By November all the companies in our portfolio had reported quarterly earnings, giving us greater insight into the pace of the recovery. As we commented last month, our companies reported a V shaped bounce in earnings. Although profits for the quarter were down -22% year-on-year, they bounced by +42% compared to the last quarter; based on management’s conservative guidance, profits should be up another +29% by next quarter. Remarkably, this has not been reflected in the share prices of our companies.
AVI Japan Opportunity Trust p.l.c is referred to as ‘AJOT’ throughout the website. AJOT’s investment managers, Asset Value Investors are referred to as ‘AVI’