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Total Energy Services reports 145% EPS growth and insider confidence

EditorHari Govind
Published 2023-11-22, 08:20 a/m
© Reuters
TOT
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Total Energy Services (TSE:TOT) has reported a significant increase in its financial performance, with earnings per share (EPS) jumping from CA$0.63 to CA$1.54 over the past year, marking an impressive 145% growth. This surge in EPS is accompanied by an expansion in the company's EBIT margins by 4.1 percentage points, now sitting at 8.9%. These figures not only highlight Total Energy Services' operational efficiency but also point to a robust increase in revenue, suggesting a healthy business trajectory.

Adding to the positive financial news, the pattern of insider trading within the company suggests strong confidence from its management team. Insiders have collectively purchased CA$795,000 worth of company shares while selling only CA$257,000 during the same period. This activity indicates that those with intimate knowledge of the company's workings foresee a bright future ahead.

President Daniel Halyk has made a notable personal investment, buying CA$153,000 worth of shares at CA$8.37 each. This move reinforces his commitment to the company's success and is reflective of insider ownership that now stands at an impressive CA$26 million or 7.9% of Total Energy Services' outstanding shares.

The CEO's compensation package is another point of interest, signaling strong corporate governance and alignment with shareholder interests. CEO Dan Halyk received a modest CA$730,000 for the year ending December 2022. This level of compensation is considered modest compared to industry standards, further demonstrating the leadership's vested interest in the company's prosperity and prudent management practices.

In summary, Total Energy Services has delivered a robust financial performance with considerable growth in both EPS and EBIT margins. The confidence displayed by insider trading and sensible executive compensation packages suggest that Total Energy Services is on a promising path forward, with management deeply invested in its continued success.

InvestingPro Insights

Total Energy Services' recent financial upswing, as reflected in the substantial growth of earnings per share, is echoed in the InvestingPro Tips, which highlight the company's ability to maintain dividend payments due to strong earnings. Furthermore, the company's high shareholder yield is a testament to its commitment to returning value to its investors. This aligns with the sentiment of insider trading patterns, suggesting a bullish outlook from those at the helm.

InvestingPro Data sheds light on the company's market position, with a market capitalization of $47.41 million indicating a smaller, yet potentially agile player in the industry. The P/E ratio stands at a high 34.33, based on the last twelve months as of Q4 2023, which could be indicative of investor confidence in the company's future growth, despite recent revenue declines. Additionally, a notable dividend yield of 11.54% as of the latest data underscores the company's attractive income-generating potential for shareholders.

For those looking to delve deeper into Total Energy Services' prospects, a subscription to InvestingPro offers a comprehensive set of additional tips, currently available at a special Black Friday discount of up to 55%. With 9 InvestingPro Tips listed, including insights on the company's profitability and stock price volatility, investors can gain a more nuanced understanding of Total Energy Services' financial health and future outlook.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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