Research Tree provides access to ongoing research coverage, media content and regulatory news on WEIYE HOLDINGS.
We currently have 0 research reports from 0
Seeing Machines has announced plans to deliver a fully supported, integrated Driver Monitoring System (DMS) kit to the global automotive industry. This will be in the form of embedded software (e-DMS) for the Qualcomm® SnapdragonTM Automotive Development Platform (ADP) from Qualcomm Technologies. The kit is expected to be available before the end of this calendar year for use by select automotive Tier 1 suppliers and OEMs and will support a full stack Seeing Machines DMS solution on the Snapdragon™ ADP targeting integration into either infotainment or centralized ADAS systems, and includes an optimized DMS reference camera, ADP interface board and the company's FOVIO and Occula software.
Companies: Seeing Machines Ltd.
CAP-XX Ltd* (CPX.L, 4.5p/£19.9m) | Gfinity plc* (GFIN.L, 3.8p/£28.9m) | MTI Wireless Edge Ltd* (MWE.L, 44p/£38.7m) | Newmark Security plc* (NWT.L, 1.175p/£5.5m)
Companies: CPX GFIN MWE NWT
Avingtrans has issued a brief trading update and confirmed that the Group’s preliminary results to 31st May 2020 will be published on 30th September. The trading update is reassuring, highlighting a Q1FY2021E order in-take in-line with management expectations. The statement also highlights two further contract wins in the nuclear sector for US$2.8m in South Korea to provide spare parts for essential water service pumps and a £1.5m UK contract for replacement valves. The previous update in early July has already confirmed that the Group expects to report revenue of £114m, EBITDA of at least £11.5m and net debt (excluding IFRS16 lease liabilities) of £7.5m, which is incorporated into our FY2020E forecasts. It would seem likely that the Group will wish to re-instate forward guidance at the time of the results and to this end we would expect management to indicate a year of solid progress in EBITDA for FY2021E. Over the first quarter the Group has demonstrated good resilience, operating at close to normal levels, with the exception of Oil & Gas (where there is fairly limited exposure) and HVAC activities at Ormandy, supported by exposure to multiple markets and a strong customer base that includes governments and their agents.
Companies: Avingtrans Plc
As legendary investor Warren Buffet succinctly puts it: “it is better to buy great companies at fair prices, rather than fair companies at great prices”. Today, we think Mpac has done exactly that by acquiring Ohio based Switchback Group, Inc. for a maximum of $15m in cash (£11.4m). Equivalent to modest takeover multiples of 7.1x EV/EBIT and 1.1x EV/sales – with $13m of the consideration paid upfront, and the rest structured as a $2m earnout depending on EBITDA performance over the next 24 months.
Companies: Mpac Group Plc
The Group performed robustly in H1/20A, experiencing like-for-like revenue growth in Q1/20A. The Group's dynamic business model combined with the implementation of a strict cost reduction strategy ensured Group cash balances and margin profile improved. We expect recent trading momentum to persist into H2/20 as the Group continues to benefit from its diverse revenue channels, customer base and end markets.
Companies: Xpediator Plc
SMS reported solid interim results demonstrating the resilience of the business during a very uncertain period. 1H/20 revenue was flat at £54.2m with underlying PBT up 96.9% to £9.1m. We believe SMS remains substantially undervalued given: i) Base case DCF valuation of 1,058p; ii) Base case DDM valuation of 1,176p; iii) visible growth to mid-2025 with secured 2m meter order book and substantial CaRe asset potential; iv) attractive dividend with committed 10% p.a. growth to 2024; iv) balance sheet headroom with £44.5m net cash and £300m RCF; v) strong ESG credentials with long term sustainable and carbon reducing assets. Our base DCF and DDM valuations of 1,058p and 1,176p respectively are supported by the 16.4x net ILARR asset sale during 1H/20.
Companies: Smart Metering Systems Plc
Inspiration Healthcare has announced it has completed its final delivery of ventilators to the NHS in response to the COVID-19 outbreak, which were announced in March 2020. In total the company has now shipped ~£7m of ventilators, of which £5m relate to Inspiration Healthcare's direct contracts and ~£2m relate to orders to S.L.E., which was acquired in July of this year. These £7m of orders do not include revenues associated with the ventilator support service or ancillary orders received since March. We maintain our Buy recommendation.
Companies: Inspiration Healthcare Group Plc
A strong start to the year was offset by global lockdowns, which significantly impacted trading. Subsequently, the gradual reopening of economies has meant that Filta has seen a month-on-month improvement in trading since April, and now expects to reach run-rate revenues at c70% of prior year levels by the end of FY20E. The strength of Filta's model has enabled it to withstand a severe shock to the business, and emerge with its operations and balance sheet intact, positioning it well to capitalise on growth opportunities as conditions normalise. Due to continued Covid-related uncertainty, we maintain our Hold recommendation, and are not re-instating forecasts at this stage.
