Announcement • Oct 25
Comarch S.A.(WSE:CMR) dropped from S&P Global BMI Index Comarch S.A.(WSE:CMR) dropped from S&P Global BMI Index Announcement • Aug 15
Comarch on A Path to Get Delisted The Filipiak family, together with CVC Capital Partners Fund IX and Anna Prokop have launched a tender offer for 5,266,072 shares of Comarch S.A., a provider of innovative IT products for multiple industries, carrying rights to 34.81% of votes, at PLN 315.40 per share. The acquirer of the shares will be Chamonix Investments Poland controlled by CVC Capital Partners Fund IX, with subscriptions commencing on 13 August 2024 and ending on 21 October 2024. The tender offer is intended to acquire all outstanding ordinary shares in the company with a view to delisting Comarch from the Warsaw Stock Exchange (GPW). Valuation Update With 7 Day Price Move • Jul 22
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to zł331, the stock trades at a forward P/E ratio of 21x. Average forward P/E is 16x in the IT industry in Europe. Total returns to shareholders of 27% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at zł283 per share. Announcement • May 31
Comarch S.A., Annual General Meeting, Jun 26, 2024 Comarch S.A., Annual General Meeting, Jun 26, 2024. Declared Dividend • May 31
Dividend increased to zł5.00 Dividend of zł5.00 is 25% higher than last year. Ex-date: 2nd July 2024 Payment date: 12th July 2024 Dividend yield will be 2.0%, which is lower than the industry average of 2.6%. Sustainability & Growth Dividend is well covered by both earnings (28% earnings payout ratio) and cash flows (26% cash payout ratio). The dividend has increased by an average of 10% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 24% over the next year, which should provide support to the dividend and adequate earnings cover. Announcement • May 30
Comarch IT to Pay Dividend on July 12, 2024 Comarch's supervisory board has given a positive opinion on the management board's proposal to earmark PLN 40.67 million (EUR 9.6 million) from the profit generated in 2023 for dividends, which translates into PLN 5 (EUR 1.18) per share. The proposed dividend date is July 3, and the dividend is to be paid on July 12, 2024. Reported Earnings • May 27
First quarter 2024 earnings released: EPS: zł2.70 (vs zł2.84 in 1Q 2023) First quarter 2024 results: EPS: zł2.70 (down from zł2.84 in 1Q 2023). Revenue: zł434.7m (up 1.7% from 1Q 2023). Net income: zł22.0m (down 4.7% from 1Q 2023). Profit margin: 5.1% (down from 5.4% in 1Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 5.6% p.a. on average during the next 3 years, compared to a 6.8% growth forecast for the IT industry in Europe. Over the last 3 years on average, earnings per share has fallen by 11% per year but the company’s share price has increased by 2% per year, which means it is well ahead of earnings. Reported Earnings • Mar 03
Full year 2023 earnings released: EPS: zł12.88 (vs zł13.26 in FY 2022) Full year 2023 results: EPS: zł12.88 (down from zł13.26 in FY 2022). Revenue: zł1.82b (down 2.3% from FY 2022). Net income: zł104.8m (down 2.8% from FY 2022). Profit margin: 5.8% (in line with FY 2022). Revenue is forecast to grow 5.7% p.a. on average during the next 3 years, compared to a 7.1% growth forecast for the IT industry in Europe. Over the last 3 years on average, earnings per share has fallen by 8% per year but the company’s share price has increased by 8% per year, which means it is well ahead of earnings. Price Target Changed • Feb 19
Price target increased by 9.3% to zł196 Up from zł179, the current price target is an average from 5 analysts. New target price is 20% below last closing price of zł244. Stock is up 53% over the past year. The company is forecast to post earnings per share of zł14.22 for next year compared to zł13.26 last year. Announcement • Jan 06
Comarch Announces Management Changes Comarch announced that the extraordinary general meeting has appointed Anna Pruska to the position of President of the Management Board, with Marcin Warwas and Marcin Kaleta appointed as Vice-Presidents. The changes in the composition of Comarch's Management Board took place following the death of former CEO Janusz Filipiak, who was Pruska's father. Pruska has been involved with Comarch since 2004. In 2013 she joined the company's Supervisory Board while in October 2023 she was entrusted by the Board to act as CEO. By education, Pruska is an economist and she holds a PhD in international relations. Announcement • Jan 04
