Recent Insider Transactions • Oct 23
Independent Director recently sold €161k worth of stock On the 18th of October, Claes Akesson sold around 8k shares on-market at roughly €20.11 per share. This transaction amounted to 100% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of €289k more than they bought in the last 12 months. Aankondiging • Oct 23
Concentric AB (publ)(OM:COIC) dropped from OMX Nordic All-Share Index Concentric AB has been droppred from the OMX Nordic All-Share Index . Aankondiging • Oct 02
Concentric AB (publ) (OM:COIC) completed the acquisition of G.O. Engineering Gesellschaft Zur Entwicklung Von Hard- Und Software Mbh. Concentric AB (publ) (OM:COIC) agreed to acquire G.O. Engineering Gesellschaft Zur Entwicklung Von Hard- Und Software Mbh for an enterprise value at approximately SEK 270 million on September 18, 2024. As part of the acquisition, Concentric AB will acquire 100% stake in G.O. ENGINEERING Gesellschaft. The transaction also includes the acquisition of G.O. Engineering Gesellschaft's subsidiary ÖkoGW Verwaltungs- und Vermietungs GmbH & Co. KG. This is subject to any closing conditions being met. Concentric will finance the Acquisition using cash reserves and existing debt facilities. Helmut Gerstner and Ralf Wörner, the current owners of GO Engineering, will remain involved in the business to ensure a smooth transition, with Gerstner providing support for a three-month period, while Wörner will contribute to the company's operations on an ongoing basis. With the acquisition, Concentric AB will welcome more than 120 GO Engineering employees to the Concentric Group. For the period ending June 30, 2024, G.O. Engineering Gesellschaft Zur Entwicklung Von Hard- Und Software Mbh reported total revenue of approximately SEK 330 million and EBITDA of SEK 27 million. The expected completion of the transaction is October 1, 2024.
Concentric AB (publ) (OM:COIC) completed the acquisition of G.O. Engineering Gesellschaft Zur Entwicklung Von Hard- Und Software Mbh on October 1, 2024. Aankondiging • Oct 01
Concentric AB Announces Resignation of Roger Ingemey as Senior Vice President of the Hydraulics Division Concentric AB announced that Dr. Roger Ingemey will, effective immediately, be leaving his position as Senior Vice President of the Hydraulics division. His responsibilities will be assumed on an interim basis by existing members of the Senior Leadership team. Aankondiging • Sep 19
Concentric AB (publ) (OM:COIC) agreed to acquire G.O. Engineering Gesellschaft Zur Entwicklung Von Hard- Und Software Mbh for an enterprise value at approximately SEK 270 million. Concentric AB (publ) (OM:COIC) agreed to acquire G.O. Engineering Gesellschaft Zur Entwicklung Von Hard- Und Software Mbh for an enterprise value at approximately SEK 270 million on September 18, 2024. This is subject to any closing conditions being met. Concentric will finance the Acquisition using cash reserves and existing debt facilities. Helmut Gerstner and Ralf Wörner, the current owners of GO Engineering, will remain involved in the business to ensure a smooth transition, with Gerstner providing support for a three-month period, while Wörner will contribute to the company's operations on an ongoing basis. With the acquisition, Concentric AB will welcome more than 120 GO Engineering employees to the Concentric Group. For the period ending June 30, 2024, G.O. Engineering Gesellschaft Zur Entwicklung Von Hard- Und Software Mbh reported total revenue of SEK 332 million and EBITDA of SEK 27 million. The expected completion of the transaction is October 1, 2024. New Risk • Aug 29
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of German stocks, typically moving 18% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (18% average weekly change). Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Profit margins are more than 30% lower than last year (7.2% net profit margin). Aankondiging • Aug 29
A.P. Møller Holding A/S proposed to acquire Concentric AB (publ) (OM:COIC) from Forsta AP-fonden and Cliens Kapitalförvaltning AB and others for SEK 8.6 billion. A.P. Møller Holding A/S proposed to acquire Concentric AB (publ) (OM:COIC) from Forsta AP-fonden and Cliens Kapitalförvaltning AB and others for SEK 8.6 billion on August 29, 2024. A cash consideration of SEK 8.59 billion valued at SEK 230 per share will be paid by A.P. Møller Holding A/S. As part of consideration, SEK 8.59 billion is paid towards common equity of Concentric AB (publ). The consideration payable in respect of the Offer is financed in full by funds available to the Offeror by way of an equity commitment letter issued by APMH Invest A/S. The Company's shareholders Första AP-fonden and Cliens Kapitalförvaltning AB, controlling 16.7 per cent of the outstanding shares and votes in Concentric, have entered into undertakings to accept the offer. Completion of the Offer is conditional upon, among other things, the Offer being accepted to such extent that A.P. Møller Holding becomes the owner of more than 90% of the shares in Concentric AB, as well as the receipt of all regulatory, governmental or similar clearances, approvals and decisions and other actions that are necessary for the Offer and Circle. If the Offeror, whether in connection with the Offer or otherwise, acquires shares representing more than 90% of the total number of outstanding shares in Concentric, the Offeror intends to commence compulsory redemption proceedings under the Swedish Companies Act. The deal has been unanimously approved by the Concentric AB board.
