Food Production

Food Production equity research

Explore the most viewed and latest equity research and media content for companies within the Food Production sector. Stocks operating in this sector provide services ranging from agriculture & fishing to general food production.

Food Production equity research

10 Aug 17

A watershed moment for CAR-T

In the short term we retain our sector neutral recommendation, as drug pricing, uncertainty over healthcare reform in the US, and Brexit in Europe create a more challenging backdrop. However, the long term trends in healthcare – an aging population, rising spending on healthcare globally both in developed and emerging markets and innovation changing healthcare practice – in addition to the rapid pace of technology development, make it an attractive time for stock picking.

Companies: ABC AMS AGY ANCR BTG C4XD CTH CSRT DPH DNL EKF FARN HCM HZD IMM MXCT MTPH PLI SCLP SPHR VLG VER

27 Jun 17

Machinations

We recently hosted our annual Industrial Technology dinner with 14 companies, many of which are active in the materials science arena; having focused previously on composite materials in the aerospace sector, in this edition of Machinations we focus on graphene, with its unique and potentially game-changing qualities and potential applications. Investments in this area remain fairly early stage, but could potentially reap huge rewards. Graphene is well represented in the UK small-cap market by several players.

Companies: SIXH ACL AXS AMPH ALU AEP AVG CAPD CAR FENR FLO RAD GHH HDD HAYT IOF MPE RE/ RED RNO RBN SOM SCE TRT TRI VANL ZAM

18 Jul 17

Cathedral City Drives Strong Start to FY2018

Dairy Crest (DCG LN, HOLD, T/P 630p) Q1 trading statement, released ahead of today’s AGM, confirmed a strong start to the year for the Cathedral City cheddar cheese brand, which enjoyed 15% volume growth. Overall, volume performance for Cathedral City, Clover, Frylight and Country Life was positive to the tune of 7%

Companies: Dairy Crest Group

16 May 17

Updating growth outlook for by-products

Dairy Crest (DCG LN, HOLD, T/P 630p) releases preliminary FY2017 results on Thursday this week. Our £424m expectation for sales revenue is similar to £423m Bloomberg consensus. However, we are more optimistic about margins. We look for £93.7m of EBITDA and 38.1p of adjusted EPS compared with figures of £89.1m and 35.3p respectively, which appear on Bloomberg.

Companies: Dairy Crest Group

18 May 17

FY2017 prelims confirm H2 revenue rebound

Diary Crest’s (DCG LN, HOLD, T/P 630p) full year FY2017 revenue missed market expectations by around 1½% to record £417m compared with £422m in FY2016. Adjusted pre-tax profits and EPS were in line at £60.6m (+5%) and 35.2p (+3%) respectively. The proposed final dividend increase is 2%.

Companies: Dairy Crest Group

19 Jul 17

Northland Capital Partners Morning Report

VENTURE LIFE GROUP (VLG.L)

Companies: Venture Life Group

27 Mar 17

The Joy of Techs

Enterprise-focused niche applications of tech illustrate how, while trends appear to be fluctuating away from the current poster children of fintech and the Internet of Things, in fact these developments are refining appropriate application of existing technologies.

Companies: 7DIG AMO ARTA BVC BOTB CTP CFHL ISL DTC DOTD ELCO ESV FDSA FDEV GBG IDEA IDOX IMTK IGP IOM KBT KCOM KWS LRM MAI MMX NASA NET ONEV PHD QTX QXT RCN 932 SSY SEE SIM SPE TAX TEP TPOP TRAK UNG VIP ZOO

25 Jul 17

Shopping Trolley

While the decline in pub numbers over the past decade has often been attributed to the smoking ban, a rebalancing of demand from drink-led to food-led occasions and an uneven playing field between pubs and supermarkets on beer duty and business rates, we think that pubs also need to shoulder some responsibility, having largely failed to keep pace with changing trends, in particular lacking concepts that appeal to Generation Z consumers and Millennials. In this report, we discuss the characteristics of ‘Gen Z’ and Millennials (socially conservative, fiscally cautious, digitally native); what they like doing (lots in social isolation, far less in pubs and clubs); and how to tempt them back into pubs (create an ‘Instagram-able aesthetic’, offer free wi-fi and more technology, widen the wet offering and embrace non-drinkers, offer pop-up ‘immersive activities’ and employ retro with special offers that cater for groups rather than ‘couply’ stuff). Generating a strong social media presence (not just Facebook but also Instagram, Snapchat and Twitter) allows operators to be with their customers well after closing time and encourages customers to do their marketing for them.

