Research, Charts & Company Announcements
Research Tree provides access to ongoing research coverage, media content and regulatory news on NEOPOST SA. We currently have 8 research reports from 1 professional analysts.
Frequency of research reports
Research reports on
Limited organic decrease in Q3 16 is encouraging
02 Dec 16
Neopost reported Q3 16 revenue of €279m (€284m in Q3 15), corresponding to a -2.1% organic decrease yoy. SME Solutions decreased by 3.4% organically, while CSS grew 7.4% yoy. For the first 9M16, the organic decline reached -2.9% yoy. The integration of Icon Systemhaus in the Enterprise Digital Solutions division is going to plan, while organic growth in Enterprise Digital Solutions this quarter was penalised by the high comparison basis (the company recorded a licence sale of c. €2m in Q3 15). Excluding Icon Systemhaus, Enterprise Digital Solutions is growing in double-digits. The Neopost Shipping division reported growth of more than 10% this quarter. In SME Solutions, Neopost continued the roll-out of digital and shipping solutions to offset the decline in sales of Mail Solutions. This roll-out is coupled with a plan to lower costs by more than €50m by 2018 in this division. The restructuring costs will represent €10-15m per year for the next two financial years.
Not as bad as it looks
29 Sep 16
Neopost reported H1 16 results below market expectations. H1 16 revenue reached €557m, a 5% reported decrease but -3.3% organically (-3.8% in Q2 16), including a 4.8% decline for mailing (-5.6% in Q2 16) and +8.8% in CSS (+10.4% in Q2 16). The operating profit was €100m, corresponding to an 18.0% margin. For the CSS division, the current operating margin was 4.6% (versus 7.2% in H1 15), while the mailing division stabilised at 21.0% versus 21.4% last year. Leasing portfolio and other financing services receivables amounted to €780m, down from €802m at the end of H1 15, a decrease of 0.7% at constant exchange rates. The group’s net attributable income came in at €58m, corresponding to a net margin of 10.5%, compared with 11.0% last year. The EPS was €1.56, down 18% from €1.85 in the previous year. The company confirmed its mid-term target which consists of a return to organic growth coupled with an operating margin above 18%.
No major change in business trend
02 Jun 16
Neopost reported Q1 revenue of €273m, down 4.7% yoy. Given a negative currency impact of 2.2% and a positive scope effect of 0.3%, organic growth was -2.8%. Organically, the Communication and Shipping solutions increased by 9.7% but restated for the scope effect of the consolidation of Temando, organic growth in sales for CSS stood at 7.0%. Within the SME solutions (ex. NIO), of which revenue decreased by 4% yoy, sales of Mail Solutions were down 5.0% at CER, reflecting a contrasting situation for equipment sales as business remained resilient in North America, but there was a marked downturn in Europe and in the ROW. Neopost confirmed it intends to maintain a current operating margin, before acquisition-related expenses, at above 18% throughout the period of transformation, and return to above 20% (before acquisition-related expenses) in the medium term. This target will be achieved by optimising its organisation, reducing costs and continuing to improve the operating margins of its Enterprise Digital Solutions and Neopost Shipping divisions.
FY15 results in line, but no EPS turnaround short term
30 Mar 16
Main facts: Revenue at €1,190m up 6.9% and down 1.8% organically, including a 5.3% organic decline for Mail Solutions and +11.4% organic increase for Communication and Shipping Solutions. In Q4, revenue came in at €321m, a +2% yoy growth but -3.5% organically. The current operating result reached €234m (vs €245m in 2014) and corresponding to a 19.7% margin (vs 22% last year). The net income was unchanged at €134m and corresponding to a €3.72 per share (vs €3.89 last year). The dividend proposed is €1.70, in line with expectations. Neopost confirmed its mid-term target to maintain the operating margin at above 18% with the target of returning to over 20%, and a return to organic growth. The company did not disclose any short-term guidance for 2016.
Another bleak quarter
02 Dec 15
Neopost reported Q3 15 revenues of €283.6m, slightly below market expectations (€290m), and corresponding to +5.6% yoy growth and -1.1% organic change including -4.1% for mailing solutions and +9.9% for Communication and shipping solutions. The company made an early repayment on its German private placements (Schuldschein) and one of its French private placements, for the respective amounts of €67m and €50m to optimise its financing conditions. Revenue guidance for FY15 is updated at the lower end of the prior range with organic growth at about -1% instead of between -1% and +1% and confirmation of the operating margin (before acquisition-related expense) at a minimum level of 19.5% (vs between 19.5% and 20.5%). The dividend of €1.70 per year is confirmed and an interim dividend of €0.8 will be paid in cash on 9 February (dividend ex-date is 5 February 2016).
