Servcorp
Market Cap
AU$390.2m
Last Updated
2019/08/18 10:30 UTC
Data Sources
Company Financials +
Executive Summary
Servcorp Limited provides executive serviced and virtual offices; and coworking and IT, communications, and secretarial services.
Snowflake
Fundamentals
Flawless balance sheet average dividend payer.
Risks
- Servcorp is covered by less than 3 analysts.
Similar Companies
Share Price & News
How has Servcorp's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
2.5%
ASX:SRV
-2.0%
AU Real Estate
-2.5%
AU Market
1 Year Return
-1.9%
ASX:SRV
-22.7%
AU Real Estate
-0.6%
AU Market
SRV outperformed the Real Estate industry which returned -22.7% over the past year.
SRV underperformed the Market in Australia which returned -0.6% over the past year.
Share holder returns
| SRV | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.5% | -2.0% | -2.5% |
| 30 Day | 13.8% | -3.9% | -3.7% |
| 90 Day | 26.7% | 0.6% | 0.5% |
| 1 Year | 5.6%-1.9% | -20.3%-22.7% | 5.1%-0.6% |
| 3 Year | -39.0%-47.9% | 0.9%-9.7% | 30.2%13.1% |
| 5 Year | 3.2%-17.8% | 23.0%0.6% | 36.5%5.9% |
Price Volatility Vs. Market
How volatile is Servcorp's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Do Institutions Own Servcorp Limited (ASX:SRV) Shares?1 month ago | Simply Wall St
Looking At Servcorp Limited (ASX:SRV) From All Angles2 months ago | Simply Wall St
Investors Who Bought Servcorp (ASX:SRV) Shares Three Years Ago Are Now Down 55%Valuation
Is Servcorp undervalued based on future cash flows and its price relative to the stock market?
50%
Discount to future cash flow value
Intrinsic Value Based on Future Cash Flows
Servcorp's share price is below the future cash flow value, and at a moderate discount (> 20%).
Servcorp's share price is below the future cash flow value, and at a substantial discount (> 40%).
Price Based on Earnings
Servcorp is loss making, we can't compare its value to the AU Real Estate industry average.
Servcorp is loss making, we can't compare the value of its earnings to the Australia market.
Price Based on Expected Growth
Unable to calculate PEG ratio for Servcorp, we can't assess if its growth is good value.
Price Based on Value of Assets
Servcorp is overvalued based on assets compared to the AU Real Estate industry average.
Next Steps
Future Growth
How is Servcorp expected to perform in the next 1 to 3 years based on estimates from 1 analyst?
50.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Estimates
Future Annual Growth Analysis
Servcorp's revenue is expected to grow by 1% yearly, however this is not considered high growth (20% yearly).
Servcorp's earnings are expected to grow significantly at over 20% yearly.
Servcorp's revenue growth is positive but not above the Australia market average.
Servcorp's earnings growth is expected to exceed the Australia market average.
Servcorp's earnings growth is expected to exceed the low risk savings rate of 2.3%.
Earnings per Share Growth Estimates
Future Return on Equity
Servcorp is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
Next Steps
Past Performance
How has Servcorp performed over the past 5 years?
-12.1%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Servcorp does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
Unable to compare Servcorp's 1-year earnings growth to the 5-year average as it is not currently profitable.
Unable to compare Servcorp's 1-year growth to the AU Real Estate industry average as it is not currently profitable.
Return on Equity
It is difficult to establish if Servcorp has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
Return on Assets
It is difficult to establish if Servcorp has efficiently used its assets last year compared to the AU Real Estate industry average (Return on Assets) as it is loss-making.
Return on Capital Employed
It is difficult to establish if Servcorp improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
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Financial Health
How is Servcorp's financial position?
Financial Position Analysis
Servcorp is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Servcorp's cash and other short term assets cover its long term commitments.
Debt to Equity History and Analysis
Servcorp has no debt.
Servcorp has no debt compared to 5 years ago when it was 1.2%.
Servcorp has no debt, it does not need to be covered by operating cash flow.
Servcorp has no debt, therefore coverage of interest payments is not a concern.
Balance Sheet
High level of physical assets or inventory.
Servcorp has no debt, it does not need to be covered by short term assets.
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Dividend
What is Servcorp's current dividend yield, its reliability and sustainability?
5.52%
Expected Dividend Yield
Dividend Yield and Payments Analysis
Servcorp's pays a higher dividend yield than the bottom 25% of dividend payers in Australia (2.67%).
Servcorp's dividend is above the markets top 25% of dividend payers in Australia (5.85%).
Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
Dividends per share have increased over the past 10 years.
