The facts: The H1 gross margin came out at €51.9m, +43.6% (same in organic), i.e. +50% in Q2 (of which +36.8% in organic) after +39% in Q1, illustrating the company's ability to accelerate the pace of growth again. Small acquisition in France (55.56% of Transports Petit International). In a market́expected to grow by +8%, including +5-7% for sea and +7-9% for air, management expects to very significantly outperform.
Our analysis: The group benefitted from a better oriented market, but still very unsettled, leading to a surge in freight rates (price effect), a favourable base effect, but above all from the success of the solutions proposed (gains in market share) with historical clients but also with new clients. Despite the health crisis, management continued to invest in growth drivers (opening of offices/countries, recruitment, launch of new solutions, etc.), which contributed to the outperformance. Thanks to the rebound of the RO/RO (truck by boat, +76%) and Other means of transport (+48%) divisions in Q2, all activities posted strong growth in H1. The performance was again ahead of our forecast: gross margin expected at €44.8m in H1 thanks to an above-expectation performance in sea freight.
Conclusion & Action: To take into account the good performance at the beginning
of the year, we have revised our 2021 scenario upwards: gross margin now expected at €100.7m, +32% vs. +15% expected previously and EBIT expected at €13.6m vs. €11.2m. Out of caution, we have not significantly changed our forecasts from 2022 onwards. Overall, our net income forecasts have been revised upwards by 9% on average. Thanks to a favourable newsflow, the stock should probably continue to rise (+56% y-t-d), which confirms our Buy opinion. Based on our scenario, our target price is raised from €61 to €63.
Clasquin SA published this content on 03 September 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 03 September 2021 10:01:10 UTC.