Today’s AGM trading update states that Gamma has made a strong start to the year in its UK businesses, while the challenging economic environment and some impact from foreign exchange have contributed to the European businesses making a slower start. Recent acquisitions are performing in line with expectations. Cash generation remains strong, with net cash of £140.4m as at 30 April (vs £101.3m last year). Management expects adjusted EBITDA and adjusted EPS to be in line with current market expectations for FY24. We maintain our forecasts and note that, despite recent share price strength, the shares continue trade at lower multiples than we were accustomed to prior to the pandemic.
21 May 2024
PROGRESSIVE: Gamma Communications: Strong start to the year in UK businesses
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PROGRESSIVE: Gamma Communications: Strong start to the year in UK businesses
Gamma Communications PLC (GAMA:LON) | 1,443 28.9 0.1% | Mkt Cap: 1,397m
- Published:
21 May 2024 -
Author:
Gareth Evans -
Pages:
3
Today’s AGM trading update states that Gamma has made a strong start to the year in its UK businesses, while the challenging economic environment and some impact from foreign exchange have contributed to the European businesses making a slower start. Recent acquisitions are performing in line with expectations. Cash generation remains strong, with net cash of £140.4m as at 30 April (vs £101.3m last year). Management expects adjusted EBITDA and adjusted EPS to be in line with current market expectations for FY24. We maintain our forecasts and note that, despite recent share price strength, the shares continue trade at lower multiples than we were accustomed to prior to the pandemic.