Maritime leasing and fleet management firm, C&I Leasing PLC, has posted an expansion worth N578.615 million in its earnings at Full Year 2019, compared to the figure recorded by the firm in the corresponding period of 2018.
In the same vein, Gross Earnings climbed by 29% from N27.816 billion at FY2018 to N35.987 billion at FY2019.
The company generally recorded significant improvement across its Key Performance Indicators (KPI) in the year under review.
The comprehensive account of the lessor’s financial performance for FY2019 is detailed in its Unaudited Consolidated Financial Statements for the Year Ended 31 December 2019 as posted on the website of the Nigerian Stock Exchange (NSE) on Monday.
Profit Before Tax (PBT) advanced to N1.863 billion at FY2019, up from the N1.413 billion posted at the end of 2018, signalling a 31.9% growth.
Profit After Tax (PAT) jumped by 49.5% from N1.169 billion at FY2018 to N1.748 billion at FY2019.
Basic Earnings Per Share surged by 536%, moving from N0.67 at FY2018 to N4.26 in the corresponding period of last year.
However, there were few escalating costs on the expenditure side where the firm could cut costs to buoy greater growth and broaden its profit margin in the short term.
For instance, Finance Cost grew by 19.5% from N5.651 billion at FY2019 to N4.728 billion at FY2018.
There was also a considerable increase in Lease Expenses from N8.705 billion to N13.678 billion at FY2018 and FY2019 respectively.
With outstanding shares currently standing at 405.253 million, C&I Leasing’s market capitalisation is in the neighbourhood of N2.345 billion as of today. Its dividend yield, according to Bloomberg, is just 1.29%.
Yet, the stock is well undervalued at a P/E Ratio of 1.53, which is a good reason for prospective investors to consider for long term positioning.
C&I Leasing currently trades on the floor of the NSE at N5.40 per share.
Earnings Per Share is the profit that each unit of a company’s ordinary shares yields during a particular period. It is simply calculated by dividing the Profit After Tax by the company’s total outstanding shares. Increase in a company’s EPS often reflects an improvement in its bottom-line while a fall, on the other hand, indicates a declining profit.
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