Holding 50 IRR bn capital at the FY2013, Farabi Petrochemical Company could recognize 5,769 IRR EPS which turned into 824 IRR loss per share in the FY2014 with the same capital. In this year, Farabi’s net sales decreased by 23% and even the 8% reduction of the final costs did not do any good and ended in the recognition of 64.3 IRR bn gross loss of the company. Furthermore, the company’s costs increased by 28% and the operating income ratio fell by 69% and eventually, the company experienced a 41.7 IRR bn loss in the FY2014.
Fanavaran Petrochemical Company faced a 32% fall in its return at the end of FY2014. With 950 IRR bn capital, this company recognized 4660 IRR EPS while it had recognized 6859 IRR EPS with the same capital last year. Although its net sales ratio grew by 6% in the FY2014 reaching 10.640 IRR bn, its 143% final cost growth resulted in the 39% fall of its gross profit in that year. Besides, the company’s sum of expenses was 1,246 IRR bn which was 42% less than the last year; however, its operating profit reached 3,364 IRR bn due to a 38% increase and its financial costs also significantly rose by 395% in comparison with the last year. Therefore, this share is still in its correction phase.
TSE at a Glance
IFB at a Glance
Trading Halts & Delays
Investors are still awaiting the June 30th deadline. Therefore, more emotional behaviors are expected to be seen in this week. However, experts believe that due to a 50-50 chance of success or extension of the negotiations, stakeholders are advised not to keep any credit shares or to keep shares which are free from the negotiation results of which petrochemical or metal sector shares can be mentioned. The reason is that these shares will not experience a great loss if the negotiations do not acquire the expected positive results and they will benefit from a significant value increase in case of reaching a positive deal.
DISCLAIMER: This report has been prepared and issued by Agah Brokerage Firm on the basis of publicly available information, internally developed data and other sources believed to be reliable. The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. Agah does not assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions. Any expressions of opinions are subject to change without notice.
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