Board Change • May 19
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 3 non-independent directors. Independent Director Carme Moragues Josa was the last independent director to join the board, commencing their role in 2017. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • May 19
First quarter 2026 earnings released First quarter 2026 results: €0.15 loss per share. Revenue: €154.3m (down 14% from 1Q 2025). Net loss: €13.6m (loss widened 12% from 1Q 2025). Revenue is forecast to grow 11% p.a. on average during the next 3 years, compared to a 2.9% growth forecast for the Chemicals industry in Europe. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 108 percentage points per year, which is a significant difference in performance. Aankondiging • Jan 29
Ercros, S.A. to Report Fiscal Year 2025 Results on Feb 27, 2026 Ercros, S.A. announced that they will report fiscal year 2025 results on Feb 27, 2026 Reported Earnings • Nov 12
Third quarter 2025 earnings released Third quarter 2025 results: Revenue: €161.5m (up 4.3% from 3Q 2024). Net loss: €12.0m (loss widened 30% from 3Q 2024). Revenue is forecast to grow 9.6% p.a. on average during the next 3 years, compared to a 2.6% growth forecast for the Chemicals industry in Europe. Board Change • Nov 11
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 1 experienced director. 5 highly experienced directors. Proprietary Director Joan Galofre was the last director to join the board, commencing their role in 2020. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Aankondiging • Oct 12
Ercros, S.A. to Report Q3, 2025 Results on Nov 11, 2025 Ercros, S.A. announced that they will report Q3, 2025 results on Nov 11, 2025 Aankondiging • Aug 12
Esseco Industrial S.P.A. cancelled the acquisition of Ercros, S.A. (BME:ECR). Esseco Industrial S.P.A. made an offer to acquire Ercros, S.A. (BME:ECR) for approximately €350 million on June 19, 2024. A cash consideration valued at €3.84 per share will be paid by Esseco Industrial S.P.A. Under the terms, the compensation will be in cash and amounts to a maximum total of €351.1 million. Esseco will promote talent retention and maintain Ercros' headquarters in Barcelona. The offer price has been calculated on the basis that if the target company makes any distribution of dividends, the offer price would be reduced by an amount equivalent to the gross amount per share of such distribution.
The offer is addressed to the entire share capital of Ercros and is subject to a minimum acceptance condition of 75% as well as to the customary administrative and governmental authorisations for this type of transactions, which will be described in detail in the prospectus that will be made available to shareholders upon completion of its processing by the Comisión Nacional del Mercado de Valores. As of June 28, 2024, the general meeting has approved all the resolution proposals presented by the board of directors of Ercros. The management body of the Bidder approved by unanimity of all its directors on 19 June 2024 launching the Offer, subject to obtaining the necessary financing commitments to ensure the Offeror’s full payment of the cash consideration. As of July 11, 2024, In relation to the takeover bid presented by Bondalti for the capital of Ercros, the Portuguese company states that, as a result of the dividend charged to the 2023 profit of gross €0.096 per share that Ercros paid to its shareholders on July 10, 2024, Bidder has adjusted the Offer price, has deducted this amount from the takeover price and, after rounding the resulting figure, the price becomes €3.745 per share. The National Markets Commission (CNMC) has begun phase two of its analysis of Esseco's takeover bid for Ercros. The company has notified the National Securities Market Commission (CNMV), the stock market supervisor, of this step and has recalled that the CNMC's lack of opposition to the operation is one of the conditions to which the "effectiveness" of the offer is subject.
The board of directors and the management team of Ercros will continue to manage the Company's business diligently in the ordinary course of its activity, ensuring the corporate interest and with full respect for the obligations established by the applicable regulations, for which it has the advice from Evercore Partners International LLP, as financial advisor, and from Uría Menéndez Abogados, S.L.P., as legal advisor. Esseco has been advised by J.P. Morgan as financial advisor and Gianni & Origoni as well as Javier Carvajal, Javier Gómez and Teresa Méndez of Pérez-Llorca Abogados, S.L.P. as legal counsels.
