Santova Logistics is still not blipping on the radar of too many institutional investors. But if the specialist logistics service provider can keep churning out impressive profit numbers for the full year to end February, there should be one or two big-league investors that start taking notice.Recently released interim results showed a solid bottom line figure of 18c/share, backed by strong top-line growth (buoyed by the recent Tradeway acquisition), improved operating margins of 28.4% (thanks again to Tradeway) and reassuring cash generation (up 16% to R36.2m).Based on past profit performances it seems safe to assume that about 60% of earnings will accrue in the second half, which would result in earnings of at least 38c/share for the period ending February 2017. That puts Santova on a forward earnings multiple of around 9.5 — which is a little dismissive considering that the company has pumped consistently good profits for the past five years.Naturally the international trading en...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.