Event in Progress:
Discover the latest content that has just been published on Research Tree
Techstep’s Q3 sales were slightly disappointing although the gross- and EBITDA margins were intact, supporting our 2021 estimate. We continue to view Techstep as well positioned for growth and margin expansion, supported by ambitious targets from its recent CMD. We though recognize that the transition from hardware to more advisory and software in the earnings mix will take time. As such, we lower our target price to NOK 6 (7.1), but reiterate our Buy rating.
Companies: Techstep ASA
Arctic Securities
Acquisition of eConnectivity in Sweden Strengthening Techstep’s managed mobility services offering Small acquisition, ~NOK 11m in equity value (~1.4x Price/sales) Acquires eConnectivity and strengthens its MMS offering
Acquisition of eConnectivity in Sweden Strengthening Techstep’s managed mobility services offering Small acquisition, ~NOK 11m in equity value (~1.4x Price/sales) Supporting its strategy on becoming a leading MMS provider
The CMD focuses on growth in managed devices with own software Targeting >1m managed devices by 2025 vs ~200k currently Targeting an EBITDA/GP of >30% by 2025 vs our 2024 estimate of 30% Minor estimate changes expected
Revenues 15% below estimates, and EBITDA 8% below adj. for one-offs One-off at NOK 7m inflated reported EBITDA. EBITDA/GP margin intact. Annual recurring revenue of NOK 37.6m, 7% YoY, was 1% below ARCe Figures point to a slightly negative report compared to our estimate
We initiate coverage of Techstep with a BUY recommendation and NOK 7.1 target price. Techstep is well positioned to take advantage of the current demand trends and a growing market, supporting growth and further improvement of EBITDA margins. The recent acquisition of Optidev and growth in software sales will offset declining gross margins in hardware due to an improved sales mix and increased proportion of recurring revenues.
Research Tree provides access to ongoing research coverage, media content and regulatory news on Techstep ASA. We currently have 13 research reports from 1 professional analysts.
Journeo has confirmed record results for FY23A, in-line with recent upgraded expectations across the board. FY23A revenue increased significantly by 118% to £46.1m (including 20% organic growth) and Adj PBT increased 270% to £4m, representing a near doubling of the Adj PBT margin. Journeo has positioned itself for a period of sustained growth following the transformational Infotec acquisition, the bolt-on MultiQ acquisition and ongoing R&D in the existing business. Journeo looks compelling on an
Companies: Journeo plc
Cavendish
Craneware is the market leader in value cycle SaaS provision in the US with a 40% market penetration and the ambition to become ubiquitous in US hospitals. The shackles of Covid disruption, digestion of the Sentry acquisition, and the transitioning of its customers to the fully cloud based Trisus platform, have fallen away and opened up new sales opportunities for the group. While the shares have out-performed strongly, multiples look reasonable compared with peers. We calculate a DCF based fair
Companies: Craneware plc
Capital Access Group
In 2023, the company delivered strong 13% organic constant currency revenue growth and Adjusted EBITDA in line with expectations, even after including one-off inventory provisions.
Companies: Big Technologies PLC
Zeus Capital
Companies: CML Microsystems Plc
Shore Capital
Companies: FOG PEB KBT EMR TIME GETB JNEO
The trading update confirms revenues in line with our expectations. Excess inventory flow through and market softness in China have impacted CML’s core business, but Microwave Technologies Inc (MwT) is performing ahead of expectations. The net effect, along with MwT acquisition related costs, is that Reported PBT and EBITDA are to be lower than expectations, but not substantially so. The long-term investment case is founded upon the opportunity in next-generation wireless and, with £18m cash and
Progressive Equity Research
Companies: Nanoco Group PLC
Turner Pope Investments
Nanoco, the world-leading provider of cadmium-free Quantum Dot technology, has reported positive 1H24 results, and stated that FY24 performance is expected to be in-line with market expectations. We reiterate our FY24E forecasts. Operationally, the company has achieved strong progress over the past six months, and the interims statement includes further progress on the company’s next-generation revenue programmes being implemented post period end. We maintain our 60.2p price target.
GetBusy’s FY23 results show organic revenue growth of +10% to £21.1m, FY23 adjusted EBITDA +£0.1m ahead of our +£0.3m upgrade at the January trading update, and a promising outlook that leads us to reiterate our FY24E forecasts. At constant currency, ARR grew +10% yoy to £20.5m, recurring revenue grew +12% to £20.3m, and net revenue retention of 100.0% per month reflects upselling and price increases, with gross monthly churn of 0.8% per month vs 0.9% in FY22. Within SmartVault, the July 2023 la
Companies: GetBusy Plc
Companies: PMG DUKE CMCL BOOM
Companies: FOG TND BVXP ACC HDD
Broadcast playout automation solutions provider Pebble Beach has reported confident FY23 results to Dec 2023 in line with updated January trading update expectations, and has announced the much-anticipated Project Oceans will launch as PRIMA (Platform for Real-time Integrated Media Applications) in April 2024. This underpins a mid-term 80% recurring revenue ambition and expansion in addressable market. FY23 delivered +11% revenue growth to £12.4m, which benefitted from the unwind of defensive in
Companies: Pebble Beach Systems Group PLC
Companies: LPA SOLI NANO QTX
Sondrel has announced it has secured an additional £2m convertible loan note with ROX Equity Partners to fund near-term payroll and working capital needs. The terms are similar to the ones agreed for £0.9m CLN in Feb 2024 with a 15% interest rate, a three-year repayment term, and is expected to convert into ordinary shares at 10 pence each. The proposed fundraise that is open to existing shareholders has now increased from £6.5m to £8.5m (including the proceeds from the CLNs), with a subsequent
Companies: Sondrel (Holdings) Ltd.
Companies: BILN IGP RBN SBTX
Share: