New Risk • May 06
New major risk - Financial position The company's debt is not well covered by operating cash flow. Currently running at an operating cash loss. This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (currently running at an operating cash loss). Earnings have declined by 23% per year over the past 5 years. Minor Risk Market cap is less than US$100m (zł224.4m market cap, or US$62.3m). Reported Earnings • Dec 02
Third quarter 2025 earnings released: zł0.85 loss per share (vs zł0.38 profit in 3Q 2024) Third quarter 2025 results: zł0.85 loss per share (down from zł0.38 profit in 3Q 2024). Revenue: zł505.5m (up 3.8% from 3Q 2024). Net loss: zł21.1m (down 323% from profit in 3Q 2024). Over the last 3 years on average, earnings per share has fallen by 45% per year but the company’s share price has only fallen by 6% per year, which means it has not declined as severely as earnings. New Risk • Nov 18
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: zł362.5m (US$98.9m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 5.0% per year over the past 5 years. Minor Risks Profit margins are more than 30% lower than last year (1.3% net profit margin). Market cap is less than US$100m (zł362.5m market cap, or US$98.9m). Buy Or Sell Opportunity • Sep 19
Now 22% overvalued Over the last 90 days, the stock has fallen 14% to zł15.80. The fair value is estimated to be zł12.98, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has declined by 14%. Upcoming Dividend • Aug 29
Upcoming dividend of zł0.17 per share Eligible shareholders must have bought the stock before 05 September 2025. Payment date: 06 October 2025. Payout ratio is a comfortable 32% and this is well supported by cash flows. Trailing yield: 2.4%. Lower than top quartile of Polish dividend payers (7.3%). Lower than average of industry peers (4.0%). Duyuru • Aug 21
Pekabex S.A. to Report First Half, 2025 Results on Sep 18, 2025 Pekabex S.A. announced that they will report first half, 2025 results on Sep 18, 2025 New Risk • Aug 04
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: Major Risk Earnings have declined by 0.6% per year over the past 5 years. Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Profit margins are more than 30% lower than last year (1.6% net profit margin). Reported Earnings • May 30
First quarter 2025 earnings released: EPS: zł0.09 (vs zł0.42 in 1Q 2024) First quarter 2025 results: EPS: zł0.09 (down from zł0.42 in 1Q 2024). Revenue: zł408.5m (up 26% from 1Q 2024). Net income: zł2.17m (down 79% from 1Q 2024). Profit margin: 0.5% (down from 3.2% in 1Q 2024). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has increased by 9% per year, which means it is well ahead of earnings. Duyuru • May 01
Pekabex S.A., Annual General Meeting, May 29, 2025 Pekabex S.A., Annual General Meeting, May 29, 2025. Reported Earnings • Apr 27
Full year 2024 earnings released: EPS: zł1.49 (vs zł2.78 in FY 2023) Full year 2024 results: EPS: zł1.49 (down from zł2.78 in FY 2023). Revenue: zł1.73b (up 10% from FY 2023). Net income: zł37.1m (down 46% from FY 2023). Profit margin: 2.1% (down from 4.4% 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 3% per year but the company’s share price has increased by 7% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Feb 11
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to zł20.90, the stock trades at a trailing P/E ratio of 16.3x. Average trailing P/E is 14x in the Construction industry in Poland. Total returns to shareholders of 9.8% over the past three years. New Risk • Dec 20
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: zł403.4m (US$98.6m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risk Interest payments are not well covered by earnings (2.9x net interest cover). Minor Risks Profit margins are more than 30% lower than last year (2.0% net profit margin). Market cap is less than US$100m (zł403.4m market cap, or US$98.6m). Reported Earnings • Nov 22
Third quarter 2024 earnings released: EPS: zł0.38 (vs zł0.61 in 3Q 2023) Third quarter 2024 results: EPS: zł0.38 (down from zł0.61 in 3Q 2023). Revenue: zł486.9m (up 19% from 3Q 2023). Net income: zł9.44m (down 37% from 3Q 2023). Profit margin: 1.9% (down from 3.7% in 3Q 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 4% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Reported Earnings • Sep 13
Second quarter 2024 earnings released: EPS: zł0.15 (vs zł0.84 in 2Q 2023) Second quarter 2024 results: EPS: zł0.15 (down from zł0.84 in 2Q 2023). Revenue: zł412.3m (up 7.0% from 2Q 2023). Net income: zł3.62m (down 83% from 2Q 2023). Profit margin: 0.9% (down from 5.4% in 2Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 10% growth forecast for the Construction industry in Poland. Over the last 3 years on average, earnings per share has increased by 12% per year but the company’s share price has fallen by 3% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Sep 12
