Edison Investment Research is terminating coverage on Brooge Energy (BROG), Tyman (TYMN), SymBio Pharmaceuticals (4582), Aspire Global (0EAZ), CiiTECH and Marshall Motor Holdings (MMH). Please note you should no longer rely on any previous research or estimates for this company. All forecasts should now be considered redundant.
Marshall Motor Holdings (MMH) has announced a significant further strategic expansion through the acquisition of privately owned Motorline Holdings for a cash consideration of £64.5m. Adding another top 20 UK dealership group with 48 franchises strengthens brand and geographic coverage and adds approaching £700m of revenues, further increasing MMH’s top tier credentials. The deal should be EPS enhancing and value creating in FY22 despite the current market challenges, underlining why the current...
Marshall Motor Holdings (MMH) has announced a significant further strategic expansion through the acquisition of privately owned Motorline Holdings for a cash consideration of £64.5m. Adding another top 20 UK dealership group with 48 franchises strengthens brand and geographic coverage and adds approaching £700m of revenues, further increasing MMH’s top tier credentials. The deal should be EPS enhancing and value creating in FY22 despite the current market challenges, underlining why the current...
Marshall Motor Holdings (“MMH”) has today announced its £64.5m cash acquisition of Motorline Holdings Limited, a multi-franchise dealer group that operates 48 franchises operating across the South of England, representing ten brands. MMH has a long track record of successful execution and integration of acquisitions – we are confident that this “off market” transaction will complement MMH’s already strong and reliable platform. With our upgrade to FY21 earnings last week and the upside that this...
For Marshall Motor Holdings (MMH), the favourable mix of trading conditions for automotive retailers has continued through Q321 despite intensifying supply constraints as the global chip shortage disrupted production at car producers. Delivery lead times are extended, with strong margins for new cars and at unprecedented levels in the used car segment, leading to an excellent profit performance despite lower volumes. Management has again increased guidance for the current year profit to not less...
For Marshall Motor Holdings (MMH), the favourable mix of trading conditions for automotive retailers has continued through Q321 despite intensifying supply constraints as the global chip shortage disrupted production at car producers. Delivery lead times are extended, with strong margins for new cars and at unprecedented levels in the used car segment, leading to an excellent profit performance despite lower volumes. Management has again increased guidance for the current year profit to not less...
Marshall Motor Holdings (“MMH”) has announced an unscheduled trading update for the three months to 30 September 2021 confirming strong performance across the board. Full year underlying PBT guidance has been raised to “not less than £50m”, as a result, we increase our FY21 underlying PBT forecasts by 23.8% to £52.1m. This puts the Group on an FY21 P/E rating of only 4.1x with a 6.4% yield. Our view is that this is a strong and reliable platform that looks significantly undervalued.
Marshall of Cambridge has disposed of its investment arm, Martlet Capital, representing a further streamlining of its portfolio of businesses. The portfolio’s fair value at June 2021 was c. £10m and we understand the disposal will generate a small profit on disposal. The purchaser is a new venture backed by EMV Capital and Saranac Partners and led by Robert Marshall, previously the Group’s Vice Chairman and CEO. However, the disposal does not mark an end to Marshall’s investment in new technol...
Marshall of Cambridge’s results for H1 were very impressive, with all businesses delivering an uplift in revenue and margins. The most spectacular was Motor Retail, performing at record levels, with guidance improving three times during the period. The demand/supply imbalance within the used vehicle market has resulted in selling prices increasing by more than 15% y-o-y across the market, in turn, positively influencing gross margins. Within the Aerospace and Defence division revenues increase...
The Group performed strongly in what proved to be a challenging year. Profitability improved year-on-year and the Group maintained the payment of dividends throughout the pandemic. Cash flow was such that the group ended the year with net cash, even after investment in a new ERP system to be installed across their Aerospace / Defence division (MADG). The order book within MADG remains strong, with new contracts signed in FY20 expected to ramp up during FY21. Marshall Motor Holdings has increa...