Comarch Announces Board Appointments Comarch appointed Anna Pruska as chairwoman of the board. Marcin Warwas and Marcin Kaleta have been appointed as deputy chairman of the board. Ms. Anna Pruska, Mr. Marcin Warwas and Mr. Marcin Kaleta have been appointed to serve as members of Comarch's management board until the end of the current term of the board. Price Target Changed • Nov 21
Price target increased by 8.0% to zł179 Up from zł166, the current price target is an average from 5 analysts. New target price is approximately in line with last closing price of zł178. Stock is up 19% over the past year. The company is forecast to post earnings per share of zł14.22 for next year compared to zł13.26 last year. New Risk • Oct 05
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 0.9% 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. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 0.9% per year for the foreseeable future. Minor Risk Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Reported Earnings • Sep 03
Second quarter 2023 earnings released Second quarter 2023 results: Revenue: zł289.9m (down 32% from 2Q 2022). Net income: zł11.4m (down 7.9% from 2Q 2022). Profit margin: 3.9% (up from 2.9% in 2Q 2022). The increase in margin was driven by lower expenses. Revenue is forecast to grow 5.8% p.a. on average during the next 3 years, compared to a 7.1% growth forecast for the IT industry in Europe. Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has fallen by 12% per year, which means it is performing significantly worse than earnings. Upcoming Dividend • Jun 30
Upcoming dividend of zł4.00 per share at 2.7% yield Eligible shareholders must have bought the stock before 07 July 2023. Payment date: 19 July 2023. Payout ratio is a comfortable 33% and this is well supported by cash flows. Trailing yield: 2.7%. Lower than top quartile of Polish dividend payers (7.2%). Lower than average of industry peers (3.1%). Announcement • Jun 29
Comarch Approves Dividend for 2022 Comarch shareholders approved a PLN 32.5 million dividend payout from 2022 profit or PLN 4.0 DPS. Announcement • May 30
Comarch S.A., Annual General Meeting, Jun 28, 2023 Comarch S.A., Annual General Meeting, Jun 28, 2023, at 11:00 Central European Standard Time. Location: at 33 prof. Michal Zyczkowski Street Krakow Poland Agenda: To consider opening of the General Meeting; to consider election of the Chairman of the Meeting; to consider election of the Returns Committee; to consider adoption of the agenda of the Meeting; to consider presentation of the Chairman of the Supervisory Board of the Company; to consider speech of the President of the company’s Management Board; to consider reports of the Company's authorities and the financial statements of the Company and the consolidated financial statements of the Comarch Capital Group for the financial year 01.01.2022 – 31.12.2022; and to consider any other matters. Reported Earnings • May 24
First quarter 2023 earnings released First quarter 2023 results: Revenue: zł427.6m (up 2.7% from 1Q 2022). Net income: zł23.1m (down 29% from 1Q 2022). Profit margin: 5.4% (down from 7.8% in 1Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 6.1% p.a. on average during the next 3 years, compared to a 4.8% growth forecast for the IT industry in Poland. Over the last 3 years on average, earnings per share has increased by 1% per year but the company’s share price has fallen by 12% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Dec 02
Investor sentiment improved over the past week After last week's 18% share price gain to zł180, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 17x in the IT industry in Europe. Total loss to shareholders of 1.6% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at zł193 per share. Reported Earnings • Nov 19
Third quarter 2022 earnings released Third quarter 2022 results: Revenue: zł471.1m (up 22% from 3Q 2021). Net income: zł27.9m (down 7.9% from 3Q 2021). Profit margin: 5.9% (down from 7.9% in 3Q 2021). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 4.9% p.a. on average during the next 3 years, compared to a 5.7% growth forecast for the IT industry in Poland. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has fallen by 8% per year, which means it is significantly lagging earnings. Price Target Changed • Nov 16
Price target decreased to zł218 Down from zł242, the current price target is an average from 4 analysts. New target price is 45% above last closing price of zł150. Stock is down 35% over the past year. The company is forecast to post earnings per share of zł12.29 for next year compared to zł14.82 last year. Price Target Changed • Nov 05
