Buy Or Sell Opportunity • Jul 02
Now 26% undervalued Over the last 90 days, the stock has risen 27% to UK£2.10. The fair value is estimated to be UK£2.83, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 3.2% over the last 3 years. Meanwhile, the company became loss making. Reported Earnings • Jun 30
Full year 2026 earnings released: UK£0.026 loss per share (vs UK£0.034 profit in FY 2025) Full year 2026 results: UK£0.026 loss per share (down from UK£0.034 profit in FY 2025). Revenue: UK£163.7m (flat on FY 2025). Net loss: UK£1.53m (down 178% from profit in FY 2025). Revenue is forecast to grow 4.1% p.a. on average during the next 3 years, compared to a 2.9% growth forecast for the Consumer Durables industry in the United Kingdom. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 61 percentage points per year, which is a significant difference in performance. Announcement • Jun 29
Focusrite plc, Annual General Meeting, Aug 04, 2026 Focusrite plc, Annual General Meeting, Aug 04, 2026. Announcement • May 27
Focusrite plc to Report 18 Months Period Ending Feb 28, 2026 Final Results on Jun 29, 2026 Focusrite plc announced that they will report 18 months, period ending Feb 28, 2026 final results at 8:00 AM, GMT Standard Time on Jun 29, 2026 Valuation Update With 7 Day Price Move • Apr 14
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to UK£1.91, the stock trades at a forward P/E ratio of 18x. Average forward P/E is 11x in the Consumer Durables industry in the United Kingdom. Total loss to shareholders of 65% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at UK£3.00 per share. New Risk • Mar 23
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 2.4% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. 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 (8.3% average weekly change). Valuation Update With 7 Day Price Move • Mar 20
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to UK£1.78, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 11x in the Consumer Durables industry in the United Kingdom. Total loss to shareholders of 70% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at UK£3.14 per share. Announcement • Mar 20
Focusrite plc Provides Trading Update for the Six Months Ended 28 February 2026 Focusrite plc provided trading update for the six months ended 28 February 2026. For the six months to 28 February 2026, Group revenue is expected to be approximately £76 million, representing a decrease of approximately 5% on a reported basis compared to the six months ended 28 February 2025. As expected, this reflects a particularly strong comparator for the Content Creation division in the prior period, which benefitted from stock levels being increased in the US distribution channel ahead of anticipated tariff increases, as well as the continued unwinding of inventory levels in the US distribution channel in the six month period to 28 February 2026. Audio Reproduction, including the Martin Audio brand, returned to growth during this period as markets normalised. New Risk • Mar 10
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 British stocks, typically moving 7.8% 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. This is currently the only risk that has been identified for the company. Announcement • Mar 03
Focusrite plc Announces Executive Changes Focusrite plc announced the appointment of Ian Barkshire as an Independent Non-Executive Director and Chair Designate of the Company, effective from March 2, 2026. Ian previously served as the CEO of Oxford Instruments plc from 2016 to 2023 and spent over 25 years at the company in various leadership roles, including Chief Operating Officer and Group Technical Director. He brings significant commercial, leadership, and public company experience, having driven the development, commercialization, and delivery of innovative technologies and specialized products to leading industrial companies. During his tenure as CEO, Ian oversaw substantial value creation, increasing the business's market capitalization by more than three times. Earlier in his career, he was a Senior Principal Scientist at GEC-Marconi Materials and a Research Fellow at the University of York. Ian is a Fellow of the Royal Academy of Engineering and currently serves as a Non-Executive Director of Melrose Industries PLC, is a member of the Strategic Advisory Board of the UK National Quantum Technologies Programme, and is Chair of Illumion Limited, a University of Cambridge start-up company. It is intended that Ian will join the Audit, Nominations, and Remuneration Committees following his appointment