£553.5m market cap

281.5p last close

Tyman’s product portfolio substantially addresses the residential RMI and building markets with increasing commercial sector exposure following acquisitions. It manufactures and sources window and door hardware and seals, reporting in three divisions.

Investment summary

After COVID-19 affected Q2/H1 trading, recovering market conditions in Q3 led to Tyman achieving +3% like-for-like revenue growth in the quarter (and flat in reported terms). In addition, net debt continues to track down. With improved momentum going into Q4, we have reintroduced earnings estimates, which show a c 13% y-o-y reduction in FY20 EPS followed by a 9% rebound in FY21. We have factored in dividends resuming next year, although management is to consider a modest FY20 final payout depending on prospects at the turn of the year.

Y/E Dec
Revenue (£m)
PBT (£m)
EPS (fd) (p)
P/E (x)
P/CF (x)
2018A 591.5 98.5 72.7 27.5 10.2 6.3
2019A 613.7 100.8 71.0 27.4 10.3 4.9
2020E 561.3 91.2 62.5 23.9 11.8 5.8
2021E 587.4 96.3 68.1 26.1 10.8 6.7
Industry outlook

Prior to the COVID-19 outbreak, leading North American and European markets were expected to grow modestly and the new-build sector has generally been firmer than RMI spend which has been more patchy.

Last updated on 21/10/2020
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Share price graph
Balance sheet
Forecast net debt (£m) 118.8
Forecast gearing ratio (%) 25
Price performance
Actual 30.9 63.7 34.7
Relative* 30.1 74.1 63.8
52-week high/low 291.0p/134.0p
*% relative to local index
Key management
Martin Towers Chairman
Jo Hallas CEO
Jason Ashton CFO

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