Companies: Filta Group Holdings Plc
Brickability has delivered on its promises with inaugural full year (to Mar-20) results that demonstrate EBITDA and profits growth, establish a base level of dividend, show good cash generation and of course its ability to make acquisitions and build a future pipeline. The impact of COVID-19 will be fully felt in the current year, inevitably setting earnings back although it has traded profitably at EBITA level in every month since April reflecting progressive sales recovery (June -17%, July +1.6%) and the low fixed cost base. The group is not yet ready to offer formal guidance for FY21 however the strategy outlined at IPO is very much intact and deliverable. With the shares over 40% below their post-IPO ‘high' yielding an historic 4.4% plus an EV/EBITDA of 5.3x and PE of c8x, both of which are re-attainable 2-3 years out, the valuation simply looks too cheap to ignore, especially versus its peers.
Companies: Brickability Group Plc
DX has reported good progress in FY 2020 given the impact of COVID-19. Sales were up +2% (H1 +8%, H2 -4%) and adj. PBT increased from a loss of -£0.2m in FY 2019 to a profit of £1.8m (IAS 17) or £0.3m (IFRS 16). This is a better result than our forecast of a loss of -£0.9m (IFRS 16) and was backed by strong cash flow resulting in net cash of £12.3m at June 2020. The outlook is positive, with management highlighting volumes are currently ahead of pre COVID-19 expectations, and the group is in a strong position to rebuild profitability, by improving efficiency, productivity and margins. We have upgraded FY 2021 EPS by 124%, FY 2022 by 63% and raised our target price from 18p to 29p.
Companies: DX (Group) Plc
Who would have thought when reporting pre-tax losses of £10m after the first half to end June that Breedon would emerge so strongly from lockdown to trade through July-August (and into September) with LFL revenues ahead of comparative 2019 and expected H2 EBIT broadly in line with the equivalent 2019, resulting in a reinstatement of guidance ahead of current FY20 consensus. That is a mark of confidence as much in the group's operating capabilities as market recovery itself – a feature of Breedon's management quality over a consistent period of time. Investors will be impressed by the short-term recovery but also encouraged that the longer-term outlook remains positive with an emphasis to infrastructure markets in GB and Ireland plus, of course, its unrivalled ability to utilise its asset base very efficiently and to add to that platform with accretive acquisitions. The shares hit a COVID ‘low' of 63p but were trading as high as 100p in February. We would see that upper level as the more likely direction of travel for the shares with 90p justified by a forward 2022E rating of 7.5x EV/EBITDA, c14x PE, commencement of dividends and significant deleveraging through high net cash flow generation.
Companies: Breedon Group Plc
The results from Xpediator for the six months to June were extraordinarily good. Revenues declined just 2.7%, with gross and operating margins modestly ahead - and this from a company with considerable exposure to the consumer. The results highlight the entrepreneurial nature of the business: new business was won and the utilisation of the Group’s Transport Solutions clients to find the best routes and rates when the pandemic closed several CEE borders. The dividend was increased by 61% y-o-y which highlights confidence in the outlook.
Journeo is a specialist provider of information systems and technical services to the transportation sector. Despite the disruption brought about by Covid-19, Journeo has delivered an excellent set of first half results, with a solid order book with which to underpin H2. First half revenues increased 18% to £6.8m (H1-2019: £5.7m) whilst operating profit increased £0.5m to £0.2m (H1-2019: loss £0.3m). Strong cash management in the period, a VAT payment deferral and a further small placing, results in net cash of £0.2m (FY 2019: -£1.0m), H1 net debt of £0.3m on an underlying1 basis. Order intake has continued into H2 with a further two significant contract awards (announced July/Aug), and smaller third, but nonetheless strategically important contract (TFC Fund - £0.3m) announced today. The sales pipeline is also said to be growing. As such, our FY 2020E estimates are unchanged this morning with our estimate of fair value at 75p.
Companies: Journeo Plc
Drax has announced additional loan facilities which will reduce its all-in cost of borrowing to below 4% and we see this as helping to give Drax the firepower to expand its US-based biomass feedstock business efficiently. We see this business as having growing importance as several governments look towards biomass carbon capture and storage as a key component of the net zero tool kit.
Companies: Drax Group Plc
The global specialist in technologies to enhance the properties of plastic (and some non-plastic) products by making them biodegradable, and/or to provide protection against threats to health and safety, has announced HY June 2020 results. In line with the guidance given at the July trading update of 16 July, revenues were up 17% to £4.8m, and Symphony reported a return to net profitability with PBT swinging from an £86k loss to a profit of £18k.
Companies: Symphony Environmental Technologies Plc