Krones
Market Cap
€1.6b
Last Updated
2020/04/07 21:57 UTC
Data Sources
Company Financials +
Executive Summary
Krones AG, together with its subsidiaries, engages in planning, developing, and manufacturing machinery and systems for the fields of process technology, filling and packaging technology, and intralogistics in Germany and internationally.
Rewards
Risk Analysis
Snowflake Analysis
Excellent balance sheet with moderate growth potential.
Similar Companies
Share Price & News
How has Krones's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: KRN's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
7.4%
KRN
1.8%
DE Machinery
2.1%
DE Market
1 Year Return
-36.4%
KRN
-29.9%
DE Machinery
-16.6%
DE Market
Return vs Industry: KRN underperformed the German Machinery industry which returned -32.4% over the past year.
Return vs Market: KRN underperformed the German Market which returned -20.9% over the past year.
Shareholder returns
| KRN | Industry | Market | |
|---|---|---|---|
| 7 Day | 7.4% | 1.8% | 2.1% |
| 30 Day | -3.5% | -13.2% | -12.6% |
| 90 Day | -22.2% | -27.4% | -22.9% |
| 1 Year | -34.8%-36.4% | -27.8%-29.9% | -14.2%-16.6% |
| 3 Year | -47.4%-50.1% | -40.4%-44.6% | -14.8%-21.9% |
| 5 Year | -44.2%-48.6% | -28.6%-36.6% | -16.6%-27.8% |
Price Volatility Vs. Market
How volatile is Krones's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
With A 0.7% Return On Equity, Is Krones AG (ETR:KRN) A Quality Stock?3 weeks ago | Simply Wall St
A Sliding Share Price Has Us Looking At Krones AG's (ETR:KRN) P/E Ratio5 months ago | Simply Wall St
Krones (ETR:KRN) Takes On Some Risk With Its Use Of DebtValuation
Is Krones undervalued compared to its fair value and its price relative to the market?
45.6%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: KRN (€46.36) is trading below our estimate of fair value (€106.39)
Significantly Below Fair Value: KRN is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: KRN is poor value based on its PE Ratio (154.3x) compared to the Machinery industry average (10x).
PE vs Market: KRN is poor value based on its PE Ratio (154.3x) compared to the German market (16.6x).
Price to Earnings Growth Ratio
PEG Ratio: KRN is poor value based on its PEG Ratio (2.6x)
Price to Book Ratio
PB vs Industry: KRN is overvalued based on its PB Ratio (1.1x) compared to the DE Machinery industry average (1.1x).
Next Steps
Future Growth
How is Krones forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
58.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: KRN's forecast earnings growth (60.1% per year) is above the savings rate (-0.4%).
Earnings vs Market: KRN's earnings (60.1% per year) are forecast to grow faster than the German market (14.1% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: KRN's revenue (2.8% per year) is forecast to grow slower than the German market (3.9% per year).
High Growth Revenue: KRN's revenue (2.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: KRN's Return on Equity is forecast to be low in 3 years time (10.1%).
Next Steps
Past Performance
How has Krones performed over the past 5 years?
-6.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: KRN has a large one-off loss of €83.5M impacting its December 31 2019 financial results.
Growing Profit Margin: KRN's current net profit margins (0.2%) are lower than last year (3.9%).
Past Earnings Growth Analysis
Earnings Trend: KRN's earnings have declined by -6.3% per year over the past 5 years.
Accelerating Growth: KRN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: KRN had negative earnings growth (-93.7%) over the past year, making it difficult to compare to the Machinery industry average (-19.9%).
Return on Equity
High ROE: KRN's Return on Equity (0.7%) is considered low.
Next Steps
Financial Health
How is Krones's financial position?
Financial Position Analysis
Short Term Liabilities: KRN's short term assets (€2.2B) exceed its short term liabilities (€1.5B).
Long Term Liabilities: KRN's short term assets (€2.2B) exceed its long term liabilities (€452.0M).
Debt to Equity History and Analysis
Debt Level: KRN's debt to equity ratio (5.3%) is considered satisfactory.
Reducing Debt: KRN's debt to equity ratio has increased from 0% to 5.3% over the past 5 years.
Debt Coverage: KRN's debt is well covered by operating cash flow (129.5%).
Interest Coverage: KRN earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
Next Steps
Dividend
What is Krones's current dividend yield, its reliability and sustainability?
1.43%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: KRN's dividend (1.62%) isn’t notable compared to the bottom 25% of dividend payers in the German market (1.7%).
High Dividend: KRN's dividend (1.62%) is low compared to the top 25% of dividend payers in the German market (4.86%).
Stability and Growth of Payments
Stable Dividend: KRN's dividend payments have been volatile in the past 10 years.
