New Risk • Sep 02
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 9.3% 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: Major Risk High level of non-cash earnings (27% accrual ratio). Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (9.3% average weekly change). Market cap is less than US$100m (UK£58.6m market cap, or US$78.4m). Valuation Update With 7 Day Price Move • Aug 28
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to UK£6.33, the stock trades at a trailing P/E ratio of 8.9x. Average trailing P/E is 14x in the Electrical industry in the United Kingdom. Total loss to shareholders of 38% over the past three years. New Risk • Aug 08
New minor risk - Dividend sustainability The dividend is not well covered by cash flows. The company is paying a dividend despite having no free cash flows. Dividend yield: 2.3% This is considered a minor risk. Dividends are ultimately paid out of the company's available cash reserves. Companies that pay out too much of their cash flow are at risk of having to reduce or cut their dividend in future. If cash flow growth slows or cash flows fall, then there may not be enough cash reserves to maintain the same dividend. Or in extreme cases, companies may opt to take on debt to maintain the dividend. This risk is mitigated by the fact the dividend is covered by earnings, however, cash flows are generally more important. 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: Major Risk High level of non-cash earnings (27% accrual ratio). Minor Risks Paying a dividend despite having no free cash flows. Market cap is less than US$100m (UK£54.1m market cap, or US$72.8m). Upcoming Dividend • Jul 10
Upcoming dividend of UK£0.05 per share Eligible shareholders must have bought the stock before 17 July 2025. Payment date: 13 August 2025. Payout ratio is a comfortable 24% but the company is not cash flow positive. Trailing yield: 2.1%. Lower than top quartile of British dividend payers (5.5%). Higher than average of industry peers (1.8%). Declared Dividend • Jun 20
First half dividend of UK£0.05 announced Dividend of UK£0.05 is the same as last year. Ex-date: 17th July 2025 Payment date: 13th August 2025 Dividend yield will be 2.1%, which is higher than the industry average of 1.8%. Sustainability & Growth Dividend is covered by earnings (24% 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 6.2% 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. Earnings per share has grown by 17% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Duyuru • Jun 19
Dewhurst Group Plc Declares Interim Dividend for the Year 2025, Payable on 13 August 2025 The directors of Dewhurst Group Plc have declared an interim dividend of 5.00 pence per ordinary share (2024: 5.00 pence) for the year 2025, which amounts to £387,000 (2024: £387,000). The interim dividend is payable on 13 August 2025 and will be posted on 8 August 2025 to shareholders appearing in the Register on 18 July 2025 (ex-dividend date being 17 July 2025). Reported Earnings • Jun 18
First half 2025 earnings released: EPS: UK£0.36 (vs UK£0.33 in 1H 2024) First half 2025 results: EPS: UK£0.36 (up from UK£0.33 in 1H 2024). Revenue: UK£31.6m (up 2.1% from 1H 2024). Net income: UK£2.74m (up 9.9% from 1H 2024). Profit margin: 8.7% (up from 8.1% in 1H 2024). The increase in margin was driven by higher revenue. Revenue is forecast to stay flat during the next 2 years compared to a 15% growth forecast for the Electrical industry in the United Kingdom. Over the last 3 years on average, earnings per share has fallen by 3% per year but the company’s share price has fallen by 11% per year, which means it is performing significantly worse than earnings. New Risk • Jun 17
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended September 2024. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Minor Risks Latest financial reports are more than 6 months old (reported September 2024 fiscal period end). Market cap is less than US$100m (UK£53.1m market cap, or US$72.0m). Valuation Update With 7 Day Price Move • Jan 21
Investor sentiment improves as stock rises 23% After last week's 23% share price gain to UK£12.50, the stock trades at a trailing P/E ratio of 18.5x. Average trailing P/E is 14x in the Electrical industry in the United Kingdom. Total loss to shareholders of 20% over the past three years. Upcoming Dividend • Jan 09
Upcoming dividend of UK£0.12 per share Eligible shareholders must have bought the stock before 16 January 2025. Payment date: 26 February 2025. Payout ratio is a comfortable 25% and this is well supported by cash flows. Trailing yield: 1.6%. Lower than top quartile of British dividend payers (5.9%). Lower than average of industry peers (2.1%). Declared Dividend • Dec 15