as a director. His current directorships include Melrose Industries PLC, Illumion Limited, and IRB Advisory Limited. In the last five years, he has held directorships at Oxford Instruments PLC and several of its subsidiaries, including Oxford Instruments Overseas Holdings Limited and Andor Technology Inc. Ian Richard Barkshire (60) does not hold any ordinary shares in the Company. Additionally, the Company confirmed that David Bezem, the Senior Independent Director and Chair of the Nomination Committee, will not stand for re-election at the forthcoming AGM, and the Board expressed gratitude for his valuable contributions and service since the Company's IPO in December 2014. Valuation Update With 7 Day Price Move • Dec 03
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to UK£2.28, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 14x in the Consumer Durables industry in the United Kingdom. Total loss to shareholders of 72% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at UK£2.85 per share. Upcoming Dividend • Nov 20
Upcoming dividend of UK£0.021 per share Eligible shareholders must have bought the stock before 27 November 2025. Payment date: 07 January 2026. Payout ratio is a comfortable 46% and this is well supported by cash flows. Trailing yield: 1.9%. Lower than top quartile of British dividend payers (5.7%). Lower than average of industry peers (4.6%). Buy Or Sell Opportunity • Nov 12
Now 22% undervalued Over the last 90 days, the stock has risen 43% to UK£2.25. The fair value is estimated to be UK£2.88, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 4.1% over the last 3 years. Earnings per share has declined by 69%. Revenue is forecast to grow by 5.8% in 2 years. Earnings are forecast to grow by 61% in the next 2 years. Reported Earnings • Nov 05
Full year 2025 earnings released: EPS: UK£0.092 (vs UK£0.044 in FY 2024) Full year 2025 results: EPS: UK£0.092 (up from UK£0.044 in FY 2024). Revenue: UK£168.9m (up 6.6% from FY 2024). Net income: UK£5.37m (up 106% from FY 2024). Profit margin: 3.2% (up from 1.6% in FY 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 3.5% p.a. on average during the next 3 years, compared to a 5.8% growth forecast for the Consumer Durables industry in the United Kingdom. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 40 percentage points per year, which is a significant difference in performance. Valuation Update With 7 Day Price Move • Nov 03
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to UK£2.37, the stock trades at a forward P/E ratio of 28x. Average forward P/E is 12x in the Consumer Durables industry in the United Kingdom. Total loss to shareholders of 61% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at UK£1.43 per share. Announcement • Oct 14
Focusrite plc to Report Q4, 2025 Results on Nov 04, 2025 Focusrite plc announced that they will report Q4, 2025 results on Nov 04, 2025 Announcement • Sep 17
Focusrite plc Provides Earnings Guidance for the Six Months and Twelve Months Ended 31 August 2025 Focusrite plc provided earnings guidance for the six months and twelve months ended 31 August 2025. For the six months, the company expects revenue to be approximately £87 million (second half of fiscal year 2024: £81.6 million).
For the twelve months, the company expects revenue to be approximately £168 million (fiscal year 2024: £158.5 million), representing reported growth of approximately 6% versus the 12 months ended 31 August 2024, notwithstanding the negative translational impact of a weakening of the US dollar across the year. Valuation Update With 7 Day Price Move • Sep 16
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to UK£1.90, the stock trades at a forward P/E ratio of 18x. Average forward P/E is 11x in the Consumer Durables industry in the United Kingdom. Total loss to shareholders of 72% over the past three years. Valuation Update With 7 Day Price Move • Jun 06
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to UK£1.90, the stock trades at a forward P/E ratio of 18x. Average forward P/E is 12x in the Consumer Durables industry in the United Kingdom. Total loss to shareholders of 80% over the past three years. New Risk • Jun 03
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 British stocks, typically moving 8.3% 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 Dividend is not well covered by earnings (195% payout ratio). Share price has been volatile over the past 3 months (8.3% average weekly change). Profit margins are more than 30% lower than last year (1.2% net profit margin). Valuation Update With 7 Day Price Move • May 22
