Research, Charts & Company Announcements
Research Tree provides access to ongoing research coverage, media content and regulatory news on AKZO NOBEL. We currently have 7 research reports from 1 professional analysts.
|20Feb17 09:00||GNW||AkzoNobel share repurchase (February 13, 2017 - February 17, 2017)|
|15Feb17 06:01||GNW||AkzoNobel publishes Q4 and full-year 2016 results|
|13Feb17 09:00||GNW||AkzoNobel share repurchase (February 6, 2017 - February 10, 2017)|
|06Feb17 09:00||GNW||AkzoNobel share repurchase (January 30, 2017 - February 3, 2017)|
|30Jan17 11:00||GNW||AkzoNobel share repurchase (January 23, 2017 - January 27, 2017)|
|23Jan17 09:00||GNW||AkzoNobel share repurchase (January 16, 2017 - January 20, 2017)|
|16Jan17 13:00||GNW||AkzoNobel share repurchase (January 9, 2017 - January 13, 2017)|
Frequency of research reports
Research reports on
Not too bad on a realistic level
15 Feb 17
Akzo saw sales 4% lower, down to €14,197m, due to a lower price/mix effect (-2%) and adverse FX effects (-3%). The gross profit improved from 40.9% to 42.3% and EBITDA came in +2% higher at €2,108m. Net profit attributable to shareholders was fairly unchanged at €970m (€979m). Operating CF increased +14% to €1,297m, benefiting from lower NWC outflows (€-504m after €-658m). Primarily due to the acquisition of former BASF’s Industrial Coatings business (€-425m), acquisition-related costs swung from €151m to €-363m bringing investing CF down from €-508m to €-979m. Net gross debt repayments (€140m after €-689m) gave financing CF some relief despite some higher dividend payments (€-336m after €-281m). Management will propose a +7% higher total dividend of €1.65 (€1.55) per share at the AGM on 25 April 2017, of which €0.37 has already been paid. For 2017, management anticipates positive developments for EMEA, North America and Asia, improving during the year, while Latin America is expected to stabilise. Guidance for 2016-18 is confirmed (return on sales: 9-11%; return on investment: 13-16.5%). The annual report will be available on 1 March 2017.
Weak pricing power (cont’d)
19 Oct 16
Akzo reported 4% lower sales, down to €3,600m, facing a lower price/mix (-2%), whereas the gross profit margin improved 1pp to 42.7% in Q3. EBITDA came in pretty much unchanged at €594m (€590m) and net income attributable to shareholders stood unchanged at €285m. Operating CF moved slightly up to €600m (€583m), helped by a stronger NWC inflow and more positive other changes, but partly eaten up more negative changes in provisions. Investing CF (€-114m after €-143m) benefited from lower capex (-21% to €-128m). Despite higher dividend payments (€-22m after €-10m), financing CF moved from €-277m to €-106m lifted by lower net gross debt repayments (€-78m after €-267m). Management continued to give no detailed guidance but sees itself in a position to confirm the group’s financial guidance 2016-18 (ROS: 9-11%; ROI: 13-16.5%).
Covering Paints and Coatings
19 Jul 16
Akzo’s sales weakened by 6% (v: +1%; p: -2%; FX: -5%) to €3,711m in Q2, but the gross profit margin strongly improved from 41.4% to 43.6%. EBITDA was up +5% to €642m, whereas net profit attributable to shareholders declined 6% to €312m. Operating CF was up (+11% to €453m) primarily helped by lower changes in provisions. Investing CF strongly rose from €-37m to €-110m, suffering from higher capex and lower divestment results. Despite higher dividend payments (€-226m after €-184m), financing CF came in at €-192m after €-361m fuelled by a swing in borrowings from net repayments to net proceeds. Management continued to give guidance, but it expects some uncertainties in the company’s markets triggered by challenging conditions in several countries and segments.
Not a good start to 2016, but profitability is resilient
19 Apr 16
Continued operations’ sales declined by 4% (organic: 0%) to €3,430m, but gross profit margin improved from 40.2% to 41.5% in Q1. EBITDA increased +5% to €487m and net profit attributable to shareholders jumped +50% to €240m. Operating CF moved from €-622m to €-336m, strongly benefiting from a lower NWC outflow and lower provisions. Capex stood unchanged at €-124m and investing CF came in at €-120m (€-131m). Financing CF swung from €-35m to €256m, driven by a net gross debt inflow after an outflow. Management failed to give guidance, but expects some uncertainties in the company’s markets triggered by challenging conditions in several countries and segments.
Non-business measures propelled profitability
10 Feb 16
Akzo Nobel lifted FY sales by +4% to €14,859m, primarily driven by favourable FX tailwinds (+6%) and the gross profit margin improved from 39.3% to 40.9%. EBITDA strongly climbed 24% to €2,088m with respective margin seen at 14.1% (11.8%). Net income attributable to shareholders jumped +79% to €979m. Operating CF strongly rose +40% to €1,136m, reflecting the higher operating performance and the swing in other changes despite the higher outflow for provisions. Investing CF saw a small change (€-508m after €-529m) primarily due to lower capex. Financing CF (€-972m after €-635m) was hit by higher net gross debt repayments (€-689m after €-367m). 2015 targets (ROS: 9%; ROI: of 14%; net debt/EBITDA ratio: <2.0x) have been reached (ROS: 10.6%; ROI: 15.0%; net debt/EBITDA: 0.6x) based on the company’s calculation. Management proposes a 2015 final dividend of €1.20 bringing the total 2015 dividend up to €1.55 (€1.45). For 2016, management failed to give clear guidance, but expects a challenging year with difficult market conditions in Brazil, China and Russia. Europe is expected to stay at current levels. The anuual report will be published within the next few weeks.