Final dividend of UK£0.12 announced Shareholders will receive a dividend of UK£0.12. Ex-date: 16th January 2025 Payment date: 26th February 2025 Dividend yield will be 1.6%, which is lower than the industry average of 1.8%. Sustainability & Growth Dividend is covered by both earnings (25% earnings payout ratio) and cash flows (54% cash payout ratio). The dividend has increased by an average of 7.5% 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. Earnings per share has grown by 16% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Reported Earnings • Dec 13
Full year 2024 earnings released: EPS: UK£0.67 (vs UK£0.62 in FY 2023) Full year 2024 results: EPS: UK£0.67 (up from UK£0.62 in FY 2023). Revenue: UK£64.4m (up 11% from FY 2023). Net income: UK£5.23m (up 3.8% from FY 2023). Profit margin: 8.1% (down from 8.7% in FY 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 11% per year whereas the company’s share price has fallen by 12% per year. Duyuru • Dec 13
Dewhurst Group Plc, Annual General Meeting, Feb 18, 2025 Dewhurst Group Plc, Annual General Meeting, Feb 18, 2025. Duyuru • Dec 12
Dewhurst Group plc Proposes Final Dividend, Payable on 26 February 2025 The board of Dewhurst Group Plc proposed a final dividend of 11.50 pence (2023: 11.00 pence). If approved, this would be paid on 26 February 2025 and would result in a total dividend for 2024 of 16.50 pence per share which is 4.8% up on 2023 and is covered 4.3 times by earnings. The dividend would be paid to members on the register at 17 January 2025 (ex-dividend 16 January 2025). Dividends are accounted for when paid or approved by shareholders, and not when proposed, therefore the proposed final dividend for 2024 has not been accrued at the end of the reporting period. Upcoming Dividend • Jul 11
Upcoming dividend of UK£0.05 per share Eligible shareholders must have bought the stock before 18 July 2024. Payment date: 13 August 2024. Payout ratio is a comfortable 25% and this is well supported by cash flows. Trailing yield: 1.2%. Lower than top quartile of British dividend payers (5.6%). Lower than average of industry peers (2.0%). Declared Dividend • Jun 27
First half dividend increased to UK£0.05 Dividend of UK£0.05 is 5.3% higher than last year. Ex-date: 18th July 2024 Payment date: 13th August 2024 Dividend yield will be 1.3%, which is lower than the industry average of 1.8%. Sustainability & Growth Dividend is covered by both earnings (25% earnings payout ratio) and cash flows (59% cash payout ratio). The dividend has increased by an average of 7.0% 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. Earnings per share has grown by 9.0% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Reported Earnings • Jun 25
First half 2024 earnings released: EPS: UK£0.33 (vs UK£0.32 in 1H 2023) First half 2024 results: EPS: UK£0.33. Revenue: UK£31.0m (up 1.9% from 1H 2023). Net income: UK£2.50m (down 1.5% from 1H 2023). Profit margin: 8.1% (down from 8.3% in 1H 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 3.7% p.a. on average during the next 2 years, compared to a 17% growth forecast for the Electrical industry in the United Kingdom. Valuation Update With 7 Day Price Move • Apr 22
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to UK£11.00, the stock trades at a trailing P/E ratio of 19.4x. Average trailing P/E is 17x in the Electrical industry in the United Kingdom. Total loss to shareholders of 37% over the past three years. New Risk • Mar 29
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 9.7% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Minor Risks Shareholders have been diluted in the past year (9.7% increase in shares outstanding). Market cap is less than US$100m (UK£70.7m market cap, or US$89.2m). Buy Or Sell Opportunity • Mar 25
Now 21% undervalued Over the last 90 days, the stock has risen 29% to UK£9.70. The fair value is estimated to be UK£12.28, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Valuation Update With 7 Day Price Move • Feb 09
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to UK£8.75, the stock trades at a trailing P/E ratio of 13.7x. Average trailing P/E is 17x in the Electrical industry in the United Kingdom. Total loss to shareholders of 51% over the past three years. Upcoming Dividend • Jan 11
Upcoming dividend of UK£0.11 per share at 2.1% yield Eligible shareholders must have bought the stock before 18 January 2024. Payment date: 26 February 2024. Payout ratio is a comfortable 25% and this is well supported by cash flows. Trailing yield: 2.1%. Lower than top quartile of British dividend payers (5.8%). Higher than average of industry peers (1.9%). Reported Earnings • Dec 21