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to UK£1.68, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 12x in the Consumer Durables industry in the United Kingdom. Total loss to shareholders of 80% over the past three years. Valuation Update With 7 Day Price Move • May 08
Investor sentiment improves as stock rises 21% After last week's 21% share price gain to UK£1.60, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 12x in the Consumer Durables industry in the United Kingdom. Total loss to shareholders of 82% over the past three years. Declared Dividend • May 04
First half dividend of UK£0.021 announced Dividend of UK£0.021 is the same as last year. Ex-date: 8th May 2025 Payment date: 9th June 2025 Dividend yield will be 4.7%, which is about the same as the industry average. Sustainability & Growth Dividend is not covered by earnings (195% earnings payout ratio). However, it is well covered by cash flows (25% cash payout ratio). The dividend has increased by an average of 19% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. The company's earnings per share (EPS) would need to grow by 117% to bring the payout ratio under control. EPS is expected to grow by 147% over the next 3 years, which is sufficient to bring the dividend into a sustainable range. Reported Earnings • May 01
First half 2025 earnings released: EPS: UK£0.031 (vs UK£0.042 in 1H 2024) First half 2025 results: EPS: UK£0.031 (down from UK£0.042 in 1H 2024). Revenue: UK£80.9m (up 5.2% from 1H 2024). Net income: UK£1.84m (down 26% from 1H 2024). Profit margin: 2.3% (down from 3.2% in 1H 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 2.5% p.a. on average during the next 3 years, compared to a 7.0% growth forecast for the Consumer Durables industry in the United Kingdom. Over the last 3 years on average, earnings per share has fallen by 58% per year but the company’s share price has only fallen by 47% per year, which means it has not declined as severely as earnings. Price Target Changed • Apr 29
Price target decreased by 18% to UK£3.49 Down from UK£4.25, the current price target is an average from 4 analysts. New target price is 140% above last closing price of UK£1.45. Stock is down 59% over the past year. The company is forecast to post earnings per share of UK£0.096 for next year compared to UK£0.044 last year. Announcement • Apr 03
Focusrite plc to Report First Half, 2025 Results on Apr 29, 2025 Focusrite plc announced that they will report first half, 2025 results on Apr 29, 2025 Announcement • Mar 20
Focusrite plc Provides Trading Update for the Six Months Ended 28 February 2025 Focusrite plc provided trading update for the six months ended 28 February 2025. The Group's performance for the period was in line with expectations. Revenue for the first half is expected to be not less than £80 million, compared with £76.9 million in the first six months of the prior year. On an underlying basis, eliminating the revenue benefit of the planned increase in stock in the US sales channel to mitigate potential tariffs, the Content Creation division grew c.5% in the first half. This growth was partially offset by a decrease of approximately 6% in Audio Reproduction, reflecting the previously highlighted ongoing market realignment following the one off post-COVID boost and a particularly strong comparator in first half of fiscal year 2024. The Audio Reproduction division continues to have a stable sales pipeline and, with a seasonal weighting to the second half, revenue is expected to improve in the second six months of this period across this division. Board Change • Feb 01
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. 3 experienced directors. 3 highly experienced directors. Independent Non-Executive Director Mike Butterworth was the last director to join the board, commencing their role in 2022. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Price Target Changed • Jan 20
Price target decreased by 9.6% to UK£4.25 Down from UK£4.70, the current price target is an average from 4 analysts. New target price is 90% above last closing price of UK£2.23. Stock is down 56% over the past year. The company is forecast to post earnings per share of UK£0.09 for next year compared to UK£0.044 last year. Upcoming Dividend • Dec 17
Upcoming dividend of UK£0.045 per share Eligible shareholders must have bought the stock before 24 December 2024. Payment date: 07 February 2025. The company is paying out more than 100% of its profits and is cash flow negative. Trailing yield: 2.5%. Lower than top quartile of British dividend payers (5.7%). Lower than average of industry peers (4.2%). Major Estimate Revision • Dec 04
