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BFL

BSP Financial Group ASX:BFL Stock Report

Last Price

AU$5.00

Market Cap

AU$2.3b

7D

2.0%

1Y

-2.0%

Updated

30 Sep, 2022

Data

Company Financials
BFL fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance5/6
Financial Health5/6
Dividends3/6

BFL Stock Overview

BSP Financial Group Limited provides commercial banking and finance services to individual and corporate customers in Papua New Guinea, the Solomon Islands, the Fiji, the Cook Islands, Samoa, Tonga, Vanuatu, Cambodia, and Laos.

BSP Financial Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for BSP Financial Group
Historical stock prices
Current Share PriceAU$5.00
52 Week HighAU$6.00
52 Week LowAU$4.00
Beta0
1 Month Change2.04%
3 Month Change2.46%
1 Year Change-1.96%
3 Year Changen/a
5 Year Changen/a
Change since IPO-3.85%

Recent News & Updates

Shareholder Returns

BFLAU BanksAU Market
7D2.0%-0.6%-0.5%
1Y-2.0%-8.0%-9.7%

Return vs Industry: BFL exceeded the Australian Banks industry which returned -8% over the past year.

Return vs Market: BFL exceeded the Australian Market which returned -9.7% over the past year.

Price Volatility

Is BFL's price volatile compared to industry and market?
BFL volatility
BFL Average Weekly Movement4.0%
Banks Industry Average Movement3.4%
Market Average Movement9.5%
10% most volatile stocks in AU Market16.7%
10% least volatile stocks in AU Market4.2%

Stable Share Price: BFL is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: BFL's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1957n/aRobin Fleminghttps://www.bsp.com.pg

BSP Financial Group Limited provides commercial banking and finance services to individual and corporate customers in Papua New Guinea, the Solomon Islands, the Fiji, the Cook Islands, Samoa, Tonga, Vanuatu, Cambodia, and Laos. The company’s products and services include transaction, saving, foreign currency, and term deposits; business cheque and solicitor’s trust accounts; personal, home, personal asset, bridging, tailored business, commercial and residential property investment, construction development, and seasonal finance loans; savings and debit cards; SME business loans; overdraft, asset financing, insurance premium funding, prioritized loan processing, safety deposit box, and electronic banking services; and bill pay, payroll, online business banking, and merchant services. It also offers FX payment, foreign currency notes, and tax clearance procedure services; documentary collection, trade refinance, and letters of credit; foreign deposits, accounts, and currency loans; and stock broking, fund management, and life business services.

BSP Financial Group Fundamentals Summary

How do BSP Financial Group's earnings and revenue compare to its market cap?
BFL fundamental statistics
Market CapAU$2.34b
Earnings (TTM)AU$447.95m
Revenue (TTM)AU$1.16b

5.2x

P/E Ratio

1.5x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
BFL income statement (TTM)
RevenueK2.64b
Cost of RevenueK0
Gross ProfitK2.64b
Other ExpensesK1.62b
EarningsK1.02b

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)2.19
Gross Margin100.00%
Net Profit Margin38.71%
Debt/Equity Ratio7.6%

How did BFL perform over the long term?

See historical performance and comparison

Dividends

14.7%

Current Dividend Yield

77%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is BFL undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for BFL?

Other financial metrics that can be useful for relative valuation.

BFL key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenuen/a
Enterprise Value/EBITDAn/a
PEG Ration/a

Price to Earnings Ratio vs Peers

How does BFL's PE Ratio compare to its peers?

BFL PE Ratio vs Peers
The above table shows the PE ratio for BFL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average11.2x
KSL Kina Securities
7.3x22.2%AU$240.1m
ANZ Australia and New Zealand Banking Group
10.1x4.0%AU$69.8b
WBC Westpac Banking
13.6x12.1%AU$73.8b
NAB National Australia Bank
13.3x4.4%AU$92.1b
BFL BSP Financial Group
5.2xn/aAU$2.3b

Price-To-Earnings vs Peers: BFL is good value based on its Price-To-Earnings Ratio (5.2x) compared to the peer average (11.2x).


Price to Earnings Ratio vs Industry

How does BFL's PE Ratio compare vs other companies in the Global Banks Industry?

Price-To-Earnings vs Industry: BFL is good value based on its Price-To-Earnings Ratio (5.2x) compared to the Global Banks industry average (8.8x)


Price to Earnings Ratio vs Fair Ratio

What is BFL's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

BFL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio5.2x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate BFL's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of BFL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: BFL (A$5) is trading below our estimate of fair value (A$16.11)

Significantly Below Fair Value: BFL is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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Future Growth

How is BSP Financial Group forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


5.4%

Forecasted Banks industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as BSP Financial Group has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Discover growth companies

  • Examine whether BSP Financial Group is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
  • BSP Financial Group competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has BSP Financial Group performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


6.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: BFL has high quality earnings.

Growing Profit Margin: BFL's current net profit margins (38.7%) are lower than last year (41.8%).


Past Earnings Growth Analysis

Earnings Trend: BFL's earnings have grown by 6% per year over the past 5 years.

Accelerating Growth: BFL's earnings growth over the past year (17%) exceeds its 5-year average (6% per year).

Earnings vs Industry: BFL earnings growth over the past year (17%) exceeded the Banks industry -6.9%.


Return on Equity

High ROE: BFL's Return on Equity (29.1%) is considered high.


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Financial Health

How is BSP Financial Group's financial position? (This company is analysed differently as a bank or financial institution)

Financial Health Score

5/6

Financial Health Score 5/6

  • Asset Level

  • Allowance for Bad Loans

  • Low Risk Liabilities

  • Loan Level

  • Low Risk Deposits

  • Level of Bad Loans

Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: BFL's Assets to Equity ratio (9x) is low.

