5% dividend yield is expected from ELANA Agrocredit this year


Agricultural land leasing company Elana Agrocredit (0EA BU) posted 31.3% y/y increase in net profit to BGN 2.4m, entailing DPS of BGN 0.058 for 2018, according to Company’s latest Q4’18 financials. The DPS exceeds the expectations of ELANA Trading analysts by 9.4%.

In 2018, total revenue doubled to BGN 8.8m, as interest income added 20% y/y to BGN 4.4m on growing lending, while other income arrived at BGN 4m, mainly on BGN 3.3m income from sale of land.

OPEX grew much slower than income by 24% y/y to BGN 1.5m, while book value of land sold amounted to BGN 3.3m. As a result, net income came to BGN 2.4m, up 31.3% y/y.

Based on Elana Agrocredit’s 90% dividend payout, the 2018 DPS is expected to be BGN 0.058, yielding 5% at current quotes, if upcoming audit does not affect the final result.

Paying average BGN 0.07 per share, the Company is in top 3 in terms of dividend yield, delivering 7.7% dividend yield in 2017, and 4.7% on average for the past 5 years.

More from the equity report on ELANA Agrocredit as of November 2018