EXPOLANKA HOLDINGS

CSE/Bloomberg: EXPO.N0000/EXPO SL | ISIN : LK0381N00000

Issued number of shares - 1,954,915,000
Current Market Price – LKR 150.75 | All Time High – LKR 151 (26.08.2021)
CSE Market Capitalization – LKR 286,883,776,250.00 (Rank #1 – 7.23%of CSE)

FAIR VALUE: LKR 277.20 (+84%)

Discounted FEPS 13.86 (3.465 x 4) at P/E 20, USD variation not considered
Parent Company: SG Holdings Co Ltd - Current P/E 24.91
Compiled by: Imaz Imthiyaz (@imimaz) & KrishanFernandopulle
Fernandopulle (@krishan_fe)
Compiled by: Imaz Imthiyaz (@imimaz) & Krishan (@krishan_fe)(Source/Credits: WallStreet
(Source/Credits: (TEC),
WallStreet (TEC),
ft.lk, TheMorning.lk, Investing.com,
ft.lk, TheMorning.lk, Investing.com,Capital
Capital Trust Research,Expo
Trust Research, ExpoIR IR Presentation
Presentation & Reports,
& Reports, SL Stock
SL Stock Tips) Tips)

“I believe EXPO will be the biggest market cap in CSE

“The market will assess us
and our performance. We
believe in creating value to
our shareholders and will
focus on developing and
sustaining the fundamentals
of the organisation, which
has been our focus over the
last several years.”
- Hanif Yusoof, CEO
(26.08.2021)
“Can you believe this EXPO
story? One year before 2.50 a
share and a Penny Stock.
today touched 100.00 a share.
Never heard such a growth
stock in any market. And this is
not the end. This is not a buy or
sell recommendation and I too
trade on Expo share”
– Nimal Perera
(20.08.2021)
in months, I also think in 1 year it’s a 250-300 share.
Last quarter 6.3B and growing it will do 15 EPS in 21/22. In my
opinion in a year CSE will be minimum 15 PE market from currently
10.5. For a fast-growing company Internationally, I will pay above
market at least 20 times. That will make it a 600B company. Normally
I don’t give a share price prediction, but EXPO is exception since lots
of people keep asking me a target and my opinion. Since this is going
to be long journey and a big opportunity, I like my Followers to enjoy
the journey together, I myself is in a big way Invested and I will be
trading a portion keeping bal for LT. Foreigners will come in once in
top 3 and absorb big quantities like JKH. This will be liquid share with
at least quarter of the market T/O coming from Expo. So this is not a
marketing only for your benefit if you believe. I have earned a
reputation and will not risk at any cost.”
– Imtiaz Buhardeen (03.08.3021)

UNIVERSAL FREIGHT DEMAND | RATE SURGE | GLOBAL EXPANSION | LKR/USD DEPRECIATION

After reaching LKR 100 levels, EXPO appreciated very sharply towards LKR 128 levels & cooled off towards
LKR 118 levels. However buyers are very strong now knowing the future potential of EXPO & very strong buying
can be seen in every time when there is even a slight price weakness observed in the market. After a short
consolidation, the share rallied to LKR 150 on 26th August 2021

WHY EXPO IS ONE OF THE BEST STOCKS IN CSE:

Þ More than 92% profits of the company is

coming from out side Sri Lanka.

Þ All these 92% profits component is in USD

terms & being EXPO head quarters & registered
address is in Sri Lanka & listed in CSE they have
to exchange all these USD income to LKR for
accounting purposes when finalizing the P & L
statement. Hence depreciation of LKR against
USD will provide a positive impact for the EXPO
bottom line.

Þ More than 63.0% EXPO's income is coming from American region &
Business in region is growing & expanding rapidly.

Þ USA imports figures are growing rapidly YoY as well as QoQ basis.

Þ The countries that USA have largest imports are from Asia & the largest
country being the China.

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1.0 USA Imports - YTD | 02.USA Imports - Country wise | 03. USA imports - Since 2021 | 04.USA imports - Region wise

Þ China is the largest country which contributed 20% of USA imports followed by Canada.

Þ EXPO has 6 offices in China / 01 office in Canada (Growing) / 03 offices in Vietnam / 20 offices (largest)
in India / 3 in Malaysia / Indonesia 3offfices etc.

Þ Look at how the American imports are growing YoY basis & this trend will continue in future as well, coz
USA is the biggest hit country from the COVID pandemic & still their imports are growing YoY.

Þ Asia is contributing almost

44.0% USA imports.

Þ EXPO has 53 branches

across Asia up to now &
USA + Canada have another
7 branches.

Þ This is why Asia - America &

Asia - Europe trade lanes
have ranked busiest trade
lanes in the world.

Þ The world's biggest economy is USA with GDP of 20,936,600 USD millions & China comes second
place with GDP of 14,722,731 USD millions. India comes 6th place with GDP of 2,622,984 USD millions
& Canada comes to the 10th place with GDP of 1,643,408 USD millions as per the world bank's top 10
nominal GDP list.

Þ The beauty is out of 60 global offices EXPO has 28 branches

across the 4 of world's top countries including 1st & 2nd.

Þ EXPO’s future potential is countless.

Þ Since EXPO is a global company now & out of 60 branches,

they have only 8 branches in Sri Lanka. It's simply the economic growth of the countries & export growth
of other countries that EXPO has branches matters a lot for it's future growth.

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Þ The present profit contribution from American region of over 63.0% is expected to to grow towards over
70% during current FY due to the factors mentioned below.

Þ EXPO is now in to potential long haul trucking business between USA - Canada.

Þ Their USA & Canada businesses are growing very rapidly.

Þ They have acquired three new businesses in USA.

Þ USA imports growing continuously & biggest contribution for

USA imports are from the Asia region China being the leading
partner.

Þ Ocean rates are continuously going up due to the massive

demand.

Þ Air freights are going up continuously as well.

Þ EXPO has well diversified / well spread branch network

around the globe now covering all major financial cities/
countries.

Þ Risk of operating in one country is almost at zero levels.

Þ USA market has a huge potential to grow.

Þ EXPO is the only listed company that has branches in

across USA/ Canada/ China /India /UAE.

The world's busiest ports list & countries

that EXPO has branch coverage.

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HISTORICAL DATA

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1820 million out of 1954 million shares are owned by the top 100 shareholders with atleast 600,000
shares each. Just 120 million shares are helf by retailers/smaller accounts.
Over 120 million shares have been traded over LKR 100 since 19 August 2021.

Estimated Financial Forecast by Capital Trust Research as of 17 July 2021:

(Update expected on 28 August 2021)

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Disclaimer:
HOLDING | NOT BUY/SELL/HOLD RECOMMENDATION | NOT INVESTMENT ADVICE | DO YOUR OWN RESEARCH
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