Ulaanbaatar /MONTSAME/ “Tavantolgoi” JSC released Q2 2017 report Mongolian Stock Exchange yesterday, on August 9. According to the report, sales revenue of “Tavantolgoi” reached MNT 255 billion in the first half of this year, while net profit was at MNT 57.2 billion at the end of 2nd quarter.
The company had MNT 54 billion net profit in 2016, which is now MNT 57.2 billion in the first-half only. After analyzing the report, economists are forecasting bullish movement in their stock price, recommending the traders to buy their stock. For instance, “Tavantolgoi” stock price jumped 15 percent by 11AM today on August 10. Within a year, the company’s stock price multiplied by 4.7 times.
The increase in profit is directly connected to the coal price surge in the global market since the second half of 2016. The company extracted 4 million tons of coal in 2016 and exported 98 percent of them, earning MNT 54 billion net profit.
Due to the exchange rates of currency, “Tavantolgoi” JSC faced heavy loss of MNT 6.6 billion in the first half of this year. However, the overall report shows positive performance.