ORION SA Reports Positive Earnings Results for Second Quarter of FY2023
August 17, 2023
☀️Earnings Overview
On June 30 2023, ORION SA ($NYSE:OEC) announced the financial results for the second quarter of their fiscal year 2023. Revenue for the period totaled USD 458.8 million, a decrease of 15.2% from the same quarter in the previous year. Net income had a slight increase of 1.3%, bringing it to USD 30.1 million.
Share Price
Despite the global pandemic’s negative impact on their business, ORION SA was able to post strong growth across all its segments. ORION SA took advantage of the current market conditions to expand its customer base internationally and secure new deals with existing customers. ORION SA’s financial position continues to show signs of strength, providing a sound basis for future growth. Overall, ORION SA’s second quarter results are encouraging and suggest that the company is on track for continued success and growth in the future. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Orion Sa. More…
| Total Revenues | Net Income | Net Margin |
| 1.96k | 116.4 | 5.8% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Orion Sa. More…
| Operations | Investing | Financing |
| 338.1 | -193.2 | -109.5 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Orion Sa. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 1.84k | 1.38k | 7.89 |
Key Ratios Snapshot
Some of the financial key ratios for Orion Sa are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 16.9% | 31.3% | 11.5% |
| FCF Margin | ROE | ROA |
| 7.4% | 30.6% | 7.7% |
Analysis
At GoodWhale, we have conducted an analysis of ORION SA‘s fundamentals and found that its Star Chart classification is ‘gorilla’, which suggests that it has a strong competitive advantage and is able to achieve stable and high revenue or earning growth. We believe that this type of company would be particularly attractive to value investors, who focus on investing in high-quality stocks with long-term growth potential. Furthermore, ORION SA has an intermediate health score of 6/10 with regard to its cashflows and debt, which suggests that it should be able to safely ride out any crisis without the risk of bankruptcy. Additionally, the company is strong in asset, dividend, and profitability metrics, although it is only medium in terms of growth. All things considered, ORION SA may offer a good opportunity for investors with an appropriate risk profile. More…
Peers
These companies all seek to provide quality specialty carbon black products to their customers.
– Tinna Rubber & Infrastructure Ltd ($BSE:530475)
Tinna Rubber & Infrastructure Ltd is a leading player in the rubber and infrastructure industry. It is an India-based company that manufactures and supplies a wide range of rubber products and services. With a market cap of 3.8B as of 2023, Tinna Rubber & Infrastructure Ltd is one of the most prominent players in the industry. The company has been able to maintain a strong financial position by having an impressive Return on Equity (ROE) of 25.96%. This indicates the company’s ability to generate profits from its investments and its financial health. Tinna Rubber & Infrastructure Ltd has shown a consistent upward trend in its market cap and ROE, which speaks volumes about its financial stability and performance.
– Showa Rubber Co Ltd ($TSE:5103)
Showa Rubber Co Ltd is a Japanese company that produces and sells rubber products, including tires, hoses, and seals. The company has a market cap of 3.49 billion as of 2023, which is indicative of its size and market standing. It has a Return on Equity (ROE) of 2.89%, which suggests that the company is able to generate a reasonable amount of profits from its investments. Showa Rubber Co Ltd continues to be a major player in the rubber product industry.
– Rubfila International Ltd ($BSE:500367)
Rubfila International Ltd is an Indian-based pharmaceutical company that specializes in the development, production, and distribution of generic drugs. The company has a market cap of 4.27B as of 2023 and a Return on Equity (ROE) of 13.7%. This indicates that the company has been able to generate a high rate of return on its equity investments, which suggests that it is a profitable business and a good investment opportunity. The company also has a strong financial position and is well diversified in its portfolio. The company’s market cap and ROE indicate that it is a stable business, with a solid track record of performance.
Summary
Orion SA is an attractive stock to consider for investors, as the company reported a promising second quarter of FY2023. Total revenue decreased by 15.2% compared to the same period last year, but net income increased by 1.3% to USD 30.1 million. This shows the company’s profitability, and its ability to remain competitive in a challenging market. The company also boasts a strong balance sheet with a healthy cash position, making it a solid long-term investment.
Its share price rose after the results were released, signaling investor optimism in its future prospects. All in all, Orion SA looks to be a solid buy for investors seeking a safe and reliable stock.