Performance Coatings' strong profitability push
22 Oct 15
Sales were up +2% to €3,760m and the gross profit margin improved from 40.0% to 41.9% in Q3. EBITDA strongly rose +21% to €590m and net profit attributable to shareholders jumped +39% to €285m. Q3’s operating CF was up +19% to €583m, benefiting from the better operating performance and additionally helped by a higher NWC inflow. Due to higher capex (€163m after €-137m), investing CF came in at €-143m (€-129m). Helped by lower net gross debt repayments (-€267m after €-277m) and lower dividends, financing CF moved from €-296m to €-277m. Management again confirmed delivery of 2015 targets. As a reminder, AkzoNobel aims for a ROS of 9%, a ROI of 14% and a net debt/EBITDA ratio below 2.0x.
What a Treatt
18 Jan 17
Treatt is steadily transforming itself from a seller of flavour and fragrance-based commodities to a value-added ingredients supplier. The strategy of deep customer knowledge is paying off, leading to stronger relationships, a real competitive advantage and greater profitability, with EBIT margins increasing from 9.6% in 2014 to 10.8% in 2016. Management has delivered four consecutive years of earnings above expectations and the momentum remains strong. Our DCF analysis calculates a fair value of 293p, supported by benchmark analysis that places the stock at a c 30% discount to its peer group.
Small Cap Breakfast
16 Feb 17
Saffron Energy—Schedule One update. Raising £2.5m, expected Mkt Cap £7.7m. Admission due 24 Feb. Italian Oil & Gas Play Guinness Oil & Gas Exploration—Publication of prospectus. Seeking to raise £50m and invest in 15 exploration companies at launch, with plans to grow the portfolio to 30 positions during its lifetime. Issue closing 23 Feb. Arix Bioscience — Intention to float on the main market from the global healthcare and life science Company supporting medical innovation. Raised £52m in Feb 16 with investors including Woodford Investment Management
Suffering CropScience, operating CF’s tide is high
22 Feb 17
Bayer reported +2% (organic: +4%) higher sales at €46,769m and the gross profit margin improved from 54.4% to 56.6% in 2016. EBITDA rose +13% to €10,785m and net profit attributable to shareholders came in at €4,531m, up by +10%. Operating CF (+32% to €9,089m) benefited from the good operating basis and higher D/A (+12%), but the significantly lower NWC outflow (€-149m after €-817m) and the contribution from discontinued operations (Diabetes Care and CS Consumer) were the afterburner. Investing CF reflects the company’s willingness to hoard cash for the Monsanto takeover as it moved from €-2,762m to €-8,729m, primarily due to the outflows for current financial assets (€-5,645m after €-344m). Financing CF (€-350m after €-3,974m) saw a strong inflow from capital contributions and lower net gross debt repayments (€-730m after €-2,929m). Management will propose a +8% higher dividend of €2.70 (€2.50) per share at the AGM on 28 April 2017. Management gave a detailed 2017 guidance and expects sales to increase to over €49bn. EBITDA before one-offs is seen to increase by a mid single-digit percentage and core earnings per share from continuing operations by a mid single-digit percentage as well.
29 Nov 16
The prospect of Hilary Clinton creating an oversight panel with the power to impose a set of harsh enforcement rules to control aggressive pricing of pharmaceuticals in the US fell away with the election of Trump, leading to a 16% bounce in the NASDAQ Biotech index and an 8% increase in the US Pharma & Biotech index, some of which has already been given back.
Still solid, but not perfect in an unadjusted, real world
23 Feb 17
Henkel increased sales by +4% (organic: +3%) to €18,714m, the gross profit margin weakened 30bp to 47.9% in 2016. EBITDA moved up +8% to €3,345m and net profit attributable to shareholders came in at €2,053m, +7% higher. Operating CF strongly increased +20% to €2,850m seeing a higher operating basis and a stronger NWC inflow (€281m after €20) due to higher payables as well as other liabilities and provisions. Investing CF (€-4,250m after €-893m) was clearly impacted by acquisition-related costs (€-3,727m after €-322m) for e.g. Sun Products. Financing CF swung from €-1,555m to €1,678m primarily due to the financing measures in the context of the large acquisition, which had been fully debt and cash financed as net gross debt repayment of €-1,025m swung to net gross debt issuance of €2,740m. Management proposes a +10% higher dividend of €1.60 (€1.45) per share at the AGM on 6 April 2017. For 2017, management expects organic sales growth of 2-4% with all divisions in this range, an adjusted EBIT of >17.0% and an adjusted EPS growth of 7-9%.
N+1 Singer - Strategy - Best Ideas 2017
04 Jan 17
Today we publish our Best Ideas for 2017. We have chosen 12 stocks that we believe have excellent prospects in the current year, together with an in depth discussion of what we see as the key sector and market themes for 2017. Our top picks are Cineworld, Elementis, Herald Investment Trust, Hill & Smith, IQE, MySale, Redde, ReNeuron, RhythmOne, SDL, Servelec, Severfield. Please see the separate note for further details.