SandpiperCI Group operates a high-quality portfolio of retail brands covering food, clothing and specialist products. It primarily operates franchise stores but also a number of its own food convenience stores. It is the leading Channel Islands retailer and is also present in Gibraltar and the Isle of Man.
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Sandpiper has been able to leverage its relationships with its franchise partners to open their brands in additional geographies: initially Gibraltar and subsequently the Isle of Man. It is a dependable operator and it owns a high-quality freehold property portfolio, valued at £67.5m in January 2022, which provides a barrier to entry for the competition. There are some opportunities for in-fill across existing geographies, but we believe that more significant long-term opportunities lie in developing into new territories and an expansion into an adjacent segment such as hospitality. The FY22 results confirmed the group’s resilience, with revenues up 5.1%. Trading EBITDA was up 12% versus the prior year (which was affected by trading restrictions). Management remains confident in its outlook despite the well-documented inflationary cost pressures affecting the entire sector.
Y/E Feb |
Revenue (£m) |
EBITDA (£m) |
PBT (£m) |
EPS (fd) (p) |
P/E (x) |
P/CF (x) |
|---|---|---|---|---|---|---|
| 2021A | 200.4 | 11.3 | 5.1 | 4.09 | 22.5 | 8.1 |
| 2022A | 210.7 | 12.7 | 7.3 | 5.82 | 15.8 | 7.2 |
| 2023E | 216.1 | 12.2 | 6.9 | 5.50 | 16.7 | 7.6 |
| 2024E | 221.4 | 12.5 | 6.4 | 5.15 | 17.9 | 7.4 |
Industry outlook
Our medium-term sales growth of 3.5% for Sandpiper reflects mid-cycle consensus RPI forecasts of c 3% and modest space growth, as Sandpiper expands across its existing geographies.
Last updated on 18/05/2022Content on SandpiperCI Group
Sector |
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Consumer
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Share price graph
Balance sheet |
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| Forecast net debt (£m) | 11.7 |
| Forecast gearing ratio (%) | 16 |
Price performance
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12m |
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Key management |
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| Dan Wilson | CFO |
| Mike Rutter | Retail managing director |
| Tony ONeill | Executive chairman |