HGH - Heartland Group Holdings

[Snow Leopard]

Hoping for 12c EPS, a choice dividend & a forecast of good EPS growth.


Salam Hangat
Paper (Java) Tiger

[winner69]

Bugger - Jeff didn't mention $70m for F18

Playing games with us again is Jeff - leaving that to next Feb / March

[silu]

HEARTLAND POSTS FULL YEAR PROFIT OF $60.8M

14 August 2017

Heartland Bank Limited (Heartland) (NZX: HBL) achieved a net profit after tax
(NPAT) of $60.8m for the full year ended 30 June 2017 (FY2017), an increase
of 12% from the previous financial year ended 30 June 2016 (FY2016). The
increase in profitability was driven primarily by growth in receivables
across all divisions - Household, Business and Rural.

Achievements for the year ended 30 June 2017

o Increase in profitability of 12%
o Strong growth in receivables of 14%
o Return on equity (ROE) of 11.6%
o Launch of multiple digital platforms
o Implementation of new core banking system

[winner69]

Hoping for 12c EPS, a choice dividend & a forecast of good EPS growth.


Salam Hangat
Paper (Java) Tiger

Spot on PT ....they published 12 cents .....on a weighted average number of shares

[winner69]

Result almost as awesome as Jacinda's awesomeness

[Beagle]

Awesome result, very very pleased.
Highlights for me.
Final Dividend 5.5 cps, my expectation was 5 cps.
EPS was 12.33 cps on weighted average number of shares v 11.44 cps last year = 7.8% growth in EPS
Forecast at mid point of $66.5m on current number of issued shares = 13.39 cps next year which suggest growth accelerating on an EPS basis to 8.6%, slightly above my expectation of 7.5% EPS growth for FY18.
Growth in reverse mortgages in Australia to over $500m, growth in receivables of 19% !
My expectation is fully imputed dividend of 10 cps next year and on $1.86 this gives (10 / 186) / 0.72 = 7.5% gross yield.
Revised target price for early 2018 $2.08.

[silu]

Good result. Very pleased to still hold a big chunk for the foreseeable future although happy that I was able to lock in some profit at $1.89 last week.

[BlackPeter]

YAWN - quite boring if the actual data exactly hit predictions and the official outlook is what the analysts in 4-traders predicted a long time ago, isn't it?

But than - in the investment game I tend to like predictability, particularly if it comes with 10+% growth .

I like boring stocks - could we have another helping?

[RTM]

Awesome result, very very pleased.
Highlights for me.
Final Dividend 5.5 cps, my expectation was 5 cps.
EPS was 12.33 cps on weighted average number of shares v 11.44 cps last year = 7.8% growth in EPS
Forecast at mid point of $66.5m on current number of issued shares = 13.39 cps next year which suggest growth accelerating on an EPS basis to 8.6%, slightly above my expectation of 7.5% EPS growth for FY18.
Growth in reverse mortgages in Australia to over $500m, growth in receivables of 19% !
My expectation is fully imputed dividend of 10 cps next year and on $1.86 this gives (10 / 186) / 0.72 = 7.5% gross yield.
Revised target price for early 2018 $2.08.

Roger...is this of any concern ? Any idea what this looks like going back say 5 years ?

"Heartland’s Net Interest Margin (NIM) for FY2017 was 4.46% compared to 4.50% for FY2016. The reduction results primarily from changes in the asset mix."

To my simple way of thinking....this is how they make their (our) money, loaning out our deposits.

[McGinty]

Hi all,

Just been looking through the results and was wondering what advantage there is for us shareholders for a company to use a 'weighted average number of share" vs the total number of share at the reporting date?

On the surface it looks as if the 'weighted average' helps paint a prettier picture of the earnings per share (and EPS growth rate), yet in reality the number of shareholders entitled to a share of the profits is in fact the number of shareholders at report dating.

Any clarity on this will be gratefully appreciated