Board Change • May 20
No independent directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. No experienced directors. 4 highly experienced directors. No independent directors (4 non-independent directors). Non-Executive Director Fahmida Ahmed was the last director to join the board, commencing their role in 2013. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of independent directors. Insufficient board refreshment. Duyuru • Apr 28
aamra networks limited to Report Q3, 2025 Results on Apr 30, 2025 aamra networks limited announced that they will report Q3, 2025 results on Apr 30, 2025 Duyuru • Jan 27
aamra networks limited to Report Q2, 2025 Results on Jan 30, 2025 aamra networks limited announced that they will report Q2, 2025 results on Jan 30, 2025 New Risk • Nov 17
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 25% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (25% accrual ratio). Minor Risks Paying a dividend despite having no free cash flows. Shareholders have been diluted in the past year (50% increase in shares outstanding). Market cap is less than US$100m (৳2.70b market cap, or US$22.5m). Upcoming Dividend • Nov 12
Upcoming dividend of ৳1.00 per share Eligible shareholders must have bought the stock before 19 November 2024. Payment date: 30 January 2025. Payout ratio is a comfortable 27% but the company is not cash flow positive. Trailing yield: 3.5%. Lower than top quartile of Bangladeshi dividend payers (4.5%). Higher than average of industry peers (2.8%). Duyuru • Nov 11
aamra networks limited to Report Q1, 2025 Results on Nov 14, 2024 aamra networks limited announced that they will report Q1, 2025 results on Nov 14, 2024 New Risk • Nov 02
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended March 2024. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Minor Risks Latest financial reports are more than 6 months old (reported March 2024 fiscal period end). Paying a dividend despite having no free cash flows. Shareholders have been diluted in the past year (50% increase in shares outstanding). Market cap is less than US$100m (৳2.77b market cap, or US$23.1m). Duyuru • Oct 30
Aamra Networks Limited Recommends Cash Dividend for the Year Ended June 30, 2024 The Board of Directors of aamra networks limited recommended 10% Cash Dividend for the year ended June 30, 2024. Date of AGM: December 31, 2024. Record Date: November 18, 2024. Duyuru • Oct 21
aamra networks limited to Report Fiscal Year 2024 Results on Oct 28, 2024 aamra networks limited announced that they will report fiscal year 2024 results on Oct 28, 2024 Reported Earnings • Apr 19
Third quarter 2024 earnings released: EPS: ৳1.26 (vs ৳1.01 in 3Q 2023) Third quarter 2024 results: EPS: ৳1.26 (up from ৳1.01 in 3Q 2023). Revenue: ৳302.9m (up 1.1% from 3Q 2023). Net income: ৳78.4m (up 25% from 3Q 2023). Profit margin: 26% (up from 21% in 3Q 2023). The increase in margin was primarily driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 34% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Duyuru • Apr 10
aamra networks limited to Report Q3, 2024 Results on Apr 16, 2024 aamra networks limited announced that they will report Q3, 2024 results on Apr 16, 2024 New Risk • Mar 19
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 50% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Minor Risks Dividend is not well covered by cash flows (dividend per share is over 10x cash flows per share). Shareholders have been diluted in the past year (50% increase in shares outstanding). Market cap is less than US$100m (৳3.61b market cap, or US$32.9m). Valuation Update With 7 Day Price Move • Feb 20
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to ৳48.80, the stock trades at a trailing P/E ratio of 12.9x. Average trailing P/E is 31x in the Telecom industry in Bangladesh. Total returns to shareholders of 48% over the past three years. Reported Earnings • Feb 02
Second quarter 2024 earnings released: EPS: ৳1.14 (vs ৳1.25 in 2Q 2023) Second quarter 2024 results: EPS: ৳1.14 (down from ৳1.25 in 2Q 2023). Revenue: ৳316.9m (up 14% from 2Q 2023). Net income: ৳70.4m (down 9.0% from 2Q 2023). Profit margin: 22% (down from 28% in 2Q 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has only increased by 14% per year, which means it is significantly lagging earnings growth. Duyuru • Jan 25
