Research Tree | Equity Research for Investors

15 Jun 21

boohoo group plc (BOO LN) - Key markets outperforming

boohoo Group has announced solid Q1 FY22 trading with Group revenue +32% YOY ahead of ZC forecasts (+25%) and consensus expectations (+28%), driven by strong momentum in key markets of the UK (+50% YOY) and USA (+43% YOY) despite tough PY comps (Q1 FY21 +45% YOY).

Companies: boohoo group Plc

09 Jun 21

Cenkos: Seeing Machines Ltd -- Aviation deal with CAE for Australian Defence customer

Seeing Machines has announced that it has been appointed by CAE Australia to integrate its precision eye-tracking technology, for an Australian defence industry customer. The engagement is valued at A$1m over five years and comes at the end of a successful direct engagement between Seeing Machines and an Australian defence industry innovation programme delivered over the past two years. This programme exceeded all stakeholder expectations and has opened several additional opportunities across th

Companies: Seeing Machines Limited

14 Jun 21

Cenkos: Kromek Group Plc -- Major new DARPA contract

Kromek has been awarded a $6m contract extension from DARPA for the Phase II development of a biological threat detection system. The 28 month milestone based contract will account for a material amount of our forecast incremental revenue growth in 2022E. We believe the commercial value of the system once rolled out could provide a revenue opportunity materially in excess of the development value awarded to date.

Companies: Kromek Group Plc

11 Jun 21

LIBERUM: Frontier Developments* - Record FY21, JWE 2 revealed for FY22

Frontier have delivered record revenues for FY21 that were slightly ahead of our expectations, thanks to a strong performance across all four franchises and despite the challenges that faced the recent Odyssey launch. We now know that the FY22 upcoming licensed IP game will be Jurassic World Evolution 2, a sequel to Frontier’s biggest-selling game to date that will launch later this year. Simultaneously the Board are providing prudent revenue guidance which assumes that the first F1 management t

Companies: Frontier Developments Plc

15 Jun 21

LIBERUM: Ramsdens Holdings* - Good outcome in challenging conditions

Ramsdens interim results highlight the resilience of the business model. Despite the prolonged UK lockdown and international travel restrictions materially impacting the business, we believe a pre-tax loss of only £0.1m was a great result. Moreover, the balance sheet remains strong with net assets up £0.5m HoH to £35.5m and net cash at £15m. While FY2021 has been tough due to COVID-19, management remain confident and are positioning the business for growth with a pipeline of six new stores, incl

Companies: Ramsdens Holdings PLC

09 Jun 21

Major US licence & supply agreement

In an encouraging sign of building US momentum, Yourgene has announced it has signed a multi-year licence and supply agreement with a major US precision medicine company to enable it to offer a new reproductive health screening service from its own laboratories. The agreement encompasses a non-exclusive licence to Yourgene’s proprietary bioinformatics Flex analysis software and a supply agreement for sample preparation reagents and instrumentation. Notably, this includes the Ranger sample enrich

Companies: Yourgene Health Plc

14 Jun 21

LIBERUM: Ted Baker* - A transformational year

FY21 underlying loss before tax of £59.2m was better than our forecast £79.9m, driven by higher revenue (stores) and a better gross margin. Year-end net cash (pre-reported) of £66.7m was well ahead of our forecast of £7.1m this time last year. We leave our profit forecasts unchanged, but the shape alters with lower sales and a higher gross margin as TED’s full price stance begins to kick-in supported by the new product offer. Management has delivered impressively on the Year 1 targets set out in

Companies: Ted Baker PLC

14 Jun 21

Allenby Capital TMT Update - 14.06.21 - TERN.L, CPX.L, MWE.L, NWT.L, BIRD.L

Tern plc* (TERN.L, 23.75p/£78.5m) | CAP-XX Ltd* (CPX.L, 8.15p/£36.0m) | MTI Wireless Edge Ltd* (MWE.L, 64.5p/£57.1m) | Newmark Security plc* (NWT.L, 1.2p/£5.6m) | Blackbird plc* (BIRD.L, 32.0p/£107.9m)

Companies: TERN CPX MWE NWT BIRD

14 Jun 21

Cenkos: Pelatro Plc -- Placing to fund new service line

Pelatro has raised £2.15m in an equity Placing to fund an expansion of a new service line in mobile advertising. This is an adjacent product space to which the core data analysis business is able to direct traffic for targeted marketing purposes. The beneficial impact of this expansion should be felt from 2022E onwards.

