Last close As at 05/08/2026
GBP17.92
▲ 6.00 (0.34%)
Market capitalisation
GBP501m
Research: TMT
XP Power has acquired two German companies specialising in high-voltage power solutions from a single vendor for cash of €39m/£32.8m, funded by existing debt facilities. The deal extends XP’s product range and strengthens its position in Europe. With higher combined operating margins than XP, the company expects the deal to be earnings enhancing this year. We have upgraded our FY22 diluted normalised EPS forecast by 1.7% and introduce FY23 forecasts for 12.3% EPS growth.
XP Power |
German high-voltage acquisitions |
Acquisitions |
Tech hardware & equipment |
1 February 2022 |
Share price performance
Business description
Next events
Analyst
XP Power is a research client of Edison Investment Research Limited |
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XP Power has acquired two German companies specialising in high-voltage power solutions from a single vendor for cash of €39m/£32.8m, funded by existing debt facilities. The deal extends XP’s product range and strengthens its position in Europe. With higher combined operating margins than XP, the company expects the deal to be earnings enhancing this year. We have upgraded our FY22 diluted normalised EPS forecast by 1.7% and introduce FY23 forecasts for 12.3% EPS growth.
Year end |
Revenue (£m) |
PBT* |
EPS* |
DPS |
P/E |
Yield |
12/19 |
199.9 |
32.3 |
141.4 |
55.0 |
34.4 |
1.1 |
12/20 |
233.3 |
44.3 |
198.4 |
74.0 |
24.5 |
1.5 |
12/21e |
240.2 |
43.5 |
179.0 |
95.0 |
27.2 |
2.0 |
12/22e |
271.6 |
51.0 |
207.1 |
98.0 |
23.5 |
2.0 |
Note: *PBT and EPS are normalised, excluding amortisation of acquired intangibles, exceptional items and share-based payments.
Buying German high-voltage solutions providers
XP has acquired from one vendor two German providers of high-voltage, high-power solutions, FuG Elektronik and Guth High Voltage. The deal expands XP’s product range with complementary solutions in the semiconductor manufacturing and industrial technology markets, and strengthens its position in Europe and Germany in particular (the largest market for power products in Europe). XP’s integration plans will focus on revenue rather than cost synergies: XP plans to use its direct salesforce and distributors to take FuG/Guth products to North America and Asia, where they currently have a very limited presence.
Earnings upgrade in FY22
We have revised our forecasts to reflect the acquisitions. XP expects the deal to be earnings enhancing in FY22 – we upgrade our normalised diluted EPS forecast by 1.7%. It also expects net debt/EBITDA to be well below 1x by the end of FY22 (we estimate 0.8x). We introduce forecasts for FY23, factoring in revenue growth of 7.5% and EPS growth of 12.3%, and for net debt/EBITDA to fall to 0.5x.
Valuation: Premium rating reflects profitability
On an FY22e P/E basis, XP is trading at a premium to both global power converter companies and UK electronics companies with a dividend yield at the upper end of the range. The company generates EBITDA and EBIT margins at the top end of both peer groups. After a pause in M&A activity during the pandemic, as the company was not able to undertake due diligence in person, the acquisitions mark a resumption of XP’s M&A strategy. With further debt capacity available and a track record of good cash generation, we expect to see further acquisitions to enhance the growth of the group.
Acquiring in Germany
XP has acquired two German companies, FuG Elektronik (FuG) and Guth High Voltage (Guth), from Dr Simon Consulting for a total of €39m/£32.8m in cash using existing debt facilities.
Deal rationale
From 2015 to 2018, XP acquired several businesses that extended its product range to include RF (radio frequency) power products and high-voltage, high-power products. Yesterday’s acquisitions will extend XP’s product range further into the high-voltage, high-power space (see Exhibit 1) and strengthen its position in Europe. The company estimates that Germany is the largest market for power products in Europe. The acquired businesses sell into the semiconductor equipment and industrial technology markets.
|
Exhibit 1: Updated product portfolio |
|
|
Source: XP Power |
The deal also brings development and manufacturing capacity in Europe. The FuG facility has an empty property that could be used to double capacity as required. As high-voltage products tend to be higher value but required in lower volumes, XP’s high-volume Asian manufacturing facilities would be less suitable.