Companies: BOTB FUL HOTC JOUL CAKE PHTM RGD RBG SCS SHOE VCP

03 Jul 17

The Monthly July 2017

As we approach 3rd January 2018 and the coming into force of the MiFID II legislation which changes the landscape for research, we are beginning to see some of the practical implications and complications. Brokers are in the early stages of working out how to structure charging for research, asset managers have already begun cutting their brokers’ lists and a model code of conduct for Research Payment Accounts for institutions has been published.

Companies: ABZA AGY APH ARBB AVCT BUR CMH CLIG COS DNL EVG MCL MUR NSF ODX OXB PPH NIPT PHP PURP RE/ SCLP SPH VAL

23 Mar 17

Visibility on brands rising with profits

During 2016 Venture Life Group (VLG) delivered on all KPIs, notably the successful launch of newly acquired UltraDEX range, increasing branded revenues by 250%, helping VLG to exceed revenue expectations up 57% to £14.3m and providing a maiden EBITDA profit of £0.8m. The company is on track to deliver sustainable profitability in the short term as it continues to expand its range of higher margin branded products, an important step towards the further transformation of VLG into a company with higher brand visibility.

Companies: Venture Life Group

13 Jul 17

Delivering strong revenue momentum

VLG reports strong revenue growth of 28% to £7.8m in the H117 period – or 18% on a like-for-like basis – as investment in promotion of the UltraDEX oral care range paid off, indicating that VLG is well on track to deliver our FY17 estimated revenue. We estimate that line extensions, prospects of further international expansion of the brand, will be a key driver of future margin and revenue growth. There are also indications that the Biokosmes manufacturing site is increasing output and revenues, having achieved a record high in sales in June. We maintain our forecasts ahead of FY17 results.

Companies: Venture Life Group

12 Apr 17

Venture Life Investors Overview

13 Jul 15

Executive Interview - Cooks Global Foods

16 Sep 15

Product Update

12 Apr 17

Venture Life Products

04 Jan 16

Company Overview

20 Dec 12

Analyst Interview - Devro

21 Sep 16

Interim Results: 30 June 2016

05 May 15

Overview of the business with CEO Dennis Melka

Latest Content

PLISQSFARNCSRTBTGCTOAMSLGENSNXSUSDPHSPRPEKFANCRIMMAGYCTHVERSPHRSCLPABCCNEKWSEVRHDNLBBSNEUSPVLGHZDFDMC4XDMTPHECSCPLUSTAPHCMMXCTPPIXQRT

ABC AMS AGY ANCR BTG C4XD CTH CSRT DPH DNL EKF FARN HCM HZD IMM MXCT MTPH PLI SCLP SPHR VLG VER

A watershed moment for CAR-T

View

10 Aug 17
-
-

Kerry Group Public Ltd Co

H1: Sustained performance

H1 update: Volumes are up +3.8% (Q2: 3.8%) with Taste & Nutrition up +4.2% and Consumer Foods up +2.3%. Pricing stood at +1.8%. T&N volumes by region: Americas +3.6%, EMEA +2.3%, Asia Pacific +10.3% (Americas were a little bit weaker in Q2, EMENA improved whereas Asia Pacific maintained its momentum). The reported revenue was up +4.8% (FX:-1.4%). The trading margin was flat at 10.6% with T&N +20bp, CF -70bp. The interim dividend is up 11.9% to 18.8 cent. Due to currency headwinds (estimated to be 2-4%) the group expects to achieve growth in adjusted earnings per share of 3% to 7% on a reported basis (5-9% previously) to a range of 333.1 to 346 cents per share (2016: 323.4 cents).

View

10 Aug 17
-
-

Carr'S Group

Expansion of engineering activity in the US

Carr’s Group has acquired US-based NuVision Engineering for a total cash consideration of up to US$20m (£15.4m). The transaction is immediately earnings enhancing. Importantly, it gives German-based Wälischmiller, which is part of the Carr’s Group Engineering division, greatly enhanced access to the US nuclear market. We raise our FY18 and FY19 estimates and revise our indicative valuation from 158p/share to 163p/share.

