Pacific Basin Shipping Full Year 2023 Earnings: EPS Misses Expectations

Pacific Basin Shipping (HKG:2343) Full Year 2023 Results

Key Financial Results

• Revenue: US$2.30b (down 30% from FY 2022).
• Net income: US$109.4m (down 84% from FY 2022).
• Profit margin: 4.8% (down from 21% in FY 2022). The decrease in margin was driven by lower revenue.
• EPS: US$0.021 (down from US$0.14 in FY 2022).

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

Pacific Basin Shipping EPS Misses Expectations

Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 23%.

In the last 12 months, the only revenue segment was Provision of Dry Bulk Shipping Services contributing US$2.30b. Notably, cost of sales worth US$2.17b amounted to 94% of total revenue thereby underscoring the impact on earnings. The most substantial expense, totaling US$14.8m were related to Non-Operating costs. This indicates that a significant portion of the company's costs is related to non-core activities. Explore how 2343's revenue and expenses shape its earnings.

Looking ahead, revenue is forecast to grow 3.7% p.a. on average during the next 3 years, compared to a 5.9% decline forecast for the Shipping industry in Hong Kong.

Performance of the Hong Kong Shipping industry.

The company's shares are up 2.1% from a week ago.

Risk Analysis

We should say that we've discovered 2 warning signs for Pacific Basin Shipping that you should be aware of before investing here.

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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.