XP believes it can accelerate the growth of the two businesses, which have, until now, predominantly focused on selling to European customers. XP expects to take FuG/Guth products to North America and Asia using its direct sales force and distributors.
Background on the two targets
FuG, based near Munich, was founded in 1978 and has 115 employees. It was acquired by Dr Simon Consulting in 2005. FuG designs and manufactures precision low- and high-voltage power solutions for industrial customers and scientific applications. In CY21, it generated revenue of c €13m.
Guth, based in Stuttgart, was founded in 1946 and has 35 employees. It was acquired by Dr Simon Consulting in 2008. Guth designs and manufactures high-voltage power solutions for applications including charging capacitors, insulation and measurement equipment, and transformers. In CY21, Guth generated revenue of c €5m.
Both businesses were run independently by Dr Simon Consulting. XP does not have immediate plans to bring the two companies together but may take advantage of FuG’s manufacturing facility for Guth products.
XP notes that while FuG and Guth operate in the same end-markets as XP, there is very little product overlap; XP’s largest customer is also a customer of FuG but for different products. In the semiconductor equipment market, the acquired businesses are not present in ion implant, etch or deposition (areas in which XP is active), instead focusing on areas such as electron beam lithography and microscopy, capacitor charging and test & burn-in. The deal also brings a new insulation capability: XP’s high-voltage range includes air-insulated products, whereas the acquired businesses offer an alternative type of insulation, encapsulation (or potting), that results in smaller products.
In terms of competition Spellman and Advanced Energy Industries are the major players, with this deal strengthening XP’s third place in the market. FuG and Guth also compete against niche players and, to a limited extent, Asian players such as TDK-Lambda and Matsusada Precision.
Terms of the deal
XP is paying cash of €39m/£32.8m from existing debt facilities. At the end of H121, the company had a net debt position of £20.3m and had £87m unused from its revolving credit facility.
The combined businesses generated an estimated €18m in revenue and €4.5m in adjusted EBITDA in CY21 (yet to be finalised), which implies a trailing EV/EBITDA of 8.7x compared to XP at 17.3x in FY21e. The company expects the deal to be earnings enhancing in FY22 and for net debt/EBITDA to be well below 1x by the end of FY22.
Changes to forecasts
We have revised our forecasts to include the two companies from 1 February. We also introduce FY23 forecasts. In FY22, we upgrade our normalised diluted EPS forecast by 1.7% and forecast a net debt/EBITDA ratio of 0.8x at year-end, reducing to 0.5x by the end of FY23.