Esseco Industrial S.P.A. cancelled the acquisition of Ercros, S.A. (BME:ECR) on August 11, 2025. New Risk • Aug 11
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 Spanish stocks, typically moving 5.0% 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: Major Risk Debt is not well covered by operating cash flow (7.5% operating cash flow to total debt). Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (5.0% average weekly change). Reported Earnings • Jul 30
Second quarter 2025 earnings released Second quarter 2025 results: Revenue: €180.0m (up 1.4% from 2Q 2024). Net loss: €17.1m (loss widened €15.5m from 2Q 2024). Revenue is forecast to grow 8.6% p.a. on average during the next 3 years, compared to a 3.0% growth forecast for the Chemicals industry in Europe. Reported Earnings • May 15
First quarter 2025 earnings released First quarter 2025 results: €0.13 loss per share. Revenue: €184.5m (up 1.0% from 1Q 2024). Net loss: €12.2m (down 499% from profit in 1Q 2024). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 95 percentage points per year, which is a significant difference in performance. Aankondiging • May 14
Ercros, S.A., Annual General Meeting, Jun 26, 2025 Ercros, S.A., Annual General Meeting, Jun 26, 2025. Location: avenida diagonal 514, planta 6., barcelona Spain Aankondiging • Apr 16
Ercros, S.A. to Report Q1, 2025 Results on May 13, 2025 Ercros, S.A. announced that they will report Q1, 2025 results on May 13, 2025 Aankondiging • Mar 05
Ercros, S.A. to Report Fiscal Year 2024 Final Results on Mar 31, 2025 Ercros, S.A. announced that they will report fiscal year 2024 final results at 5:30 PM, Romance Standard Time on Mar 31, 2025 Reported Earnings • Feb 27
Full year 2024 earnings released Full year 2024 results: Revenue: €699.0m (down 3.8% from FY 2023). Net loss: €11.7m (down 141% from profit in FY 2023). Buy Or Sell Opportunity • Feb 12
Now 21% overvalued Over the last 90 days, the stock has fallen 8.2% to €3.25. The fair value is estimated to be €2.69, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Aankondiging • Jan 28
Ercros, S.A. to Report Second Half, 2024 Results on Feb 25, 2025 Ercros, S.A. announced that they will report second half, 2024 results on Feb 25, 2025 Reported Earnings • Nov 08
Third quarter 2024 earnings released Third quarter 2024 results: Revenue: €173.5m (up 12% from 3Q 2023). Net loss: €9.20m (loss narrowed 15% from 3Q 2023). Revenue is forecast to grow 10% p.a. on average during the next 3 years, compared to a 4.4% growth forecast for the Chemicals industry in Europe. Major Estimate Revision • Aug 06
Consensus EPS estimates fall by 14% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from €784.4m to €767.9m. EPS estimate also fell from €0.175 per share to €0.15 per share. Net income forecast to grow 45% next year vs 29% growth forecast for Chemicals industry in Spain. Consensus price target of €4.55 unchanged from last update. Share price was steady at €3.82 over the past week. Reported Earnings • Aug 01
Second quarter 2024 earnings released Second quarter 2024 results: Revenue: €188.4m (down 11% from 2Q 2023). Net loss: €1.66m (down 143% from profit in 2Q 2023). Revenue is forecast to grow 8.6% p.a. on average during the next 3 years, compared to a 4.6% growth forecast for the Chemicals industry in Europe. Over the last 3 years on average, earnings per share has fallen by 17% per year but the company’s share price has increased by 3% per year, which means it is well ahead of earnings. Upcoming Dividend • Jul 01
Upcoming dividend of €0.078 per share Eligible shareholders must have bought the stock before 08 July 2024. Payment date: 10 July 2024. Payout ratio is a comfortable 23% and this is well supported by cash flows. Trailing yield: 2.5%. Lower than top quartile of Spanish dividend payers (5.5%). Lower than average of industry peers (2.8%). Reported Earnings • May 02
First quarter 2024 earnings released First quarter 2024 results: EPS: €0.033. Revenue: €188.7m (down 14% from 1Q 2023). Net income: €3.05m (down 78% from 1Q 2023). Profit margin: 1.6% (down from 6.4% in 1Q 2023). Revenue is forecast to grow 6.3% p.a. on average during the next 3 years, compared to a 4.5% growth forecast for the Chemicals industry in Europe. Major Estimate Revision • May 01
Consensus EPS estimates fall by 33%, revenue upgraded The consensus outlook for fiscal year 2024 has been updated. 2024 revenue forecast increased from €771.9m to €784.4m. EPS estimate fell from €0.26 to €0.175 per share. Net income forecast to shrink 37% next year vs 28% growth forecast for Chemicals industry in Spain . Consensus price target up from €4.40 to €4.55. Share price was steady at €3.52 over the past week. Buy Or Sell Opportunity • Mar 06
Now 25% overvalued after recent price rise Over the last 90 days, the stock has risen 40% to €3.42. The fair value is estimated to be €2.73, however this is not to be taken as a sell recommendation but rather should be used as a guide only. For the next 3 years, revenue is forecast to grow by 4.8% per annum. Earnings are also forecast to grow by 7.6% per annum over the same time period. Aankondiging • Mar 05