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to zł19.20, the stock trades at a trailing P/E ratio of 8.7x. Average forward P/E is 11x in the Construction industry in Poland. Total loss to shareholders of 3.9% over the past three years. Buy Or Sell Opportunity • Sep 12
Now 24% undervalued after recent price drop Over the last 90 days, the stock has fallen 28% to zł19.20. The fair value is estimated to be zł25.42, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 10% over the last 3 years. Earnings per share has grown by 16%. Upcoming Dividend • Jun 20
Upcoming dividend of zł0.41 per share Eligible shareholders must have bought the stock before 27 June 2024. Payment date: 31 July 2024. Payout ratio is a comfortable 19% but the company is not cash flow positive. Trailing yield: 1.6%. Lower than top quartile of Polish dividend payers (7.7%). Lower than average of industry peers (4.7%). Duyuru • May 31
Pekabex S.A., Annual General Meeting, Jun 25, 2024 Pekabex S.A., Annual General Meeting, Jun 25, 2024. Reported Earnings • May 24
First quarter 2024 earnings released: EPS: zł0.42 (vs zł0.99 in 1Q 2023) First quarter 2024 results: EPS: zł0.42 (down from zł0.99 in 1Q 2023). Revenue: zł324.6m (down 16% from 1Q 2023). Net income: zł10.4m (down 58% from 1Q 2023). Profit margin: 3.2% (down from 6.4% in 1Q 2023). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 14% p.a. on average during the next 3 years, compared to a 9.4% growth forecast for the Construction industry in Poland. Over the last 3 years on average, earnings per share has increased by 16% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Apr 24
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to zł26.00, the stock trades at a trailing P/E ratio of 9.3x. Average forward P/E is 11x in the Construction industry in Poland. Total returns to shareholders of 24% over the past three years. Reported Earnings • Apr 12
Full year 2023 earnings released: EPS: zł2.78 (vs zł2.66 in FY 2022) Full year 2023 results: EPS: zł2.78 (up from zł2.66 in FY 2022). Revenue: zł1.57b (down 6.7% from FY 2022). Net income: zł69.1m (up 4.5% from FY 2022). Profit margin: 4.4% (up from 3.9% in FY 2022). The increase in margin was driven by lower expenses. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 6.8% growth forecast for the Construction industry in Poland. Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. Reported Earnings • Nov 26
Third quarter 2023 earnings released: EPS: zł0.61 (vs zł0.81 in 3Q 2022) Third quarter 2023 results: EPS: zł0.61 (down from zł0.81 in 3Q 2022). Revenue: zł410.9m (down 1.6% from 3Q 2022). Net income: zł15.1m (down 26% from 3Q 2022). Profit margin: 3.7% (down from 4.8% in 3Q 2022). Revenue is forecast to grow 9.8% p.a. on average during the next 3 years, compared to a 6.7% growth forecast for the Construction industry in Poland. Over the last 3 years on average, earnings per share has increased by 16% per year whereas the company’s share price has increased by 13% per year. Reported Earnings • Sep 17
Second quarter 2023 earnings released: EPS: zł0.85 (vs zł0.60 in 2Q 2022) Second quarter 2023 results: EPS: zł0.85 (up from zł0.60 in 2Q 2022). Revenue: zł385.2m (down 9.5% from 2Q 2022). Net income: zł20.9m (up 40% from 2Q 2022). Profit margin: 5.4% (up from 3.5% in 2Q 2022). The increase in margin was driven by lower expenses. Revenue is forecast to grow 9.2% p.a. on average during the next 3 years, compared to a 6.5% growth forecast for the Construction industry in Poland. Over the last 3 years on average, earnings per share has increased by 13% per year and the company’s share price has also increased by 13% per year. Buying Opportunity • Jul 20
Now 20% undervalued Over the last 90 days, the stock is up 31%. The fair value is estimated to be zł30.05, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 27% over the last 3 years. Earnings per share has grown by 11%. Upcoming Dividend • Jun 22
Upcoming dividend of zł0.41 per share at 1.9% yield Eligible shareholders must have bought the stock before 29 June 2023. Payment date: 31 July 2023. Payout ratio is a comfortable 13% and this is well supported by cash flows. Trailing yield: 1.9%. Lower than top quartile of Polish dividend payers (7.4%). Lower than average of industry peers (5.1%). Reported Earnings • Jun 04
