Latest news with #VWDRY
Yahoo
5 days ago
- Business
- Yahoo
Straumann Holding AG (SAUHF) (H1 2025) Earnings Call Highlights: Strong Revenue Growth Amid ...
Revenue: CHF1.3 billion for the first half; CHF667.5 million for the second quarter. Organic Growth: 10.2% in the first half; 9.3% in the second quarter. Core EBIT Margin: 27.3% or 26.6% including currency headwinds. Gross Profit: CHF972 million with a margin of 72.1%. Free Cash Flow: CHF113 million for the first half. Capital Expenditure: CHF113 million for the first half. Net Financial Expenses: CHF224 million. Core Net Profit: CHF265 million, a 16% increase at constant currency. Adjusted Basic Earnings Per Share: CHF1.66. Cash Position: CHF247 million at the end of June. Warning! GuruFocus has detected 6 Warning Signs with VWDRY. Release Date: August 13, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points Straumann Holding AG (SAUHF) reported strong first-half revenue of CHF1.3 billion, with the second quarter contributing CHF667.5 million, reflecting solid momentum across all businesses. Organic growth reached 10.2% in the first half and 9.3% in the second quarter, despite currency headwinds. The company achieved a core EBIT margin of 27.3%, or 26.6% including currency headwinds, demonstrating strong operational performance. New product launches, such as iEXCEL, have been well-received, contributing to market share gains and improved clinical outcomes. Regulatory approval for premium implant production in China marks a significant step in strengthening market position and supporting long-term growth in the Chinese market. Negative Points Currency headwinds, particularly from the depreciation of the Euro and Chinese RMB, negatively impacted revenue growth. The US market remains challenging with stable but slow patient flow and cautious consumer spending impacting out-of-pocket dental treatments. The company faces significant external pressures, including newly imposed US tariffs and the ramp-up of the Shanghai campus, affecting gross margins. Free cash flow declined year-on-year, mainly due to higher capital expenditures aimed at capacity expansion and digital transformation. The company anticipates potential impacts from the upcoming volume-based procurement (VBP) process in China, which could affect growth dynamics in the fourth quarter. Q & A Highlights Q: Can you talk about what you're seeing in North America, particularly the US, as you've moved through the second quarter and into the third? What are the key drivers for the confidence in an improvement here, or is it entirely comp driven? A: Guillaume Daniellot, CEO: In the US, we've seen a slight sequential quarter-over-quarter growth rate improvement, but the market remains stable with no significant deterioration. We are gaining market share, which is crucial for when the macro environment improves. iEXCEL is being well-received, contributing to our strong performance and innovation in the US market. Q: Can you talk about the gross margin strength despite some headwinds from the Shanghai campus and your expectations at the gross margin level over the coming year? A: Isabelle Adelt, CFO: We are pleased with our gross margin development, which reflects our ability to manage challenges like tariffs and macroeconomic pressures. Strong growth in Straumann-branded implants and challenger brands, along with enhanced production efficiency, helped mitigate adverse impacts. We expect the Shanghai campus to be fully operational by the second half of 2026, which will further improve margins. Q: What are your assumptions for VBP in China this year and next year, and are you seeing any postponement of spend ahead of VBP next year? A: Guillaume Daniellot, CEO: VBP is under reflection by Chinese authorities, and local manufacturing will likely be important. We are well-positioned with our approved local manufacturing site. We expect a smoother transition compared to VBP 1.0, with no major price cuts anticipated. Q: What kind of scenarios for North America are you embedding in your medium-term guidance, and has your strategy changed in that market? A: Guillaume Daniellot, CEO: Our midterm scenario assumes a gradual recovery in the US, with continued above-market growth driven by innovation. We are not solely reliant on North America for our long-term view, as we expect strong contributions from other geographies. Q: Can you provide an update on your expectations for the FX headwind in 2025 on both the top line and margins? A: Isabelle Adelt, CFO: We expect a top-line impact of 470 to 490 basis points and a bottom-line impact of 130 to 140 basis points for the full year due to currency fluctuations. Despite this, we maintain our margin guidance of a 30 to 60 basis point improvement at constant currency. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Yahoo