Bondalti Ibérica launched a public takeover offer to acquire Ercros, S.A. (BME:ECR) for €340 million . Bondalti Ibérica launched a public takeover offer to acquire Ercros, S.A. (BME:ECR) for €340 million on March 5, 2024. Offer price is €3.6 per share. The transaction is still conditional on the acceptance of more than 75% of the capital and the obtaining of all relevant regulatory and governmental approvals. Reported Earnings • Mar 01
Full year 2023 earnings: Revenues miss analyst expectations Full year 2023 results: Revenue: €757.6m (down 26% from FY 2022). Net income: €28.8m (down 59% from FY 2022). Profit margin: 3.8% (down from 6.9% in FY 2022). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 2.2%. Revenue is forecast to grow 3.4% p.a. on average during the next 3 years, compared to a 4.2% growth forecast for the Chemicals industry in Europe. New Risk • Feb 27
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 Spanish stocks, typically moving 4.3% 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 (4.3% average weekly change). Profit margins are more than 30% lower than last year (2.6% net profit margin). Major Estimate Revision • Nov 12
Consensus EPS estimates fall by 32% The consensus outlook for earnings per share (EPS) in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from €804.7m to €774.5m. EPS estimate also fell from €0.365 per share to €0.25 per share. Net income forecast to shrink 43% next year vs 6.4% growth forecast for Chemicals industry in Spain . Consensus price target of €4.40 unchanged from last update. Share price fell 14% to €2.52 over the past week. New Risk • Nov 08
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 1.8% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 1.8% per year for the foreseeable future. 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 (4.2% net profit margin). Aankondiging • Oct 18
Ercros, S.A. to Report Q3, 2023 Results on Nov 08, 2023 Ercros, S.A. announced that they will report Q3, 2023 results on Nov 08, 2023 New Risk • Jul 28
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: 4.2% Last year net profit margin: 8.3% 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 (4.2% net profit margin). Reported Earnings • Jul 27
Second quarter 2023 earnings released Second quarter 2023 results: Revenue: €222.4m (down 22% from 2Q 2022). Net income: €3.81m (down 87% from 2Q 2022). Profit margin: 1.7% (down from 10% in 2Q 2022). The decrease in margin was driven by lower revenue. Revenue is expected to decline by 1.4% p.a. on average during the next 3 years, while revenues in the Chemicals industry in Europe are expected to grow by 2.5%. Over the last 3 years on average, earnings per share has increased by 40% per year but the company’s share price has only increased by 25% per year, which means it is significantly lagging earnings growth. Board Change • Jul 02
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. 1 highly experienced director. Proprietary Director Joan Galofre was the last director to join the board, commencing their role in 2020. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. New Risk • Jun 29
New major risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Spanish stocks, typically moving 5.8% 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: Major Risk Earnings are forecast to decline by an average of 13% per year for the foreseeable future. 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 (5.8% average weekly change). Upcoming Dividend • Jun 19
Upcoming dividend of €0.12 per share at 4.8% yield Eligible shareholders must have bought the stock before 26 June 2023. Payment date: 28 June 2023. Payout ratio is a comfortable 21% and this is well supported by cash flows. Trailing yield: 4.8%. Lower than top quartile of Spanish dividend payers (5.8%). Higher than average of industry peers (4.0%). Aankondiging • May 04
Ercros, S.A., Annual General Meeting, Jun 15, 2023 Ercros, S.A., Annual General Meeting, Jun 15, 2023, at 12:00 Central European Standard Time. Location: Uría Menéndez Auditorium, Avenida Diagonal 514, 6th floor Barcelona Spain Agenda: To consider financial statements and directors' report; to consider statement of non-financial information of the Company and its consolidated Group for the year ended 31 December 2022; to consider Re-election of Ernst & Young, S.L. as the auditor. Buying Opportunity • May 03
Now 22% undervalued after recent price drop Over the last 90 days, the stock is down 3.4%. The fair value is estimated to be €4.59, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 21% over the last 3 years. Earnings per share has grown by 48%. For the next 3 years, revenue is forecast to decline by 5.4% per annum. Earnings is also forecast to decline by 12% per annum over the same time period. Reported Earnings • Feb 24