The acceptance period of the Offer is expected to commence on or around September 23, 2024, and expire on or around November 1, 2024, subject to any extensions. Skandinaviska Enskilda Banken AB acted as financial advisor, Advokatfirman Lindahl KB acted as legal advisor, Ernst & Young Corporate Finance AB acted as fairness opinion provider to Concentric AB. Citigroup Global Markets Europe AG, Danske Bank A/S, Danmark,Sverige Filial acted as financial advisors to A.P. Møller Holding A/S. White & Case LLP acted as legal advisor to A.P. Møller Holding A/S. New Risk • Aug 01
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 7.2% Last year net profit margin: 11% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Profit margins are more than 30% lower than last year (7.2% net profit margin). Aankondiging • May 09
Concentric AB (publ) Provides Sales Guidance for the Second Quarter of 2024 Concentric AB (publ) provided sales guidance for the second quarter of 2024. The company expects net sales in the second quarter of 2024 to be broadly similar to the net sales achieved in the first quarter of 2024. Reported Earnings • May 09
First quarter 2024 earnings released: EPS: kr2.69 (vs kr3.19 in 1Q 2023) First quarter 2024 results: EPS: kr2.69 (down from kr3.19 in 1Q 2023). Revenue: kr1.00b (down 11% from 1Q 2023). Net income: kr100.0m (down 17% from 1Q 2023). Profit margin: 10.0% (in line with 1Q 2023). Revenue is forecast to grow 1.5% p.a. on average during the next 3 years, compared to a 4.3% growth forecast for the Machinery industry in Germany. Over the last 3 years on average, earnings per share has increased by 15% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Upcoming Dividend • Apr 12
Upcoming dividend of kr4.25 per share Eligible shareholders must have bought the stock before 19 April 2024. Payment date: 25 April 2024. Payout ratio is a comfortable 39% and this is well supported by cash flows. Trailing yield: 2.2%. Lower than top quartile of German dividend payers (4.8%). Lower than average of industry peers (3.2%). Reported Earnings • Mar 28
Full year 2023 earnings released: EPS: kr11.01 (vs kr13.20 in FY 2022) Full year 2023 results: EPS: kr11.01 (down from kr13.20 in FY 2022). Revenue: kr4.21b (up 3.7% from FY 2022). Net income: kr417.0m (down 17% from FY 2022). Profit margin: 9.9% (down from 12% in FY 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to stay flat during the next 3 years compared to a 3.2% growth forecast for the Machinery industry in Germany. Over the last 3 years on average, earnings per share has increased by 23% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Aankondiging • Feb 15
Concentric AB (Publ) Announces Retirement of Susanna Schneeberger as Board Member Concentric AB (publ) announced that the current board member Susanna Schneeberger has informed the nomination committee that she declines re-election. Declared Dividend • Feb 12
Dividend of kr4.25 announced Shareholders will receive a dividend of kr4.25. Ex-date: 19th April 2024 Payment date: 25th April 2024 Dividend yield will be 30%, which is higher than the industry average of 2.6%. Sustainability & Growth Dividend is well covered by both earnings (39% earnings payout ratio) and cash flows (30% cash payout ratio). The dividend has increased by an average of 13% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 28% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Feb 08
Full year 2023 earnings released: EPS: kr11.01 (vs kr13.20 in FY 2022) Full year 2023 results: EPS: kr11.01 (down from kr13.20 in FY 2022). Revenue: kr4.21b (up 3.7% from FY 2022). Net income: kr417.0m (down 17% from FY 2022). Profit margin: 9.9% (down from 12% in FY 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to stay flat during the next 3 years compared to a 3.1% growth forecast for the Machinery industry in Germany. Over the last 3 years on average, earnings per share has increased by 23% per year but the company’s share price has fallen by 7% per year, which means it is significantly lagging earnings. Aankondiging • Jan 10