aamra networks limited to Report Q2, 2024 Results on Jan 30, 2024 aamra networks limited announced that they will report Q2, 2024 results on Jan 30, 2024 Reported Earnings • Dec 04
First quarter 2024 earnings released: EPS: ৳1.24 (vs ৳0.99 in 1Q 2023) First quarter 2024 results: EPS: ৳1.24 (up from ৳0.99 in 1Q 2023). Revenue: ৳368.8m (up 8.8% from 1Q 2023). Net income: ৳76.6m (up 25% from 1Q 2023). Profit margin: 21% (up from 18% in 1Q 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 21% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Sep 06
Upcoming dividend of ৳1.10 per share at 1.8% yield Eligible shareholders must have bought the stock before 13 September 2023. Payment date: 05 November 2023. Payout ratio is a comfortable 13% and this is well supported by cash flows. Trailing yield: 1.8%. Lower than top quartile of Bangladeshi dividend payers (3.4%). In line with average of industry peers (1.8%). New Risk • Aug 26
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 1.8% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 8.9% per year over the past 5 years. Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Market cap is less than US$100m (৳3.85b market cap, or US$35.3m). Duyuru • Aug 24
aamra networks limited, Annual General Meeting, Oct 04, 2023 aamra networks limited, Annual General Meeting, Oct 04, 2023, at 10:00 Bangladesh Standard Time. Duyuru • Aug 23
aamra networks limited Recommends Cash Dividend for the Year Ended June 30, 2023 The Board of Directors of aamra networks limited has recommended 11% cash dividend for the year ended June 30, 2023. Date of AGM: October 04, 2023. Record Date: September 12, 2023. Duyuru • Aug 14
aamra networks limited to Report Fiscal Year 2023 Results on Aug 21, 2023 aamra networks limited announced that they will report fiscal year 2023 results on Aug 21, 2023 Valuation Update With 7 Day Price Move • Jun 14
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to ৳64.40, the stock trades at a trailing P/E ratio of 17x. Average trailing P/E is 26x in the Telecom industry in Bangladesh. Total returns to shareholders of 124% over the past three years. Valuation Update With 7 Day Price Move • Apr 06
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to ৳73.00, the stock trades at a trailing P/E ratio of 23.2x. Average trailing P/E is 25x in the Telecom industry in Bangladesh. Total returns to shareholders of 154% over the past three years. Valuation Update With 7 Day Price Move • Mar 05
Investor sentiment improves as stock rises 20% After last week's 20% share price gain to ৳65.60, the stock trades at a trailing P/E ratio of 20.9x. Average trailing P/E is 24x in the Telecom industry in Bangladesh. Total returns to shareholders of 103% over the past three years. Reported Earnings • Feb 08
Second quarter 2023 earnings released: EPS: ৳1.25 (vs ৳0.39 in 2Q 2022) Second quarter 2023 results: EPS: ৳1.25 (up from ৳0.39 in 2Q 2022). Revenue: ৳276.7m (up 6.1% from 2Q 2022). Net income: ৳77.3m (up 217% from 2Q 2022). Profit margin: 28% (up from 9.3% in 2Q 2022). The increase in margin was primarily driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has increased by 26% per year, which means it is well ahead of earnings. Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 4 non-independent directors. Independent Director A.K.M. Alam was the last independent director to join the board, commencing their role in 2022. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Valuation Update With 7 Day Price Move • Nov 02
Investor sentiment improved over the past week After last week's 19% share price gain to ৳45.70, the stock trades at a trailing P/E ratio of 27.4x. Average trailing P/E is 28x in the Telecom industry in Bangladesh. Total returns to shareholders of 25% over the past three years. Duyuru • Oct 27
aamra networks limited Recommends Cash Dividend for the Year Ended June 30, 2022 The Board of Directors of aamra networks limited has recommended 5% cash and 5% stock dividend for the year ended June 30, 2022. Date of AGM: December 29, 2022. Valuation Update With 7 Day Price Move • Jul 04