04-07-2025
- Business
- Yahoo
Why Fast-paced Mover Vestas Wind Systems (VWDRY) Is a Great Choice for Value Investors
Momentum investing is essentially an exception to the idea of "buying low and selling high." Investors following this style of investing are usually not interested in betting on cheap stocks and waiting long for them to recover. Instead, they believe that "buying high and selling higher" is the way to make far more money in lesser time. Who doesn't like betting on fast-moving trending stocks? But determining the right entry point isn't easy. Often, these stocks lose momentum once their valuation moves ahead of their future growth potential. In such a situation, investors find themselves loaded up on expensive shares with limited to no upside or even a downside. So, going all-in on momentum could be risky at times. A safer approach could be investing in bargain stocks with recent price momentum. While the Zacks Momentum Style Score (part of the Zacks Style Scores system) helps identify great momentum stocks by paying close attention to trends in a stock's price or earnings, our 'Fast-Paced Momentum at a Bargain' screen comes handy in spotting fast-moving stocks that are still attractively priced. There are several stocks that currently pass through the screen and Vestas Wind Systems AS (VWDRY) is one of them. Here are the key reasons why this stock is a great candidate. A dash of recent price momentum reflects growing interest of investors in a stock. With a four-week price change of 2.4%, the stock of this company is certainly well-positioned in this regard. While any stock can see a spike in price for a short period, it takes a real momentum player to deliver positive returns for a longer time frame. VWDRY meets this criterion too, as the stock gained 30.4% over the past 12 weeks. Moreover, the momentum for VWDRY is fast paced, as the stock currently has a beta of 1.29. This indicates that the stock moves 29% higher than the market in either direction. Given this price performance, it is no surprise that VWDRY has a Momentum Score of A, which indicates that this is the right time to enter the stock to take advantage of the momentum with the highest probability of success. In addition to a favorable Momentum Score, an upward trend in earnings estimate revisions has helped VWDRY earn a Zacks Rank #2 (Buy). Our research shows that the momentum-effect is quite strong among Zacks Rank #1 and #2 stocks. That's because as covering analysts raise their earnings estimates for a stock, more and more investors take an interest in it, helping its price race to keep up. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> Most importantly, despite possessing fast-paced momentum features, VWDRY is trading at a reasonable valuation. In terms of Price-to-Sales ratio, which is considered as one of the best valuation metrics, the stock looks quite cheap now. VWDRY is currently trading at 0.86 times its sales. In other words, investors need to pay only 86 cents for each dollar of sales. So, VWDRY appears to have plenty of room to run, and that too at a fast pace. In addition to VWDRY, there are several other stocks that currently pass through our 'Fast-Paced Momentum at a Bargain' screen. You may consider investing in them and start looking for the newest stocks that fit these criteria. This is not the only screen that could help you find your next winning stock pick. Based on your personal investing style, you may choose from over 45 Zacks Premium Screens that are strategically created to beat the market. However, keep in mind that the key to a successful stock-picking strategy is to ensure that it produced profitable results in the past. You could easily do that with the help of the Zacks Research Wizard. In addition to allowing you to backtest the effectiveness of your strategy, the program comes loaded with some of our most successful stock-picking strategies. Click here to sign up for a free trial to the Research Wizard today. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Vestas Wind Systems AS (VWDRY) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
06-02-2025
- Business
- Yahoo
Equinor ASA (EQNR) Q4 2024 Earnings Call Highlights: Strong Cash Flow and Production Growth ...