Full year 2023 earnings released: EPS: UK£0.63 (vs UK£0.60 in FY 2022) Full year 2023 results: EPS: UK£0.63 (up from UK£0.60 in FY 2022). Revenue: UK£58.0m (flat on FY 2022). Net income: UK£5.04m (up 3.9% from FY 2022). Profit margin: 8.7% (up from 8.4% in FY 2022). 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 15% per year, which means it is significantly lagging earnings. Duyuru • Dec 21
Dewhurst Group plc Proposes Final Dividend, Payable on 26 February 2024 The Board of Dewhurst Group Plc is proposing a final dividend of 11.00 pence (2022: 10.25 pence). If approved, this would be paid on 26 February 2024 and would result in a total dividend for 2023 of 15.75p per share which is 6.8% up on 2022 and is covered 4.1 times by earnings. The dividend would be paid to members on the register at 19 January 2024 (ex-dividend 18 January 2024). Dividends are accounted for when paid or approved by shareholders, and not when proposed, therefore the proposed final dividend for 2023 has not been accrued at the end of the reporting period. Upcoming Dividend • Jun 29
Upcoming dividend of UK£0.048 per share at 1.4% yield Eligible shareholders must have bought the stock before 06 July 2023. Payment date: 15 August 2023. Payout ratio is a comfortable 24% and this is well supported by cash flows. Trailing yield: 1.4%. Lower than top quartile of British dividend payers (6.0%). Lower than average of industry peers (2.2%). Reported Earnings • Jun 27
First half 2023 earnings released First half 2023 results: Revenue: UK£30.4m (up 12% from 1H 2022). Net income: UK£2.53m (up 16% from 1H 2022). Profit margin: 8.3% (up from 8.1% in 1H 2022). The increase in margin was driven by higher revenue. Revenue is forecast to stay flat during the next 2 years compared to a 17% growth forecast for the Electrical industry in the United Kingdom. New Risk • Jun 12
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended September 2022. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Minor Risks Latest financial reports are more than 6 months old (reported September 2022 fiscal period end). Profit margins are more than 30% lower than last year (8.4% net profit margin). Market cap is less than US$100m (UK£66.4m market cap, or US$83.5m). Upcoming Dividend • Jan 12
Upcoming dividend of UK£0.10 per share Eligible shareholders must have bought the stock before 19 January 2023. Payment date: 22 February 2023. Payout ratio is a comfortable 25% and this is well supported by cash flows. Trailing yield: 1.3%. Lower than top quartile of British dividend payers (5.5%). Lower than average of industry peers (2.4%). Reported Earnings • Dec 08
Full year 2022 earnings released: EPS: UK£0.60 (vs UK£0.87 in FY 2021) Full year 2022 results: EPS: UK£0.60 (down from UK£0.87 in FY 2021). Revenue: UK£57.6m (up 2.3% from FY 2021). Net income: UK£4.85m (down 31% from FY 2021). Profit margin: 8.4% (down from 13% in FY 2021). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 2.2% p.a. on average during the next 2 years, compared to a 22% growth forecast for the Electrical industry in the United Kingdom. Over the last 3 years on average, earnings per share has increased by 31% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Duyuru • Dec 08
Dewhurst Group Plc, Annual General Meeting, Feb 14, 2023 Dewhurst Group Plc, Annual General Meeting, Feb 14, 2023. Board Change • Nov 16
No independent directors Following the recent departure of a director, there are no independent directors on the board. The company's board is composed of: No independent directors. 7 non-independent directors. Non-Executive Director Charles John Holroyd was the last director to join the board, commencing their role in 2021. The company's lack of independent directors is a risk according to the Simply Wall St Risk Model. Upcoming Dividend • Jun 30
Upcoming dividend of UK£0.045 per share Eligible shareholders must have bought the stock before 07 July 2022. Payment date: 16 August 2022. Payout ratio is a comfortable 16% and this is well supported by cash flows. Trailing yield: 1.3%. Lower than top quartile of British dividend payers (5.2%). Lower than average of industry peers (2.5%). Board Change • Apr 27
No independent directors Following the recent departure of a director, there are no independent directors on the board. The company's board is composed of: No independent directors. 7 non-independent directors. Non-Executive Director Charles John Holroyd was the last director to join the board, commencing their role in 2021. The company's lack of independent directors is a risk according to the Simply Wall St Risk Model. Upcoming Dividend • Jan 13
