WHI Support Services Sector Comment: Challenges and opportunities

Bleak expectations for the UK economy in 2023 anticipate underperformance against other G7 countries based on factors such as (a) the UK's higher than average mortgage rate sensitivity and (b) relative exposure to high gas and energy prices. Some measure of political / economic stability has returned, though this arguably remains a brittle quality, given the scope for dissent within the Conservative party and the unpredictable impacts of industrial action, among a range of factors. All of this s

WH Ireland: Anexo Group (ANX) - Record results demonstrate strength of model; cash-generative in FY, huge markets

Strong H1 results from ANX this morning reflect the strength of its model, with excellent H1 growth driven by the expansion in vehicle numbers in the latter part of FY21 and momentum continuing to build in the Housing Disrepair business stream (revenues up 113%). ANX is the UK market-leader in credit hire and legal services for impecunious no-fault motorists, including litigation on their behalf as required to extract payment from at-fault motorist's insurer; and this remains a strong revenue s

Anexo Group* - Pivoting towards HDR and emissions?

Pivoting towards HDR and emissions?

Anexo: A changing business model

Anexo has announced impressive H1 22 results, with 42% revenue growth and 53% PBT growth underpinned by strong demand in the Credit Hire business and a doubling of revenue and profit in the Housing Disrepair division. Continued investment in the Legal Services division resulted in 20% growth in cash collections. The Board has highlighted that the emissions opportunity warrants significantly increased investment and that shareholders’ interests would be better served by Anexo paying an annual div

WH ireland: Anexo Group (ANX) - Housing Disrepair – White Paper highlights major opportunity for ANX

We view last week's White Paper as underlining again the significant opportunity for ANX's Housing Disrepair business, which started operations last year and has already enjoyed notable success, as reflected in last Thursday's AGM update. The White Paper is a harbinger of the much-touted Housing Reform Bill, announced in the May 2022 Queen's Speech, having been delayed by the pandemic. Given its well-established pedigree in litigating on behalf of the impecunious, ANX is extremely well positio

WH Ireland: Anexo Group (ANX) - Leading player and first mover in substantial markets

This morning's AGM statement from Anexo (ANX) shows momentum continuing to build, with good progress both in the Credit Hire and nascent Housing Disrepair activities. The company has developed an exceptional business over a number of years, largely by providing credit hire and legal services to no-fault motorists, who could not otherwise afford to replace their vehicle through their own resources, and undertaking litigation on their behalf when necessary to recover the cost of hire from the at-f

Anexo: Investment continuing to pay off

Ahead of today’s AGM, Anexo has issued a confident trading statement covering the first four months of FY22. The update follows last month’s announcement of strong FY21 results, including a 53% growth in pre-tax profit to £23.7m, underpinned by a 36% revenue increase. The investment made by Anexo generated strong growth in 2021, which has continued into the first four months of 2022.

Anexo Group* - Housing Disrepair starting to gather pace

Housing Disrepair starting to gather pace

Anexo Group* - 1 class-action down, Mercedes next…

Volkswagen yesterday reached an out-of-court settlement with the Slater & Gordon dieselgate class action. A payment of £193mn is being made to the claimants, with a separate contribution for legal costs and other fees. This settlement relates to the first tranche of claims against VW, with Anexo involved in a second, but not subordinate, tranche of claims. We would expect VW to settle with Anexo on similar terms, in due course.

WH Ireland: Anexo Group (ANX) - Substantial VW Therium settlement promises well for ANX

Following on from strong results from ANX a few days ago, yesterday's news from Therium, a leading global provider of legal finance, that an out of court settlement has been reached with 90,000-plus claimants against Volkswagen in the so-called “Dieselgate” emissions case, would seem to be very encouraging for ANX. Therium has announced a settlement benefiting its claimants to the tune of £193m, suggesting a benchmark of well over £2,000 per VW customer, with in addition separate contributions

Anexo Group* -

Stronger than expected results: Trading was robust last year, with FY21 group revenues +36.2% to £118.2mn. Anexo had guided in January that pre-tax profits would significantly exceed market expectations and adj. PBT of £24.1mn for the full year was +49.7% y/y, broadly in line with our revised forecast. This was even after significant investment across the group, which together with a favourable market backdrop, under-pins our FY22 forecasts, with an upward bias to FY23. Finally, we continue to e

The rewards of investment

Anexo has announced a strong set of results for FY21. Revenue of £118.2m was 8% above our forecast and underpinned 53% pre-tax profit growth to £23.7m. Management’s decision to invest in challenging markets is reaping rewards. The Credit Hire and Legal Services divisions produced strong results and the Housing Disrepair Team has had a strong start.

Time Finance: The rewards of investment

Revenue of £118.2m was 8% above our forecast and underpinned 53% pre-tax profit growth to £23.7m. Management’s decision to invest in challenging markets is reaping rewards. The Credit Hire and Legal Services divisions produced strong results and the Housing Disrepair Team has had a strong start.

