CHL reports 15% decrease in three-month net profit

February 9, 2024


Cargo Handlers Limited (CHL) for the first quarter ended December 31, 2023, reported a 4% increase in revenue totalling $139.23 million compared to $134.34 million in the corresponding three months last year.

Cost of sales amounted to $1.27 million (2022: $1.65 million), this represents a decline of 23% year over year. Consequently, gross profit increased by 4% to $137.96 million compared to $132.69 million for the first quarter ended December 31, 2022.

Administrative expenses decreased by 10% to close at $7.88 million (2022: $8.79 million), while other operating expenses increased by 20% from $55.94 million in 2022 to $67.20 million for the three months. As a result, total expenses for the first quarter amounted to $75.08 million, a 16% increase relative to $64.74 million reported in 2022.

Operating profit for the three months amounted to $59.73 million, a 21% reduction relative to $75.53 million reported in 2022.

Finance costs totalled $1.03 million, a 124% increase from the corresponding period last year (2022: $458,902).

Profit before taxation for the first quarter ended December 31, 2023, amounted to $80.32 million, a 15% decrease relative to $94.18 million reported in 2022.

Taxation for the three months had a 16% decrease to reach $15.96 million (2022: $18.89 million).

Net profit for the three months amounted to $64.36 million, falling 15% from the $75.28 million reported in 2022.

Earnings per share (EPS) for the three months amounted to $0.15 (2022: $0.18). The twelve-month trailing EPS was $0.75, and the number of shares used in these calculations was 416,250,000.

Notably, CHL’s stock price closed the trading period on February 9, 2024, at a price of $14.50 with a corresponding P/E ratio of 19.36x.

Balance Sheet Highlights:

The Company’s assets totalled $1.17 billion (2022: $946.02 million); a 24% increase year on year largely attributed to a 49% improvement in investment in associate, which totalled $312.31 million (2022: $210.18 million).

Shareholder’s equity was $1.06 billion (2022: $863.84 million), representing a book value per share of $2.55 (2022: $2.08).



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