Concentric AB Appoints Dr. Roger Ingemey as Senior Vice President Hydraulics Division, Effective on February 1, 2024 Concentric AB has appointed Dr. Roger Ingemey as Senior Vice President Hydraulics Division. The appointment of Roger from 1 February 2024 will be pivotal in executing the Group strategic plan, to deliver profitable growth in the hydraulics division aligned to electrification strategy, and driving productivity improvements through the Concentric Business Excellence program. Roger holds a PhD in Physical Chemistry from the University of Duisburg-Essen. Valuation Update With 7 Day Price Move • Dec 20
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to €16.46, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 11x in the Machinery industry in Germany. Total loss to shareholders of 3.3% over the past three years. New Risk • Nov 16
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of German stocks, typically moving 6.6% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (6.6% average weekly change). Reported Earnings • Nov 09
Third quarter 2023 earnings released: EPS: kr2.35 (vs kr3.32 in 3Q 2022) Third quarter 2023 results: EPS: kr2.35 (down from kr3.32 in 3Q 2022). Revenue: kr1.04b (down 3.1% from 3Q 2022). Net income: kr89.0m (down 29% from 3Q 2022). Profit margin: 8.6% (down from 12% in 3Q 2022). Revenue is forecast to stay flat during the next 3 years compared to a 3.4% growth forecast for the Machinery industry in Germany. Over the last 3 years on average, earnings per share has increased by 30% per year but the company’s share price has fallen by 8% per year, which means it is significantly lagging earnings. Aankondiging • Oct 11
Concentric AB (Publ) Announces Appointment of Nomination Committee The AGM 2019 has resolved that Concentric's Nomination Committee shall have five members which consist of the Chairman of the Board and one representative of each of the four shareholders. The members of the Nomination Committee shall, in accordance with the resolution of the AGM 2019, be appointed based on the ownership structure as of 31st of August 2023. The members are: Monica Åsmyr, Swedbank Robur Fonder, Chairman of the Nomination Committee Maria Rengefors, Nordea Fonder, Anette Dahlberg, Första AP-fonden, Carl Sundblad, Cliens Fonder, the Nomination Committee also includes the Chairman of the Board, Anders Nielsen. Aankondiging • May 04
Concentric AB (Publ) Provides Sales Guidance for the Year 2023 Concentric AB (publ) provided sales guidance for the year 2023. The company currently estimate sales in the second quarter of 2023 to be similar to the sales performance achieved during the first quarter of 2023. Reported Earnings • May 03
First quarter 2023 earnings released: EPS: kr3.19 (vs kr3.43 in 1Q 2022) First quarter 2023 results: EPS: kr3.19 (down from kr3.43 in 1Q 2022). Revenue: kr1.13b (up 21% from 1Q 2022). Net income: kr121.0m (down 6.9% from 1Q 2022). Profit margin: 11% (down from 14% in 1Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 1.4% p.a. on average during the next 3 years, compared to a 4.5% growth forecast for the Machinery industry in Germany. Over the last 3 years on average, earnings per share has increased by 32% per year but the company’s share price has only increased by 23% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Apr 12
Upcoming dividend of kr4.00 per share at 1.9% yield Eligible shareholders must have bought the stock before 19 April 2023. Payment date: 25 April 2023. Payout ratio is a comfortable 30% and this is well supported by cash flows. Trailing yield: 1.9%. Lower than top quartile of German dividend payers (4.7%). Lower than average of industry peers (3.0%). Reported Earnings • Mar 27
Full year 2022 earnings released Full year 2022 results: Revenue: kr4.06b (up 92% from FY 2021). Net income: kr501.0m (up 48% from FY 2021). Profit margin: 12% (down from 16% in FY 2021). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 2.6% p.a. on average during the next 3 years, compared to a 4.4% growth forecast for the Machinery industry in Germany. Valuation Update With 7 Day Price Move • Mar 13
