Hybridan Small Cap Feast - 26 Mar 24

26th March 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 object

Morning Note – 25 March 2024

Morning Note – 22 February 2024

Allenby Capital - Hardide prelims

Hardide plc (HDD.L) has launched a £1m fundraising and we set out the rationale below. The business is at an intriguing point in its lifecycle as it transitions from an engineering business to a commercially focused entity seeking to capitalise upon its bespoke coating technologies. These have multiple applications for industrial manufacturers across a broad range of global industries, the benefits of which have been proven via its substantial investment in R&D and testing on behalf of existing

Hybridan Small Cap Feast - 08 Feb 24

8th February 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 obje

Morning Note – 8 February 2024

Hardide - FY23 results in line – reduced FY24 on weak Q1 trading

Results are in line with expectations. The group has seen a 10% increase in revenues from a strong oil & gas sector and from an increase in aerospace demand in Q4. The £0.8m reduction in EBITDA loss to £0.1m is creditable, with an improvement in working capital in the period. Since the start of the year, Q1 has seen some customer destocking and has been below expectations. This has had an effect on cash position and the group is seeking additional equity and debt funding. As such, we place our T

Hybridan Small Cap Feast - 18 Oct 23

18th October 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

Allenby Capital: Update - Higher selling prices and cost control benefit FY23e

Hardide plc’s (HDD.L) year-end trading update confirmed FY23e EBITDA at around breakeven. That’s in line with our forecasts, on the back of c. £5.5m revenues, 10% up on the prior year. The latter came in below forecast (ACLe: £6.1m); EBITDA benefited from a combination of a disciplined approach to costs and higher selling prices rolled out during Q2 and Q4. The FY24 outlook is supported by both the leaner expense base and an anticipated higher full year contribution from Airbus for A320/A321 com

Allenby Capital - Hardide pre-close update

Hardide plc’s (HDD.L) year-end trading update confirmed FY23e EBITDA at around breakeven. That’s in line with our forecasts, on the back of c. £5.5m revenues, 10% up on the prior year. The latter came in below forecast (ACLe: £6.1m); EBITDA benefited from a combination of a disciplined approach to costs and higher selling prices rolled out during Q2 and Q4. The FY24 outlook is supported by both the leaner expense base and an anticipated higher full year contribution from Airbus for A320/A321 com

Morning Note – 18 October 2023

Hardide - Year-end update – FY23 close to EBITDA breakeven

The group has announced a reassuring year-end update that points to the group trading close to EBITDA breakeven in FY23. It has achieved this despite slightly lower revenue and some previously highlighted work in the gas turbine market being rescheduled to FY24. It gained £0.7m from profit and working capital initiatives, twice the original target. The momentum of Q4 has continued, with aerospace customer schedules showing growth and the anticipated gas turbine orders rescheduled from FY23 to FY

Hybridan Small Cap Feast - 17 May 23

17th May 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

Hardide interims

A positive first half - revenues 9% up y-o-y, 22% ahead of H2 22 – reflects improving oil & gas sector markets, new business flows and successful recovery of input cost inflation via higher selling prices. Significantly, HDD achieved EBITDA breakeven in the period and moved closer towards positive cash generation, a key financial milestone. Revenues are well diversified by industry and client, and visibility is underpinned by contractual relationships and potential for materially higher demand f

Morning Note – 17 May 2023

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

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

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

Morning Note – 16 April 2024

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

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

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

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.

Hardman & Co Insight: 2023 was an annus horribilis for Quoted UK Infrastructure and Renewable Energy

The focus of Hardman & Co Research is on the nine quoted Infrastructure Investment Companies (IICs) and on the 22 Renewable Energy Infrastructure Funds (REIFs): the stocks analysed are all members of the Association of Investment Companies (AIC). We are updating our publication of January 2023, assessing both the lacklustre share price performances during 2023 and the key issues, including interest rates, inflation and power prices. As a 31-strong group, its combined market capitalisation is no

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.

Clean and competitive fertiliser