February 15, 2024
Honey Bun Limited (HONBUN) for the first quarter ended December 31, 2023, reported a 15% increase in revenue totalling $941.63 million compared to $817.40 million in the corresponding three months last year.
Cost of sales amounted to $506.35 million (2022: $459.77 million), this represents an increase of 10% year over year. Consequently, gross profit increased by 22% to $435.29 million compared to $357.64 million for the first quarter ended December 31, 2022.
Administrative expenses increased by 11% to close at $174.35 million (2022: $156.53 million), while selling, distribution expenses increased by 31% from $110.16 million in 2022 to $143.98 million for the three months. As a result, total operating expenses for the first quarter amounted to $318.33 million, a 19% increase relative to $266.69 million reported in 2022.
Profit from operations for the three months amounted to $114.35 million, a 25% increase relative to $91.65 million reported in 2022.
Finance income totalled $4.03 million, an 18% increase from the corresponding period last year (2022: $3.41 million), while finance costs for the first quarter ended amounted to $1.67 million, a 10% increase relative to $1.52 million reported in 2022.
Profit before taxation for the three months had a 25% increase to reach $116.70 million (2022: $93.53 million). Taxation for the three months amounted to $30.20 million (2022: $24.25 million). Net profit for the three months amounted to $86.51 million, a 25% increase from the $69.29 million reported in 2022.
Earnings per share (EPS) for the three months amounted to $0.18 (2022: $0.15). The twelve-month trailing EPS was $0.53, and the number of shares used in these calculations was 471,266,950.
Notably, HONBUN’s stock price closed the trading period on February 13, 2024, at a price of $6.69 with a corresponding P/E ratio of 12.65x.
Balance Sheet Highlights:
The company’s assets totalled $1.87 billion; a 13% increase from the $1.65 billion booked in 2022. This was largely due to a 42% increase in cash and cash equivalents, which closed at $508.25 million (2022: $358.00 million).
Shareholder’s equity was $1.40 billion (2022: $1.23 billion), representing a book value per share of $2.98 (2022: $2.61).
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