Consensus EPS estimates fall by 22% The consensus outlook for fiscal year 2025 has been updated. 2025 EPS estimate fell from UK£0.10 to UK£0.078 per share. Revenue forecast steady at UK£161.5m. Net income forecast to grow 80% next year vs 9.0% growth forecast for Consumer Durables industry in the United Kingdom. Consensus price target down from UK£4.70 to UK£4.38. Share price rose 6.6% to UK£2.83 over the past week. New Risk • Dec 02
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 68% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Major Risk Dividend is not well covered by earnings and cash flows. Payout ratio: 148% Paying a dividend despite having no free cash flows. Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (1.6% net profit margin). Announcement • Nov 28
Focusrite plc, Annual General Meeting, Jan 31, 2025 Focusrite plc, Annual General Meeting, Jan 31, 2025. Reported Earnings • Nov 28
Full year 2024 earnings: EPS misses analyst expectations Full year 2024 results: EPS: UK£0.045 (down from UK£0.30 in FY 2023). Revenue: UK£158.5m (down 11% from FY 2023). Net income: UK£2.61m (down 85% from FY 2023). Profit margin: 1.6% (down from 10.0% in FY 2023). The decrease in margin was driven by lower revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 52%. Revenue is forecast to grow 3.1% p.a. on average during the next 3 years, compared to a 8.6% growth forecast for the Consumer Durables industry in the United Kingdom. Over the last 3 years on average, earnings per share has fallen by 40% per year whereas the company’s share price has fallen by 44% per year. Price Target Changed • Nov 27
Price target decreased by 13% to UK£4.38 Down from UK£5.03, the current price target is an average from 4 analysts. New target price is 65% above last closing price of UK£2.65. Stock is down 41% over the past year. The company is forecast to post earnings per share of UK£0.091 for next year compared to UK£0.30 last year. Announcement • Nov 27
Focusrite plc Proposes Final Dividend for the Year Ended 31 August 2024, Payable on 7 February 2025 On 25 November 2024, Focusrite plc at the AGM to be held on 31 January 2025, proposed final dividend for the year ended 31 August 2024 of 4.5 pence per share (year 2023: 4.5 pence per share) making a total of 6.6 pence per share for the year (year 2023: 6.6 pence per share). The Dividend will be payable on 7 February 2025 with Ex-dividend Date of 24 December 2024 and Record Date of 27 December 2024. Announcement • Oct 30
Focusrite plc to Report Fiscal Year 2024 Results on Nov 27, 2024 Focusrite plc announced that they will report fiscal year 2024 results on Nov 27, 2024 Major Estimate Revision • Aug 30
Consensus EPS estimates fall by 20%, revenue upgraded The consensus outlook for fiscal year 2024 has been updated. 2024 revenue forecast increased from UK£155.1m to UK£157.0m. EPS estimate fell from UK£0.129 to UK£0.104 per share. Net income forecast to shrink 43% next year vs 12% growth forecast for Consumer Durables industry in the United Kingdom . Consensus price target down from UK£5.03 to UK£4.70. Share price fell 16% to UK£2.98 over the past week. Valuation Update With 7 Day Price Move • Aug 29
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to UK£2.95, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 15x in the Consumer Durables industry in the United Kingdom. Total loss to shareholders of 83% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at UK£3.14 per share. Announcement • Apr 28
Focusrite plc Approves Interim Dividend for the Half Year 2024, Payable on 10 June 2024 The Board of Focusrite plc has approved an interim dividend of 2.1 pence per share (Half year 2023: 2.1 pence per share) for the half year 2024, which is in line with the previous year, despite the reduction in profits and reflects the Board's confidence in the future profit and cash generation prospects of the Group. This will be payable on 10 June 2024 to ordinary shareholders on the register on 10 May 2024. The ex-dividend date will be 9 May 2024. Reported Earnings • Apr 28
First half 2024 earnings released: EPS: UK£0.042 (vs UK£0.14 in 1H 2023) First half 2024 results: EPS: UK£0.042 (down from UK£0.14 in 1H 2023). Revenue: UK£76.9m (down 11% from 1H 2023). Net income: UK£2.47m (down 71% from 1H 2023). Profit margin: 3.2% (down from 9.8% in 1H 2023). The decrease in margin was driven by lower revenue. Revenue is forecast to stay flat during the next 3 years compared to a 5.3% growth forecast for the Consumer Durables industry in the United Kingdom. Over the last 3 years on average, earnings per share has fallen by 19% per year but the company’s share price has fallen by 34% per year, which means it is performing significantly worse than earnings. Declared Dividend • Apr 28
