Hybridan Small Cap Feast - 03 Apr 24

3rd April 2024 @HybridanLLP Status of this Note and Disclaimer This document has been issued to you by Hybridan LLP for information purposes only and should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall it, or the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating to such action. This document has no regard for the specific investment objecti

Croma Security Solutions - Encouraging contract news

This morning's contract announcement underscores CSSG's continuing progress in the healthcare sector. The company has announced a £0.4m contract for the installation of new security systems across an NHS Trust hospital, part of CSSG's budding relationship with the relevant Trust, which includes a number of other projects. CSSG is a leading provider of specialist security products, notably locks and related devices; and beyond this, of electronic security products and monitoring services, with

Croma Security Solutions - encouraging growth and further consolidation opportunities

CSSG has delivered a positive set of results this morning as indicated in last month's trading update. Revenues of £4.3m are 13% ahead YoY, generating £0.5m EBITDA, more than double the prior period, with PBT at £0.4m 43% ahead YoY. CSSG is a leading UK provider of specialist security products, notably locks and related devices; and of electronic security products including monitoring services. With a mix of organic (+7%) and acquisition-based growth, we view the momentum as encouraging and as r

Croma Security Solutions - H1 update: rapid pace of growth; contract streams underpin; M&A offers good opportunities

This morning's H1-24 update, covering the period to December '23, highlights further strong revenue growth, at 13.5% taking the company's H1 revenues to £4.3m and suggesting that the full year could be as much as c.£0.5m ahead, or potentially more, as against the prior year. CSSG is a leading UK provider of specialist security products, notably locks and related devices; and of electronic security products including monitoring services. We are encouraged by the continuing positive pace of grow

Hybridan Small Cap Feast - 08 Jan 24

8th January 2024 Happy New Year to all our Readers! @HybridanLLP Status of this Note and Disclaimer This document has been issued to you by Hybridan LLP for information purposes only and should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall it, or the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating to such action. This document has no regar

Hybridan Small Cap Feast - 07 Nov 23

7th November 2023 @HybridanLLP Status of this Note and Disclaimer This document has been issued to you by Hybridan LLP for information purposes only and should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall it, or the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating to such action. This document has no regard for the specific investment obje

Croma Security Solutions - FY results reflect continuing strong momentum

FY results from CSSG this morning reflect very healthy growth from the continuing business following the disposal of Vigilant. The company is a leading provider of specialist security products, notably locks and related devices; and beyond this, of electronic security products and monitoring services, with 14 security centres in the UK. Continuing revenues for the year to June '23, at £8.03m 38% ahead YoY, included significant underlying growth of 21%, while the overall underlying (ex-Vigilant)

Hybridan Small Cap Feast - 06 Jun 23

6th June 2023 @HybridanLLP Status of this Note and Disclaimer This document has been issued to you by Hybridan LLP for information purposes only and should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall it, or the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating to such action. This document has no regard for the specific investment objectiv

Croma Security Solutions (CSSG) – Corporate – Successful disposal of Vigilant, subject to shareholder approval

CSSG's announcement this morning brings to a successful conclusion, subject to shareholder approval, the disposal process for Vigilant, its manned guarding operation, announced at the company's AGM at the start of December last year (2022). The overall strategy behind the disposal recognises the disparity between the ongoing CSSG businesses (Security Systems and Locks) on the one hand and Vigilant on the other, and the relative lack of cross-selling opportunities between the sides of the busine

Croma Security Solutions (CSSG) – Corporate – H1 results reflect underlying growth in technology services / centres

Results from CSSG this morning reflect growth in the Continuing Group both on a reported and underlying (LFL) basis. Excluding Vigilant, which is separately classified, as a business which the company intends to divest, overall H1 revenues at £3.8m are 25.5% ahead YoY, while the overall gross margin has risen to 45% (was: 40.4%). Overall EBITDA at £0.46m was +18% ahead YoY, and PBT / EPS also well ahead – PBT +34%, EPS +31%. Cash on the balance sheet remained above £600k (with borrowings / l

WH Ireland: Croma Security Solutions (CSSG) - Complementary acquisition in security and locksmiths's reflects significant m&a opportunities

This morning's RNS from CSSG provides further colour to the significant m&a / consolidation opportunities in security systems and locksmith's following the recent AGM update which outlined the potential divestment of CSSG's specialist guarding services. A price of c.£0.75m for Safecell Security Group equates to a sub-4x historic PBT multiple based on the eleven months to November 2022, an undemanding multiple in our opinion. Moreover, based in Manchester, the acquisition is highly complementa

WH Ireland: Croma Security Solutions (CSSG) - Trading in line; AGM statement presages significant potential changes

Today's AGM update from CSSG highlights (1) continued inline trading, (2) plans to continue with the group's strategy in recent years of consolidating the locksmith's market, and (3) potentially a significant divestment (and accompanying Board changes) which would further that strategy. The proposal to divest CSSG's specialist guarding services, which accounted in FY22A for c.83% of sales and c.43% of operating profits (pre central costs) would significantly increase the focus on locksmiths (FY2

WH Ireland: Croma Security Solutions (CSSG) - FY22 results show underlying progress; major contract wins post-year end

This morning's set of final results from CSSG, covering the year to June '22, show underlying progress, with EBITDA at £1.59m outpacing FY21A £1.2m (excluding government support). The company encompasses three divisions, which focus respectively on specialist guarding services (manned by ex-military personnel in many cases), electronic security and locksmiths. All three divisions showed positive growth, notably Vigilant (revenues +8%), which accounts for 80%-plus of the overall business. Rec

