Industrial Equipment, Goods & Services

Industrial Equipment, Goods & Services equity research

Explore the latest equity research for companies who manufacture industrial equipment, goods, or related services. Sectors include Defense & Aerospace, Electrical & Electronic Equipment, Transport & Logistics, Industrial & Construction Supplies, and Waste Services.

Industrial Goods & Services

Explore the latest equity research for companies who manufacture industrial goods, or related services. Sectors include Defense & Aerospace, Electrical Equipment, Transport & Logistics, Industrial & Construction Supplies, and Waste Services.

05 Nov 19

Cenkos: Filta Group Holdings Plc -- Trading Update

Trading in FY19E has remained positive with encouraging growth in the Fryer Management segment continuing in North America and mainland Europe. UK operations have also grown revenues with increases in order intake and in regular maintenance work, resulting in Group revenues for FY19E being broadly in line with expectations. However, owing to delays in implementing operational efficiencies and cost reductions, the expected profits growth is taking longer to materialise.

Companies: Filta Group

04 Nov 19

THE MONTHLY November 2019

The trade-off in the risk/reward for gold and gold mining equities is improving, as central banks push the current iteration of the post-World War II Bretton Woods financial order towards its limits.

Companies: AVO AJB AGY ARBB BUR CLIG DNL DPP FLTA GTLY GDR MCL MUR NSF PCA PIN SRE PHP RE/ RECI RMDL STX SCE TON SHED VTA W7L

05 Nov 19

FY19 trading update

Filta Group (Filta) provides cleaning services to commercial kitchens in North America, the UK and, mainland Europe. The company reported that EBITDA for 2H19 would be similar to 1H19 and thus below our expectations. The cost-saving benefits of the Watbio acquisition are still taking longer than expected. Revenue continues to be on track and some extra investment has been made in UK sales staff to maximise the revenue opportunities. We cut our EBITDA expectations for 2019 from £4.2m to £3.3m. Our 2020 expectations are unaltered.

Companies: Filta Group

21 Oct 19

Quarterly Research Outlook Autumn 2019

Following continued delays of a Brexit agreement, few sectors within the UK market have remained attractive to investors despite low valuations. One sector which has continued to outperform despite the political drama has been the UK video gaming sector (henceforth UK gaming), which we are fans of. We believe a combination of sector-leading growth, strong cash conversion and timely cyclical positioning support our positive view on the UK video gaming sector.

Companies: ABBY AMS ANX ARS ATYM AVON BLVN PIER BUR CGS CAML CDM CSRT TIDE CYAN DTG DEMG ELM EMR FPO FDEV GTLY GENL GHH GRI GEEC GKP HMI HAYD HEAD HILS HTG HUR IBPO IOG INDI JHD JOG KAPE KEYS KWS KCT KGH LAM LIT LOK MACF MANO MOD OXIG PCA PANR APP SRE PHC PMO RBW RMM RBGP REDD RSW RNO ROR SUS SCPA SEN SHG SOLG SOM SUMO TM17 INCE TWD TRAK TRI VNET VTC ZOO ZTF

06 Nov 19

Model updates, release of FY21E forecasts

We update our model and forecasts following RBG Holdings’ interim results and the acquisition of Convex. Discretionary sale of participation rights in DBAs introduces a hedge against downside risk on forecasts, whilst upside risk exists in the group’s litigation funding and exposure to potential DBA/CFA wins – something we attempt to quantify. On new forecasts we set a price target of 145p (from 120p), and retain our Buy recommendation.

Companies: Rosenblatt Group

06 Nov 19

Shares could double over next 3 years

Today corporates are having to dodge numerous bullets – not least Brexit, fears over a synchronised global slowdown, US-China trade tensions and a General Election. Little wonder therefore that UK business investment fell -1.4% YoY in Q2’19.

Companies: Gattaca

05 Nov 19

Boku - Building a critical mass in Identity

Boku has signed a material identity data supply contract with a global mobile telecoms group. This is a crucial step in building out the scale of the Identity business, providing access to mobile subscribers in multiple countries. While we view this as a positive development for the Identity business, we have taken a more cautious approach to the timing of new merchant contracts, reducing Identity revenues and group EBITDA in FY20 and FY21.

