- China Aviation Oil (CAO, SGX:G92)’s 1HFY24 results came in line with expectations with overall revenue and net profit coming in at 43%/58% of our forecast. Both CAO’s top-and-bottom lines benefited from the resurgence in global air travel demand. Revenue rose 20.0% y-o-y to US$7.5 bln from an increase in oil prices and business volume.
- - Read this at SGinvestors.io -
- Contributions from 33%-owned SPIA were stronger than expected at US$22.4 mil (+154.9% y-o-y) as the volume of international flights continues to trend up.
- Overall, CAO's net profit for 1HFY24 came in at US$42.4 mil, an increase of 114.8% y-o-y.
Strong recovery in jet fuel supply and trading volume.
- - Read this at SGinvestors.io -
- China has introduced several measures in January to facilitate the ease of entry for foreign travellers. These include expanded visa-free policies, simplified procedures and more convenient mobile payment methods for foreigners in China.
- As pointed out by Mr Lin Yi, Chief Executive Officer of CAO: “The resurgence in global air travel demand particularly in China will continue to bolster the Group’s core jet fuel business and augurs well for the Group business outlook.”
Faster-than-expected international air traffic recovery.
- Read more at SGinvestors.io.
Chan En Jie Lim & Tan Securities Research | https://www.limtan.com.sg/ 2024-08-21
Previous report by LIM:
2024-03-22 China Aviation Oil - Air Travel Rebound.
Price targets by 2 other brokers at China Aviation Oil Target Prices.
Listing of research reports at China Aviation Oil Analyst Reports.
Relevant links:
China Aviation Oil Share Price History,
China Aviation Oil Announcements,
China Aviation Oil Dividends & Corporate Actions,
China Aviation Oil News Articles