Companies: Pelatro Plc

14 Jun 21

LIBERUM: SThree* - H1 21E NFI and PBT ahead of H1 19

We increased our forecasts on 3 June as SThree pre-announced the strength of Q2. Today’s full release shows Q2 NFI +22% y-o-y and H1 NFI +3% on H1 19. The contractor order book is up 33% and productivity +36%. We make no changes to forecasts today, but now expect H1 21 PBT of £27.4m, up 14% on H1 19. Our H2 estimates are cautiously set, reflecting more normalised contractor working hours and selective headcount investment. We see the risks to be on the upside. Maintain Buy.

Companies: SThree plc

15 Jun 21

Cenkos: TP Group Plc -- FY20A Results

Despite the challenges presented by Covid-19, TP Group was able to report organic revenue growth of 9% YoY in FY20A, and total revenue up 20% YoY. Aided by strategic acquisitions, non-core business disposals, and investments made within the group, the company should be well placed to benefit as trading conditions normalise. With visibility improving, we release new forecasts for FY21E and FY22E (Adj EBITDA of £4.2m and £5.1m respectively). Given the improving outlook, and a record order book (£6

Companies: TP Group Plc

10 Jun 21

LIBERUM: Staffline Group* - Updated numbers after the raise

Staffline’s raise has generated £44m of net proceeds. The debt re-fi simplifies the bank lending and provides ample head-room. The circular points to FY results in line. Staffline has also reported a strong start to the year, with potential upside from Restart. FY 21 FD EPS increased by 57% and FY 22 reduced by 8% to reflect the mechanics of the re-fi and no tax. We expect the conversion rate to continue increasing. The B/S looks sound with expected FY 22 covenant net debt / EBITDA of 3.0x. We h

Companies: Staffline Group plc

11 Jun 21

Ergomed - FY21e EBITDA ‘materially ahead’ of consensus

Yesterday, Ergomed held its annual general meeting (AGM) and provided a high-level year to date trading update (four months to end-April 2021). The company guides to FY21e revenues in line with market expectations (Edison £119.6m; consensus £120.0m). Strong revenue growth has continued in its PrimeVigilance division, in line with prior trends (in FY20 revenues grew by 30%), and its CRO business has seen a further acceleration of growth from H220 (H220 service fee revenues up 13.5% vs H120). This

Companies: Ergomed PLC

15 Jun 21

D4T4 Solutions - Fraud detection launch opens up a huge new market

D4t4 has launched its new Celebrus Fraud Data Platform (FDP), expanding its range of addressed markets from customer experience (CX) into the adjacent fraud detection and prevention market, worth >$18bn annually. This is a huge and exciting new opportunity; a TAM potentially bigger than its original. The launch follows two years of design and development and £1.5m of previously expensed investment. A natural extension of the identity functionality recently added with Celebrus CDP v.9.4; the gran

Companies: D4t4 Solutions plc

01 Jun 21

A Midsummer Day’s Dream…..

As midsummer’s day looms (where has this year gone?), there is greater optimism, in general, than may have been anticipated a few months ago. A post-pandemic, ‘vaccine-driven’ recovery demonstrated by increased consumer spending as lockdown measures are lifted has been one of the catalysts. The FTSE 100 has been range-bound in the last month 6,900-7,100. We have seen a combination of broadly positive company results across a range of sectors, further examples of M&A activity and a sequence of ne

Companies: AMYT ARBB ARW BAG BEG BONH BWNG CWK DNK EML EPWN FBD FA/ GPH GSF GNC HUW IGC INSE KAPE KP2 MMAG NRR NESF OTMP ROL RUA SEN SUR TON TOU TXP TGL VLS WINK

16 Jun 21

Cenkos: HeiQ Plc -- Consolidation: Life Material Technologies

HeiQ has announced the acquisition of Life Material Technologies (Life), a materials technology company focused on antimicrobial additives and treatments used by plastics, coatings, textiles, ceramics and paper manufacturers. Life generated revenues of $3.6m in 2020A and HeiQ will pay $6.45m for 100% of the business, in a combination of cash ($2.55m) and new shares ($3.9m), with an earn-out of up to $2.8m to be based upon Life's FY21E financial performance. The pre-earn-out acquisition multiple

