During Tuesday’s trading session the share price of distributor of spare parts for cars went up even by 4 percent with high stock-exchange turnover. Increased demand for shares was the effect of better than expected results for third quarter. Investors appreciated the fact that the Group kept the run of good luck and increased revenue as well as profits.
The result is mainly thanks to increasing sales in foreign daughters which are operating on several foreign markets of the region. Their sales revenue in the period of the first three quarters of this year went up by 35.5% in comparison to the previous year, whereas domestic sales went up only by 21%. Sale on domestic market is still around 60 percent of total revenue of the Group, but this share is constantly shrinking.
According to analysts, taking into consideration growing distribution chain, the Group has quite a big chance to keep the positive trend in the following quarters. We anticipate that next year shall bring further improvement of results. On the turn of 1st and 2nd quarter 2017 the Company shall open the new logistics centre in Zakroczym, which should substantially improve its operational efficiency - said Krzysztof Kuper, analyst from Ipopema Securities. At the same time he pointed out a slowdown of the rate of sales growth, which he, however, considers to be just temporary. - A slow-down of income growth in the last months had been announced several times by the Board of the Company - that is why we do not treat it as a negative surprise, moreover the company keeps very good gross profitability of sales. In view of the fact that sale chain as at the end of September grew by 21 percent year on year, we are expecting the growth rate to remain on the same level in the years 2017-2018. At that time one should notice the effect of opening up new branches, which after the initial period, so called starting phase, shall reach their optimal efficiency - the expert added.
Within the first three quarters of this year Inter Cars realized over PLN 181.5m net profit from sales revenue of PLN 4.35bn. In comparable period of the year before the net profit generated from PLN 3.44bn sales revenue amounted to PLN 148.3m.
Forecasts of brokerage houses assume that in the whole year the Group may reach a record breaking net profit of PLN 224.2m with sales revenue of PLN 6bn, in comparison to PLN 157.4m of pure profit and PLN 4.8bn of sales revenue a year before.
Inter Cars share price are above the indexes this year. From the start of the year their value went up by 13 percent, whilst WIG index gained almost 4 percent.
source: Parkiet
30.11.2016