August 26, 2024
Future Energy Source Company Limited (FESCO)
Unaudited financials for the first quarter ended June 30, 2024:
Future Energy Source Company Limited (FESCO) for the first quarter ended June 30, 2024, reported a 19% increase in revenue totaling $7.78 billion compared to $6.56 billion in the corresponding three months last year.
Cost Of Goods Sold amounted to $7.37 billion (2023: $6.26 billion), this represents an increase of 18% year over year. Consequently, gross profit increased by 39% to $412.28 million compared to $297.22 million for the first quarter ended June 30, 2023.
Other Income decreased by 100% to close at $0 (2023: $960,986), Impairment losses on financial assets decrease by 100% from $1.82 million in 2023 to $0 and operating and admin expenses increased 66% from $136.57 million in 2023 to $226.47 million for the three months. As a result, Operating Profit for the three months amounted to $185.81 million, a 16% increase relative to $159.79 million reported in 2023.
Finance Cost totaled $37.44 million a 15% increase from the corresponding period last year. (2023: $44.05 million).
No taxes were reported. As such, Net profit for the three months amounted to $148.37 million, a 28% increase from the $115.74 million reported in 2023.
Consequently, Earnings Per Share for the three months amounted to $0.06 (2023: EPS: $0.05). The twelve-month trailing EPS was $0.18, and the number of shares used in these calculations was 2,500,000,000.
Notably, FESCO’s stock price closed the trading period on August 23, 2024, at a price of $3.29 with a corresponding P/E ratio of 18.55x.
Balance Sheet Highlights
The company’s assets totaled $5.29 billion (2023: $4.29 billion). The growth in total assets was mainly due to a $660.22 million or 23% increase in ‘Property, plant and equipment’ to $3.55 billion (2023: $2.89 billion).
Shareholder’s equity was $2.41 billion (2023: $1.42 billion), representing a book value per share of $0.96 (2023: $0.57).
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