John Holts Climbs by 20% after Earnings Beat
Equities investors have repriced John Holts Plc higher by 20% to N1.28 billion after the company released an impressive earnings performance. The company gained traction as its share price increased to N3.30 on Friday on the Nigerian Exchange from N2.75 after a two-day rally.
John Holt Plc returned to profitability at the end of fourth quarter of financial year 2023/24, details from the conglomerate company’s unaudited financial statement revealed.
Its profit after tax settled at N2.39 billion, reversing N1 billion net loss the company reported at the end of fourth quarter of 2022/23. Over a 12 months, John Holts Plc grew revenue by 82% year on year to N3.333 billion from N1.834 billion in the equivalent period in 2022/2023.
The company’s revenue growth was principally driven by increase by income generated from technical products and leasing services. Revenue from Technical products and leasing services surged to N2.920 billion in 12 month, more than 94% above N1.504 billion reported in the comparable period.
However, cost of sales grew faster, depleting the group profit margin. Costs of sales grew by 106% to N2.713 billion from N1.319 billion. As result of the heavy load, gross profit margin increased by 20% to N620 million from N515 million in the comparable period.
John Holt major earnings boost came from other operating income line in the period. Details from the conglomerate company’s financial scorecard revealed that other operating income grew by 436% year on year to N3.146 billion from N587 million.
Its FX loss also moderated to N547 million from N1.286 billion in the comparable period, down by 57% year on year. John Holt shareholders’ funds increased by 124% year on year to N4.313 billion from N1.923 billion in the last 12 months. #John Holts Climbs by 20% after Earnings Beat Naira Falls to N1,486 as FX Crisis Deepens