First half dividend of UK£0.021 announced Dividend of UK£0.021 is the same as last year. Ex-date: 9th May 2024 Payment date: 10th June 2024 Dividend yield will be 1.8%, which is lower than the industry average of 4.7%. Sustainability & Growth Dividend is covered by earnings (33% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 21% per year over the past 9 years and payments have been stable during that time. EPS is expected to remain steady over the next 3 years, which should provide adequate earnings cover for the dividend. Valuation Update With 7 Day Price Move • Apr 25
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to UK£3.68, the stock trades at a forward P/E ratio of 28x. Average forward P/E is 13x in the Consumer Durables industry in the United Kingdom. Total loss to shareholders of 70% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at UK£5.30 per share. Announcement • Apr 09
Focusrite plc to Report Q2, 2024 Results on Apr 25, 2024 Focusrite plc announced that they will report Q2, 2024 results on Apr 25, 2024 Major Estimate Revision • Mar 19
Consensus revenue estimates decrease by 15% The consensus outlook for fiscal year 2024 has been updated. 2024 revenue forecast fell from UK£181.8m to UK£155.2m. EPS estimate unchanged at UK£0.293 per share. Net income forecast to shrink 54% next year vs 6.3% growth forecast for Consumer Durables industry in the United Kingdom . Consensus price target down from UK£7.75 to UK£6.03. Share price fell 29% to UK£2.85 over the past week. Valuation Update With 7 Day Price Move • Mar 18
Investor sentiment deteriorates as stock falls 30% After last week's 30% share price decline to UK£2.85, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 13x in the Consumer Durables industry in the United Kingdom. Total loss to shareholders of 74% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at UK£4.59 per share. Buy Or Sell Opportunity • Mar 18
Now 38% undervalued after recent price drop Over the last 90 days, the stock has fallen 50% to UK£2.85. The fair value is estimated to be UK£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 5.9% over the last 3 years. Earnings per share has grown by 9.3%. For the next 3 years, revenue is forecast to grow by 1.8% per annum. Earnings are forecast to decline by 9.5% per annum over the same time period. New Risk • Mar 18
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 9.5% 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. This is currently the only risk that has been identified for the company. Major Estimate Revision • Jan 21
Consensus EPS estimates fall by 10% The consensus outlook for fiscal year 2024 has been updated. 2024 EPS estimate fell from UK£0.323 to UK£0.29 per share. Revenue forecast steady at UK£181.8m. Net income forecast to shrink 4.1% next year vs 18% decline forecast for Consumer Durables industry in the United Kingdom. Consensus price target broadly unchanged at UK£7.75. Share price fell 2.9% to UK£5.10 over the past week. Upcoming Dividend • Dec 21
Upcoming dividend of UK£0.045 per share at 1.1% yield Eligible shareholders must have bought the stock before 28 December 2023. Payment date: 31 January 2024. Payout ratio is a comfortable 22% and this is well supported by cash flows. Trailing yield: 1.1%. Lower than top quartile of British dividend payers (5.8%). Lower than average of industry peers (4.7%). Valuation Update With 7 Day Price Move • Dec 19
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to UK£5.72, the stock trades at a forward P/E ratio of 18x. Average forward P/E is 12x in the Consumer Durables industry in the United Kingdom. Total loss to shareholders of 43% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at UK£5.57 per share. Announcement • Dec 19
Focusrite plc (AIM:TUNE) acquired Sheriff Technology Ltd for £3.57 million. Focusrite plc (AIM:TUNE) acquired Sheriff Technology Ltd for £3.57 million on December 19, 2023. The initial cash consideration of £2.37 million will be funded from internal cash resources and existing facilities. There will also be an earn-out of up to £1.2 million payable in cash based on financial performance metrics including gross profits over a one-year period to December 31, 2024. For the year ended 31st October 2023, OutBoard's unaudited revenue was £1.4 million with an EBITDA of £0.3 million, and gross assets of £0.52 million which includes cash of £0.12 million.
