BOC GASES Builds Half Year Earnings by 32.55%, Brightens Full Year Expectations

Coy: BOC GASES PLC. (BOCGAS)
Rating: Hold
Current Market Price: N7.70

Latest Interim Dividend: N0.50
Year High: N15.12
Year Low: N7.70
Fair Value: N8.43
By: Jeariogbe Tunde Segun (Equity Analyst)

Earnings Brief

• Result for the half year 2021 business session stood at appreciable level above the corresponding quarter’s (2020) earnings
• For example, Turnover Improved over the comparable quarter’s by 19.96% to stand at N1.77 billion versus N1.47 billion in the corresponding quarter
• Meanwhile, Profit for the period grew by 32.55% at the current estimate of N168.43 million versus N127.07 million in the similar quarter of 2020.
• In other words, earnings per share (EPS) for the period is estimated at N0.40 versus N0.31 in 2020 half year
• The said EPS is a 5.26% yield over the share price of BOC GASES on the floor of the exchange as at the time this result was made available to the investing public.
• Please understand that this yield is below the 6.77% achieved in the corresponding quarter due to the huge change in price during the two released periods compared
• The estimated Book Value per unit share of BOC Gases currently stands at N7.12 as against N6.70 in the corresponding quarter.
• Note that the Book Value is almost same as the current market price of BOC Gases on the floor of the exchange and below our intrinsic value. Thus, we have rated BOC Gases a hold.
• Kindly see below for other company numbers and estimated ratios