Management looks confident of the transformation story
15 Oct 15
During a Paris road show with the company, following its H1 15 results and the change in dividend policy, we had the opportunity to discuss several issues with the CFO. The company's increasing focus on its transformation towards solution & software resulted in a sharp cut in the dividend (from €3.90 to €1.70), a margin erosion in H1 15 due to R&D investment, acquisition costs and lower margins from the companies acquired. However, the normative growth of the new businesses acquired is around 15% per year which should continue at least for the next three years. The stock is now under strong pressure, as investors look worried by the transformation and the dividend cut.
Taking a prudent road
28 Nov 16
As flagged in September, H1 2017 profit is indeed below LY; adj. PBT of £0.5m compares with £1.5m in H1 2016 as Trakm8 invests heavily in new technology and acquisition integration. Management remains confident in another very strong H2 performance and in particular is focused on closing a couple of large high-margin software-related sales which would see the group meeting the original FY 2017 expectations of £5.9m adj. PBT. However, should these fall outside the March year-end, profits are only likely to be in line with last year’s £3.9m, albeit on a growing revenue base. Prudence dictates we assume a worst-case scenario in our forecasts so that surprise is only in the upside – if the deals close in the year, the company will meet those original revenue and profit expectations.
N+1 Singer - Morning Song 30-11-2016
30 Nov 16
Sanderson has delivered full year results in line with expectations and the 19 October trading update after a strong finish to the year compensated for a slower start. A healthy level of pre-contracted recurring revenue (50%), incremental sales to existing customers and new customer wins at higher average order values helped deliver solid revenue growth in both the Digital Retail (+9%) and Enterprise (+12%) divisions. A decent order book and good sales momentum suggest that the company is on track to deliver on unchanged profit expectations for the current year. We continue to view the valuation (FY17 EV/EBITDA 8.6x) as undemanding given an attractive combination of accelerating growth potential, strong cash generation and growing dividends.
A data-driven H1 raises expectations
05 Dec 16
The first reporting period under the new D4t4 Solutions brand saw the group (previously IS Solutions) deliver good growth, leaving it well on track to meet PBT forecasts in FY 2017, and we now increase FY 2018 forecasts. The business continues to flourish from its focus on data management and analytics, enabling its international blue-chip client base to gather and gain advantage from the mass of customer data available, utilising the leading-edge Celebrus solution. Industry analysts predict 12% CAGR for the BI & Analytics market through to 2020, and D4t4 is riding this wave of demand.
N+1 Singer - Eckoh - In line interims, US secure payments gathers pace
29 Nov 16
Eckoh delivered interims in-line with expectations. UK growth was 11% whilst the US, reflecting a full period for PSS now accounts for 30% of sales. US Secure Payments wins gathered pace, with much larger contracts being won on SaaS-style pricing models and the pipeline at record levels. With contracts won in the first half feeding through strongly into the second half and given the group’s high level of recurring revenues (76%), the outlook remains positive for the rest of the year and we make no changes to forecasts. Eckoh has exceptional growth opportunities, particularly in the US, and we believe it can convert this to strong shareholder value.
N+1 Singer - Morning Song 05-12-2016
05 Dec 16
RTHM is acquiring a profitable Canadian listed mobile specialist for equivalent of US$42.5m consideration in shares (88.235m). This helps adds to two growth vectors RTHM is targeting; (i) adds unique exclusive audience (10m unique) and (ii) Exclusive demand Yahoo and Facebook. The business has 15 premium and owned and operated apps which provide users with rewards for activity. The business is expected to deliver c$9m of EBITDA in FY18 including $2m of cost synergies. This equates to just 4.7x EV/EBITDA. This marks what we see the first step in RTHM activity to scale the business and deliver on margin potential (see our initiation notes). Our initial estimates for EPS revisions are very significant - for FY18 are 2.3 cents (currently 0.6) and for FY19 4.3 (currently 2.5). There is a call at 830 for investors and we will revise post this.