SP Angel Spec Sits HERC.LN: Well ahead

Trading in FY24E is expected to be well ahead of expectations. We attribute this to strong trading over the summer period in the Labour Supply and Civil Projects divisions. We have upgraded both our FY24E and FY25E forecast to reflect the enlarged revenue footprint. We maintain our 80p price target implying over 60% upside to the current share price.

Trading well ahead of expectations

A strong year end update from Hercules this morning confirms another period of impressive organic revenue growth, well ahead of expectations. This prompts 11% upgrades to our revenue and adjusted EBITDA forecasts, sustaining recent momentum into the new financial year. Hercules is led by an entrepreneurial and ambitious management team with additional firepower - following last month’s £8m fundraise - to take advantage of opportunities as they arise. Hercules expects to report another record

Hybridan Small Cap Feast - 9 October 2024

* A corporate client of Hybridan LLP ** Potential means Intention to Float (ITF) has been announced, or it is a rumour ***Arranged by type of listing and date of announcement ****Alphabetically arranged Share prices and market capitalisations taken from the current price on the day of publication Dish of the day Admissions: None Delistings: Ascential (ASCL.L) delisted from AIM. What’s baking in the oven? ITF announced:*** Potential** Initial Public Offerings: 30th September 2024: Applied Nutriti

Morning Note – 9 October 2024

Hercules Site Services - Excellent trading update

Hercules has released a very positive trading update in which it confirms that FY24E revenue is expected to exceed £105m – considerably ahead of our £95.7m forecast. Civil Projects has benefited from the well-documented troubles within the water industry that are requiring increased investment on infrastructure projects. Meanwhile, the number of staff deployed on HS2 continues to rise, and work has recently begun on Sizewell C. Given the group’s continued strong performance, we upgrade our forec

SP Angel Spec Sits HERC.LN: £11m deal size increases free float

Hercules has announced a proposed Placing and Subscription to raise gross proceeds of £8m. Together with a secondary sell-down, which takes the total deal size to £11m, Hercules Real Estate will see its shareholding fall to 45% post shareholder approval of the transaction. The net proceeds will be used to grow the business both organically and inorganically.

Fundraising to support growth ambitions

Hercules has announced a placing and subscription to raise gross proceeds of £8m, strengthening the balance sheet and supporting future growth ambitions. The funds have been raised from two successful entrepreneurs and existing institutional investors. The fundraising has been supported by two successful entrepreneurs, Martin Tedham, majority shareholder of Wasdell Packaging Limited (a £75m revenue business) and Ged Mason OBE, who has decades of experience in the recruitment sector as CEO of M

Morning Note – 9 September 2024

Hercules Site Services - Share placing to support growth opportunities

Hercules has conditionally raised c.£8m in new money at 49.5p to strengthen its balance sheet and better enable it to take advantage of organic and inorganic growth opportunities in the construction and labour supply sectors. A secondary sell-down of c.£3m by Hercules Real Estate Ltd (“HRE”), a company controlled by founder-CEO Brusk and his wife, has also been completed, taking HRE’s holding from c.66% to c.45%; a step towards a more appropriate level for the CEO of a PLC. We update our forecas

Q3 update highlights continuing momentum

Hercules’ Q3 update follows upbeat interim results in June and gives us further confidence in our forecasts for the current year (we make no changes to estimates). Further contract successes have been achieved across the Group and Hercules looks to be well positioned to benefit from the new government’s infrastructure and housebuilding commitments over the coming years. Labour supply, the Group’s largest division, delivered strong growth in H1 (revenue +25%), and has reported continued success

Morning Note – 25 July 2024

SP Angel Spec Sits HERC.LN: 30% Organic Growth

Excellent H1 performance, well on track for full year

Hercules’ H1 results confirm another excellent performance culminating in record revenues, EBITDA and PBT. The Group is on track to meet market expectations for the full year. All three businesses reported double-digit growth for H1, benefiting from underlying market demand, Hercules’ investment in new service lines and technology, as well as a maiden contribution from the Future Build acquisition. Contract momentum continues, with over £5m in civil projects and new framework agreements signed