Numis is one of the UK’s leading independent investment banking groups, offering a full range of research, execution, equity capital markets, corporate broking and advisory services. At end-September 2022, it employed 336 staff in offices in London, Dublin and New York and had 176 corporate clients.
The near-term outlook is generally subdued given market volatility and the uncertain outlook. The M&A advisory area remains more active and was advising on nine announced public bids with an average transaction value of £1.5bn. On a longer view the group’s existing franchise, continued focus on developing its client base and expanding internationally and into complementary areas should underpin its performance through market cycles. Numis’s FY22 results are due on 8 December.
Alexander Ham
Co-Chief Executive Officer and Director
Andrew Holloway
Chief Financial Officer and Company Secretary
Ross Mitchinson
Co-Chief Executive Officer and Director
Forecast net cash (£m)
109.1
Forecast gearing ratio (%)
N/A
% | 1M | 3M | 12M |
---|---|---|---|
Actual | 8.6 | 21.5 | (32.3) |
Relative | 4.5 | 9.9 | (33.9) |
52 week high/low | 322.0p/170.4p |
There is no real sign of an improvement in capital markets activity and therefore the near-term trading background for Numis and its peers. However, Numis is reaping the benefits of its investment in building its mergers and acquisition (M&A) activity, which delivered strongly in FY22 and has a good pipeline. The group remains committed to developing its franchise with selective investment, which should help diversify revenues further and support its growth through market fluctuations.
Y/E Sep | Revenue (£m) | EBITDA (£m) | PBT (£m) | EPS (fd) (p) | P/E (x) | P/CF (x) |
---|---|---|---|---|---|---|
2021A | 215.6 | 72.3 | 74.2 | 49.1 | 4.3 | 4.2 |
2022A | 144.2 | 25.6 | 20.9 | 11.9 | 17.6 | 205.7 |
2023E | 151.8 | 28.7 | 24.0 | 16.8 | 12.5 | 7.3 |
2024E | N/A | N/A | N/A | N/A | N/A | N/A |
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