What are the expectations of the results of this company? Will they still be able to give a good dividend yield this year?

Have a good feel about this one. It is one of my anchor stocks.
Last H1 they had a 400M loss, but they sent out a cautionary statement in H2 saying that would be much better. Question is, is much better enough to wipe out H1 losses, considering that PAT for 2008 was about 400M?
They expanded exponentially after the Kobil merger so sales should be good, also consider that they have the highest retail prices in the market, and they get more than their fair share of KPLC fuel for generator contracts.
The KPC award should show up in this years accounts, unless they decided that the chances of winning in 2009 were so good they factored it in their 2009 accounts.
Their paid up capital is only 75M, which for a company that generates nearly 100B in annual sales is tiny. They are also sitting on 5B equity reserves.
I really don't expect a big dividend, I expect a 1:1 bonus.
Stock up, I don't expect disappointments on this one. But then again one should have stocked up during the 55-60 range.

They are interested in Shell, which is on the block. I dont know how they will work this one out given the 25% cap in retail business. Their current share of the market equals or exceeds this limit.

@horton, mobile.nation.co.ke/business

Nice

@guru267

Morning sir. Was the 4.7 billion awarded to Kenol included in their current financial report?

there was an appeal for the KPC which was a non-starter(ie its in KK's favour) according to people familiar with the matter, however, they didnt announce the outcome yesterday....quite interesting!!!


They have Shareholder Equity of 11B, which is huge!! and they havent announced the KPC award

SAles were down because fuel prices were much lower

ie 2008 fuel was sitting pretty at $110+
ie 2009 it was between $30-80

however volumes were UP!!

I disagree my friend...price hike boosts revenues...not necessarily profits hence shareholder values..any potential increase in share price will thus be more a matter of misinformation..ama "malinformation"(not enough info!!) Probable increas in profits is more likely if price hike is accompanied by increased demand,market share growth and reduced costs.

Let me cut on theories..

Fact
2008; Kenol revenues (per share) kshs914.01!!!..i need to repeat that.. 914.01!
Earnings per share..kshs 8.37 ??? a margin of less than 1%

For every sh 1 in revenue..final profit to share holder was less than 1 CENT!!!!!


Total Kenya revenues (per share) = kshs313.07
EPS... = kshs 4.02 margin of about 1%

2009; Kenol revenues kshs 656.99
EPS kshs8.80..margin of 1.3%

Total Revenues (per share...173,013,000) Kshs 238.77
EPS (on 173,013,000) = kshs2.79
margin of 1.16

this price hike is nothing to write home about... we've seen more severe ones in 2008-09 than these and they did not amount to much for shareholders..

only speculators and guys trading on behavioral patterns of retail investors should be excited.. after all.. how many guys buying today know how much kenol/total revenues translate into shareholder value..?

there is a thread here about fundamentals..differentiating hopes from what actually is on ground... question on this one is whether increase in pump prices will translate into shareholder wealth.. i do not think so... because similar hikes in previous years did no such thing. how much of that shs 2-5 at the pump will come into my pocket??

please note... rise in share price is mostly behavioral..on investor perception...not fundamental confirmation..