Exhibit 2: Changes to forecasts
£m |
FY21e |
FY22e |
FY23e |
||||||||
Old |
New |
Change |
y-o-y |
Old |
New |
Change |
y-o-y |
New |
y-o-y |
||
Revenues |
240.2 |
240.2 |
0.0% |
3.0% |
257.1 |
271.6 |
5.6% |
13.0% |
292.0 |
7.5% |
|
Gross profit |
111.0 |
111.0 |
0.0% |
0.8% |
120.2 |
127.4 |
6.0% |
14.8% |
137.1 |
7.6% |
|
Gross margin |
46.2% |
46.2% |
0.0% |
(1.0%) |
46.7% |
46.9% |
0.2% |
0.7% |
46.9% |
0.0% |
|
EBITDA |
56.6 |
56.6 |
0.0% |
(0.3%) |
62.8 |
65.5 |
4.4% |
15.7% |
72.8 |
11.1% |
|
EBITDA margin |
23.6% |
23.6% |
0.0% |
(0.8%) |
24.4% |
24.1% |
(0.3%) |
0.5% |
24.9% |
0.8% |
|
Normalised operating profit |
45.0 |
45.0 |
0.0% |
(2.1%) |
50.6 |
53.0 |
4.8% |
17.7% |
59.2 |
11.6% |
|
Normalised operating margin |
18.7% |
18.7% |
0.0% |
(1.0%) |
19.7% |
19.5% |
(0.2%) |
0.8% |
20.3% |
0.7% |
|
Reported operating profit |
35.3 |
35.3 |
0.0% |
(5.5%) |
47.4 |
48.8 |
3.0% |
38.2% |
56.0 |
14.6% |
|
Reported operating margin |
14.7% |
14.7% |
0.0% |
(1.3%) |
18.4% |
18.0% |
(0.5%) |
3.3% |
19.2% |
1.2% |
|
Normalised PBT |
43.5 |
43.5 |
0.0% |
(1.7%) |
49.3 |
51.0 |
3.6% |
17.3% |
57.5 |
12.7% |
|
Reported PBT |
33.8 |
33.8 |
0.0% |
(5.2%) |
46.1 |
46.8 |
1.7% |
38.5% |
54.3 |
16.0% |
|
Normalised net income |
35.7 |
35.7 |
0.0% |
(8.4%) |
40.7 |
41.3 |
1.7% |
15.7% |
46.4 |
12.3% |
|
Reported net income |
27.8 |
27.8 |
0.0% |
(11.7%) |
38.0 |
37.7 |
(0.6%) |
35.6% |
43.8 |
16.1% |
|
Normalised basic EPS (p) |
182.0 |
182.0 |
0.0% |
(9.8%) |
207.1 |
210.6 |
1.7% |
15.7% |
236.4 |
12.3% |
|
Normalised diluted EPS (p) |
179.0 |
179.0 |
0.0% |
(9.8%) |
203.7 |
207.1 |
1.7% |
15.7% |
232.6 |
12.3% |
|
Reported basic EPS (p) |
141.7 |
141.7 |
0.0% |
(13.1%) |
193.5 |
192.2 |
(0.6%) |
35.6% |
223.2 |
16.1% |
|
Dividend per share (p) |
95.0 |
95.0 |
0.0% |
28.4% |
98.0 |
98.0 |
0.0% |
3.2% |
102.0 |
4.1% |
|
Net debt/(cash) |
24.7 |
24.7 |
0.0% |
37.7% |
13.4 |
49.9 |
273.9% |
102.5% |
35.7 |
(28.4%) |
|
Orders |
343.4 |
343.4 |
0.0% |
33.1% |
322.6 |
322.6 |
0.0% |
-6.1% |
322.0 |
-0.2% |
|
Net debt/EBITDA (x) |
0.5 |
0.5 |
0.2 |
0.8 |
0.5 |
||||||
Source: Edison Investment Research
Valuation
In the table below, we show XP’s valuation versus two groups of peers: global power converter companies and UK electronics companies. On an FY22e P/E basis, XP is trading at a premium to both groups with a dividend yield at the upper end of the range. The company generates EBITDA and EBIT margins at the top end of both peer groups. After a pause in M&A activity during the pandemic, as the company was not able to undertake due diligence in person, the acquisitions mark a resumption of XP’s M&A strategy. With further debt capacity available and a track record of good cash generation, we expect to see further acquisitions to enhance the growth of the group.
