BOC Aviation Full Year 2023 Earnings: Revenues Beat Expectations, EPS In Line

BOC Aviation (HKG:2588) Full Year 2023 Results

Key Financial Results

• Revenue: US$2.07b (up 7.5% from FY 2022).
• Net income: US$763.9m (up by US$743.8m from FY 2022).
• Profit margin: 37% (up from 1.0% in FY 2022). The increase in margin was primarily driven by lower expenses.
• EPS: US$1.10 (up from US$0.029 in FY 2022).

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

BOC Aviation Revenues Beat Expectations

Revenue exceeded analyst estimates by 6.7%. Earnings per share (EPS) was mostly in line with analyst estimates.

The primary driver behind last 12 months revenue was the Chinese Mainland, Hong Kong SAR, Macau SAR and Taiwan segment contributing a total revenue of US$486.0m (24% of total revenue). The largest operating expense was Depreciation & Amortisation (D&A) costs, amounting to US$795.4m (61% of total expenses). Explore how 2588's revenue and expenses shape its earnings.

Looking ahead, revenue is forecast to grow 9.7% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Trade Distributors industry in Hong Kong.

Performance of the Hong Kong Trade Distributors industry.

The company's shares are up 7.7% from a week ago.

Risk Analysis

We should say that we've discovered 2 warning signs for BOC Aviation (1 is potentially serious!) that you should be aware of before investing here.

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