Earnings Update: Philogen S.p.A. (BIT:PHIL) Just Reported And Analysts Are Boosting Their Estimates

Philogen S.p.A. (BIT:PHIL) last week reported its latest yearly results, which makes it a good time for investors to dive in and see if the business is performing in line with expectations. Revenues were €25m, with Philogen reporting some 9.7% below analyst expectations. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

See our latest analysis for Philogen

Following the latest results, Philogen's dual analysts are now forecasting revenues of €129.5m in 2024. This would be a substantial 415% improvement in revenue compared to the last 12 months. Before this latest report, the consensus had been expecting revenues of €74.4m and €1.03 per share in losses. What's really interesting is that while the consensus made a great increase in revenue estimates, it no longer provides an earnings per share estimate. What this implies is that after reporting of the latest results, the market believes revenue is more important.

There's been no real change to the consensus price target of €23.00, with Philogen seemingly executing in line with expectations.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. It's clear from the latest estimates that Philogen's rate of growth is expected to accelerate meaningfully, with the forecast 4x annualised revenue growth to the end of 2024 noticeably faster than its historical growth of 27% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 18% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Philogen is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away is that the analysts upgraded their revenue estimates for next year. Happily, they also upgraded their revenue estimates, and are forecasting them to grow faster than the wider industry. The consensus price target held steady at €23.00, with the latest estimates not enough to have an impact on their price targets.

At least one of Philogen's dual analysts has provided estimates out to 2026, which can be seen for free on our platform here.

Even so, be aware that Philogen is showing 3 warning signs in our investment analysis , and 2 of those don't sit too well with us...

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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.