Latest news with #KendrionNV
Business Insider
04-06-2025
- Business
- Business Insider
Kepler Capital Remains a Hold on Kendrion NV (0G68)
Kepler Capital analyst Tim Ehlers maintained a Hold rating on Kendrion NV (0G68 – Research Report) on June 2 and set a price target of €13.40. The company's shares closed yesterday at €11.22. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Ehlers covers the Industrials sector, focusing on stocks such as Arcadis NV, Nedap N.V, and Signify NV. According to TipRanks, Ehlers has an average return of 21.8% and a 49.02% success rate on recommended stocks. Kendrion NV has an analyst consensus of Hold, with a price target consensus of €13.40.
Yahoo
14-05-2025
- Automotive
- Yahoo
Kendrion NV (LTS:0G68) Q1 2025 Earnings Call Highlights: Resilient Revenue Growth Amidst Global ...
Revenue: Increased by 4% to EUR78.1 million in Q1 2025. Industrial Brakes Revenue: Increased by 7% to EUR30.4 million. Industrial Actuators and Controls Revenue: Declined by 8% to EUR29.6 million. Mobility Segment Revenue: Increased by 25% to EUR18.4 million. EBITDA: Reached EUR10.8 million, a 7% increase on a like-for-like basis. EBITDA Margin: Improved to 13.8% from 13.4% a year ago. Normalized EBIT: EUR6.9 million, an 11% increase from last year. Net Finance Charges: EUR1.6 million, increased by EUR0.3 million due to negative currency results. Effective Tax Rate: 29.5% on normalized income. Normalized Net Profit Before Amortization: EUR3.7 million, compared to EUR3.6 million in Q1 2024. Reported Net Profit: Increased by 19% to EUR3.2 million. Net Debt: Reduced to EUR97 million from EUR103 million at year-end. Leverage Ratio: Improved to 2.5 from 2.7 at the end of 2024. Warning! GuruFocus has detected 4 Warning Signs with LTS:0G68. Release Date: May 13, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Kendrion NV (LTS:0G68) reported a 4% increase in revenue to EUR78.1 million in Q1 2025, demonstrating resilience despite global economic challenges. The industrial brakes segment saw a 7% revenue increase to EUR30.4 million, benefiting from a gradual market recovery. The mobility segment experienced significant growth, with revenue rising by 25% to EUR18.4 million, driven by project ramp-ups in China. Profitability improved with EBITDA reaching EUR10.8 million, a 7% increase compared to Q1 2024, and an EBITDA margin of 13.8%. The company successfully reduced its net debt to EUR97 million from EUR103 million at the end of 2024, aided by disciplined working capital management and the divestment of its automotive business. Revenue in the industrial actuators and controls (IAC) segment declined by 8% to EUR29.6 million due to ongoing weakness in the machine building markets. Net finance charges increased by EUR0.3 million to EUR1.6 million, primarily due to negative currency results. The effective tax rate on normalized income was relatively high at 29.5%. Despite the growth in China, the ramp-up of new projects was slower than initially expected, impacting overall growth expectations. The company faces ongoing global uncertainties, including potential impacts from the global trade war and economic slowdowns, which could affect future trading conditions. Q: Could you elaborate on the main drivers behind the increase in added value margin? Was it due to higher pricing or lower raw materials? Also, what is the status of cost savings and their future phasing? A: The added value margin improved due to enhanced pricing power post the sale of the automotive segment, allowing for price increases in selected products and customers. Additionally, supply chain analysis helped reduce raw material and input costs. This initiative will continue throughout 2025. Regarding cost savings, the announced EUR9 million savings are fully effective, with EUR2 million related to continued business. Future efforts will focus on cost control and efficiency improvements without major restructurings. Q: What needs to happen to achieve the 15% EBITDA margin target? A: Achieving the 15% EBITDA margin involves continued growth, increased added value, and strict cost control. The initiatives from Q1, which led to a 7% EBITDA expansion, will continue. The company is confident that by the start of 2026, the 15% EBITDA target will be met on a run-rate basis. Q: Can you explain the growth in the industrial brakes (IB) segment and the decline in industrial actuators and controls (IAC)? What are the expectations for the rest of the year? A: The IB segment saw recovery, particularly in wind power, after weaker performance in 2023. The IAC segment experienced an 8% decline compared to a strong Q1 2024, but some segments, like industrial locks and induction heating, are performing well. Despite global uncertainties, the company remains optimistic about the remainder of the year for both segments. Q: Regarding China, are there more projects expected to ramp up, or was the recent growth the main chunk? A: The current projects in China are ramping up later than initially expected but will continue to grow throughout the year. These projects were discussed about a year ago, and while the company is always seeking new business, the current ramp-up is based on previously identified projects. Q: Is there still a bit of savings expected from the ERP implementation, and what is the status of the restructuring provision cash out? A: The main driver for savings from the ERP implementation will be organizational simplification, expected to benefit from 2026 onwards. Regarding the restructuring provision, there is still a tail end of less than EUR2 million expected in Q2. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