Investor sentiment improved over the past week After last week's 17% share price gain to ৳42.50, the stock trades at a trailing P/E ratio of 25.5x. Average trailing P/E is 25x in the Telecom industry in Bangladesh. Total loss to shareholders of 9.9% over the past three years. Board Change • Apr 27
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 1 experienced director. 4 highly experienced directors. 1 independent director (4 non-independent directors). Independent Director Mahbub Rahman was the last independent director to join the board, commencing their role in 2016. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Valuation Update With 7 Day Price Move • Mar 13
Investor sentiment improved over the past week After last week's 16% share price gain to ৳46.50, the stock trades at a trailing P/E ratio of 29.3x. Average trailing P/E is 27x in the Telecom industry in Bangladesh. Total loss to shareholders of 2.5% over the past three years. Reported Earnings • Feb 05
Second quarter 2022 earnings: Revenues and EPS in line with analyst expectations Second quarter 2022 results: EPS: ৳0.39 (down from ৳0.43 in 2Q 2021). Revenue: ৳260.9m (up 5.4% from 2Q 2021). Net income: ৳24.4m (down 7.6% from 2Q 2021). Profit margin: 9.3% (down from 11% in 2Q 2021). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Over the last 3 years on average, earnings per share has fallen by 21% per year but the company’s share price has only fallen by 7% per year, which means it has not declined as severely as earnings. Valuation Update With 7 Day Price Move • Dec 06
Investor sentiment improved over the past week After last week's 22% share price gain to ৳52.80, the stock trades at a trailing P/E ratio of 31.1x. Average trailing P/E is 28x in the Telecom industry in Bangladesh. Total returns to shareholders of 10% over the past three years. Reported Earnings • Nov 28
First quarter 2022 earnings: Revenues and EPS in line with analyst expectations First quarter 2022 results: EPS: ৳0.46 (down from ৳0.71 in 1Q 2021). Revenue: ৳248.8m (down 13% from 1Q 2021). Net income: ৳28.5m (down 35% from 1Q 2021). Profit margin: 12% (down from 15% in 1Q 2021). The decrease in margin was driven by lower revenue. Revenue was in line with analyst estimates. Over the last 3 years on average, earnings per share has fallen by 17% per year but the company’s share price has only fallen by 6% per year, which means it has not declined as severely as earnings. Reported Earnings • Feb 10
Second quarter 2021 earnings released: EPS ৳0.47 (vs ৳0.83 in 2Q 2020) The company reported a poor second quarter result with weaker earnings and profit margins, although revenues were flat. Second quarter 2021 results: Revenue: ৳247.5m (flat on 2Q 2020). Net income: ৳26.4m (down 44% from 2Q 2020). Profit margin: 11% (down from 19% in 2Q 2020). Over the last 3 years on average, earnings per share has fallen by 15% per year but the company’s share price has fallen by 24% per year, which means it is performing significantly worse than earnings. Reported Earnings • Dec 04
First quarter 2020 earnings released: EPS ৳0.86 The company reported a poor first quarter result with weaker earnings and revenues, although profit margins were flat. First quarter 2020 results: Revenue: ৳250.9m (down 16% from 1Q 2019). Net income: ৳48.3m (down 14% from 1Q 2019). Profit margin: 19% (in line with 1Q 2019). Valuation Update With 7 Day Price Move • Dec 02
Market bids up stock over the past week After last week's 17% share price gain to ৳46.20, the stock is trading at a trailing P/E ratio of 12.8x, up from the previous P/E ratio of 10.9x. This compares to an average P/E of 27x in the Telecom industry in Bangladesh. Total return to shareholders over the past three years is a loss of 42%. Is New 90 Day High Low • Nov 24
New 90-day low: ৳36.50 The company is down 6.0% from its price of ৳38.80 on 26 August 2020. The Bangladeshi market is up 1.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Telecom industry, which is flat over the same period. Duyuru • Oct 17
aamra networks limited to Report Fiscal Year 2020 Results on Oct 27, 2020 aamra networks limited announced that they will report fiscal year 2020 results on Oct 27, 2020 Duyuru • Jun 21
aamra networks limited to Report Q3, 2020 Results on Jun 18, 2020 aamra networks limited announced that they will report Q3, 2020 results on Jun 18, 2020