August 16, 2023

Carreras Ltd (CAR) for the three months ended June 30, 2023 reported a 23% increase in Operating Revenue totaling $4.31 billion compared to $3.49 billion in the corresponding period last year.

Cost of Operating Revenue amounted to $2.37 billion (2022: $1.92 billion), this represents a increase of 23% year over year. Consequently, gross operating profit increased by 24% to $1.93 billion compared to $1.57 billion for the three months ended June 30, 2022.

Other Operating Income increased by 137% to close at $28.27 million (2022: $11.91 million), while Administrative, Distribution and Marketing Expenses for the period under review closed at $601.68 million (2022: $645.54 million). As a result, total operating expenses for the three months ended June 30, 2023 amounted to $591.02 million, a 9% decrease relative to $646.07 million reported in 2022.

Profit before Income Tax for the three months ended June 30, 2023, amounted to $1.40 billion, a 49% increase relative to $939.69 million reported in 2022.

Income Tax for the three months ended June 30, 2023 had a 43% increase to reach $346.87 million (2022: $243.32 million). Profit for the Year for the three months amounted to $1.05 billion, a 51% increase from the $696.37 million reported in 2022.

Consequently, Earnings Per Share for the three months amounted to $0.22 (2022: EPS: $0.14). The twelve month trailing EPS was $0.82 and the number of shares used in these calculations was 4,854,400,000.

Notably, CAR’s stock price closed the trading period on August 15, 2023 at a price of $8.22 with a corresponding P/E ratio of 10x.

Balance Sheet Highlights

The company’s assets totalled $6.73 billion (2022: $5.38 billion). ‘Accounts receivables’ closed at $2.70 billion (2022: $1.87 billion).

Shareholder’s equity was $2.07 billion (2022: $1.67 billion), representing a book value per share of $0.43 (2022: $0.34).

Analyst Certification -The views expressed in this research report accurately reflect the personal views of Mayberry Investments Limited Research Department about those issuer (s) or securities as at the date of this report. Each research analyst (s) also certify that no part of their compensation was, is, or will be, directly or indirectly, related to the specific recommendation(s) or view (s) expressed by that research analyst in this research report.

Company Disclosure -The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may affect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.