Focusrite plc (AIM:TUNE) completed the acquisition of Sheriff Technology Ltd for £3.57 million on December 19, 2023. Reported Earnings • Nov 29
Full year 2023 earnings: EPS misses analyst expectations Full year 2023 results: EPS: UK£0.30 (down from UK£0.42 in FY 2022). Revenue: UK£178.5m (down 2.9% from FY 2022). Net income: UK£17.8m (down 28% from FY 2022). Profit margin: 10.0% (down from 14% in FY 2022). The decrease in margin was primarily driven by lower revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 2.2%. Revenue is forecast to grow 4.1% p.a. on average during the next 3 years, compared to a 2.2% growth forecast for the Consumer Durables industry in the United Kingdom. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has fallen by 22% per year, which means it is significantly lagging earnings. Announcement • Nov 28
Focusrite plc, Annual General Meeting, Jan 19, 2024 Focusrite plc, Annual General Meeting, Jan 19, 2024. Agenda: To consider and approve the recommended final dividend. Price Target Changed • Nov 28
Price target decreased by 22% to UK£7.78 Down from UK£10.02, the current price target is an average from 4 analysts. New target price is 70% above last closing price of UK£4.58. Stock is down 45% over the past year. The company is forecast to post earnings per share of UK£0.31 for next year compared to UK£0.43 last year. Announcement • Oct 31
Focusrite plc to Report Fiscal Year 2023 Results on Nov 28, 2023 Focusrite plc announced that they will report fiscal year 2023 results on Nov 28, 2023 Buying Opportunity • Oct 06
Now 22% undervalued Over the last 90 days, the stock is up 8.6%. The fair value is estimated to be UK£6.11, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 15% over the last 3 years. Earnings per share has grown by 32%. Revenue is forecast to grow by 5.7% in 2 years. Earnings is forecast to grow by 2.9% in the next 2 years. Announcement • Sep 14
Focusrite plc Provides Revenue Guidance for the Full Year Ended August 31, 2023 Focusrite plc provided revenue guidance for the full year ended August 31, 2023. The group revenue for fiscal 2023 is expected to be not less than £177 million (fiscal 2022: £184 million). Valuation Update With 7 Day Price Move • Jul 20
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to UK£5.06, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 10x in the Consumer Durables industry in the United Kingdom. Total loss to shareholders of 31% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at UK£4.98 per share. New Risk • Jul 19
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 British stocks, typically moving 7.4% 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 High level of non-cash earnings (29% accrual ratio). Minor Risk Share price has been volatile over the past 3 months (7.4% average weekly change). Price Target Changed • Jun 20
Price target decreased by 14% to UK£10.02 Down from UK£11.60, the current price target is an average from 4 analysts. New target price is 104% above last closing price of UK£4.90. Stock is down 50% over the past year. The company is forecast to post earnings per share of UK£0.32 for next year compared to UK£0.43 last year. Upcoming Dividend • May 04
Upcoming dividend of UK£0.021 per share at 1.1% yield Eligible shareholders must have bought the stock before 11 May 2023. Payment date: 09 June 2023. Payout ratio is a comfortable 18% but the company is not cash flow positive. Trailing yield: 1.1%. Lower than top quartile of British dividend payers (5.8%). Lower than average of industry peers (5.2%). Reported Earnings • Apr 26
First half 2023 earnings released: EPS: UK£0.14 (vs UK£0.23 in 1H 2022) First half 2023 results: EPS: UK£0.14 (down from UK£0.23 in 1H 2022). Revenue: UK£86.2m (down 7.2% from 1H 2022). Net income: UK£8.45m (down 37% from 1H 2022). Profit margin: 9.8% (down from 14% in 1H 2022). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 7.0% p.a. on average during the next 3 years, compared to a 1.6% decline forecast for the Consumer Durables industry in the United Kingdom. Over the last 3 years on average, earnings per share has increased by 32% per year but the company’s share price has fallen by 5% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Apr 25
