Ontex FIRST LOOK: 3Q EBITDA +29%, FY LFL top line guidance slightly lowered
Ontex 3Q LFL top line growth of +1.7% was slightly lower than market consensus (whilst close to KBCS) and the company did also lower its FY24 LFL top line guidance (from 4-5% growth to 2-3%), citing some temporary elements on the ramp up of new US customers. 3Q adjusted EBITDA jumped 29% and was close to our and consensus forecasts, with FY24 adjusted EBITDA margin maintained at 12% which is the 9M24 level and also baked into our and consensus forecasts for FY24. With the recent agreement to divest the Brazilian business, Ontex is also making progress on its strategy execution. On the back of the much improved earnings momentum, solid growth prospects/ambitions in North America and the attractive intrinsic forward valuation, we maintain our BUY rating and € 12 target price.Ontex Group NV is a Belgium-based company, which operates in the manufacturing sector of industry. The Company is a producer of disposable personal hygiene solutions for babies, women and adults. It offers a range of such products as baby diapers, baby pants, baby wet wipes, pads, pantyliners, tampons, light incontinence products, pull-ups, belt diapers, all-in-one tape systems, shaped pads and underpards. Its products are distributed through retail partner brands, as well as under its own brands (canbebe, canped, Helen Harper, Moltex, Baby Charm) across several distribution channels, such as retail trade, care institutions and pharmacies. The Company is present in Europe, Northern Africa, Australia and Asia.
We are a financial services provider for several types of professional clients, each with distinct needs.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.