Our opinion on the current state of SNV

Santova (SNV) is an international logistics company with 19 offices in 7 countries. The company designs, implements, coordinates, controls and monitors international supply chain activities. Through a virtual client-centric information system the company facilitates inventory management to provide far more than simple tracking and tracing services. The company has offices in the East in Thailand, Vietnam and Malaysia and in Europe in Germany, the Netherlands and the UK and in major cities in South Africa. It also has offices in Mauritius and Sydney, Australia. In its results for the six months to 31st August 2023 the company reported income up 3,3% and headline earnings per share (HEPS) down 22,9%. The company's tangible net asset value (NAV) increased by 30,8% to 546,5c per share. The company spoke of a, "...sharp fall in freight rates throughout the past six months, as congestion has eased and global economic growth has slowed. The Drewry World Container Index (USD per 40-foot container), being a common indicator for shipping rates, reported a drop from a high of approximately USD9,700 in January 2022, to a low of USD1,400 in September 2023, rendering current rates now even lower than the 2019 pre-pandemic rates". Technically, the share has been in a steady upward trend since May 2020 which now appears to be topping out. It is trading back down at 740c per share after a surge to 980c between May and August 2023. The share is fairly well-traded making it practical for private investors and it should benefit from any improvement in the SA and UK economies.