Research, Charts & Company Announcements
Research Tree provides access to ongoing research coverage, media content and regulatory news on OUTOKUMPU OYJ. We currently have 8 research reports from 1 professional analysts.
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FY16 results confirm the improvement in the group’s profitability
02 Feb 17
Outokumpu released its FY16 results. Sales reached €5,690m (-10.8%), EBITDA €355m (-33%), underlying EBITDA €298m (vs €196m), EBIT €103m (-55%), underlying EBIT €45m (vs €-101m) and the net result €144m (vs €86m). Net debt at the end of FY16 stood at €1,242m (vs €1,610m). Note the reported operating figures for FY15 included, amongst others, the capital gain on SKS (€409m) and are not directly comparable. A dividend of €0.10 will be proposed at the AGM. Looking forward, the group anticipates an underlying EBITDA of over €250m for Q1 17 (which compares to €196m in Q1 16) and a net debt level below €1.1bn by the year-end.
Q3 16 : signs of hope
03 Nov 16
Outokumpu released its Q3 16 results. Sales reached €1,419m (-4.6% yoy, +2.9% qoq), EBITDA €119m (vs €3m in Q3 15 and €62m in Q2 16), EBIT €40m (vs €-77m in Q3 15 and €6m in Q2 16) and the net result €13m (vs €-113m in Q3 15 and €-20m in Q2 16). Over 9 months, sales reached €4,183m (-15.5%), EBITDA €227m (vs €123m), EBIT €34m (vs €-113m) and the net result €-48m (vs €-222m). Net debt at the end of Q3 was €1,396m (vs €1,485m in Q2 16 and €2,012m last year).
H1 16 in line, more time needed to reach industry standards
26 Jul 16
Outokumpu has just released H1 16 numbers. Sales reached €2,765m (-20.2%), EBITDA €108m vs €120m (-10%), EBIT €-6m (vs €-36m) and net €-61m (vs €-107m). Net debt at the end of Q2 reached €1,485m (€1,551m in Q1 and €2,116m at year-end 2015. Note the underlying EBIT (i.e. without special items) reached €-25m in H1 vs €-23m in H1 15 and €-20m in Q1 16. Note the top-line is impacted by the SKS disposal. The lfl decline in sales is -14.% (vs -20.2% published).
Rather weak Q1 16 results.
27 Apr 16
Sales reached €1,386m (-21.6%), EBITDA €46m (-29%), underlying EBITDA €38m (-50%), EBIT €-12m (-20%), net result €-41m vs €-45m). Net debt at the end of Q1 stood at €1,551m (vs €2,034 a year ago and €1,610m at the end of Q4 15). For Q2, the group expects stainless steel market conditions to remain challeging, despite some improvement in the US, while the results will be burdened by weak ferrochrome prices. Altogether, Outokumpu expects flat volumes and a similar level of underlying EBIT, while a €40m charge will be booked in redundancy provisions as part of the €100m savings plan.
FY15 in line, while the outlook is cautious
11 Feb 16
Outkumpu released its FY15 results. Sales reached €6,384m (-6.7%), EBITDA totalled €531m (vs €104m), EBIT €228m (vs €-243m) and the net result €86m (vs €-439m). Underlying EBITDA (excluding special items) reached €196m vs €232m in FY14 and EBIT €-132m. Net debt at the end of FY15 was €1.61bn vs €1.974bn a year earlier, after the disposal of SKS. Note the capital gain on this disposal (€409m) is included in the EBITDA and EBIT released which look artificially high. No dividend will be paid.
Tough Q3 15
05 Nov 15
Outokumpu’s Q3 highlights: revenues were down 12.3% sequentially to €1,487m (and -17.4% yoy), EBITDA reached €3m (vs €55m in Q2 and €67m in Q3 14), EBIT was €-77m (vs €-26m in Q2 and €-9m a year ago) and the net result reached €-115m (€-62m in Q2 and €-77m in Q3 14). Net debt at the end of Q3 was €2,012m (vs €2,116m in H1). Note this is before the positive impact of the SKS disposal. Lastly, the group reminded that the CEO Mika Seitovirta will step down and be replaced by Roeland Bann as from 1 January 2016.
Strong trading leads to upgrades
22 Mar 17
On the back of today’s positive trading update and slightly upgraded profit forecasts for FY2017, FY2018 and FY2019 we have reviewed our DCF analysis. This has led to an increased DCF valuation per share of 1500p (from 1200p) which we have made our new target price (from 1200p). Both TFP and JC Paper have contributed to the upgrades shown in the table below as have favourable currency movements. With the potential for further upgrades due to capitalising 3DP costs to come we maintain our Add recommendation.
Small Cap Breakfast
21 Mar 17
First Sentinel—Investment company expecting NEX admission/introduction on 24 March. £636k raised pre-IPO. BioPharma Credit—Expected Gross Initial Acquisition Proceeds now c.$338m. Gross Cash Proceeds capped at $423m with placing and open offer. Results expected 23 March with admission now due 30 march. Tufton Oceanic Assets- The Company intends to invest in a diversified portfolio of second hand commercial sea-going vessels where the Investment Manager believes that an attractive opportunity exists in shipping. $150m raise. Admission 3 April.
Bang to rights
21 Mar 17
Tullow unexpectedly announced a US$750m rights issue on Friday at a 45.2% discount to the previous close. While this step confirms our investment thesis, the scale of the discount and the timing look like a slap in the face for investors and/or indicative of a weaker financial position than we are modelling. We publish revised estimates to reflect the impact of the issue and cut our Target Price to 215p per share (from 245p). We maintain our Hold recommendation.
Panmure Morning Note 22-03-2017
22 Mar 17
Acacia Mining and Endeavour Mining confirmed merger talks have now ended with Endeavour claiming an inability to “create adequate value for Endeavour shareholders”, most likely, we believe, given the disappointing ruling from the Tanzanian government on copper-gold concentrate sales. We were positive on the merger and believed a credible London listed Pan-African producer capable of challenging Randgold, would have been established. We make no change to our Hold recommendation today, and expect the shares to be marked lower in early trade.