Price target decreased to zł218 Down from zł242, the current price target is an average from 4 analysts. New target price is 44% above last closing price of zł151. Stock is down 35% over the past year. The company is forecast to post earnings per share of zł12.29 for next year compared to zł14.82 last year. Reported Earnings • Sep 02
Second quarter 2022 earnings released Second quarter 2022 results: Revenue: zł426.3m (up 26% from 2Q 2021). Net income: zł12.4m (down 57% from 2Q 2021). Profit margin: 2.9% (down from 8.4% in 2Q 2021). The decrease in margin was driven by higher expenses. Over the next year, revenue is forecast to grow 6.3%, compared to a 7.4% growth forecast for the IT industry in Poland. Over the last 3 years on average, earnings per share has increased by 20% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Upcoming Dividend • Jul 01
Upcoming dividend of zł4.00 per share Eligible shareholders must have bought the stock before 08 July 2022. Payment date: 20 July 2022. Payout ratio is a comfortable 26% and this is well supported by cash flows. Trailing yield: 2.4%. Lower than top quartile of Polish dividend payers (8.0%). Lower than average of industry peers (3.9%). Reported Earnings • May 22
First quarter 2022 earnings: Revenues miss analyst expectations First quarter 2022 results: Revenue: zł416.3m (up 8.4% from 1Q 2021). Net income: zł32.4m (up 24% from 1Q 2021). Profit margin: 7.8% (up from 6.8% in 1Q 2021). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 1.3%. Over the next year, revenue is forecast to grow 5.2%, compared to a 7.1% growth forecast for the industry in Poland. Buying Opportunity • Apr 20
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 13%. The fair value is estimated to be zł227, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 4.8% over the last 3 years. Earnings per share has grown by 34%. For the next 3 years, revenue is forecast to grow by 4.2% per annum. Earnings is forecast to decline by 2.1% per annum over the same time period. Buying Opportunity • Mar 30
Now 21% undervalued The stock has been flat over the last 90 days. The fair value is estimated to be zł228, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 4.8% over the last 3 years. Earnings per share has grown by 34%. For the next 3 years, revenue is forecast to grow by 2.8% per annum. Earnings is forecast to decline by 4.8% per annum over the same time period. Reported Earnings • Mar 03
Full year 2021 earnings: EPS and revenues exceed analyst expectations Full year 2021 results: EPS: zł14.82 (up from zł14.60 in FY 2020). Revenue: zł1.62b (up 5.7% from FY 2020). Net income: zł120.5m (up 1.5% from FY 2020). Profit margin: 7.4% (down from 7.7% in FY 2020). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 1.8%. Earnings per share (EPS) also surpassed analyst estimates by 22%. Over the next year, revenue is forecast to grow 1.4%, compared to a 7.3% growth forecast for the industry in Poland. Over the last 3 years on average, earnings per share has increased by 34% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Buying Opportunity • Feb 14
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 21%. The fair value is estimated to be zł230, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 5.1% per annum over the last 3 years. Earnings per share has grown by 37% per annum over the last 3 years. Buying Opportunity • Jan 28
Now 22% undervalued after recent price drop Over the last 90 days, the stock is down 17%. The fair value is estimated to be zł239, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 5.1% per annum over the last 3 years. Earnings per share has grown by 37% per annum over the last 3 years. Price Target Changed • Nov 18
Price target increased to zł274 Up from zł247, the current price target is an average from 4 analysts. New target price is 21% above last closing price of zł227. Stock is up 16% over the past year. The company is forecast to post earnings per share of zł13.00 for next year compared to zł14.60 last year. Price Target Changed • Oct 11
Price target increased to zł262 Up from zł238, the current price target is an average from 4 analysts. New target price is 8.7% above last closing price of zł241. Stock is up 21% over the past year. Reported Earnings • Sep 05
Second quarter 2021 earnings released The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: zł337.4m (up 1.9% from 2Q 2020). Net income: zł28.5m (up 40% from 2Q 2020). Profit margin: 8.4% (up from 6.1% in 2Q 2020). Over the last 3 years on average, earnings per share has increased by 43% per year but the company’s share price has only increased by 16% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Jul 26