First quarter 2023 earnings released: EPS: zł0.99 (vs zł0.51 in 1Q 2022) First quarter 2023 results: EPS: zł0.99 (up from zł0.51 in 1Q 2022). Revenue: zł387.1m (down 6.1% from 1Q 2022). Net income: zł24.7m (up 95% from 1Q 2022). Profit margin: 6.4% (up from 3.1% in 1Q 2022). The increase in margin was driven by lower expenses. Revenue is forecast to grow 8.1% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the Construction industry in Poland. Over the last 3 years on average, earnings per share has increased by 11% per year but the company’s share price has increased by 23% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Jun 01
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to zł21.00, the stock trades at a trailing P/E ratio of 7.9x. Average forward P/E is 11x in the Construction industry in Poland. Total returns to shareholders of 111% over the past three years. Duyuru • May 23
Pekabex S.A., Annual General Meeting, Jun 14, 2023 Pekabex S.A., Annual General Meeting, Jun 14, 2023, at 12:00 Central European Standard Time. Reported Earnings • Apr 21
Full year 2022 earnings released: EPS: zł2.71 (vs zł1.62 in FY 2021) Full year 2022 results: EPS: zł2.71 (up from zł1.62 in FY 2021). Revenue: zł1.68b (up 12% from FY 2021). Net income: zł67.3m (up 67% from FY 2021). Profit margin: 4.0% (up from 2.7% in FY 2021). The increase in margin was driven by higher revenue. Revenue is forecast to grow 2.3% p.a. on average during the next 3 years, while revenues in the Construction industry in Poland are expected to remain flat. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has increased by 24% per year, which means it is tracking significantly ahead of earnings growth. Price Target Changed • Feb 24
Price target increased by 10% to zł17.60 Up from zł16.00, the current price target is provided by 1 analyst. New target price is 6.7% above last closing price of zł16.50. Stock is down 4.9% over the past year. The company posted earnings per share of zł1.62 last year. Reported Earnings • Nov 26
Third quarter 2022 earnings released: EPS: zł0.81 (vs zł0.34 in 3Q 2021) Third quarter 2022 results: EPS: zł0.81 (up from zł0.34 in 3Q 2021). Revenue: zł417.6m (up 1.2% from 3Q 2021). Net income: zł20.2m (up 142% from 3Q 2021). Profit margin: 4.8% (up from 2.0% in 3Q 2021). The increase in margin was primarily driven by lower expenses. Revenue is forecast to stay flat during the next 3 years compared to a 3.0% growth forecast for the Construction industry in Europe. Over the last 3 years on average, earnings per share has increased by 9% per year whereas the company’s share price has increased by 14% per year. Reported Earnings • Sep 30
Second quarter 2022 earnings released Second quarter 2022 results: Revenue: zł425.5m (up 8.2% from 2Q 2021). Net income: zł15.0m (up 97% from 2Q 2021). Profit margin: 3.5% (up from 1.9% in 2Q 2021). The increase in margin was driven by higher revenue. Revenue is forecast to grow 2.5% p.a. on average during the next 3 years, compared to a 1.2% growth forecast for the Construction industry in Poland. Upcoming Dividend • Jul 21
Upcoming dividend of zł0.20 per share Eligible shareholders must have bought the stock before 28 July 2022. Payment date: 14 October 2022. Payout ratio is a comfortable 13% but the company is not cash flow positive. Trailing yield: 1.5%. Lower than top quartile of Polish dividend payers (8.4%). Lower than average of industry peers (7.7%). Reported Earnings • May 03
Full year 2021 earnings released: EPS: zł1.62 (vs zł2.35 in FY 2020) Full year 2021 results: EPS: zł1.62 (down from zł2.35 in FY 2020). Revenue: zł1.50b (up 58% from FY 2020). Net income: zł40.6m (down 30% from FY 2020). Profit margin: 2.7% (down from 6.1% in FY 2020). The decrease in margin was driven by higher expenses. Over the next year, revenue is expected to shrink by 3.4% compared to a 15% growth forecast for the industry in Poland. Over the last 3 years on average, earnings per share has increased by 4% per year but the company’s share price has increased by 15% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Mar 07
Investor sentiment deteriorated over the past week After last week's 22% share price decline to zł13.90, the stock trades at a trailing P/E ratio of 7.8x. Average forward P/E is 11x in the Construction industry in Poland. Total returns to shareholders of 22% over the past three years. Reported Earnings • Dec 03
Third quarter 2021 earnings: Revenues and EPS in line with analyst expectations Third quarter 2021 results: EPS: zł0.34 (down from zł0.55 in 3Q 2020). Revenue: zł412.7m (up 100% from 3Q 2020). Net income: zł8.35m (down 40% from 3Q 2020). Profit margin: 2.0% (down from 6.7% in 3Q 2020). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Over the next year, revenue is forecast to grow 8.9%, compared to a 6.1% growth forecast for the industry in Poland. Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has increased by 19% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Sep 11