Exhibit 3: Peer valuation metrics
Rev growth |
EBITDA margin |
EBIT margin |
P/E (x) |
EV/EBIT (x) |
Div yield |
||||||||
CY |
NY |
CY |
NY |
CY |
NY |
CY |
NY |
NY+1 |
CY |
NY |
CY |
NY |
|
XP Power |
3.0% |
13.0% |
23.6% |
24.1% |
18.7% |
19.5% |
27.2 |
23.5 |
20.9 |
21.7 |
18.5 |
2.0% |
2.0% |
Cosel |
4.1% |
10.5% |
15.2% |
15.7% |
13.7 |
11.1 |
10.5 |
2.8% |
3.3% |
||||
Delta Electronics |
10.8% |
10.1% |
15.6% |
16.2% |
10.3% |
11.1% |
25.3 |
21.7 |
18.5 |
22.5 |
18.8 |
2.3% |
2.6% |
Advanced Energy Industries |
0.0% |
8.5% |
16.5% |
18.1% |
14.2% |
15.0% |
18.7 |
15.9 |
12.6 |
14.6 |
12.7 |
0.0% |
0.0% |
Comet Holdings |
27.5% |
12.2% |
19.7% |
20.6% |
15.7% |
16.9% |
35.7 |
30.7 |
22.7 |
27.7 |
22.9 |
0.7% |
0.9% |
Diploma |
9.8% |
5.5% |
20.7% |
20.8% |
18.7% |
18.8% |
29.1 |
27.2 |
25.5 |
22.1 |
20.8 |
1.7% |
1.8% |
Electrocomponents |
23.2% |
6.1% |
14.0% |
14.6% |
11.6% |
12.3% |
23.8 |
21.2 |
19.3 |
18.4 |
16.2 |
1.6% |
1.8% |
Gooch & Housego |
4.1% |
3.3% |
17.0% |
17.5% |
11.4% |
12.2% |
24.8 |
22.3 |
20.6 |
18.3 |
16.5 |
1.2% |
1.3% |
TT Electronics |
10.5% |
6.5% |
10.8% |
12.0% |
7.4% |
8.7% |
16.2 |
13.1 |
11.0 |
14.7 |
11.8 |
2.3% |
2.8% |
Average power converter companies |
10.6% |
10.3% |
16.7% |
17.6% |
13.4% |
14.4% |
23.3 |
19.9 |
16.1 |
21.6 |
18.1 |
1.5% |
1.7% |
Average UK electronics companies |
11.9% |
5.3% |
15.6% |
16.2% |
12.3% |
13.0% |
23.5 |
21.0 |
19.1 |
18.4 |
16.3 |
1.7% |
1.9% |
XP vs power converters |
16% |
18% |
30% |
1% |
2% |
||||||||
XP vs UK electronics |
16% |
12% |
9% |
18% |
13% |
||||||||
Source: Edison Investment Research, Refinitiv (as at 31 January). Note: For XP, CY = FY21e, NY = FY22e, NY+1 = FY23e.
Exhibit 4: Financial summary
£m |
2015 |
2016 |
2017 |
2018 |
2019 |
2020 |
2021e |
2022e |
2023e |
||
31-December |
IFRS |
IFRS |
IFRS |
IFRS |
IFRS |
IFRS |
IFRS |
IFRS |
IFRS |
||
INCOME STATEMENT |
|||||||||||
Revenue |
|
|
109.7 |
129.8 |
166.8 |
195.1 |
199.9 |
233.3 |
240.2 |
271.6 |
292.0 |
Cost of Sales |
(55.1) |
(67.8) |
(89.2) |
(102.8) |
(109.8) |
(123.2) |
(129.3) |
(144.2) |
(154.9) |
||
Gross Profit |
54.6 |
62.0 |
77.6 |
92.3 |
90.1 |
110.1 |
111.0 |
127.4 |
137.1 |
||
EBITDA |
|
|
29.7 |
33.0 |
41.7 |
49.2 |
44.5 |
56.8 |
56.6 |
65.5 |
72.8 |
Normalised operating profit |
|
|
25.9 |
28.8 |
36.4 |
42.9 |
35.0 |
46.0 |
45.0 |
53.0 |
59.2 |
Amortisation of acquired intangibles |
0.0 |
(0.4) |
(0.6) |
(2.8) |
(3.2) |
(3.2) |
(3.2) |
(3.2) |
(3.2) |
||
Exceptionals |
(0.3) |
(0.4) |
(3.3) |
(0.8) |
(5.1) |
