August 12, 2024
Fosrich Company Limited (FOSRICH) for the six months ended June 30, 2024, reported a 14% decrease in Revenue totalling $1.74 billion compared to $2.02 billion in the corresponding period last year. Revenue for the second quarter had a 6% decrease to close at $884.63 million compared to $940.85 million for the comparable quarter of 2023.
Cost of Sales amounted to $868.79 million (2023: $1.21 billion), this represents a decrease of 28% year over year. Consequently, gross profit increased by 7% to $875.67 million compared to $817.85 million for the six months ended June 30, 2023. The company booked gross profit of $486.12 million for the second quarter versus $371.84 million reported for the similar quarter of 2023.
Other Income increased by 244% to close at $8.58 million (2023: $2.50 million), while Administrative and other expenses increase by 25% from $526.74 million in 2023 to $656.63 million in the period under review. As a result, profit before depreciation and finance cost for the six months ended June 30, 2024, amounted to $227.62 million, a 22% decrease relative to $293.61 million reported in 2023.
Finance cost totalled $140.11 million a 30% increase from the corresponding period last year. (2023: $108.01 million).
Profit before taxation for the six months ended June 30, 2024, amounted to $87.50 million, a 53% decrease relative to $185.60 million reported in 2023. Profit before taxation for the second quarter amounted to $50.05 million (2023: $46.62 million). Taxation for the six months was $9.62 million (2023: $23.11 million).
Net profit for the six months amounted to $77.88 million, a 52% decrease from the $162.50 million reported in 2023. For the second quarter, Net profit was $44.89 million (2023: $40.77 million).
Consequently, Earnings Per Share for the six months amounted to $0.02 (2023: EPS: $0.03), while Earnings Per Share for the quarter totalled $0.01 (2023: EPS: $0.01). The twelve-month trailing EPS was $0.03, and the number of shares used in these calculations was 5,078,485,197.
Notably, FOSRICH’s stock price closed the trading period on August 9, 2024, at a price of $2.21 with a corresponding P/E ratio of 73.70x.
Balance Sheet Highlights
The company’s assets totalled $6.19 billion (2023: $5.08 billion). The increase in assets was attributable to an 875% jump in ‘due from related parties’ closing at $779.77 million.
Shareholder’s equity was $2.12 billion (2023: $1.94 billion), representing a book value per share of $0.42 (2023: $0.39).
Disclaimer:
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
