FIRST RESOURCES Reports Second Quarter Earnings for FY2023
August 22, 2023
🌥️Earnings Overview
On August 10 2023, FIRST RESOURCES ($SGX:EB5) announced their financial results for the second quarter of FY2023, which concluded on June 30 2023. They reported total revenue of USD 448.8 million, a decline of 16.1% year-on-year. Their net income decreased to USD 71.5 million, a decrease of 44.1% from the same period in the prior year.
Stock Price
The company’s stock opened at SG$1.6 and closed at the same price, suggesting a strong finish to the quarter. This is largely attributed to the increase in the sale price of its core products, crude palm oil and palm kernel. This has allowed the company to allocate more funds to its ongoing capital expenditure projects, which will help to expand its operations and take advantage of new opportunities in the market. This is evidenced by the strong stock opening and closing prices, which indicates that investors remain confident in the company’s ability to generate returns in the future. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for First Resources. More…
| Total Revenues | Net Income | Net Margin |
| 1.14k | 268.7 | 23.6% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for First Resources. More…
| Operations | Investing | Financing |
| 459.44 | -149.28 | -269.9 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for First Resources. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 1.79k | 377.95 | 0.84 |
Key Ratios Snapshot
Some of the financial key ratios for First Resources are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 23.8% | 24.9% | 30.8% |
| FCF Margin | ROE | ROA |
| 27.1% | 16.7% | 12.2% |
Analysis
Upon conducting an analysis of FIRST RESOURCES‘s financials, GoodWhale has identified it as a strong company with regard to its asset, dividend, and profitability. Our Star Chart showed that FIRST RESOURCES had a medium growth rate, placing it in the category of ‘rhino’ – a company we classify as having achieved moderate revenue or earnings growth. Additionally, FIRST RESOURCES has a high health score of 10/10 with regard to its cashflows and debt, indicating that it is capable to sustain future operations in times of crisis. Given this assessment, we believe that FIRST RESOURCES would be an attractive investment opportunity for those investors who are looking for a more reliable and consistent return on their investments. Additionally, for those investors who prioritize long-term returns and are willing to take on a moderate amount of risk, FIRST RESOURCES may offer an attractive option. More…
Peers
The competition between First Resources Ltd and its competitors in the palm oil industry is intense. These companies include PT Mahkota Group Tbk, PT Salim Ivomas Pratama Tbk, and Teck Guan Perdana Bhd. All of these companies are vying for a share of the market and are constantly innovating to gain an edge over their competition.
– PT Mahkota Group Tbk ($IDX:MGRO)
PT Mahkota Group Tbk is an Indonesian conglomerate with interests in consumer products, real estate and construction, media, and finance. With a market cap of 2.82 trillion rupiah as of 2023, the company is one of the largest in Indonesia. Additionally, the company has a Return on Equity (ROE) of 9.48%, which is a measure of profitability that indicates how much profit the company generates relative to its shareholders’ equity. This higher-than-average ROE suggests that PT Mahkota Group Tbk is a successful company.
– PT Salim Ivomas Pratama Tbk ($IDX:SIMP)
PT Salim Ivomas Pratama Tbk is a publicly traded Indonesian food and beverage company that produces and distributes a broad range of products, from food and beverages to pharmaceuticals and chemicals. Its market cap of 6.39T as of 2023 reflects its position as a leader in the industry, which is further evidenced by its Return on Equity (ROE) of 12.4%. This high ROE is indicative of the company’s ability to generate returns for its shareholders, making it an attractive option for investors.
– Teck Guan Perdana Bhd ($KLSE:7439)
Teck Guan Perdana Bhd is a Malaysian-based company that operates in the oil and gas industry. It has a market capitalization of 72.98 million as of 2023, which indicates the company’s current value and the confidence that investors have in it. Its Return on Equity (ROE) of 42.36% indicates its overall financial performance and indicates that the company is generating good returns on its investments. The company is well-positioned to benefit from Malaysia’s growing oil and gas industry and capitalize on its potential for growth.
Summary
Investors in FIRST RESOURCES should be aware of the company’s poor performance in the second quarter of FY2023, ending on June 30 2023. Total revenue decreased by 16.1% and net income decreased by 44.1% compared to the same quarter of the previous year. This indicates a slowdown in business activity and suggests that investors should exercise caution when considering investing in FIRST RESOURCES. Further analysis of the company’s financials is recommended to determine if the current situation is a one-off or indicative of longer-term performance.
Related Posts
Recent Posts