(5.4) |
(6.5) |
(1.0) |
0.0 |
||
Share-based payments |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
||
Reported operating profit |
25.6 |
28.0 |
32.5 |
39.3 |
26.7 |
37.4 |
35.3 |
48.8 |
56.0 |
||
Net Interest |
(0.2) |
(0.2) |
(0.3) |
(1.7) |
(2.7) |
(1.7) |
(1.5) |
(2.0) |
(1.6) |
||
Joint ventures & associates (post tax) |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
||
Exceptional & other financial |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
||
Profit Before Tax (norm) |
|
|
25.7 |
28.6 |
36.1 |
41.2 |
32.3 |
44.3 |
43.5 |
51.0 |
57.5 |
Profit Before Tax (reported) |
|
|
25.4 |
27.8 |
32.2 |
37.6 |
24.0 |
35.7 |
33.8 |
46.8 |
54.3 |
Reported tax |
(5.5) |
(6.3) |
(3.6) |
(7.2) |
(3.2) |
(4.0) |
(5.8) |
(8.9) |
(10.3) |
||
Profit After Tax (norm) |
20.2 |
22.3 |
28.8 |
33.9 |
27.9 |
39.2 |
36.0 |
41.6 |
46.7 |
||
Profit After Tax (reported) |
19.9 |
21.5 |
28.6 |
30.4 |
20.8 |
31.7 |
28.1 |
38.0 |
44.1 |
||
Minority interests |
(0.2) |
(0.2) |
(0.3) |
(0.2) |
(0.3) |
(0.2) |
(0.3) |
(0.3) |
(0.3) |
||
Discontinued operations |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
||
Net income (normalised) |
20.0 |
22.1 |
28.5 |
33.7 |
27.6 |
39.0 |
35.7 |
41.3 |
46.4 |
||
Net income (reported) |
19.7 |
21.3 |
28.3 |
30.2 |
20.5 |
31.5 |
27.8 |
37.7 |
43.8 |
||
Basic ave. number of shares outstanding (m) |
19.0 |
19.0 |
19.1 |
19.1 |
19.2 |
19.3 |
19.6 |
19.6 |
19.6 |
||
EPS - basic normalised (p) |
|
|
105.3 |
116.2 |
149.4 |
176.1 |
144.1 |
201.8 |
182.0 |
210.6 |
236.4 |
EPS - diluted normalised (p) |
|
|
104.3 |
115.3 |
147.0 |
172.8 |
141.4 |
198.4 |
179.0 |
207.1 |
232.6 |
EPS - basic reported (p) |
|
|
103.7 |
112.0 |
148.3 |
157.8 |
107.0 |
163.0 |
141.7 |
192.2 |
223.2 |
Dividend (p) |
66 |
71 |
78 |
85 |
55 |
74 |
95 |
98 |
102 |
||
Revenue growth (%) |
8.5 |
18.3 |
28.5 |
17.0 |
2.5 |
16.7 |
3.0 |
13.0 |
7.5 |
||
Gross Margin (%) |
49.8 |
47.8 |
46.5 |
47.3 |
45.1 |
47.2 |
46.2 |
46.9 |
46.9 |
||
EBITDA Margin (%) |
27.0 |
25.4 |
25.0 |
25.2 |
22.3 |
24.3 |
23.6 |
24.1 |
24.9 |
||
Normalised Operating Margin |
23.6 |
22.2 |
21.8 |
22.0 |
17.5 |
19.7 |
18.7 |
19.5 |
20.3 |
||
BALANCE SHEET |
|||||||||||
Fixed Assets |
|
|
65.4 |
73.2 |
88.1 |
129.2 |
137.4 |
135.2 |
141.4 |
177.8 |
181.9 |
Intangible Assets |
48.2 |
53.0 |
63.9 |
97.7 |
99.6 |
98.8 |
105.4 |
140.6 |
143.4 |
||
Tangible Assets |
16.1 |
19.1 |
22.5 |
30.7 |
35.9 |
33.5 |
33.1 |
34.3 |
35.6 |
||
Investments & other |
1.1 |
1.1 |
1.7 |
0.8 |
1.9 |
2.9 |
2.9 |
2.9 |