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to €17.32, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 14x in the Machinery industry in Germany. Total returns to shareholders of 96% over the past three years. Reported Earnings • Feb 09
Full year 2022 earnings released: EPS: kr13.20 (vs kr8.92 in FY 2021) Full year 2022 results: EPS: kr13.20 (up from kr8.92 in FY 2021). Revenue: kr4.06b (up 92% from FY 2021). Net income: kr501.0m (up 48% from FY 2021). Profit margin: 12% (down from 16% in FY 2021). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 2.6% p.a. on average during the next 3 years, compared to a 4.3% growth forecast for the Machinery industry in Germany. Over the last 3 years on average, earnings per share has increased by 27% per year but the company’s share price has only increased by 11% per year, which means it is significantly lagging earnings growth. Reported Earnings • Nov 04
Third quarter 2022 earnings released: EPS: kr3.32 (vs kr2.40 in 3Q 2021) Third quarter 2022 results: EPS: kr3.32 (up from kr2.40 in 3Q 2021). Revenue: kr1.07b (up 107% from 3Q 2021). Net income: kr126.0m (up 39% from 3Q 2021). Profit margin: 12% (down from 18% in 3Q 2021). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 2.1% p.a. on average during the next 3 years, compared to a 4.1% growth forecast for the Machinery industry in Germany. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has only increased by 10% per year, which means it is significantly lagging earnings growth. Reported Earnings • Jul 27
Second quarter 2022 earnings released: EPS: kr3.53 (vs kr2.24 in 2Q 2021) Second quarter 2022 results: EPS: kr3.53 (up from kr2.24 in 2Q 2021). Revenue: kr1.02b (up 116% from 2Q 2021). Net income: kr134.0m (up 58% from 2Q 2021). Profit margin: 13% (down from 18% in 2Q 2021). The decrease in margin was driven by higher expenses. Over the next year, revenue is forecast to grow 18%, compared to a 10% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has increased by 6% per year but the company’s share price has increased by 23% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • May 05
First quarter 2022 earnings released: EPS: kr3.43 (vs kr1.90 in 1Q 2021) First quarter 2022 results: EPS: kr3.43 (up from kr1.90 in 1Q 2021). Revenue: kr934.0m (up 116% from 1Q 2021). Net income: kr130.0m (up 81% from 1Q 2021). Profit margin: 14% (down from 17% in 1Q 2021). The decrease in margin was driven by higher expenses. Over the next year, revenue is forecast to grow 29%, compared to a 9.6% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has increased by 10% per year, which means it is well ahead of earnings. Upcoming Dividend • Apr 15
Upcoming dividend of kr3.75 per share Eligible shareholders must have bought the stock before 22 April 2022. Payment date: 28 April 2022. Payout ratio is a comfortable 42% and this is well supported by cash flows. Trailing yield: 1.9%. Lower than top quartile of German dividend payers (3.9%). Lower than average of industry peers (2.5%). Valuation Update With 7 Day Price Move • Oct 20
Investor sentiment improved over the past week After last week's 21% share price gain to €20.65, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 19x in the Machinery industry in Germany. Total returns to shareholders of 38% over the past year. Executive Departure • Oct 01
Senior VP and Head of Europe & Rest of the World David Bessant has left the company On the 29th of September, David Bessant's tenure as Senior VP and Head of Europe & Rest of the World ended after 3.9 years in the role. As of June 2021, David still personally held 27.60k shares (€480k worth at the time). A total of 4 executives have left over the last 12 months. The current median tenure of the management team is 2.92 years. Reported Earnings • Jul 22
Second quarter 2021 earnings released: EPS kr2.24 (vs kr0.45 in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: kr473.0m (up 38% from 2Q 2020). Net income: kr85.0m (up 400% from 2Q 2020). Profit margin: 18% (up from 5.0% in 2Q 2020). The increase in margin was driven by higher revenue. Reported Earnings • May 06