Allowance for Bad Loans: BFL has a sufficient allowance for bad loans (131%).

Low Risk Liabilities: 89% of BFL's liabilities are made up of primarily low risk sources of funding.

Loan Level: BFL has an appropriate level of Loans to Assets ratio (44%).

Low Risk Deposits: BFL's Loans to Deposits ratio (55%) is appropriate.

Level of Bad Loans: BFL has a high level of bad loans (3.5%).


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Dividend

What is BSP Financial Group current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


14.73%

Current Dividend Yield

Dividend Yield vs Market

BSP Financial Group Dividend Yield vs Market
How does BSP Financial Group dividend yield compare to the market?
SegmentDividend Yield
Company (BSP Financial Group)14.7%
Market Bottom 25% (AU)2.8%
Market Top 25% (AU)7.2%
Industry Average (Banks)5.1%
Analyst forecast in 3 Years (BSP Financial Group)n/a

Notable Dividend: BFL's dividend (14.73%) is higher than the bottom 25% of dividend payers in the Australian market (2.77%).

High Dividend: BFL's dividend (14.73%) is in the top 25% of dividend payers in the Australian market (7.18%)


Stability and Growth of Payments

Stable Dividend: Too early to tell whether BFL's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if BFL's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Earnings Coverage: At its current payout ratio (76.8%), BFL's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years or that it will be covered by earnings.


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Management

How experienced are the management team and are they aligned to shareholders interests?

2.3yrs

Average management tenure


CEO

Robin Fleming

9.42yrs

Tenure

K8,615,000

Compensation

Mr. Robin Gerard Fleming, MBA, MMGT SAFin, CSM has been the Chief Executive Officer of Bank of South Pacific Ltd BSP Financial Group Limited since April 2013 and serves as its Managing Director since April...


CEO Compensation Analysis

Robin Fleming's Compensation vs BSP Financial Group Earnings
How has Robin Fleming's remuneration changed compared to BSP Financial Group's earnings?
DateTotal Comp.SalaryCompany Earnings
Jun 30 2022n/an/a

K1b

Mar 31 2022n/an/a

K1b

Dec 31 2021K9mK4m

K1b

Sep 30 2021n/an/a

K974m

Jun 30 2021n/an/a

K874m

Mar 31 2021n/an/a

K840m

Dec 31 2020K5mK4m

K806m

Sep 30 2020n/an/a

K822m

Jun 30 2020n/an/a

K837m

Mar 31 2020n/an/a

K864m

Dec 31 2019K7mK4m

K890m

Sep 30 2019n/an/a

K876m

Jun 30 2019n/an/a

K861m

Mar 31 2019n/an/a

K852m

Dec 31 2018K6mK4m

K844m

Compensation vs Market: Robin's total compensation ($USD2.45M) is above average for companies of similar size in the Australian market ($USD1.68M).

Compensation vs Earnings: Robin's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: BFL's management team is considered experienced (2.3 years average tenure).


Board Members

Experienced Board: BFL's board of directors are considered experienced (5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

What is the ownership structure of BFL?
Owner TypeNumber of SharesOwnership Percentage
General Public59,717,06812.8%
Sovereign Wealth Funds84,811,59718.2%
Private Companies87,000,20918.6%
Institutions235,693,68250.4%

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 16 shareholders own 87.22% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
18.15%
Independent Public Business Corporation of PNG
84,811,597PGK424.1m0%100%
11.36%
Nambawan Super Limited
53,060,460PGK265.3m0%100%
9.88%
Petroleum Resources (Kutubu) Limited
46,153,840PGK230.8m0%no data
9.7%
BSP Capital Limited, Asset Management Arm
45,318,417PGK226.6m0%92.2%
8.68%
Fiji National Provident Fund
40,547,063PGK202.7m0%100%
7.77%
Credit Corporation (PNG) Limited, Asset Management Arm
36,294,081PGK181.5m0%100%
6.69%
Motor Vehicles Insurance Limited, Asset Management Arm
31,243,736PGK156.2m0%no data
4.23%
PNG Sustainable Development Program Limited
19,764,387PGK98.8m0%no data
3.28%
Teachers Saving And Loan Society Limited, Asset Management Arm
15,317,366PGK76.6m0%no data
2.67%
Comrade Trustee Services Limited
12,456,052PGK62.3m0%no data
1.8%
International Finance Corporation
8,427,754PGK42.1m0%2.23%
0.75%
Lamin Trust Fund
3,518,132PGK17.6m0%no data
0.64%
Samoa National Provident Fund
2,984,804PGK14.9m0%no data
0.62%
THE Mineral Resource Development Company Limited
2,890,000PGK14.5m0%no data
0.54%
Solomon Islands National Provident Fund Board
2,500,001PGK12.5m0%100%
0.47%
Catholic Diocese of Kundiawa
2,217,798PGK11.1m0%no data

Company Information

BSP Financial Group Limited's employee growth, exchange listings and data sources


Key Information

  • Name: BSP Financial Group Limited
  • Ticker: BFL
  • Exchange: ASX
  • Founded: 1957
  • Industry: Diversified Banks
  • Sector: Banks
  • Implied Market Cap: AU$2.336b
  • Shares outstanding: 467.22m
  • Website: https://www.bsp.com.pg

Number of Employees


Location

  • BSP Financial Group Limited
  • Allotment 6 & 7, Section 34
  • Klinki Street
  • Port Moresby
  • Papua New Guinea


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BFLASX (Australian Securities Exchange)YesOrdinary SharesAUAUDMay 2021

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/30 00:00
End of Day Share Price2022/09/30 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.