View

08 Aug 17
-
-

Carr'S Group

VSA Morning Agri Comment

Carr’s Group (CARR LN)#, the agricultural, food and engineering group, has announced the acquisition of ESI Holding Company, the holding company of US-based nuclear engineering firm NuVision Engineering.

View

07 Aug 17
-
-

Dekeloil Public easyJet

Breakfast Today

DekelOil Public Limited (DKL.L) | easyJet (EZJ.L)

View

04 Aug 17
-
-

YOU KWS SIS FARN AST PRP ARL AAOG NAK VOF

Small Cap Lunch

Wilmcote Holdings plc—Sch1 from the Company established with the objective of creating value for its investors through the acquisition and subsequent development of target businesses in the downstream and specialty chemicals sector. Offer raising £15m at 120p with market cap of £25m. Expected 17 August 2017 Andes Energia PLC—Sch1 on admission the Company will change its name to Phoenix Global Resources plc will be an Argentinian independent oil & gas exploration and production company, offer TBC but market cap to be £844m and admission date 10 August 2017 Verditek PLC—Sch1 update from holding company in the clean technology sector with subsidiaries operating within what it considers are emergent and fast growing sectors (industrial treatment of solids, air purification, water de-odourisation, zero emission, low cost energy), offer raising £2.75m at 9p with market cap of £16.9m. Admission 10 August 2017 Strix Group PLC—Sch1 from the Company involved with the design, manufacture and supply of kettle safety controls and other components and devices involving water heating and temperature control, steam management and water filtration. Offer raising £190m at 100p with market cap of £190m admission date 8 August 2017. Xpediator Plc—Sch 1 from the holding Company for an integrated freight management business operating in the supply chain logistics and fulfilment sector across the UK and Europe with a strong presence in Central and Eastern Europe. Offer details TBC, expected Admission early August 2017. Altus Strategies—African focused natural resource Company. Offer raising £1.1m at 10p with market cap of £10.7m. Expected 10 August 2017 Hipgnosis Songs Fund investment Company offering pure-play exposure to Songs and associated musical intellectual property rights. Offer raising £200m at 100p. The Company has decided to extend the closing date for the Placing, Offer for Subscription and Intermediaries Offer to 1 August 2017. The Company may bring forward this closing date at any time. Admission 15 September 2017

View

04 Aug 17
-
-

Deoleo

H1: slightly reduced net loss

H1 update: sales are up 1.5%, whereas the EBITDA stood at 5.9%. The net loss for period stood at €-5m. By region, Southern Europe recorded a good +3.5% sales progression and EBITDA margin expansion to 5.6%. Northern Europe had a very weak performance with sales -13% and an EBITDA margin contraction to 0.7%. North America performed well with sales -3.9% but a margin progression of 240bp to 19.5%. The International business also ran well with revenues up +6.8% and margin expansion to 13.9%. The increase in general restructuring costs negatively affected EBITDA at the group level.

View

03 Aug 17
-
-

Revolution Bars Group Real Good Food

Morning Note

Revolution Bars (RBG): Possible offer (BUY) - Management announced on 31 July that it had received a conditional proposal from Stonegate to acquire the entire issued and to be issued share capital of Revolution Bars at an offer price of 200p in cash per share. Real Good Food* (RGD): Significant reduction to profit forecasts (CORP) - The recent audit process for the FY17 accounts has identified substantial claims which have not materialised as well as costs which were incorrectly capitalised rather than expensed. This will lead to a significant reduction in FY17 and FY18 profit forecasts. We are withdrawing our forecasts and price target pending further clarification from management. FY17 results are now expected at the end of August.

View

01 Aug 17
-
-

Greencore Group

Keeping the Top Line Flavour

Greencore’s (GNC LN, BUY, T/P 310p) trading statement last Thursday 27th July reported strong UK Food to Go growth and updated on progress in the USA. The company announced revenue increased 11.8% on a pro forma basis. In this Quick Sharpener we update our forecasts – refer to exhibit 1. Revenue is maintained but diluted adjusted EBIT is reduced in both FY2017 and FY2018.