First quarter 2021 earnings released: EPS kr1.90 (vs kr1.59 in 1Q 2020) The company reported a decent first quarter result with improved earnings and profit margins, although revenues were weaker. First quarter 2021 results: Revenue: kr432.0m (down 5.3% from 1Q 2020). Net income: kr72.0m (up 20% from 1Q 2020). Profit margin: 17% (up from 13% in 1Q 2020). The increase in margin was driven by lower expenses. Executive Departure • Apr 30
Independent Director has left the company On the 22nd of April, Martin Lundstedt's tenure as Independent Director ended after 9.0 years in the role. We don't have any record of a personal shareholding under Martin's name. A total of 3 executives have left over the last 12 months. Executive Departure • Apr 30
Independent Director has left the company On the 22nd of April, Marianne Brismar's tenure in the role of Independent Director ended. We don't have any record of a personal shareholding under Marianne's name. A total of 3 executives have left over the last 12 months. Executive Departure • Apr 30
Independent Chairman of the Board Kenth Eriksson has left the company On the 22nd of April, Kenth Eriksson's tenure in the role of Independent Chairman of the Board ended. As of December 2020, Kenth personally held 50.18k shares (€939k worth at the time). A total of 3 executives have left over the last 12 months. Upcoming Dividend • Apr 16
Upcoming dividend of kr3.50 per share Eligible shareholders must have bought the stock before 23 April 2021. Payment date: 29 April 2021. Trailing yield: 1.9%. Lower than top quartile of German dividend payers (3.2%). Higher than average of industry peers (1.1%). Reported Earnings • Apr 03
Full year 2020 earnings released: EPS kr5.42 (vs kr8.37 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: kr1.50b (down 25% from FY 2019). Net income: kr205.0m (down 36% from FY 2019). Profit margin: 14% (down from 16% in FY 2019). The decrease in margin was driven by lower revenue. Analyst Estimate Surprise Post Earnings • Feb 11
Revenue beats expectations Revenue exceeded analyst estimates by 2.2%. Over the next year, revenue is forecast to grow 6.7%, compared to a 5.0% growth forecast for the Machinery industry in Germany. Reported Earnings • Feb 11
Full year 2020 earnings released The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: kr1.50b (down 25% from FY 2019). Net income: kr205.0m (down 36% from FY 2019). Profit margin: 14% (down from 16% in FY 2019). The decrease in margin was driven by lower revenue. Is New 90 Day High Low • Jan 21
New 90-day high: €19.22 The company is up 28% from its price of €14.96 on 23 October 2020. The German market is up 12% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Machinery industry, which is up 15% over the same period. Is New 90 Day High Low • Dec 31
New 90-day high: €18.72 The company is up 16% from its price of €16.10 on 02 October 2020. The German market is up 9.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Machinery industry, which is up 13% over the same period. Is New 90 Day High Low • Dec 10
New 90-day high: €16.78 The company is up 8.0% from its price of €15.54 on 11 September 2020. The German market is up 2.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Machinery industry, which is up 3.0% over the same period. Reported Earnings • Nov 05
Third quarter 2020 earnings released: EPS kr1.06 The company reported a poor third quarter result with weaker earnings, revenues and profit margins. Third quarter 2020 results: Revenue: kr324.0m (down 30% from 3Q 2019). Net income: kr40.0m (down 38% from 3Q 2019). Profit margin: 12% (down from 14% in 3Q 2019). The decrease in margin was driven by lower revenue. Analyst Estimate Surprise Post Earnings • Nov 05
Revenue misses expectations Revenue missed analyst estimates by 8.5%. Over the next year, revenue is forecast to grow 1.1% while the growth in Machinery industry in Germany is expected to stay flat. Is New 90 Day High Low • Oct 29
New 90-day low: €14.00 The company is down 2.0% from its price of €14.34 on 31 July 2020. The German market is down 5.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Machinery industry, which is down 3.0% over the same period.