More growth is coming

Q2e moving parts: higher volumes, FX tailwind. Solid volume outlook for '24e as de-stocking subsides. We keep BUY with a new TP of SEK 140 (136).

Volume-driven EBIT beat

Granges AB: 1 director

A director at Granges AB bought 2,000 shares at 104.190SEK and the significance rating of the trade was 68/100. Is that information sufficient for you to make an investment decision? This report gives details of those trades and adds context and analysis to them such that you can judge whether these trading decisions are ones worth following. Included in the report is a detailed share price chart which plots discretionary trades by all the company's directors over the last two years clearly sh...

Sector Fast Comment - HVAC&R news: New call for ban on F-gases

Will accelerate transition towards low-GWP refrigerants Another positive overall, but challenging for OEMs Another tailwind for Beijer Ref in particular

Gränges - Upside is there, but will take some quarters

Slight Q3 miss, but cautious Q4 guidance the main worry ‘22e-‘24e adj. EBIT down 3/5/3%; 21% CAGR ‘21-‘24e Keep BUY, TP SEK 115 (120)

Gränges - Slight miss, and cautious Q4 guidance

Volumes -2%, adj. EBIT -1% vs. cons Cautious Q4 guidance, 5-10% downside to cons Q4 EBIT Likely not good enough to lift the share

Gränges - Another quarter of higher volumes and EBIT

Q3 report due on Thursday, 20 October, at 07:30 CET ‘22e EBIT -1%, ‘23e-‘24e EBIT down 11-8% (FX +3%) Keep BUY, TP SEK 120 (135), 65% upside

Sector Fast Comment - HVAC&R news: US ratifies Kigali Amendment

Key to global reduction in HFC refrigerants / “F-gases” Another supportive factor for HVAC&R demand Pos: ALFA, GRNG, MTRS, NIBE, BEIJ not yet in the US

Gränges - Earnings resilience continues to impress

8% EBIT beat vs. cons on solid profitability Adj. EBIT up 4-8% in ‘22e-‘24e (2-6% FX); 25% CAGR Keep BUY, TP of SEK 135 (130), ~60% upside

Gränges - Profitability better than pre-announced

Volumes +1%, adj. EBIT +8% vs. cons Stable demand q-o-q into Q3, cons EBIT up 2-4% 2022e Slightly positive reaction warranted

Gränges - Clear and credible growth agenda at CMD

Building blocks in place for >10% annual EBIT growth… …but we lower ests due to weakening economic cycle Growth and valuation remain attractive; BUY

Gränges - EBIT guidance upgrade ahead of Q2

Sales volumes “at least” 90% of Q2’21 volumes… …with better margins q-o-q, ~20% above cons Q2 EBIT Positive to see good near-term execution, CMD tomorrow

Gränges - Fire in the Konin facility to affect ramp-up

Upcoming 40kt in new capacity likely postponed Near-term outlook unchanged, covered by insurance Unfortunate news, small negative reaction likely

Gränges - Impressive pricing power

34% EBIT beat vs. cons on in-line volumes Adj. EBIT up 4-1% ‘22e-‘24e; 23% CAGR ‘21-‘24e Keep BUY, TP SEK 135 (130), ~50% upside

Gränges - >30% EBIT beat on strong pricing power

Volumes in line, adj. EBIT +34% vs. cons Slightly soft Q2 guidance, but very strong pricing power Strong report, high single-digit pos reaction warranted

Gränges - Still on track for sequential EBIT improvement

Q1 report on Thursday 21 April, 07:30 CET Adj. EBIT intact for Q1’22e, down 9-2% ’22e-’24e An EV+HVAC winner, trading at 10-6x ’22e-’24e EBIT

Gränges - The turning point

Better than feared; 8% adj. EBIT beat vs. cons ‘22e-‘23e adj. EBIT +2-3%; 24% CAGR ‘21-‘24e An EV+HVAC winner trading at 11-8x EBIT ‘22e-‘23e

Gränges - Better than feared

Volumes +5%, adj. EBIT +8% vs. cons Positive guidance into Q1’22, cons EBIT up 3-5% ‘22e Positive reaction warranted

Gränges - Earnings growth from Q2’22e

Q4 report on Thursday, 27 January, 07:30 CET ‘21e adj. EBIT -3%, ‘22e-‘23e +2% EBIT set to double in 2023e vs. 2019; keep BUY

Gränges - Return to earnings growth in Q2’22e

Q4 to be the trough, support from pricing in Q1’22e EBIT -8% ‘21e, -3% ‘22e, intact for ‘23e BUY, 11-8x EBIT in ‘22e-‘23e, >20% EBIT growth