Current Payout to Shareholders
The company is paying a dividend however it is incurring a loss.
Future Payout to Shareholders
Dividends after 3 years are expected to be covered by earnings (1.2x coverage).
Next Steps
Management
What is the CEO of Servcorp's salary, the management and board of directors tenure and is there insider trading?
9.1yrs
Average management tenure
CEO
Alf Moufarrige
20.0yrs
Tenure
AU$516,864
Compensation
Mr. Alfred George Moufarrige, also known as Alf, AO has been the Chief Executive Officer and Managing Director of ServCorp Limited since August 24, 1999. Mr. Moufarrigeis primarily responsible for Servcorp ...
CEO Compensation Analysis
Alf's remuneration is lower than average for companies of similar size in Australia.
Alf's compensation has been consistent with company performance over the past year, both up more than 20%.
Management Age and Tenure
9.1yrs
Average Tenure
The average tenure for the Servcorp management team is over 5 years, this suggests they are a seasoned and experienced team.
Board Age and Tenure
19.8yrs
Average Tenure
69yo
Average Age
The average tenure for the Servcorp board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Insider Trading
No 3 month open market individual insider trading information.
Recent Insider Transactions
| Entity | Individual |
| Role | Member of the Board of Directors |
| Shares | 7,670 |
| Max Price | AU$3.15 |
| Entity | Company |
| Shares | 913,474 |
| Max Price | AU$3.07 |
| Entity | Company |
| Shares | 90,017 |
| Max Price | AU$3.10 |
| Entity | Individual |
| Role | Founder Member of the Board of Directors |
| Shares | 500,000 |
| Max Price | AU$3.18 |
| Entity | Individual |
| Role | Chairman of the Board |
| Shares | 560 |
| Max Price | AU$2.70 |
| Entity | Company |
| Shares | 734,720 |
| Max Price | AU$3.90 |
| Entity | Individual |
| Role | Chairman of the Board |
| Shares | 10,000 |
| Max Price | AU$3.05 |
| Entity | Individual |
| Role | Chairman of the Board |
| Shares | 11,000 |
| Max Price | AU$3.28 |
| Entity | Company |
| Shares | 200,000 |
| Max Price | AU$4.00 |
Ownership Breakdown
Management Team
Liane Gorman
General Manager of Australia & New Zealand
- Tenure: 9.1yrs
- Compensation: A$400.07k
Taine Moufarrige
Executive Officer
- Compensation: A$579.97k
Olga Vlietstra
General Manager of Japan
- Compensation: A$809.94k
Anton Clowes
Chief Financial Officer
- Tenure: 3.3yrs
- Compensation: A$323.84k
Matthew Baumgartner
Chief Information Officer
Daniel Kukucka
Chief Technology Officer
Laudy Lahdo
General Manager of Middle East
- Compensation: A$436.35k
Steve Gainer
Head of Global Accounts - Japan
Alf Moufarrige
Founder
- Tenure: 20.0yrs
- Compensation: A$516.86k
Warren James
Chief Property Officer
Board Members
Rick Holliday-Smith (69yo)
Independent Non-Executive Director
- Tenure: 19.8yrs
- Compensation: A$110.00k
Alf Moufarrige
Founder
- Tenure: 20.0yrs
- Compensation: A$516.86k
Robert Corlett (74yo)
Chairman of the Board
- Tenure: 19.8yrs
- Compensation: A$175.00k
Mark Anthony Vaile (63yo)
Independent Non-Executive Director
- Tenure: 8.2yrs
- Compensation: A$100.00k
Wallis Graham
Independent Non-Executive Director
- Tenure: 1.8yrs
- Compensation: A$75.00k
Company Information
Servcorp Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Servcorp Limited
- Ticker: SRV
- Exchange: ASX
- Founded: 1978
- Industry: real estate operating companies
- Sector: real estate
- Market Cap: AU$390.176m
- Shares outstanding: 96.82m
- Website: Click here
Number of Employees
Location
- Servcorp Limited
- MLC Centre
- Level 63
- Sydney
- New South Wales
- 2000
- Australia
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| SRV | ASX (Australian Securities Exchange) | Yes | Ordinary Shares | AU | AUD | Dec 1999 |
| SRV | CHIA (Chi-X Australia) | Yes | Ordinary Shares | AU | AUD | Dec 1999 |
Biography
Servcorp Limited provides executive serviced and virtual offices; and coworking and IT, communications, and secretarial services. Its serviced offices include furnished CBD office suites with a receptionis ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/08/18 10:30 |
| End of Day Share Price | 2019/08/16 00:00 |
| Earnings | 2018/12/31 |
| Annual Earnings | 2018/06/30 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.