Growing Dividend: KRN's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (249.7%), KRN's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: KRN's dividends in 3 years are forecast to be well covered by earnings (30.1% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
5.6yrs
Average management tenure
CEO
Christoph Klenk (56yo)
4.25s
Tenure
€829,000
Compensation
Mr. Christoph Klenk has been Chief Executive Officer and Chairman of the Executive Board at Krones Ag since January 1, 2016. Mr. Klenk served as an Interim Chief Financial Officer of Krones AG since July 2 ...
CEO Compensation Analysis
Compensation vs Market: Christoph's total compensation ($USD2.09M) is about average for companies of similar size in the German market ($USD1.93M).
Compensation vs Earnings: Christoph's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman of Executive Board & CEO | 4.25yrs | €829.00k | no data | |
| Chief Sales Officer & Member of Executive Board | 8.25yrs | €562.00k | no data | |
| Member of Executive Board | 6.25yrs | €497.00k | no data | |
| Member of Executive Board | 5.58yrs | €511.00k | no data | |
| Head of Central Intrl Ops & Services and Emp. Rep. Member of Supervisory Board | no data | €41.00k | no data | |
| CFO & Member of Executive Board | 0.25yr | no data | no data | |
| Head of Investor Relations | no data | no data | no data | |
| Head of Corporate Communications | no data | no data | no data | |
| Head of Finance & Administration - Africa/Middle East | no data | no data | no data | |
| Head of Public Relations | no data | no data | no data |
5.6yrs
Average Tenure
51yo
Average Age
Experienced Management: KRN's management team is seasoned and experienced (5.6 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Head of Central Intrl Ops & Services and Emp. Rep. Member of Supervisory Board | no data | €41.00k | no data | |
| Member of Supervisory Board | 5.83yrs | €54.00k | no data | |
| Chairman of Supervisory Board | 3.83yrs | €109.50k | 37.17% €579.9m | |
| Member of Supervisory Board | no data | €57.00k | no data | |
| Member of Supervisory Board | 8.83yrs | €41.00k | no data | |
| Employee Representative Deputy Chairman of the Supervisory Board | 12.83yrs | €74.50k | no data | |
| Employee Representative Member of Supervisory Board | 12.83yrs | €57.00k | no data | |
| Employee Representative Member of the Supervisory Board | 12.83yrs | €51.00k | no data | |
| Employee Representative Member of Supervisory Board | 5.75yrs | €41.00k | no data | |
| Member of Supervisory Board | 3.83yrs | €41.00k | no data |
7.3yrs
Average Tenure
58yo
Average Age
Experienced Board: KRN's board of directors are considered experienced (7.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Krones AG's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Krones AG
- Ticker: KRN
- Exchange: XTRA
- Founded: 1951
- Industry: Industrial Machinery
- Sector: Capital Goods
- Market Cap: €1.560b
- Shares outstanding: 31.59m
- Website: https://www.krones.com
Number of Employees
Location
- Krones AG
- Böhmerwaldstrasse 5
- Neutraubling
- Bavaria
- 93073
- Germany
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| KRNN.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Sep 1998 |
| KRN | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Sep 1998 |
| KRN | XTRA (XETRA Trading Platform) | Yes | Ordinary Shares | DE | EUR | Sep 1998 |
| 0LQ4 | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | EUR | Sep 1998 |
| KRND | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | EUR | Sep 1998 |
| KRN | SWX (SIX Swiss Exchange) | Yes | Ordinary Shares | CH | CHF | Sep 1998 |
| KRN | WBAG (Wiener Boerse AG) | Yes | Ordinary Shares | AT | EUR | Sep 1998 |
| KRN | ETLX (Eurotlx) | Yes | Ordinary Shares | IT | EUR | Sep 1998 |
| KRNT.Y | OTCPK (Pink Sheets LLC) | UNSPONSORED ADR | US | USD | Aug 2008 |
Biography
Krones AG, together with its subsidiaries, engages in planning, developing, and manufacturing machinery and systems for the fields of process technology, filling and packaging technology, and intralogistics in Germany and internationally. It operates in two segments, Machines and Lines for Product Filling and Decoration, and Machines and Lines for Beverage Production/Process Technology. The company provides plant engineering solutions, such as planning new plants, plant expansion, plant structural planning, and energy and media optimization; and process technology systems for use in beer, soft drink, water, milk, wine, spirit, juice, and dairy products. It also provides filling technology products for bottle design, stretch blow moulder, PET recycling, bottle washing machine, filling technology, inspection technology, labeling, conveyor, product treatment, and block technology applications; and packaging, palletizing, block, and robot technology products. In addition, the company offers intralogistics solutions, such as warehouse management systems, in-house solutions, and order picking systems for the food and beverage industries; and IT solutions, including manufacturing execution system, process control system, and warehouse management systems for the beverage and food industry. It serves breweries; water, soft drink, and juice manufacturers; dairies; producers of wine, sparkling wine, and spirits or companies from the liquid-food field; and companies from the food, chemical, pharmaceutical, and cosmetic industries. Krones AG was founded in 1951 and is headquartered in Neutraubling, Germany.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/07 21:57 |
| End of Day Share Price | 2020/04/07 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.