Research, Charts & Company Announcements
Research Tree provides access to ongoing research coverage, media content and regulatory news on FOMENTO DE CONSTRUC Y CONTRA. We currently have 7 research reports from 1 professional analysts.
Frequency of research reports
Research reports on
FOMENTO DE CONSTRUC Y CONTRA
FOMENTO DE CONSTRUC Y CONTRA
Misleading growth in EBITDA, adjusted FCFE still negative
27 Oct 16
Key information • Net sales decreased by 8.6%. • EBITDA increased by 3.4%. • EBITDA margin increased by 1.6pp to 14.0%. • EBIT was negative due to the impairment of goodwill in the cement business for €299.9m. • Net debt decreased by 23.7% to €4.2bn compared to the end of 2015 thanks to a capital increase in Q2. • Net financial expense decrease by 22.4%.
Extraordinary items boosted the bottom line, FCC still overpriced
01 Aug 16
Key information: • Net sales decreased by 8.7%. • EBITDA up by 1.3%. • EBITDA margin improved by 130bp to 13.0%. • EBIT decreased by 22.1%, but adjusted EBIT increased by 12.1%. • EBIT margin worsened by 70bp to 4.2%. • Income from continuing operations increased by 12.9%. • Net income at €54.8m in H1 16 versus €-11.9m in H1 15. • Strong operating cash flow generation at €324.8m in H1 16 vs €-131.1m in H1 15. • Net debt decreased by 19.5% to €4.4bn. • Backlog decreased by 3.1%.
Poor performance due to the strong contraction in the Construction division
09 May 16
Key information: • Revenue declined by 6.8%. • EBITDA decreased by 9.3%. • EBITDA margin at 11.1%. • EBIT decreased by 25.5%. • €17m net loss in Q1 16 versus a net profit of €6m in Q1 15. • Construction revenue declined by 19%. • Environmental activities accounted for c.90% of EBITDA. • Undersubscription of the capital increase.
Still in debt-overhang, FCC posted results roughly in line with consensus
29 Feb 16
h2. Key information • Revenue increased by 2.2%. • EBITDA increased by 1.3%. • Net loss of €46m vs net loss of €742m in 2014. • Adjusted EPS of €0.16 vs consensus of €0.13. • Backlog decreased by 1.5%. • No improvement in operating cash flow which remains roughly stable compared to 2014. • Increase in net debt by 9% to €5.5bn. • FCC is committed to taking the necessary steps to increase its capital by €710m at an issue price of €6 per share. The transaction is intended to strengthen the group's capital structure and reduce interest-bearing debt. • The company will, however, remain overleveraged.
Board of Directors approve capital increase
22 Dec 15
FCC’s management announced on the evening of 17 December that a capital increase of €709.5m was approved by the Board of Directors. In our opinion, the capital increase is good news. The price seems fair for current shareholders (the previous capital increase was done at a 50% discount at €7.5 – please see 13/11/2015 Latest – whereas this one is done at a premium). A €709.5m capital increase at €6 per share means that 118.5m shares have been raised, namely a c.20% difference with our forecast. This will allow the company to buy back the tranche B debt (see table below) and to avoid a costly dilution from the conversion of tranche B debt to FCC shares, which was the main factor in the sharp decrease in the share price during the last few months in our opinion (the lower the share price, the higher the potential dilution from conversion, which engendered a vicious circle). p=.*Debt restructuring* p=.!debt.PNG! p=._Source: FCC’s presentation_
New capital increase expected
13 Nov 15
Key information : • Revenue up by 4.4% to €4,792m over 9m15. • EBITDA increased by 2% over 9m15. • EBITDA margin decreased from 12.7% to 12.4% over 9m15. • EBIT at €274m for 9m15 versus €-461m for 9m14. • Net result at €-21.5m for 9m15 versus €-796.3m for 9m14. • Net financial expenses decreased by 27%. • Operating cash flow, revised for interest paid, remains in negative territory. • Net equity remains roughly stable (compared to December 2014) at a low level, namely €517m. • Net debt (comprising financial assets) increased by 14% to €5,718m compared to the end of 2014. • Backlog decreased by 1% compared to December 2014. • Carlos M Jarque has been appointed CEO. • In June, AGM agreed upon a capital increase of up to 50% of the actual number of shares.
08 Dec 16
Elderstreet stake acquired 02 GENERAL NEWS Globalworth premium In this issue Venture capital firm Draper Esprit has taken a 30.8% stake in venture capital trust manager Elderstreet. Both investment managers focus on the technology sector and they will be able to co-invest. Elderstreet has investments in a number of AIM-quoted companies through its VCTs. The purchase was funded by an issue of Draper Esprit shares worth just over £250,000. Simon Cook, the chief executive of Draper Esprit, is a former partner at Elderstreet so he knows the business and the people who run it, although he did leave more than 14 years ago. Cook has previously acquired portfolios from 3i and Cazenove, two other firms where he has worked. Draper Esprit has an option to acquire the remaining shares in Elderstreet, which has more than £25m under management. Adding Elderstreet to the group enables Draper Esprit to offer investors a range of EIS funds, VCTs and an ISA qualifying listed evergreen patient capital fund. The enlarged group has venture capital assets under management of more than £350m. At the end of September 2016, Draper Esprit had a net asset value of 352p a share, which is similar to the current share price. The June 2016 flotation price was 300p a share. Draper Esprit is quoted on Ireland’s Enterprise Securities Market as well as AIM.
Focused on the long term
08 Dec 16
These are rare events but it is nice to see a management use its public listing advantageously to trade short-term dilution in EPS for the optionality of asymmetric upside in the long term. With over £10m already in the balance sheet, ABD has successfully raised £5.4m gross in a placing and expects to raise another £1m from an offer. We were not surprised to learn that the placing was over 3.5x oversubscribed. How many listed UK companies are positioned to take advantage of the digital revolution in the automotive industry? The additional investment in new people, facilities, products & services should be dilutive to FY2017-18 EPS but this is small price to pay to establish the leading supplier of integrated test, measurement and simulation solutions to the autonomous vehicle industry. Our forecasts assume that growth will accelerate from FY2019. We raise our target price to 575p based on 15x FY2019 EPS, equivalent to Ricardo, the only other UK stock which has embraced the optionalities offered by the technological changes in the automotive industry.
07 Dec 16
Severfield’s (SFR’s) H117 results were well ahead of the previous year; margin performance and order book development cause us to raise our FY17 profit expectations. This combination has also proved to be a catalyst for share price outperformance following the results. Revenue growth and further margin development towards management’s stated aim of doubling FY16 PBT by 2020 can sustain further progress.
Exceptional trading continues
08 Nov 16
Keywords has announced that the strong trading in localisation and audio services has continued into H216. In particular, the Synthesis business acquired in April continues to benefit from exceptionally strong trading. Full-year results are now expected to be materially ahead of consensus and we upgrade our FY16e EPS by 13%. Erring on the side of caution, we have not changed our FY17 estimates significantly. Nevertheless, we believe the company does have a platform to sustain double-digit earnings growth, and hence medium-/long-term prospects for further share appreciation remain good.
N+1 Singer - Waterman Group - Encouraging AGM statement in line with expectations
09 Dec 16
This morning’s AGM Statement confirms that trading in the first four months of the year to 31st October was in line with expectations. Revenue was slightly above the prior year period and cash collection has remained strong. The Group has reiterated its commitment to maintaining a progressive dividend policy. The statement is encouraging and we therefore leave our forecasts unchanged. We note the attractions of a 5% dividend yield and consider the shares inexpensive at 4.5x FY’17 EV/EBITDA.