Return on Capital Employed: 21% for the year. Free Cash Flow: Expected $23 billion over the next three years (2024-2027). Capital Distribution for 2025: $9 billion, including a $0.02 increase in quarterly cash dividend and $5 billion for share buyback. Cash Flow from Operations: $18 billion after tax for the year. Production Growth: More than 10% expected from 2024 to 2027. Organic CapEx: $12.1 billion for the full year. Net Debt Ratio: 11.9%. Adjusted Operating Income for Q4: $7.9 billion before tax. IFRS Net Income for Q4: $2 billion. Adjusted Earnings per Share for Q4: $0.63. Cash Reserves: Over $23 billion. Production Efficiency: Johan Sverdrup and Troll fields delivered close to 95%. Organic Reserve Replacement Ratio: Above 110%, including transactions more than 150%. Warning! GuruFocus has detected 9 Warning Signs with VWDRY. Release Date: February 05, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Equinor ASA (NYSE:EQNR) is positioned to deliver industry-leading returns with an expected return on capital employed above 15% through 2030. The company anticipates more than 10% growth in oil and gas production from 2024 to 2027, supported by high-value transactions and project progress. Equinor ASA (NYSE:EQNR) expects to generate $23 billion in free cash flow over the next three years, enabling competitive shareholder distribution. The company has announced a total capital distribution of $9 billion for 2025, including a $0.02 increase in the quarterly cash dividend and $5 billion for share buybacks. Equinor ASA (NYSE:EQNR) has achieved strong operational performance, with a 21% return on capital employed and $18 billion in cash flow from operations after tax in 2024. The company faced a tragic helicopter accident in 2024, highlighting ongoing safety challenges despite improvements. Equinor ASA (NYSE:EQNR) has reduced its investments in renewables and low-carbon solutions by 50% compared to last year's outlook, impacting the pace of growth in these segments. The geopolitical tension and market uncertainty pose risks to the company's operations and price outlook. The uneven pace of the energy transition and regulatory uncertainties have affected segments like offshore wind and hydrogen. The company has lowered its renewables ambition for 2030 and introduced a range for its net carbon intensity ambitions, reflecting challenges in the energy transition. Q: How did Equinor's strategy for renewables and low carbon evolve over the past year, and what prompted these changes? A: Anders Opedal, CEO, explained that Equinor took clear actions in 2024, including not pursuing certain offshore wind bids due to lower expected returns. The company also reassessed its onshore business, leading to a reduction in CapEx by not executing some projects. This strategic shift was driven by a reassessment of profitability and market conditions. Q: Can you provide insights into the production outlook for Johan Sverdrup and the rationale behind continuing major projects like Rosebank and Empire Wind despite policy risks? A: Anders Opedal, CEO, noted that Johan Sverdrup's production outlook improved due to successful well drilling and reservoir management. Regarding Rosebank and Empire Wind, despite political risks, Equinor believes in the projects' long-term value and has taken steps to mitigate risks, such as securing tax credits for Empire Wind. Q: What are the expectations for Equinor's production growth to 2.2 million barrels per day by 2030, and how does Empire Wind fit into the company's return requirements? A: Anders Opedal, CEO, stated that growth will come from projects like Bacalhau and US onshore acquisitions. Torgrim Reitan, CFO, added that Empire Wind is expected to deliver close to a 10% nominal equity return, factoring in project financing and tax credits. Q: How does Equinor plan to maintain flat costs while increasing production, and what does competitive capital distribution mean for the company? A: Anders Opedal, CEO, highlighted operational efficiencies and scaling technologies as key to maintaining flat costs. Competitive capital distribution focuses on growing cash dividends and share buybacks, ensuring Equinor remains competitive with peers. Q: What is Equinor's approach to capital distribution, particularly regarding share buybacks exceeding dividends, and how does the company plan to manage this in different commodity price environments? A: Anders Opedal, CEO, explained that share buybacks exceeding dividends are part of a strategy to remain competitive. The company aims to source buybacks from free cash flow, adapting to commodity price changes while maintaining a stable distribution framework. 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
Yahoo
06-02-2025
- Business
- Yahoo
Vestas Wind Systems AS (VWDRY) Q4 2024 Earnings Call Highlights: Record Order Intake and Strong ...