Companies: HeiQ PLC

16 Jun 21

Cenkos: Time Finance plc -- Inflection point of financial recovery

Today's trading update confirms a resilient profit delivery consistent with FY20A, despite challenging conditions over FY21E, which saw a notable reduction in originations and Time's lending book. With the UK economy reopening at the year-end, with strong GDP growth expected over 2021, we see a healthy rebound in SME demand for Time's credit products as likely. This should provide an inflection point for own-book originations, the lending book's size and profits, despite some reinvestment over F

Companies: Time Finance plc

16 Jun 21

Morning Note – 16 June 2021

Companies: BOTB ELIX CORA

16 Jun 21

Hurricane Energy - Operational updates

Operational updates

Companies: Hurricane Energy Plc

16 Jun 21

Westminster Group* - New 10yr Port Screening Managed Services Contract

Hot on the heels of yesterday's 20yr airport security contract in DRC, Westminster Group has announced the award of a 10yr port screening managed services contract at Monrovia Freeport in Liberia. The fact that this was a competitive tender and comes on top of the recently announced DRC deal suggests an increasing endorsement of Westminster Group's offering which investors should acknowledge and sharply re-rate the shares.

Companies: Westminster Group plc

16 Jun 21

Johnson Service Group - Linen La Vida Loca

Linen La Vida Loca

Companies: Johnson Service Group PLC

16 Jun 21

LIBERUM: Origin Enterprises - Safely navigating a tricky period

Origin has announced its Q3 trading update this morning. Colder than usual spring weather has negatively impacted in-field activity meaning despite a stronger cropping profile across Europe, volumes were down in the quarter. There has been somewhat of a catch-up in Q4 hence management’s guidance for 34-36c of adjusted EPS still implies c.40% growth over 2020. However, this also implies a c.5% downgrade to current consensus. Even so, we think the recovery in earnings this year should raise

Companies: Origin Enterprises Plc

15 Jun 21

Monarch Mining Corporation - Beaufor mine restart plans and financing update

Monarch Mining Corporation has moved closer to cash generation by confirming the reopening of its Beaufor mine and its Beacon milling operation by June 2022. It has also commenced recruitment and bolstered its cash through a C$6m bought deal private placement of shares and warrants. A new resource estimate will be prepared during summer 2021, which could add to the mine life and our valuation, which we keep unchanged at C$0.99/share, with increased production certainty potentially offsetting sha

Companies: Monarch Mining Corporation

15 Jun 21

SIGA Technologies and Cipla Therapeutics – executive interview

15 Jun 21

Daldrup & Söhne - Emission reduction will drive drilling demand

Daldrup & Söhne (Daldrup) felt hardly any impact from the pandemic, reporting 14% growth in total output in FY20. Divestment of the loss-making power plants, efficiency improvements in business operations and more effective cost control were the drivers behind the strong recovery in profitability. The market outlook remains positive, driven by the aim of many governments to reduce carbon emissions, while geothermal electricity and heat are generated in an almost CO2-neutral manner. Management ex

Companies: Daldrup & Soehne AG

15 Jun 21

Keywords Studios - CEO retires for health reasons, positive trading

Having stepped back temporarily in March 2021 for health reasons, Andrew Day has now confirmed that he will take early retirement after 12 years as CEO of Keywords. Accordingly, the board has initiated the search for a full-time replacement. Jon Hauck (CFO, M&A) and Sonia Sedler (COO and operations) will continue to operate as interim CEOs until the search is complete. In parallel, Keywords provided a trading update, with the group reporting 25% l-f-l organic revenue growth and overall revenue g

Companies: Keywords Studios plc

15 Jun 21

CMD: offshore at heart

Despite revising downwards its expected returns in offshore wind, Equinor confirmed its strategic shift (i.e. more renewables, stable hydrocarbon). The 12-16GW target is advanced by five years and hydrocarbon production is set at a 2% CAGR for 2021-26 in Norway (against 3% CAGR for the whole portfolio previously). The quarterly dividend is increased to $0.18 per share (from $0.15) but remains 30% below 2019’s. The company is also starting a share buy-back programme, with $600m this year, and $1.

Companies: Equinor ASA (EQNR:STO)Equinor ASA (EQNR:OSL)

15 Jun 21

Westminster Group wins long-term security contracts for five airports in DR Congo

15 Jun 21

Mid-term ambitions set, recap being prepared

The Lufthansa Group announced its mid-term guidance for 2024, which is above consensus and our estimates, and communicated preparatory actions for a potential capital increase.

Companies: Deutsche Lufthansa AG