Author Archives: IJGResearch

FNB Namibia today released a trading statement in which the company gave guidance as to what we can expect from the FY14 financial year. Results are expected to be released on SENS on 4 September 2014 and in the press on 5 September 2014. Guidance is as follows:

                                                               FNB Guidance              IJG Forecast

• Profit after tax                       +25% to 30%               22.6%
• Basic and Headline EPS       +25% to 30%               23.3%

Our forecast for HEPS is 1.7ppt below the lower end of the guidance range, thus implying a slight beat and a positive surprise by FNB. The 25% to 30% range suggests HEPS of between 289cps and 300cps relative to IJG’s projected HEPS of 285cps. The range is also a positive surprise when compared to Bloomberg Consensus forecast that is projecting HEPS of 278cps.

At first glance we are optimistic about the guidance and continue to recommend a BUY on the stock.