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LOGISTA: FY2020 RESULTS (ANÁLISIS BANCO SABADELL)

4Q'20 vs. 4Q'19 Results
Sales: € 309.5 M (+5.1% vs. -1.4% expected and -3.8% expected by the market consensus);
EBIT: € 81.7 M (+14.1% vs. -4.9% expected and -3.4% expected by the market consensus);
Net Profit: € 54.0 M (+14.9% vs. -0.5% expected and -0.6% expected by the market consensus);
FY2020 vs. FY2019 Results
Sales: € 1.16 Bn (+0.7% vs. -1.0% expected and -1.6% expected by the market consensus);
EBIT: € 257.0 M (-1.9% vs. -7.1% expected and -6.7% expected by the market consensus);
Net Profit: € 157.0 M (-4.6% vs. -9.0% expected and -9.1% expected by the market consensus);

Results came in better than expected in both revenues and operating margins, underscoring the good performance in the 4Q that provided a surprise with an improvement of the adjusted EBIT margin of +14% (BS(e) -4.9%, consensus -3.4%).
Economic sales grew by +0.7% in FY2020, with a good performance in Spain and Italy, partially offset by the worse evolution of France. The adjusted EBIT dropped -2% due to the impact from Covid-19 and to variations in inventory value. Adjusted for this effect, it would have grown by +6% thanks to the impact from track&trace.
LOG estimates that in 2021 it could grow at mid-single digit in adjusted EBIT (vs. +2.6% BS(e)) although it warns about the uncertainty regarding the economic performance, and thus, it will revise its guidance on a quarterly basis.
The dividend payment will continue to be a priority, and in this regard, the company announced a dividend against FY2020 results for the same amount as that paid in 2019: € 1.18/sh. (vs. 1.14 BS(e)). Thus, the dividend yield would be 8.3% with a 100% payout. BUY. Target Price: € 24.23/sh. (upside 70.63%).