Upcoming dividend of UK£0.098 per share Eligible shareholders must have bought the stock before 20 January 2022. Payment date: 23 February 2022. Payout ratio is a comfortable 16% and this is well supported by cash flows. Trailing yield: 0.8%. Lower than top quartile of British dividend payers (4.1%). Lower than average of industry peers (1.4%). Reported Earnings • Dec 09
Full year 2021 earnings: Revenues exceed analyst expectations Full year 2021 results: Revenue: UK£56.2m (up 1.1% from FY 2020). Net income: UK£7.03m (up 63% from FY 2020). Profit margin: 13% (up from 7.8% in FY 2020). The increase in margin was primarily driven by lower expenses. Revenue exceeded analyst estimates by 3.2%. Valuation Update With 7 Day Price Move • Jul 07
Investor sentiment improved over the past week After last week's 18% share price gain to UK£23.80, the stock trades at a trailing P/E ratio of 41.8x. Average trailing P/E is 34x in the Electrical industry in the United Kingdom. Total returns to shareholders of 158% over the past three years. Upcoming Dividend • Jul 01
Upcoming dividend of UK£0.043 per share Eligible shareholders must have bought the stock before 08 July 2021. Payment date: 17 August 2021. Trailing yield: 0.7%. Lower than top quartile of British dividend payers (4.1%). Lower than average of industry peers (1.6%). Reported Earnings • Jun 11
First half 2021 earnings released: EPS UK£0.26 (vs UK£0.21 in 1H 2020) The company reported a strong first half result with improved earnings, revenues and profit margins. First half 2021 results: Revenue: UK£28.9m (up 2.5% from 1H 2020). Net income: UK£1.93m (up 23% from 1H 2020). Profit margin: 6.7% (up from 5.6% in 1H 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 6% per year but the company’s share price has increased by 31% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Feb 10
Investor sentiment improved over the past week After last week's 16% share price gain to UK£18.50, the stock is trading at a trailing P/E ratio of 35.7x, up from the previous P/E ratio of 30.9x. This compares to an average P/E of 32x in the Electrical industry in the United Kingdom. Total returns to shareholders over the past three years are 131%. Is New 90 Day High Low • Feb 04
New 90-day high: UK£16.50 The company is up 61% from its price of UK£10.25 on 06 November 2020. The British market is up 12% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Electrical industry, which is up 74% over the same period. Valuation Update With 7 Day Price Move • Jan 15
Investor sentiment improved over the past week After last week's 28% share price gain to UK£16.25, the stock is trading at a trailing P/E ratio of 31.4x, up from the previous P/E ratio of 24.5x. This compares to an average P/E of 30x in the Electrical industry in the United Kingdom. Total returns to shareholders over the past three years are 96%. Is New 90 Day High Low • Jan 04
New 90-day high: UK£12.25 The company is up 30% from its price of UK£9.40 on 06 October 2020. The British market is up 10.0% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Electrical industry, which is up 52% over the same period. Is New 90 Day High Low • Dec 16
New 90-day high: UK£12.00 The company is up 28% from its price of UK£9.40 on 17 September 2020. The British market is up 8.0% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Electrical industry, which is up 37% over the same period. Reported Earnings • Dec 12
Full year 2020 earnings released: EPS UK£0.52 The company reported a decent full year result with improved earnings and profit margins, although revenues were weaker. Full year 2020 results: Revenue: UK£55.6m (down 1.5% from FY 2019). Net income: UK£4.31m (up 60% from FY 2019). Profit margin: 7.8% (up from 4.8% in FY 2019). The increase in margin was driven by lower expenses. 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 19% per year, which means it is well ahead of earnings. Is New 90 Day High Low • Nov 07
New 90-day high: UK£10.25 The company is up 13% from its price of UK£9.05 on 07 August 2020. The British market is down 2.0% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Electrical industry, which is up 22% over the same period. Is New 90 Day High Low • Oct 22
New 90-day high: UK£9.65 The company is up 8.0% from its price of UK£8.93 on 24 July 2020. The British market is down 5.0% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Electrical industry, which is up 19% over the same period.