Was Anton Oilfield Services Group’s (HKG:3337) Earnings Growth Better Than The Industry’s?

Examining how Anton Oilfield Services Group (SEHK:3337) is performing as a company requires looking at more than just a years’ earnings. Below, I will run you through a simple sense check to build perspective on how Anton Oilfield Services Group is doing by comparing its most recent earnings with its historical trend, in addition to the performance of its energy services industry peers. View our latest analysis for Anton Oilfield Services Group

Commentary On 3337’s Past Performance

I look at data from the most recent 12 months, which annualizes the most recent half-year data, or in some cases, the latest annual report is already the most recent financial year data. This method allows me to analyze different stocks on a similar basis, using new information. For Anton Oilfield Services Group, its most recent trailing-twelve-month earnings is -CN¥83.2M, which, in comparison to the previous year’s level, has become less negative. Given that these figures may be relatively nearsighted, I’ve calculated an annualized five-year value for 3337’s net income, which stands at CN¥42.8M.

SEHK:3337 Income Statement Jan 22nd 18
SEHK:3337 Income Statement Jan 22nd 18

Additionally, we can analyze Anton Oilfield Services Group’s loss by looking at what’s going on in the industry as well as within the company. First, I want to briefly look into the line items. Revenue growth over the past few years has increased by a mere 3.53%. Since top-line growth is also pretty stale the key to profitability going forward would be controlling costs. Looking at growth from a sector-level, the HK energy services industry has been growing, albeit, at a muted single-digit rate of 3.17% in the prior year, . This is a turnaround from a volatile drop of -17.60% in the last few years. This means while Anton Oilfield Services Group is currently running a loss, any recent headwind the industry is experiencing, Anton Oilfield Services Group is relatively better-cushioned than its peers.

What does this mean?

While past data is useful, it doesn’t tell the whole story. Companies that incur net loss is always hard to envisage what will occur going forward, and when. The most insightful step is to assess company-specific issues Anton Oilfield Services Group may be facing and whether management guidance has regularly been met in the past. I recommend you continue to research Anton Oilfield Services Group to get a more holistic view of the stock by looking at:

1. Future Outlook: What are well-informed industry analysts predicting for 3337’s future growth? Take a look at our free research report of analyst consensus for 3337’s outlook.