The strong used car market has enabled Marshall Motor Holdings (MMH) to deliver an exceptional H121 performance that should drive record FY21 underlying PBT of not less than £40m as indicated last week. However, the uncertainty surrounding the market outlook continues. Vehicle supply issues are likely to result in lower volumes for both new and used cars in H221 and H122 affecting dealership profitability. We have upgraded FY21 to reflect guidance but our FY22 estimates are unchanged with a more...
The strong used car market has enabled Marshall Motor Holdings (MMH) to deliver an exceptional H121 performance that should drive record FY21 underlying PBT of not less than £40m as indicated last week. However, the uncertainty surrounding the market outlook continues. Vehicle supply issues are likely to result in lower volumes for both new and used cars in H221 and H122 affecting dealership profitability. We have upgraded FY21 to reflect guidance but our FY22 estimates are unchanged with a more...
Marshall Motor Holdings (“MMH”) has announced an exceptional set of H1 results demonstrating strong market outperformance across the board, hitting record levels of revenue, PBT and gross margin. We have upgraded our forecasts post the update last week, and reiterate our view that this is a strong and reliable platform that looks significantly undervalued.
Full Article at IIR has reaffirmed its Recommended rating for PIA after undertaking a review post the appointment of a new Portfolio Manager, Harding Loevner. The full report can be found on the IIR website. On 26 July 2021, Pengana International Equities Limited (PIA) announced a fully franked dividend of 1.35 cents per share for the June quarter. This represents an 8% increase on the March quarter dividend and takes the total dividends declared for FY21 of 5.1 cents per share, fully franked....
In this note we focus on five key themes that we believe will shape the motor retail sector in the short-to-medium term. These are digital sales trends, electrification, the agency model, vehicle supply, and the economic outlook. The dealer groups have shown a great deal of resilience and flexibility throughout the Covid-19 pandemic – we expect them to continue to adapt and work closely with OEMs as the industry evolves.
Marshall Motor Holdings’ (MMH) management has provided another positive trading update following on from the AGM statement in May. The market demand for new and used cars remains strong and the supply of new and high-quality used cars is constrained. In combination, the effect is to boost used car wholesale prices and margins to exceptional levels. We upgrade our FY21 adjusted PBT by 18% to a record £26.1m. However, supply constraints appear to be intensifying in the new car market and may persi...
MMH has released an unscheduled trading update that confirms a record expected performance for 2021. As a result, we are upgrading our 2021E EPS forecasts by 20.0%. This performance has been driven by strong market outperformance particularly in the used car arena, where we continue to see unprecedented used vehicle value appreciation. We remain mindful of the rising levels of uncertainty likely to impact H2 2021 driven by new vehicle supply issues. However, we remain confident that MMH is well ...
The AGM trading statement indicates trading in the first four months of FY21 has remained strong. After repaying all £4m of the FY21 government support, management expect FY21 underlying PBT to be not less than the £22.1m pre-pandemic of FY19. We upgrade FY21 and FY22 EPS by 15% and 7% respectively to reflect the strong recovery. The balance sheet remains well positioned to support growth investment and selective M&A. The company intends to resume dividend payments at H121 results.
Marshall Motor Holdings (“MMH”) has released a trading update for the four months to 30 April showing continued market outperformance during a period of showroom closures. Overall revenue was up 33.3% on a LFL basis with a strong performance across new, used and aftersales. PBT for FY21E is now expected to be no less than £22.1m, in line with FY19 results, which is after paying back all Government grants received in 2021. The Group has stated its intention to reinstate dividends at the earliest ...
Our investment case for Marshall Motor Holdings (MMH) is rooted in the strong performance demonstrated in FY20. PBT for FY20 came in 9% ahead of our expectations. Management emphasised the group’s performance as resilient. We would highlight an agile team that has responded to the pandemic and achieved earnings ahead of our expectations through outperforming the market and utilising government support. This keeps the group on a strong financial footing, giving MMH the opportunity to strengthen i...
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