Second quarter 2021 earnings released: EPS zł0.30 (vs zł0.70 in 2Q 2020) The company reported a mediocre second quarter result with weaker earnings and profit margins, although revenues improved. Second quarter 2021 results: Revenue: zł393.4m (up 71% from 2Q 2020). Net income: zł7.59m (down 56% from 2Q 2020). Profit margin: 1.9% (down from 7.4% in 2Q 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 8% per year but the company’s share price has increased by 33% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Sep 09
Investor sentiment deteriorated over the past week After last week's 19% share price decline to zł21.80, the stock trades at a trailing P/E ratio of 9.1x. Average forward P/E is 14x in the Construction industry in Poland. Total returns to shareholders of 142% over the past three years. Upcoming Dividend • Jul 08
Upcoming dividend of zł0.41 per share Eligible shareholders must have bought the stock before 15 July 2021. Payment date: 30 July 2021. Trailing yield: 1.5%. Lower than top quartile of Polish dividend payers (5.7%). Lower than average of industry peers (3.7%). Reported Earnings • Jun 05
First quarter 2021 earnings released: EPS zł0.59 (vs zł0.54 in 1Q 2020) The company reported a decent first quarter result with improved earnings and profit margins, although revenues were flat. First quarter 2021 results: Revenue: zł246.2m (flat on 1Q 2020). Net income: zł14.6m (up 11% from 1Q 2020). Profit margin: 5.9% (up from 5.3% in 1Q 2020). Over the last 3 years on average, earnings per share has increased by 11% per year but the company’s share price has increased by 32% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • May 11
Investor sentiment improved over the past week After last week's 16% share price gain to zł24.90, the stock trades at a trailing P/E ratio of 10.6x. Average trailing P/E is 9x in the Construction industry in Poland. Total returns to shareholders of 145% over the past three years. Reported Earnings • Apr 25
Full year 2020 earnings released: EPS zł2.35 (vs zł1.25 in FY 2019) The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2020 results: Revenue: zł952.3m (up 23% from FY 2019). Net income: zł57.9m (up 90% from FY 2019). Profit margin: 6.1% (up from 4.0% 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 12% per year but the company’s share price has increased by 28% per year, which means it is tracking significantly ahead of earnings growth. Is New 90 Day High Low • Feb 18
New 90-day high: zł22.00 The company is up 41% from its price of zł15.60 on 20 November 2020. The Polish market is up 13% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Construction industry, which is up 39% over the same period. Valuation Update With 7 Day Price Move • Feb 08
Investor sentiment improved over the past week After last week's 15% share price gain to zł20.90, the stock is trading at a trailing P/E ratio of 9.5x, up from the previous P/E ratio of 8.2x. This compares to an average P/E of 9x in the Construction industry in Poland. Total returns to shareholders over the past three years are 120%. Is New 90 Day High Low • Jan 23
New 90-day high: zł17.55 The company is up 29% from its price of zł13.65 on 23 October 2020. The Polish market is up 16% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Construction industry, which is up 42% over the same period. Is New 90 Day High Low • Jan 08
New 90-day high: zł17.35 The company is up 23% from its price of zł14.15 on 09 October 2020. The Polish market is up 19% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Construction industry, which is up 30% over the same period. Is New 90 Day High Low • Dec 12
New 90-day high: zł16.55 The company is up 15% from its price of zł14.40 on 11 September 2020. The Polish market is up 8.0% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Construction industry, which is up 19% over the same period. Reported Earnings • Nov 22
Third quarter 2020 earnings released: EPS zł0.55 The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2020 results: Revenue: zł206.3m (up 15% from 3Q 2019). Net income: zł13.8m (up 68% from 3Q 2019). Profit margin: 6.7% (up from 4.6% in 3Q 2019). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 11% per year whereas the company’s share price has increased by 13% per year. Is New 90 Day High Low • Nov 09
New 90-day high: zł15.15 The company is up 21% from its price of zł12.50 on 11 August 2020. The Polish market is down 8.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Construction industry, which is up 3.0% over the same period.