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to UK£4.91, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 11x in the Consumer Durables industry in the United Kingdom. Total loss to shareholders of 6.8% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at UK£5.69 per share. Recent Insider Transactions Derivative • Feb 09
Chief Executive Officer of ADAM Audio exercised options to buy UK£87k worth of stock. On the 6th of February, Christian Hellinger exercised options to buy 12k shares at a strike price of around UK£11.63, costing a total of UK£135k. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. As of today, Christian currently holds no shares directly. Company insiders have collectively bought UK£59k more than they sold, via options and on-market transactions, in the last 12 months. Announcement • Feb 03
Focusrite plc, Annual General Meeting, Feb 03, 2023 Focusrite plc, Annual General Meeting, Feb 03, 2023, at 12:00 Coordinated Universal Time. Location: Artisan, Hillbottom Road High Wycombe United Kingdom Recent Insider Transactions • Jan 19
CEO & Executive Director recently sold UK£116k worth of stock On the 16th of January, Timothy Carroll sold around 15k shares on-market at roughly UK£7.74 per share. This transaction amounted to 12% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. This was Timothy's only on-market trade for the last 12 months. Upcoming Dividend • Jan 05
Upcoming dividend of UK£0.042 per share Eligible shareholders must have bought the stock before 12 January 2023. Payment date: 17 February 2023. Payout ratio is a comfortable 14% but the company is not cash flow positive. Trailing yield: 0.8%. Lower than top quartile of British dividend payers (5.6%). Lower than average of industry peers (7.9%). Announcement • Dec 21
Focusrite plc (AIM:TUNE) acquired Sonnox Limited for £9.1 million from Rod Densham. Focusrite plc (AIM:TUNE) acquired Sonnox Limited for £9.1 million from Rod Densham on December 20, 2022. Consideration of approximately £2.1 million of cash, and will be funded from existing facilities with HSBC and NatWest. Following the acquisition, the enlarged Group will have net debt of approximately £13 million. For the year ended March 31, 2022, Sonnox's unaudited revenue was £2.4 million with profit before tax of £0.9 million, and gross assets of £3 million.Focusrite plc (AIM:TUNE) completed the acquisition of Sonnox Limited from Rod Densham on December 20, 2022. Reported Earnings • Dec 08
Full year 2022 earnings: EPS and revenues exceed analyst expectations Full year 2022 results: EPS: UK£0.42 (down from UK£0.49 in FY 2021). Revenue: UK£183.7m (up 5.6% from FY 2021). Net income: UK£24.8m (down 12% from FY 2021). Profit margin: 14% (down from 16% in FY 2021). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 2.0%. Earnings per share (EPS) also surpassed analyst estimates by 10%. Revenue is forecast to grow 2.3% p.a. on average during the next 2 years, while revenues in the Consumer Durables industry in the United Kingdom are expected to remain flat. Over the last 3 years on average, earnings per share has increased by 42% per year but the company’s share price has only increased by 10% per year, which means it is significantly lagging earnings growth. Announcement • Dec 08
Focusrite plc Proposes Final Dividend, Payable on February 17, 2023 The Board of Focusrite plc, at the AGM to be held on February 3, 2023 proposed a final dividend of 4.15 pence per share (Full year 2021 final dividend: 3.7 pence), which would result in a total of 6.0 pence per share for the year (Full Year 2021: 5.2 pence). This represents an adjusted earnings dividend cover of 8.7times (Full Year 21: 11.1times). The Dividend payment date of February 17, 2023, Ex-dividend Date of January 12, 2023 and Record Date of January 13, 2023. Price Target Changed • Nov 16
Price target decreased to UK£14.01 Down from UK£18.61, the current price target is an average from 3 analysts. New target price is 109% above last closing price of UK£6.70. Stock is down 58% over the past year. The company is forecast to post earnings per share of UK£0.38 for next year compared to UK£0.49 last year. Announcement • Nov 07
Focusrite plc to Report Fiscal Year 2022 Final Results on Nov 29, 2022 Focusrite plc announced that they will report fiscal year 2022 final results on Nov 29, 2022