Mytilineos

ASE: MYTI

€1286m market cap

€9 last close

Mytilineos operates three main businesses: metallurgy (aluminium/alumina production), power & gas (power production/supply and gas trading) and large-scale infrastructure EPC. It operates in 29 countries across Europe, the Middle-East and Africa and has 2,700 employees.

Investment summary

Dario Carradori, industrials analyst, discusses the investment case for Mytilineos, a Greek industrial group operating in three main businesses: metallurgy (aluminium/alumina production), power & gas (power production/supply and gas trading) and large-scale infrastructure EPC (engineering, procurement and construction).

Y/E Dec
Revenue (€m)
EBITDA (€m)
PBT (€m)
EPS (c)
P/E (x)
P/CF (x)
2017A 1527.0 299.0 175.0 102.04 8.8 6.0
2018A 1527.0 290.0 174.0 100.92 8.9 7.9
2019E 2234.0 359.0 263.0 142.97 6.3 5.3
2020E 2356.0 344.0 248.0 136.64 6.6 5.4
Last updated on 16/05/2019
Industry outlook

Although Mytilineos operates in highly competitive international markets, it has leveraged the synergies between the three divisions to build a portfolio of assets that have in common a low-cost, competitive positioning. Cost leadership is the key feature the three businesses have in common. In particular, the highly efficient gas-fired plants and the access to cheap natural gas allow the Power & Gas business to achieve high load factors and higher-than-average margins. Production costs for both alumina/aluminium allow Metallurgy to be profitable and strongly cash flow generative. The EPC business has a track record of stable and relatively high margins.

Last updated on 16/05/2019
Sector
Industrials
Share price graph
Balance sheet
Forecast net debt (€m) 306
Forecast gearing ratio (%) 31
Price performance
%
1m
3m
12m
Actual (6.9) 3.3 (2.9)
Relative* (0.6) (6.8) 5.3
52-week high/low €9.7/€6.7
*% relative to local index
Key management
Yiannis Kalafatas CFO
Evangelos Mytilinoes CEO and Chairman