Bank Of Georgia Share Discussion Threads

[popit] 15/11/2023 18:04

The RNS said

At the same time, the existing corporate tax rate for banks will be increased from 15% to 20% for 2023 taxable earnings, and dividends issued from 2023 profits and subsequent periods will no longer be taxed (existing dividend tax rate is 5%).

So there used to be a 5% Withholding Tax on the dividend?

And now there is no Withholding Tax on the dividend?

And what about the answers to the other questions?

Is there not a very high risk that the BGEO share price will collapse when all the Russians return home?

[flyfisher] 15/11/2023 14:02

Your question on tax was answered a few months ago on the thread.

[popit] 15/11/2023 13:04

Does anyone know the answers to these questions?

1. Is there a Withholding Tax on the dividends here?

It says on the internet that there is a 5% Withholding Tax for dividends paid by companies in Georgia to non residents

2. These shares have soared since the Ukraine war started and since many Russians have moved to Georgia

So what will happen to the shares when the war ends and all the Russians return home? Is it not possible that BGEO shares will fall a long way or even collapse?

3. The Georgia currency has also been very strong since the Ukraine war started and since many Russians have moved to Georgia

So what will happen to the shares when the war ends and all the Russians return home and the Georgia currency falls? Is it not possible that BGEO shares will fall a long way or even collapse?

[mrscruff] 14/11/2023 11:25

Only thing I can think of is, and is a tenuous link that US has not provided a budget for Israel-Gaza (as well as Ukraine). Meaning the region is more unstable and could spread for the end of the year when they need the money now. I think that was an over-reaction if it was linked. This budget will get resolve due to pressure groups in the US.

[jqb1] 14/11/2023 11:17

Gutted I didn't see the drop, would have bought more. Sit tight all!

[houseofpain1] 14/11/2023 09:45

Not quite sure why the shares have been marked down this morning - volume looks fairly low and note that the shares are c5% off the early lows. All looks good to me across the board. Net profit of GEL357m was above the strong H1 run rate and contribution was spread across the P&L. Capital generation also robust and potential for further buybacks and dividends is meaningful. Brokers putting through further upgrades for this and future years. So all very encouraging. The only thing I can think that might explain the fall (and please note I'm speculating here because who knows!?) is that perhaps the pace of upgrades might finally be slowing? If that is right, it's a long way from a disaster and the valuation, which hasn't really changed in the past couple of years in spite of spectacular earnings growth, remains highly supportive.

[houseofpain1] 14/11/2023 09:40

Not quite sure why the shares have been marked down this morning - volume looks fairly low and note that the shares are c5% off the early lows. All looks good to me across the board. Net profit of GEL357m was above the strong H1 run rate and contribution was spread across the P&L. Capital generation also robust and potential for further buybacks and dividends is meaningful. Brokers putting through further upgrades for this and future years. So all very encouraging. The only thing I can think that might explain the fall (and please note I'm speculating here because who knows!?) is that perhaps the pace of upgrades might finally be slowing? If that is right, it's a long way from a disaster and the valuation, which hasn't really changed in the past couple of years in spite of spectacular earnings growth, remains highly supportive.

[izztre] 14/11/2023 09:30

I don't think so on this occasion. It defo is a risk and sometimes impacts this share. However not sure what is in the results, unless the statement about the EU could cause more friction with Russia?

[daijavu] 14/11/2023 09:26

Is the problem their proximity to Russia?

[izztre] 14/11/2023 08:43

Same, the market was obviously hoping for more!

[ponyten] 14/11/2023 08:39

Why the drop? Thought they were decent results?

[flyfisher] 14/11/2023 07:57

Results look to be ahead of market expectations.

BGEO has reported increasing customer deposits in Q3, whereas local competitor TBCG reported declining customer deposits in Q3.

BGEO seems to be increasing retail market share.

[flyfisher] 08/11/2023 15:27

The other operating subsidiary BNB bank made 9m in Q2.

If that is repeated then BGEO consolidated net income for Q3 should be around 340m gel, plus or minus any exceptionals.

[eggbaconandbubble] 07/11/2023 14:20

I guess all that is good news because BGEO is up about 70p and TBg down about 50p!

[flyfisher] 07/11/2023 08:45

Todays information indicates a pre exceptional 331m gel profit for BGEO in q3, which compares with 301m in Q1.

IMO it looks positive for next week.

[eggbaconandbubble] 07/11/2023 08:05

flyfisher - thanks.

[flyfisher] 07/11/2023 07:57

The national bank has inadvertently disclosed sector bank profits for 9 months of the year before the companies have actually reported. That puts the company in a situation where part of its third quarter results are public knowledge. Accordingly BGEO has been prompt to let the market know that the figures are not comprehensive.

Somebody at the national bank will be getting a roasting.

[eggbaconandbubble] 07/11/2023 07:34

Trading statement. Doesn't make a lot of sense to me.

[flyfisher] 31/10/2023 11:14

They generally inform the market of the date two weeks prior.

[disc0dave46] 30/10/2023 17:12

Thanks, thought as per last year around the 10th but noting on their website.

[altras] 30/10/2023 16:54

I have Q3 down as Nov-09

[disc0dave46] 30/10/2023 15:12

Is Q3 next week?

[altras] 30/10/2023 11:51

@MrScruff

Agree good value with good mid/long term potential.

Why SIPP and not ISA?

[mrscruff] 21/10/2023 21:58

Been impacted by the tension and war in th middle east. Drip feeding in slowly. Best small cap value stock and with a high yield. Higher for longer environment. Buy and hold for the longer run in an SIPP and not an ISA

[flyfisher] 20/9/2023 10:40

This crops up occasionally.