Stock Analysis

SigmaRoc Full Year 2023 Earnings: Misses Expectations

Simply Wall St

March 20, 2024

SigmaRoc (LON:SRC) Full Year 2023 Results

Key Financial Results

Revenue: UK£580.3m (up 7.9% from FY 2022).
Net income: UK£13.5m (down 57% from FY 2022).
Profit margin: 2.3% (down from 5.8% in FY 2022). The decrease in margin was driven by higher expenses.
EPS: UK£0.02 (down from UK£0.049 in FY 2022).

revenue-and-expenses-breakdown — AIM:SRC Revenue and Expenses Breakdown March 20th 2024

All figures shown in the chart above are for the trailing 12 month (TTM) period

SigmaRoc Revenues and Earnings Miss Expectations

Revenue missed analyst estimates by 1.5%. Earnings per share (EPS) also missed analyst estimates by 69%.

The primary driver behind last 12 months revenue was the North East (Quicklime, Nordics, Poland and Baltics) segment contributing a total revenue of UK£339.6m (59% of total revenue). Notably, cost of sales worth UK£441.1m amounted to 76% of total revenue thereby underscoring the impact on earnings. The largest operating expense was General & Administrative costs, amounting to UK£98.5m (78% of total expenses). Explore how SRC's revenue and expenses shape its earnings.

Looking ahead, revenue is forecast to grow 20% p.a. on average during the next 3 years, compared to a 6.1% growth forecast for the Basic Materials industry in the United Kingdom.

Performance of the British Basic Materials industry.

The company's shares are down 7.8% from a week ago.

Risk Analysis

Before we wrap up, we've discovered 2 warning signs for SigmaRoc (1 is significant!) that you should be aware of.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.