Companies: Boku

06 Nov 19

LIBERUM: Gattaca* - Initiation - Refocused for longer-term growth

A new management team has restructured Gattaca and refocused it on growth in the engineering and technology staffing markets in the UK and US. Investment in senior hires and IT should drive productivity, and a return to industry-leading EBIT conversion ratios is a realistic longer-term prospect.

Companies: Gattaca

12 Nov 19

LIBERUM: Ricardo* - Growth to accelerate in FY20

We continue to see significant upside in Ricardo shares. Organic growth is set to accelerate in FY20, and this will be complemented by almost a full year’s contribution from both Transport Engineering and PLC Consulting, which together will add over 10% to group earnings this year.

Companies: Ricardo

11 Nov 19

Concept now proven!

Thruvision’s ultra-sensitive ‘body-heat’ cameras can detect hidden items (guns, drugs, money or stolen goods) without intrusive or time-consuming searches, and without revealing personal anatomical details. The products are gaining acceptance in a range of key markets, and the group’s financial performance is beginning to show the fruits of this labour. This note summarises the product, its advantages, and goes on to describe the markets which appear to hold most promise, and the growing evidence of success.

Companies: Thruvision Group

07 Nov 19

Trading update: business as usual

BAE has released its Q3 trading update, bringing qualitative comments to the market. Overall, no major news nor surprises were released. The company is delivering according to expectations and the guidance for 2019 is maintained.

Companies: BAE Systems

30 Jul 19

Positive AGM statement and $28.5m acquisition

Volex has issued a positive AGM statement and announced the $28.5m acquisition of Servatron, a complementary business based in Washington, USA. Our forecasts for FY2020E and FY2021E rise materially on the acquisition and also as a result of an operating margin performance that is noted as being ahead of current expectations. The AGM confirms a return to the dividend list that will occur at the interim and the Board notes it remains confident over the group’s outlook.

Companies: Volex

10 Sep 19

1H reveals quality growth

Interim results confirm that the integration of Defaqto has and continues to progress well and the enlarged Group significantly increasing the scale of the Group. The Group now serves >6,000 intermediaries and >350 financial institutions. The statement notes that, including the 3-month contribution from Defaqto, there has been material P&L growth:  Group revenues rose 20% 1H on 1H to £29.1m (1H18 revenue: £24.2m);  Adj EBITDA grew 30% to £6.8m (1H18 adj EBITDA: £5.2m);  Adj PBT rose 34% to £5.9m (1H18: £4.4m);  Adj PAT rose 41% to £4.9m;  Adj EPS was 5.23p and the Board declared an interim DPS of 1.41p. Group net debt was £30.1m at 30 June 2019. This is “in line with expectations, after scheduled payment of a £1.6m dividend in April” and after the capital raising and payments for the Defaqto acquisition in March.

Companies: Simplybiz

08 Nov 19

LIBERUM: Speedy Hire* - Expo shows momentum behind winning team

At our visit to last week’s Expo we found an enthusiastic Speedy team which has bought into the group strategy of winning market share through superior service, and a renewed focus on smaller customers. We also saw strong relationships between Speedy, its suppliers and its customers.

Companies: Speedy Hire

26 Sep 19

Small Cap Feast

Kaspi.kz, the largest Paym ents, Marketplace and Fintech Ecosystem in Kazakhstan w ith a leading m arket share in each of its key products and services. GDR offering expected Oct 2019. In the first half of 2019, the Company generated total revenue of KZT226,862m (U.S. $598m), up 34% and net income of KZT77,001m (U.S. $203m), up 54%. Registration document approved for Helios Towers. The Group provides essential network services, flexible infrastructure solutions and reliable power supply to mobile network operators in five African growth economies. Revenue increased 7 per cent. year-on-year to US$191m (H1 2018: US$178m), with Adjusted EBITDA up 15 per cent. year-on-year at US$99m (H1 2018: US$86m) for the six months ended 30 June 2019.