Full year 2022 earnings released: EPS: €0.64 (vs €0.43 in FY 2021) Full year 2022 results: EPS: €0.64 (up from €0.43 in FY 2021). Revenue: €1.02b (up 28% from FY 2021). Net income: €70.6m (up 63% from FY 2021). Profit margin: 6.9% (up from 5.4% in FY 2021). The increase in margin was driven by higher revenue. Revenue is expected to decline by 8.9% p.a. on average during the next 2 years, while revenues in the Chemicals industry in Europe are expected to grow by 2.4%. Over the last 3 years on average, earnings per share has increased by 45% per year but the company’s share price has only increased by 20% per year, which means it is significantly lagging earnings growth. Aankondiging • Jan 30
Ercros, S.A. to Report Fiscal Year 2022 Results on Feb 28, 2023 Ercros, S.A. announced that they will report fiscal year 2022 results on Feb 28, 2023 Buying Opportunity • Nov 10
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 3.7%. The fair value is estimated to be €4.02, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 12% over the last 3 years. Earnings per share has grown by 36%. Revenue is forecast to decline by 13% in 2 years. Earnings is forecast to decline by 40% in the next 2 years. Reported Earnings • Jul 30
Second quarter 2022 earnings released Second quarter 2022 results: Revenue: €297.7m (up 50% from 2Q 2021). Net income: €29.1m (up 152% from 2Q 2021). Profit margin: 9.8% (up from 5.8% in 2Q 2021). The increase in margin was driven by higher revenue. Over the next year, revenue is expected to shrink by 3.5% compared to a 16% growth forecast for the industry in Spain. Upcoming Dividend • Jun 13
Upcoming dividend of €0.069 per share Eligible shareholders must have bought the stock before 20 June 2022. Payment date: 22 June 2022. Trailing yield: 2.5%. Lower than top quartile of Spanish dividend payers (5.7%). Lower than average of industry peers (3.6%). Buying Opportunity • May 12
Now 23% undervalued The stock has been flat over the last 90 days. The fair value is estimated to be €4.14, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has declined by 6.1%. Revenue is forecast to decline by 7.7% in 2 years. Earnings is forecast to decline by 13% in the next 2 years. Buying Opportunity • Mar 03
Now 23% undervalued Over the last 90 days, the stock is up 9.0%. The fair value is estimated to be €4.01, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has declined by 6.1% per annum over the last 3 years. Reported Earnings • Nov 14
Third quarter 2021 earnings released The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: €210.9m (up 56% from 3Q 2020). Net income: €5.90m (up €5.70m from 3Q 2020). Profit margin: 2.8% (up from 0.1% in 3Q 2020). The increase in margin was driven by higher revenue. Valuation Update With 7 Day Price Move • May 11
Investor sentiment improved over the past week After last week's 19% share price gain to €3.14, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 21x in the Chemicals industry in Europe. Total loss to shareholders of 28% over the past three years. Reported Earnings • Mar 01
Full year 2020 earnings released: EPS €0.061 (vs €0.29 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: €585.3m (down 13% from FY 2019). Net income: €6.26m (down 80% from FY 2019). Profit margin: 1.1% (down from 4.6% in FY 2019). Over the last 3 years on average, earnings per share has fallen by 36% per year but the company’s share price has only fallen by 7% per year, which means it has not declined as severely as earnings. Analyst Estimate Surprise Post Earnings • Mar 01
Revenue beats expectations, earnings disappoint Revenue exceeded analyst estimates by 3.0%. Earnings per share (EPS) missed analyst estimates by 39%. Over the next year, revenue is forecast to grow 5.8%, compared to a 4.6% growth forecast for the Chemicals industry in Spain. Is New 90 Day High Low • Feb 16
New 90-day high: €2.48 The company is up 18% from its price of €2.11 on 18 November 2020. The Spanish market is up 1.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Chemicals industry, which is up 8.0% over the same period. Is New 90 Day High Low • Jan 06
New 90-day high: €2.44 The company is up 27% from its price of €1.92 on 08 October 2020. The Spanish market is up 14% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Chemicals industry, which is up 5.0% over the same period. Valuation Update With 7 Day Price Move • Nov 26
Market bids up stock over the past week After last week's 18% share price gain to €2.41, the stock is trading at a trailing P/E ratio of 10.1x, up from the previous P/E ratio of 8.6x. This compares to an average P/E of 21x in the Chemicals industry in Europe. Total returns to shareholders over the past three years were flat. Is New 90 Day High Low • Nov 24
New 90-day high: €2.18 The company is up 6.0% from its price of €2.05 on 25 August 2020. The Spanish market is up 12% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Chemicals industry, which is up 4.0% over the same period. Valuation Update With 7 Day Price Move • Nov 11
Market bids up stock over the past week After last week's 15% share price gain to €2.02, the stock is trading at a trailing P/E ratio of 8.5x, up from the previous P/E ratio of 7.4x. This compares to an average P/E of 20x in the Chemicals industry in Europe. Total return to shareholders over the past three years is a loss of 19%.