The trading update from Northbridge ahead of its AGM was positive, with activity levels within the core Crestchic loadbank division markedly higher YoY. Good order visibility into Q3 underlines their confidence in the outlook. The timetable to dispose of Tasman at a sensible price remains intact whilst work is expected to commence on the extension of manufacturing in Burton-on-Trent during Q3, adding 50% to capacity. Although global economic recovery is building nicely, we are not yet changing revenue and EBIT projections, although the restructuring of the balance sheet and conversion/settlement of the loan notes reduces net interest. On this basis, we have increased our adj. EPS projections by 5.6% and still feel the current share price materially fails to reflect fair value.
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Good news from Crestchic and on refinancing
- Published:
15 Jun 2021 -
Author:
Hannah Crowe | David O’Brien -
Pages:
6
The trading update from Northbridge ahead of its AGM was positive, with activity levels within the core Crestchic loadbank division markedly higher YoY. Good order visibility into Q3 underlines their confidence in the outlook. The timetable to dispose of Tasman at a sensible price remains intact whilst work is expected to commence on the extension of manufacturing in Burton-on-Trent during Q3, adding 50% to capacity. Although global economic recovery is building nicely, we are not yet changing revenue and EBIT projections, although the restructuring of the balance sheet and conversion/settlement of the loan notes reduces net interest. On this basis, we have increased our adj. EPS projections by 5.6% and still feel the current share price materially fails to reflect fair value.