Companies: XSG TRAK CREO BIDS VDTK BKS LSAI WHR CAB GYG

18 Sep 19

Strix - Interim Results 2019 Interview

11 Nov 19

Restore - Capital Markets Day Highlights video

21 Oct 19

Solid State plc - Corporate video

08 Nov 19

Frontier IP Group 'well positioned for another positive performance'

20 Sep 19

Strix - New Factory in China

05 Nov 19

G4S International Logistics engaging with Canadian cannabis companies to help with secure transport

02 Apr 19

Volex

25 Oct 19

Caterpillar Inc's 'big quarterly miss' a warning sign for London's miners

09 Oct 19

DX Group (DX) FY19 webcast October 2019

18 Oct 19

Investor Update: Wincanton mulls possible merger with Eddie Stobart

19 May 17

Leading UK fund manager, Gervais Williams, discusses investing, his outlook and two companies he's excited about

10 Oct 19

ISC Subsidiary ERS signs 7-million-dollar aviation airport authority deal

27 Sep 19

RBG Holdings - Video Update on Name Change, Strategy and Financials

10 Oct 19

ISC Subsidiary ERS signs 7-million-dollar with Irish Aviation Authority

22 Jul 19

Flowtech Fluidpower - Group Trading Update

Latest Content

Meggitt

Trading update: strong performance in Defence

Meggitt has issued a trading update in which all divisions performed according to guidance except for Defence which did even better. On the back of this development, Meggitt upped its FY19 revenue growth guidance, while, at the same time, expecting a potential drag on the margins.

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12 Nov 19
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Atlantia

9m19: the virtue of the Abertis acquisition and we would welcome a revoking of the Autostrade concession

Our view is that revoking the Autostrade concession could only take place at a fair price for Atlantia as Italy belongs to the European Union. At AlphaValue, we would welcome a revoking (at a fair price) as it would accelerate the geographical diversification of Atlantia away from Italy. Despite this and in view of the earnings release, we expect little change to our forecasts and, hence, no change in our Buy recommendation.

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12 Nov 19
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Ricardo

LIBERUM: Ricardo* - Growth to accelerate in FY20

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12 Nov 19
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Mobotix

Mobotix - Going beyond human vision

Mobotix’s five-year plan aims for minimum revenues of €100m by FY23 at an EBIT margin of c 12%, which management notes represents an average annual revenue growth rate of around 9.3% and a profit per share of c €0.64 by FY23. The key growth driver is a new camera platform for decentralised IoT applications. Its embedded processor will carry out data analysis, including AI-based deep learning algorithms in situ, for improved cybersecurity and GDPR compliance. It enables the development of plug-in software apps, creating a recurring revenue stream from software sales. The first product in the range will be launched later in 2019. Mobotix is also expanding the complementary MOVE camera range for centrally managed solutions to address large-scale projects.

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11 Nov 19
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paragon

paragon - Growing pains should prove temporary

paragon faces a challenging year, primarily due to growing pains at the Electromobility segment (Voltabox). The Automotive segments’ FY19 sales are guided to be c €130m, near the top of the previous range. Group sales growth continues, albeit slower than expected, with margins reduced by an under-recovery of overheads and rationalisation and integration costs. FY19 guidance was greatly reduced in August. The order backlog of €2.1bn supports stronger growth in FY20, alongside improved profitability due to operational leverage and restructuring benefits in Mechanics. The current rating reflects concerns over the growth strategy following recent events. Restoring investor confidence should be a key management focus.

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11 Nov 19
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Mobotix

Mobotix - Going beyond human vision

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11 Nov 19
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Schaltbau Holding

Schaltbau Holding - Smart solutions for power and mobility

Schaltbau has completed its restructuring and refinancing programme and appears to be reset for growth. The company intends to leverage its strong expertise in electromechanical component technologies for rail markets to participate in the electrification of land transport and associated infrastructure, including systems for electric vehicles of most types.

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11 Nov 19
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FACC

FACC - Composite growth strategy

FACC continues to leverage the ramp up in civil aircraft production volumes. It is a pure play, tier 1 supplier of composite structures and components to the civil aerospace and aeroengine segments. The company is focused on delivering market share growth across its product segments, supported by a €6.5bn order backlog and a clear technological edge. The progressive growth should drive higher margins in the medium term despite the adverse mix from product introduction at present.

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11 Nov 19
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Kin and Carta

Minor forecast changes; PT upgrade to 120p; reiterate Buy

We make small changes to our estimates for FY20/21e post the FY19 prelims in Oct to account for IFRS 16, increased working capital investment and guidance around H1/H2 split. We publish FY22e forecasts and also upgrade our PT from 100p to 120p, reiterating our Buy recommendation, highlighting the 32% bounce since Aug lows of 76p.