Oct 2006 Financial News

MOV Releases Half Year Results

Oct 09, 2006

For the half year ended 30th June, 2006 Moraven Holdings Limited (MOV) reported an Earnings Per Share of 33 cents, which represent an increase of 22 cents or 200 per cent on the comparable period in 2005.

Operating Revenue for the half year amounted to $21.14 million an increase of 22.84 per cent or $3.93 million on the half year ended 30th June, 2005. The Chairman has attributed the increase in Revenue to high world oil prices, with the Mora Oil Ventures subsidiary producing 52,459 barrels over the six month period compared to 52,098 barrels for the same period in 2005. While the increase in Revenue is substantial, the Company’s results were significantly hampered by litigation costs. Thus, the full benefit could not be realized in the bottom line.

Operating Expenses were up by 8.16 per cent or $1.21 million to end the period at $16.03 million, while Depreciation, Depletion and Amortization Expenses were down by 4.81 per cent to $0.85 million. Thus, Operating Profit for the period amounted to $4.26 million up $2.76million or 184.37 per cent.

Other Income for the period under review stood at $0.58 million up by a marginal 0.72 percent, while Finance Costs increased by 309.02 per cent or $0.52 million to end at $0.69 million.

The Effective Tax Rate for the half year period stood at 24.89 per cent compared to 46.59 per cent in the comparable period ended 30th June, 2005. As such, Net Profit after Taxation ended the period at $2.72 million compared to $0.91 million in the comparable period in 2005.

The shares of MOV are currently trading at $3.00 on the Second Tier Market.


Gia Singh
WISE Equity Research Team