wazua Wed, Jul 22, 2026
Welcome Guest Search | Active Topics | Log In

4 Pages123>»
Total Q3 results point to a rosy outlook for KK
Options
Previous Topic · Next Topic
mwanahisa
#1 Posted : Thursday, November 04, 2010 12:48:47 PM
Rank: Elder

Joined: 6/2/2008
Posts: 1,438
Results published this morning.

Q3 Cumulative Net Sales up 143%
Q3 Cumulative Operating Profits up 110%
Q3 Cumulative Net Profits = Kshs 348,597,000 (up 52.89%)
Q3 Cumulative EPS - Kshs 1.17 (down 10%)
Q3 EPS (for 3rd Qtr only) = Kshs 0.26
Qtr on Qtr growth - Minus 51.72%

I have focused primarily on EPS being my possible take home and they are disappointing, in my opinion.

The only positive I can draw from these results is that cash generated from operations has risen almost 4-fold from Kshs 624 million to 2.357 billion.

All the same Total shareholders are a hardy lot. I don't expect much of a change in price. It hardly ever moves!

What do y'all say?

In my view the growth in the figures for sales, Gross Profit and Operating Profits portend a good set of results for KK.
Back to top
  | | Edit by user: Thursday, November 04, 2010 12:58 PM | Reason: Not specified
Sober
#2 Posted : Thursday, November 04, 2010 12:55:43 PM
Rank: Elder

Joined: 11/27/2007
Posts: 3,604
the results were out yesterday and not today. check today's DN page 33 (nrb edition)
African parents don't know how to say sorry.. the closest you will get to a sorry is a 'have you eaten'
Back to top
  |
mwanahisa
#3 Posted : Thursday, November 04, 2010 12:58:00 PM
Rank: Elder

Joined: 6/2/2008
Posts: 1,438
[quote=Sober]the results were out yesterday and not today. check today's DN page 33 (nrb edition)[/quote]

Thanks for the correction. I will edit my post accordingly.

Any other comment?
Back to top
  |
mv_ufanisi
#4 Posted : Thursday, November 04, 2010 1:05:39 PM
Rank: Member

Joined: 1/15/2010
Posts: 625
May KK make us rich!
Back to top
  |
Sober
#5 Posted : Thursday, November 04, 2010 1:15:27 PM
Rank: Elder

Joined: 11/27/2007
Posts: 3,604
[quote=mwanahisa][quote=Sober]the results were out yesterday and not today. check today's DN page 33 (nrb edition)[/quote]

Thanks for the correction. I will edit my post accordingly.

Any other comment?[/quote]


this counter is the most consistent on the bourse. trades between 29.00 and 33.00 when books close. i always try to fot in, buy at the lowest and sell just before the books close, they also pay oneof the highest dividends.
African parents don't know how to say sorry.. the closest you will get to a sorry is a 'have you eaten'
Back to top
  |
mwanahisa
#6 Posted : Thursday, November 04, 2010 1:25:21 PM
Rank: Elder

Joined: 6/2/2008
Posts: 1,438
[quote=Sober][quote=mwanahisa][quote=Sober]the results were out yesterday and not today. check today's DN page 33 (nrb edition)[/quote]

Thanks for the correction. I will edit my post accordingly.

Any other comment?[/quote]


this counter is the most consistent on the bourse. trades between 29.00 and 33.00 when books close. i always try to fot in, buy at the lowest and sell just before the books close, they also pay oneof the highest dividends.[/quote]

Nice strategy but your gains are capped at less than 20%.

Dividend yield at Kshs 1 is now about 3% at a price of 30. With the huge debt to service over the next few years, I do not expect the Kshs 2.50 dividend to resume anytime soon.

The only silver lining that I see is the funds they may get from the sale of some of the service stations. This could bump it up some.
Back to top
  |
cnn
#7 Posted : Thursday, November 04, 2010 2:09:46 PM
Rank: Veteran

Joined: 6/17/2009
Posts: 1,627
@mwanahisa,my EPS come to 1.98 against 1.72 at half year,which still shows .26 EPS for third quarter.The question is whatever caused the slow down in Total during the quarter also affected KK.Half year KK made .88 per share.Giving it the same third quarter performance to Total and in direct proportionality (a too conservative approach)the EPS drop to .13 for the three months and total earnings of 1.01 at third quarter.Throw in a good fourth quarter,KKs regional reach and a management which i like and full year EPS at around kSh 1.40 is possible.Where is your money?
Back to top
  | | Edit by user: Thursday, November 04, 2010 2:12 PM | Reason: Not specified
mlennyma
#8 Posted : Thursday, November 04, 2010 2:16:25 PM
Rank: Elder

Joined: 7/21/2010
Posts: 6,194
Location: nairobi
What tussle was total involved in, to compare it with kk?
"Don't let the fear of losing be greater than the excitement of winning."
Back to top
WWW
  |
milken
#9 Posted : Thursday, November 04, 2010 2:44:46 PM
Rank: Member

Joined: 4/25/2008
Posts: 192
Location: Nairobi
@ mwanahisa
"In my view the growth in the figures for sales, Gross Profit and Operating Profits portend a good set of results for KK."

The increase in TKL profits was largely due to an increase in retail network coverage (where margins are better) from take over of Chevron business.
1. What take over has KK been involved in to justify your outlook?
2. Do you think that the KPRL award will afffect KK's profit?
3. Recently, KRA has made it almost impossible to obtain an extension of transit product. Do you think that this will drive up the costs and reduce profitability?
Itari muting'oe ihuragwo ngi ni Ngai
Back to top
  |
mwanahisa
#10 Posted : Thursday, November 04, 2010 2:57:12 PM
Rank: Elder

Joined: 6/2/2008
Posts: 1,438
[quote=mlennyma]What tussle was total involved in, to compare it with kk?[/quote]

Admittedly, Total was not involved in a tussle with Govt, while KK was. That's why KK's price is at 11 rather than 15.

The reason why I have made my inference is that both are in the same industry hence there's a high likelihood that if sales are growing at Total, they are also growing at KK.

KK has been a lot more profitable for every shilling in sales relative to Total. Hence even though KK may have suffered a hit in Q3 in Kenyan sales, KK will most likely make up for this in Q4.

If we assume that KK makes ZERO profits for H2 2010 while Total continues at its current pace, we have Total trading at a forward PE of 19.59 while KK is at 13.9.

Where would you rather be?
Back to top
  | | Edit by user: Thursday, November 04, 2010 2:58 PM | Reason: Grammar
4 Pages123>»
Forum Jump  
You cannot post new topics in this forum.
You cannot reply to topics in this forum.
You cannot delete your posts in this forum.
You cannot edit your posts in this forum.
You cannot create polls in this forum.
You cannot vote in polls in this forum.

Wazua Investor Theme
Powered by YAF | YAF © 2003-2009, Yet Another Forum.NET
Copyright © 2026 Wazua.co.ke. All Rights Reserved.