Hybridan Small Cap Feast 15/09/22

Dish of the day Joiners: Aurrigo International Group (AURR) joins AIM. The a international provider of transport technology solutions has raised gross proceeds of £8m, at a price of 48 pence per Ordinary Share. Market Cap £20m. Fintech Asia (FINA) joins the Standard Segment of the Main Market. The investment company established to acquire businesses in the Fintech sector, primarily targeting the Asia-Pacific region, has raised £1,455,000 through the placing of 3,010,000 ordinary shares of no par

WH Ireland: Croma Security Solutions (CSSG) - H1 challenges faced down; a good start to second half

Reporting the six months to December 2021 (June year end), CSSG has succeeded in generating EPS up 13.8% to 2.97p (FY21 6.56p) on the back of EBITDA marginally ahead YoY and a 9% increase in revenues, which stood at £17.87m. We view these as very commendable results achieved against the backdrop of pandemic headwinds in the period. Prudently, the group has opted to retain its position on the dividend, ie that one will not be paid on the back of these results, though there may be a full year d

Renold - Strong end to FY24: EPS up 11%. Robust FY25: EPS up 27.6%

The FY24 year-end update is very upbeat signalling trading being materially ahead of expectations, with a better-than-expected profit out turn and stronger cash generation. It continues to strengthen margins through efficiencies and investment in modern equipment. The order book remains close to record levels providing a robust view of future forecasts. In FY24E we upgrade EPS by 11% and in FY25E a significant upgrade of 27.6%. It looks capable of declaring a dividend in FY25 as well as manageme

Morning Note – 16 April 2024

Billington Holdings - Record result boosts dividend; forecasts upgraded

FY23 results show very strong growth over FY22, driven by strong Structural Steel activity, with results slightly ahead of upgraded profit expectations, while stronger than expected cash flow resulted in an unexpectedly generous dividend of 33p (offering a FY23 yield of 7.0%). The group now has net cash of £22.1m and is debt free and is therefore in a strong position for potential M&A activity. Following the recent £90m of new orders to increase the order book to record levels we conservatively

Q1 Operating Results

Another Good Year of Diversified Growth with More to Come in 2024 CCapital have released their Q1 operating results. Overall, revenue has come in slightly lower than expected at $80.2m vs TamE of $85.9m but is largely tracking in line with our FY24 annual estimate and we note the company has maintained guidance. Drilling revenue for this quarter was impacted by a fall in utilisaztion rates as well as general remobilisation geographically but we expect a strong recovery throughout the year as k

Plant Health Care - China distribution with AMVAC

Plant Health Care announced it has signed a distribution agreement with AMVAC, an American Vanguard Company, to support commercialisation of novel fertiliser products incorporating Plant Health Care's Harpinαβ in China starting in 2024. The novel product combines Harpinαβ technology with an AMVAC fertiliser and is expected to help growers improve crop quality and yield as part of an integrated and environmentally responsible crop production programme. AMVAC continues to evaluate Plant Health Car

Morning Note – 15 April 2024

Severfield - Multiple positives should excite investors

Severfield’s trading update indicates that FY23 results are expected to slightly exceed market expectations and the company ends the year with a record UK and Europe order book. Furthermore, with a positive trading outlook and net debt coming in lower than expected, Severfield has announced a £10m share buyback, highlighting the cash-generative nature of the company and management’s confidence in its position. The stock trades on an FY25 P/E of less than 6x and yields 7%, which we believe appear

discoverIE - Back to organic growth

discoverIE’s March year-end update confirms a strong operational performance in challenging markets. Following two years when sales increased by +48%, FY 2024 Group sales were +1% ahead of 2023 at CER (reported -3%) driven by a +2% contribution from acquisitions and organic -1%. As expected, organic growth returned in the later part of the year (Q4 +2%, +11% sequentially) and the order book has reverted to normalised levels of c.4.5 months’ sales, which – combined with a continuing strong pipeli

Warns on brine supply costs

SP Angel . Morning View . Copper prices hold higher as China processing fees fall below $0/t amid low feedstock availability

PROGRESSIVE: Severfield: Targeted acquisition strategy aids growth path

Acquisitions have been an important element of Severfield management’s growth strategy, with the aim of adding new products, sectors and regions to what we have identified as exciting long-term organic opportunities. In this Spotlight report, we focus on the group’s targeted M&A approach, highlighting three significant deals.

LIBERUM: Severfield: Erratum: Better EPS and cashflow, and buyback

Invinity Energy Systems - Update on Strategic Investment

Invinity’s update on discussions with strategic investors reveals interest from multiple parties. While this has slightly delayed finalising an agreement it increases the potential for a better outcome. Although details are unknown at this stage, we think there is enough in the statement to be comfortable that any agreements will be consistent with the company’s strategy of growing market share in core markets and using a licencing and royalty model in other markets.

PROGRESSIVE: Severfield: Step change in European and Indian outlook

Severfield’s full-year results to March will be ‘slightly above’ the Board’s expectations, according to today’s trading update, with net debt significantly better. We maintain our PBT estimates for both forecast years, which are ahead of consensus, but reduce our net debt for FY24E. Record orders were boosted by the steel specialist’s European operations, after last year’s Voortman acquisition, while the Indian JV has seen ‘another step up in profitability’. The group has also launched its first

Clean and competitive fertiliser