- SATS (SGX:S58)’s 2QFY24 (Jul to Sep 2023) revenue nearly tripled y-o-y and increased 6.9% q-o-q to S$1.3b, driven by the consolidation of WFS and continued travel recovery.
2QFY24 results beat expectations
- - Read this at SGinvestors.io -
- Share of profit from associates/JV continued to improve, on the back of stronger travel recovery. Consequently, SATS's PATMI returned to profit at S$22.2m in 2QFY24, compared to losses of S$9.9m in 2QFY23 and S$29.9m in 1QFY24.
- No interim dividend was declared, same as last year.
Leveraging on enlarged global networks to drive cargo business
- - Read this at SGinvestors.io -
- According to the International Air Transport Association (IATA), global cargo volume grew for the first time in 19 months in Aug 2023 and continued to grow moderately by 1.9% y-o-y in Sep 2023. Management notes that air cargo volume is showing signs of gradual recovery amid uncertain global economic outlook but is not expecting a sharp near-future recovery.
- SATS managed to secure new commercial wins in 1HFY24 and will continue to leverage its global networks and leading position in the market to win new contracts for its cargo business.
Fair value estimate of S$3.20
- Read more at SGinvestors.io.
Above is the excerpt from report by OCBC Investment Research.
Clients of OCBC Securities may be the first to access the full report in PDF @ https://www.iocbc.com/.
OCBC Research Team OCBC Investment Research | https://www.iocbc.com/ 2023-11-14
Read also OCBC's most recent report:
2024-02-29 SATS - Start Of The Runway.
Price targets by 4 other brokers at SATS Target Prices.
Listing of research reports at SATS Analyst Reports.
Relevant links:
SATS Share Price History,
SATS Announcements,
SATS Dividends & Corporate Actions,
SATS News Articles