WH Ireland: Anexo Group (ANX) - Positive FY21 results following significant upgrades in the market in January – expanded services, investment in growth

ANX's FY21A results announcement this morning demonstrates that the business continues to drive forward very strongly and that last year was no exception, notwithstanding the challenges thrown up by Covid. Inline results are aligned to forecasts in the market which saw double digit upgrades in January. The company is a specialist integrated credit hire and legal services group focused on providing replacement vehicles and associated legal services to impecunious customers, whose rights are st

Hybridan Small Cap Feast - 23 Mar 23

23 March 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

Audioboom Group - Robust FY22 results, maiden 8p dividend planned for FY23

In today’s FY22 results, Audioboom has reported adjusted EBITDA and net cash in line with the January trading update, highlighted an encouraging start to FY23, and announced plans to pay a maiden FY23 dividend. FY22 revenue growth of +24% yoy to $74.9m has been driven by +16% growth from core premium sales, +70% growth from Showcase, and +37% yoy growth from Sonic, and enabled Audioboom to outperform the wider podcast industry for the sixth consecutive year. A tight control on cost drove adjuste

A maturing portfolio

Frontier IP has reported interim results (H123) that reflect a period of strong technical progress but without the large revaluations of previous periods. Net assets per share decreased to 88.2p (FY22: 88.5p) while Net Cash increased to £5.8m providing the Group with a multi-year cash runway. H123 saw a number of important commercial and technical developments with FIPPs management highlighting Pulsiv and Alusid as moving beyond inflection points. A £0.5m pre-tax loss reflects no major net reval

Hybridan Small Cap Feast - 21 Mar 23

21 March 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

Hybridan Small Cap Feast - 24 Mar 23

24 March 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

Cenkos: Braemar Plc -- Record revenue and profitability

In a trading update for the year to 28 February 2023, Braemar highlighted record revenue and profitability for the period. Braemar expects to report revenue not less than £150m, up at least 48.1% on FY22A, and underlying operating profit of not less than £20m, c100% ahead of FY22A, with all parts of the business performing well and further helped by a positive dollar FX tailwind. Braemar has increased its investment in the business during H2/23 and with trading in the current year staring well,

Fintel plc (FNTL LN) - Growth driven by FinTech

Fintel’s 2022 results provides details behind its January pre-close, which revealed: • 8% core revenue growth to £56.4m (FY21: £52.2m) • 7% core SaaS & Subscription revenue growth to £36.8m (FY21: £34.3m) • 4% total revenue growth to £66.5m (FY21: £63.9m), including surveying & panel management • Adjusted EBITDA growing.6% to £19.4m, in line with Board expectations (FY21: 6%), while adjusted core EBITDA grew 9% to £18.6m (Zeus forecast: £18.0m) • 118% (FY21: 116%) operating cash conversion,

SP Angel Morning View:Copper prices tick higher on improving fundamentals as Trafigura expects $12,000/t

Bioventix - Interims – a strong start to the year underpins FY forecast

Bioventix delivered a strong set of interims, with revenues up 25% to £5.9m, adjusted EBITDA +24% to £4.7m and adjusted pre-tax profit up 26% to £4.6m. Due to a weaker GBP, translation of overseas revenues boosted revenues by c.9% (c.£0.4m), implying a still strong 16% CER growth rate. In line with its policy of maintaining c.£5m cash on the balance sheet, an interim dividend of 62p was declared (+19%), with net cash at period end of £5.15m. Revenue growth was well balanced, with troponin revenu

Hybridan Small Cap Feast - 16 Mar 23

16 March 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

FY22 update – Performance in-line & board changes

RBGP has published its FY22 pre-close trading update this morning. Unaudited FY22 revenue, adj. EBITDA and adj. operating profit are expected to be in-line with our estimates. Professional Services, saw good performances across both, the legal services and sell-side corporate finance offering. Whilst there is no resolution on decreasing exposure to LionFish, the Group is encouraged by accelerating developments. RBGP also announced a number of changes to the board, with Nicola Foulston, CEO, havi

Pricing power underpins expectations

Morning Note – 23 March 2023

Morning Note – 27 March 2023

Solid Q4 NAV, Hydro demonstrates its power

The Q4 NAV rose 1p (net of a 1.25p dividend) to 118.7p, taking the NAV TR for the year to 19.6%. DORE’s solid Q4 performance was the product of multiple countervailing forces (detailed below). DORE’s decision to store (in early Q4) hydro-generation capacity (water) in its dams facilitated higher value generation later in the period and above expected hydropower revenues. In light of recently published discount rates for UK Solar (7.0%-7.5%), DORE’s valuation of its UK Solar assets at 8% feels co