET PRICE$ 2.44 vs 2.55 -4.47% We reduced our 2018 estimates after the release of Q3 2018 sales below our expectations. We are now expecting US$211m sales, i.e. a stable Q4 2018 revenues after the 4.1% drop recorded in Q3 2018. We have also revised downward our 2018 EBITDA from US$9.11m to US$8.41m. We reaffirm our forecasts regarding the balance sheet structure as our model is still based on the launch of projects (especially the Cement mill) in 2018 (during this Q4). These adjustments resulted in a 4.3% cut in our Target Price.

Q3 2018 results affected by previous year one-time tax settlement

Q3 2018 results affected by previous year one-time tax settlement EARNINGS/SALES RELEASES Paltel recorded lower than expected Q3 2018 results affecting the group’s 9M 2018 overall performance. Q3 2018 revenues decreased by 12.1%, at JOD76.8m due to the increasing competition in the mobile sector in addition to the negative FX impact experienced in Q3 2018. Q3 2018 net profit dropped by 27.1% at JOD15.5m due to the non-recurring tax settlement recorded in Q3 2017 (JOD+13.6m). Consequently, 9M 2018 revenues and net profit dropped by respectively 6.6%, at JOD236.2m and 4.1%, yoy, at JOD52.2m. ...

Downgrading outlook (PALTEL)

Downgrading outlook EPS CHANGE CHANGE IN EPS2018 : JOD 0.52 vs 0.58 -10.0% 2019 : JOD 0.54 vs 0.60 -9.76% Paltel’s 9M 2018 bottom line comes far below our projections on lower revenues and increased finance and tax costs. We have updated our model based on Q3 2018 figures. Therefore, we have revised our FY 2018 and FY 2019 EPS downwards (-10.3% to JOD0.52, and -10% to JOD0.54, respectively). The decrease in our 2018-2020 net profits is mainly attributable to the downward revision of our revenues and EBITDA forecasts over the 2018-2020 period, in addition to the increase in finance costs. C...

Heavily impacted by Q2 achievements

Heavily impacted by Q2 achievements EARNINGS/SALES RELEASES Paltel recorded a decrease across all the board for the H1 2019 period, due to the slowdown witnessed during the Q2 2019. H1 2019 revenues decreased by 6.3%, yoy, to JOD149.2m due to the increasing competition in the mobile sector in addition to the unpleasant political and economic conditions in the country. H1 2019 net profit witnessed a drop by 3.2%, yoy, to JOD35.5m, on lower revenues, higher finance costs and lower investment portfolio return. On the other hand, general and administrative expenses witnessed a significant saving...

Lower FY 2018 results on negative FX impact and previous year one-time tax settlement

Lower FY 2018 results on negative FX impact and previous year one-time tax settlement EARNINGS/SALES RELEASES Paltel recorded lower than expected results in Q3 and Q4, which affected the group’s FY 2018 overall performance. Q4 2018 revenues decreased by 15.4%, at JOD 69.3m mainly due to the increasing competition in the mobile sector in addition to the negative FX impact, taking FY 2018 revenues to JOD 305.5m, down 8.7%, yoy. FY 2018 net profit stood at JOD 67.1m, slightly down by 4.9%, yoy, affected mainly by the drop witnessed in Q3 2018 net profit (-27.1% at JOD 15.6m), due to the non-rec...

Q3 results below expectations (Sanad)

Q3 results below expectations TARGET CHANGE CHANGE IN TARGET PRICE$ 2.44 vs 2.55 -4.47% We reduced our 2018 estimates after the release of Q3 2018 sales below our expectations. We are now expecting US$211m sales, i.e. a stable Q4 2018 revenues after the 4.1% drop recorded in Q3 2018. We have also revised downward our 2018 EBITDA from US$9.11m to US$8.41m. We reaffirm our forecasts regarding the balance sheet structure as our model is still based on the launch of projects (especially the Cement mill) in 2018 (during this Q4). These adjustments resulted in a 4.3% cut in our Target Price.

Q3 2018 results affected by previous year one-time tax settlement

Q3 2018 results affected by previous year one-time tax settlement EARNINGS/SALES RELEASES Paltel recorded lower than expected Q3 2018 results affecting the group’s 9M 2018 overall performance. Q3 2018 revenues decreased by 12.1%, at JOD76.8m due to the increasing competition in the mobile sector in addition to the negative FX impact experienced in Q3 2018. Q3 2018 net profit dropped by 27.1% at JOD15.5m due to the non-recurring tax settlement recorded in Q3 2017 (JOD+13.6m). Consequently, 9M 2018 revenues and net profit dropped by respectively 6.6%, at JOD236.2m and 4.1%, yoy, at JOD52.2m. ...

Downgrading outlook (PALTEL)

Downgrading outlook EPS CHANGE CHANGE IN EPS2018 : JOD 0.52 vs 0.58 -10.0% 2019 : JOD 0.54 vs 0.60 -9.76% Paltel’s 9M 2018 bottom line comes far below our projections on lower revenues and increased finance and tax costs. We have updated our model based on Q3 2018 figures. Therefore, we have revised our FY 2018 and FY 2019 EPS downwards (-10.3% to JOD0.52, and -10% to JOD0.54, respectively). The decrease in our 2018-2020 net profits is mainly attributable to the downward revision of our revenues and EBITDA forecasts over the 2018-2020 period, in addition to the increase in finance costs. C...

ResearchPool Subscriptions

Get the most out of your insights

Get in touch