The Car and Truck Fleet and Leasing Management Magazine

Australia's SG Fleet Delivers Record Profit for 2014-15

August 21, 2015

Vehicle fleet management and salary packaging services provider SG Fleet delivered a record 2014-15 result, and in doing so exceeded prospectus forecasts by generating a net profit of Australia $40.5 million (U.S. $29.8 million), 3.3 percent ahead of guidance, according to a report by www.afr.com.

Year-on-year growth in revenue and profit was 9.5 percent and 14.4 percent respectively. Bell Potter analysts said the result highlighted the strength of the group's competitive position, demonstrating above-market share win rates while increasing margins. This is an important factor as competition heats up in the salary packaging industry, according to the report.

Though management has pointed to underlying profit-before-tax growth of about 9 percent in 2015-16, Bell Potter is factoring in earnings per share growth of 13 percent. The broker maintained its buy recommendation and made slight upward adjustments to its forecasts for 2016 and 2017, while increasing its 12-month price target from $2.85 to $3.10, according to the report.

Twitter Facebook Google+

Comments

Please note that comments may be moderated. 
Leave this field empty:
 
 

Up Next

More From The World's Largest Fleet Publisher