H1 results show continued strong growth in Laundry and a faster than expected recovery in Japan but slower B2B and third party sales in the UK. These later two points are expected to improve in H2 and guidance for the full year is maintained but there is clearly some risk here. We retain our target price of 183p based on a 5% FY 2019E free cash flow yield.
10 Dec 2018
Laundry continues on growth path
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Laundry continues on growth path
ME Group International plc (MEGP:LON) | 166 4.3 1.6% | Mkt Cap: 625.1m
- Published:
10 Dec 2018 -
Author:
Guy Hewett -
Pages:
7
H1 results show continued strong growth in Laundry and a faster than expected recovery in Japan but slower B2B and third party sales in the UK. These later two points are expected to improve in H2 and guidance for the full year is maintained but there is clearly some risk here. We retain our target price of 183p based on a 5% FY 2019E free cash flow yield.