Investor sentiment improved over the past week After last week's 17% share price gain to zł280, the stock trades at a forward P/E ratio of 20x. Average forward P/E is 23x in the IT industry in Europe. Total returns to shareholders of 64% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at zł221 per share. Upcoming Dividend • Jun 29
Upcoming dividend of zł3.00 per share Eligible shareholders must have bought the stock before 05 July 2021. Payment date: 16 July 2021. Trailing yield: 1.2%. Lower than top quartile of Polish dividend payers (5.7%). Lower than average of industry peers (2.7%). Reported Earnings • May 24
First quarter 2021 earnings released The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2021 results: Revenue: zł384.0m (up 1.6% from 1Q 2020). Net income: zł26.1m (up 84% from 1Q 2020). Profit margin: 6.8% (up from 3.8% in 1Q 2020). The increase in margin was primarily driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 44% per year but the company’s share price has only increased by 15% per year, which means it is significantly lagging earnings growth. Announcement • Mar 06
Comarch Launches New Microsite Featuring Market-Leading Loyalty & Marketing Solutions Comarch announced the launch of its new microsite. The new site has been designed to offer the ultimate user-friendly experience with improved navigation and functionality while allowing customers to browse Comarch's offerings, including its new Loyalty Marketing Cloud. The site includes many new features to help users quickly and easily navigate the site and find relevant information. New features include an educational marketing hub, industry-specific thought leadership pages, and Comarch's upcoming Vodcast, "Coffee with Comarch Loyalty." Within the educational marketing hub, visitors can view content based on their level of loyalty knowledge, whether they be beginners or experts. Visitors can stay informed with the latest Comarch and industry news through the new industry hubs, which include spotlight pages on Retail, Grocery, Fuel & Convenience, and Travel. Reported Earnings • Mar 03
Full year 2020 earnings released: EPS zł14.60 (vs zł12.89 in FY 2019) The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2020 results: Revenue: zł1.54b (up 6.9% from FY 2019). Net income: zł118.7m (up 13% from FY 2019). Profit margin: 7.7% (up from 7.3% in FY 2019). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 37% per year but the company’s share price has only increased by 11% per year, which means it is significantly lagging earnings growth. Analyst Estimate Surprise Post Earnings • Mar 03
Earnings beat expectations, revenue disappoints Revenue missed analyst estimates by 0.02%. Earnings per share (EPS) exceeded analyst estimates by 25%. Over the next year, revenue is forecast to grow 4.6%, compared to a 53% growth forecast for the IT industry in Poland. Is New 90 Day High Low • Mar 02
New 90-day high: zł205 The company is up 4.0% from its price of zł198 on 02 December 2020. The Polish market is up 9.0% over the last 90 days, indicating the company underperformed over that time. However, its price trend is similar to the IT industry, which is also up 4.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is zł147 per share. Announcement • Feb 06
Comarch S.A. Places PLN 203.9 Million Gross Winning Bid for Maintenance of IT System KSI At Social Insurance Board ZUS Comarch S.A. placed PLN 203.9 million gross winning bid for maintenance of IT system KSI at social insurance board ZUS, the company said in a market filing. The contract shall run for a maximum of 77 months from the date of its signing, which Comarch will announce in a separate filing. Is New 90 Day High Low • Dec 18
New 90-day low: zł186 The company is down 10.0% from its price of zł206 on 18 September 2020. The Polish market is up 11% over the last 90 days, indicating the company underperformed over that time. It also underperformed the IT industry, which is down 8.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is zł151 per share. Reported Earnings • Nov 19
Third quarter 2020 earnings released: EPS zł3.98 The company reported a poor third quarter result with weaker earnings and profit margins, although revenues were flat. Third quarter 2020 results: Revenue: zł353.7m (flat on 3Q 2019). Net income: zł32.5m (down 24% from 3Q 2019). Profit margin: 9.2% (down from 12% in 3Q 2019). The decrease in margin was primarily driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Analyst Estimate Surprise Post Earnings • Nov 19
Revenue behind estimates Revenue missed analyst estimates by 5.4%. Earnings per share (EPS) were mostly in line with analyst estimates. Over the next year, revenue is forecast to grow 9.6%, compared to a 1,155% growth forecast for the IT industry in Poland.