Delfi Full Year 2023 Earnings: Misses Expectations

Delfi (SGX:P34) Full Year 2023 Results

Key Financial Results

• Revenue: US$538.2m (up 13% from FY 2022).
• Net income: US$46.3m (up 5.4% from FY 2022).
• Profit margin: 8.6% (down from 9.2% in FY 2022). The decrease in margin was driven by higher expenses.
• EPS: US$0.076 (up from US$0.072 in FY 2022).

All figures shown in the chart above are for the trailing 12 month (TTM) period

Delfi Revenues and Earnings Miss Expectations

Revenue missed analyst estimates by 3.0%. Earnings per share (EPS) also missed analyst estimates by 9.9%.

The primary driver behind last 12 months revenue was the Indonesia segment contributing a total revenue of US$370.4m (69% of total revenue). Notably, cost of sales worth US$384.9m amounted to 72% of total revenue thereby underscoring the impact on earnings. The largest operating expense was Sales & Marketing costs, amounting to US$63.4m (59% of total expenses). Explore how P34's revenue and expenses shape its earnings.

Looking ahead, revenue is forecast to grow 7.5% p.a. on average during the next 3 years, compared to a 2.5% growth forecast for the Food industry in Singapore.

Performance of the Singaporean Food industry.

The company's shares are up 3.3% from a week ago.

Risk Analysis

You should always think about risks. Case in point, we've spotted 2 warning signs for Delfi you should be aware of, and 1 of them makes us a bit uncomfortable.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.