MPE has reported interim results for the period ending June 2020. The operational performance is strong (CPO-equivalent production up +31%) but gross margins are lagging our expectations. Despite upgrading our CPO price expectation +8%, we are trimming our FY expectations by c10%. Our price target – which is not driven off volatile short-term earnings – remains at 1,000p/share.
14 Sep 2020
M.P. Evans - H1 results: strong growth but mix holds back margin
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M.P. Evans - H1 results: strong growth but mix holds back margin
M.P. Evans Group PLC (MPE:LON) | 1,295 64.8 0.4% | Mkt Cap: 676.7m
- Published:
14 Sep 2020 -
Author:
Michael Clifton | Cavendish Research -
Pages:
12 -
MPE has reported interim results for the period ending June 2020. The operational performance is strong (CPO-equivalent production up +31%) but gross margins are lagging our expectations. Despite upgrading our CPO price expectation +8%, we are trimming our FY expectations by c10%. Our price target – which is not driven off volatile short-term earnings – remains at 1,000p/share.