May 15, 2024
Fontana Limited (FTNA) for the nine months ended March 31, 2024, reported a 10% increase in Revenues totalling $6.07 billion compared to $5.50 billion in the corresponding period last year. Revenues for the third quarter had a 13% increase to close at $1.94 billion compared to $1.72 billion for the comparable quarter of 2023.
Cost of Sales amounted to $3.79 billion (2023: $3.47 billion), this represents an increase of 9% year over year. Consequently, gross profit increased by 12% to $2.28 billion compared to $2.03 billion for the nine months ended March 31, 2023. The company booked gross profit of $725.69 million for the third quarter versus $603.78 million reported for the similar quarter of 2023.
Administrative and Other Expenses increased by 25% to close at $1.66 billion (2023: $1.33 billion), while Selling and Promotion decreased by 28% from $80.98 million in 2023 to $58.57 million in the period under review. As a result, total operating expenses for the nine months ended March 31, 2024, amounted to $1.72 billion, a 22% increase relative to $1.41 billion reported in 2023.
Operating Profit for the nine months ended March 31, 2024, amounted to $560.57 million, a 9% decrease relative to $615.66 million reported in 2023. Operating Profit for the third quarter amounted to $118.45 million (2023: $144.67 million).
Finance and Policy Costs totalled $153.01 million, a 13% increase from the corresponding period last year. (2023: $135.53 million).
Profit before Taxation for the nine months ended March 31, 2024, amounted to $510.15 million, a 9% decrease relative to $557.80 million reported in 2023. Profit before Taxation for the third quarter amounted to $107.69 million (2023: $146.41 million).
Taxation Charge for the nine months ended March 31, 2024, amounted to $14.75 million (2023: $0). As such, Net Profit for the nine months amounted to $495.40 million, a 11% decrease from the $557.80 million reported in 2023. For the third quarter, Net Profit was $92.94 million (2023: $146.41 million).
Consequently, Earnings Per Share for the nine months amounted to $0.40 (2023: EPS: $0.45), while Earnings Per Share for the quarter totaled $0.07 (2023: EPS: $0.12). The twelve month trailing EPS was $0.47, and the number of shares used in these calculations was 1,249,374,825.
Notably, FTNA’s stock price closed the trading period on May 15, 2024, at a price of $8.42 with a corresponding P/E ratio of 17.75x.
Balance Sheet Highlights
The company’s assets totalled $5.70 billion (2023: $5.04 billion). The growth in total assets was primarily due to a $513.04 million or 69% increase in ‘Property, plant & equipment’ to close at $1.25 billion (2023: $740.01 million).
Shareholder’s equity was $2.81 billion (2023: $2.59 billion), representing a book value per share of $2.25 (2023: $2.08).
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