Revenue: EUR17.3 billion for the full year 2024, a 12% increase year on year. EBIT Margin: 4.3% for the full year 2024. Service EBIT: EUR448 million for the full year 2024. Order Intake: 17 gigawatts, valued at EUR19 billion. Dividend Proposal: EUR0.55 per share. Share Buyback: EUR100 million initiated. Q4 Revenue Growth: 29% year on year. Q4 Gross Margin: 18.1%, an improvement of over 7 percentage points. Q4 EBIT Margin: 12.4%. Power Solutions Q4 EBIT Margin: 12.9%. Service Revenue Growth: 30% year on year in Q4. Operating Cash Flow: EUR2.2 billion in Q4. Adjusted Free Cash Flow: EUR1.1 billion for the full year 2024. Net Cash Position: Over EUR800 million at year-end 2024. Order Backlog: EUR31.6 billion for Power Solutions; EUR37 billion for Service. 2025 Revenue Outlook: EUR18 billion to EUR20 billion. 2025 EBIT Margin Outlook: 4% to 7%. 2025 Service EBIT Outlook: Around EUR700 million. 2025 Investment Level: EUR1.2 billion. Warning! GuruFocus has detected 9 Warning Signs with VWDRY. Release Date: February 05, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Vestas Wind Systems AS (VWDRY) achieved a record order intake of 17 gigawatts, valued at EUR19 billion, marking a high ASP and strong momentum in both onshore and offshore sectors. The company ended 2024 with a revenue of EUR17.3 billion and an EBIT margin of 4.3%, meeting its outlook for the year. Vestas proposed a dividend of EUR0.55 per share and announced a share buyback of EUR100 million, reflecting confidence in its financial position. The service order backlog grew to nearly EUR37 billion, solidifying Vestas' position as the largest service business in the industry. Vestas reported a strong Q4 with a 29% year-on-year revenue increase, driven by higher revenue in both Power Solutions and Service segments, and achieved a 12.4% EBIT margin in Q4. Rising costs posed challenges for the service segment in 2024, necessitating a recovery plan to address operational inefficiencies and quality-related effects. The offshore ramp-up is expected to be margin dilutive in 2025, with significant investments required for manufacturing and amortization. The geopolitical and trade volatility, along with ongoing inflation, presents uncertainties that could impact future operations and profitability. The company faced five fatalities in 2024, highlighting ongoing safety challenges that need to be addressed. Vestas' long-term ambition of achieving a 25% EBIT margin in the service segment remains unmet, with current margins at 18%. Q: Could you help us understand the 2025 EBIT margin guidance and how offshore impacts it? A: Offshore is a significant investment affecting the margin due to depreciation and amortization. The onshore and service segments are strong, and you can estimate the offshore investment based on the onshore and service performance. Q: Given the political situation in the US, should we expect any US orders soon? A: The US market is dynamic, with onshore and offshore segments behaving differently. Offshore has slowed, but onshore has a strong backlog for 2025 and 2026. We expect continued orders, possibly even in Q1. Q: Why resume dividends and share buybacks amid offshore ramp-up and US uncertainties? A: We are confident in our 2025 and 2026 outlooks and backlog. The decision reflects our strong cash position and commitment to shareholders, despite the challenges of ramping up offshore production. Q: How does the levelized cost of electricity (LCOE) impact your pricing and customer expectations? A: LCOE varies globally, but wind remains competitive. While prices have stabilized, we focus on optimizing projects to maintain viability for customers, acknowledging that LCOE can't decrease indefinitely. Q: Can you elaborate on the service business recovery plan and net contract assets? A: The recovery plan addresses cost challenges and operational inefficiencies. While net contract assets may fluctuate, we are confident in the business's health after a thorough review. 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
