The year-end close trading update from Northbridge IS confirms a second consecutive year of profitability, with estimates increasing in reflection of the strong end to the year. Tasman’s momentum seen in H2 19 and Q1 20 faltered in Q2 20 due to pandemic-related manning issues at rigs, albeit with a degree of recovery emerging in Q4 20. Crestchic performed strongly, particularly within manufacturing, with datacentre testing proving to be a strong market. While Q1 21 has started slowly, owing to the latest lockdowns in Europe, the Crestchic manufacturing order book is currently at record levels, and mass vaccinations globally should result in a better H2 at Tasman. Yet Northbridge shares are trading 9% below NAV and at a 50%+ discount to the average of its peers on a price/book and a price/sales basis.
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Positive end to the year augurs well
- Published:
09 Feb 2021 -
Author:
Hannah Crowe | David O’Brien -
Pages:
9
The year-end close trading update from Northbridge IS confirms a second consecutive year of profitability, with estimates increasing in reflection of the strong end to the year. Tasman’s momentum seen in H2 19 and Q1 20 faltered in Q2 20 due to pandemic-related manning issues at rigs, albeit with a degree of recovery emerging in Q4 20. Crestchic performed strongly, particularly within manufacturing, with datacentre testing proving to be a strong market. While Q1 21 has started slowly, owing to the latest lockdowns in Europe, the Crestchic manufacturing order book is currently at record levels, and mass vaccinations globally should result in a better H2 at Tasman. Yet Northbridge shares are trading 9% below NAV and at a 50%+ discount to the average of its peers on a price/book and a price/sales basis.