2.9 |
||
Current Assets |
|
|
53.5 |
65.7 |
83.5 |
105.1 |
96.0 |
107.0 |
105.3 |
123.8 |
130.9 |
Stocks |
28.7 |
32.2 |
37.8 |
56.5 |
44.1 |
54.2 |
54.5 |
60.8 |
65.4 |
||
Debtors |
17.5 |
21.5 |
23.8 |
33.0 |
34.8 |
30.2 |
39.9 |
44.6 |
48.0 |
||
Cash & cash equivalents |
4.9 |
9.2 |
15.0 |
11.5 |
11.2 |
13.9 |
2.1 |
9.7 |
8.9 |
||
Other |
2.4 |
2.8 |
6.9 |
4.1 |
5.9 |
8.7 |
8.7 |
8.7 |
8.7 |
||
Current Liabilities |
|
|
(19.8) |
(25.8) |
(25.1) |
(26.8) |
(30.4) |
(34.7) |
(36.1) |
(39.7) |
(41.8) |
Creditors |
(14.6) |
(16.1) |
(21.4) |
(22.4) |
(25.2) |
(28.3) |
(29.7) |
(33.3) |
(35.4) |
||
Tax and social security |
(1.2) |
(3.3) |
(3.5) |
(4.2) |
(3.1) |
(4.9) |
(4.9) |
(4.9) |
(4.9) |
||
Short term borrowings |
(4.0) |
(5.5) |
0.0 |
0.0 |
(1.6) |
(1.5) |
(1.5) |
(1.5) |
(1.5) |
||
Other |
0.0 |
(0.9) |
(0.2) |
(0.2) |
(0.5) |
0.0 |
0.0 |
0.0 |
0.0 |
||
Long Term Liabilities |
|
|
(10.0) |
(6.2) |
(29.6) |
(70.1) |
(64.1) |
(43.0) |
(36.3) |
(68.9) |
(53.7) |
Long term borrowings |
(4.6) |
0.0 |
(24.0) |
(63.5) |
(57.3) |
(35.2) |
(28.5) |
(61.1) |
(45.9) |
||
Other long-term liabilities |
(5.4) |
(6.2) |
(5.6) |
(6.6) |
(6.8) |
(7.8) |
(7.8) |
(7.8) |
(7.8) |
||
Net Assets |
|
|
89.1 |
106.9 |
116.9 |
137.4 |
138.9 |
164.5 |
174.2 |
193.0 |
217.2 |
Minority interests |
(0.8) |
(0.8) |
(0.9) |
(1.0) |
(0.7) |
(0.7) |
(0.8) |
(0.8) |
(0.9) |
||
Shareholders' equity |
|
|
88.3 |
106.1 |
116.0 |
136.4 |
138.2 |
163.8 |
173.5 |
192.2 |
216.4 |
CASH FLOW |
|||||||||||
Op Cash Flow before WC and tax |
29.7 |
33.0 |
41.7 |
49.2 |
44.5 |
56.8 |
56.6 |
65.5 |
72.8 |
||
Working capital |
(4.6) |
(6.1) |
0.4 |
(21.6) |
10.6 |
(6.2) |
(8.6) |
(7.4) |
(5.8) |
||
Exceptional & other |
0.6 |
5.1 |
(6.3) |
3.2 |
(4.4) |
(1.7) |
(6.5) |
(1.0) |
0.0 |
||
Tax |
(4.7) |
(4.1) |
(6.1) |
(4.1) |
(4.5) |
(3.3) |
(5.8) |
(8.9) |
(10.3) |
||
Net operating cash flow |
|
|
21.0 |
27.9 |
29.7 |
26.7 |
46.2 |
45.6 |
35.7 |
48.2 |
56.7 |
Capex |
(5.4) |
(6.8) |
(10.1) |
(15.0) |
(16.3) |
(14.9) |
(21.0) |
(17.8) |
(19.4) |
||
Acquisitions/disposals |
(8.3) |
0.1 |
(18.3) |
(35.4) |
0.0 |
(0.5) |
0.0 |
(32.8) |
0.0 |
||
Net interest |
(0.1) |
(0.2) |
(0.2) |
(1.5) |
(2.7) |
(1.3) |
(1.5) |
(2.0) |
(1.6) |
||
Equity financing |
0.0 |
0.2 |
(0.2) |
0.6 |
0.5 |
3.5 |
0.0 |
0.0 |
0.0 |
||
Dividends |
(12.2) |
(13.1) |
(14.2) |
(15.6) |
(17.2) |
(7.3) |
(18.3) |
(19.2) |
(19.8) |
||
Other |
0.2 |
0.0 |
0.0 |
0.0 |
(1.5) |
(1.7) |
(1.7) |
(1.7) |
(1.7) |
||
Net Cash Flow |
(4.8) |
8.1 |
(13.3) |
(40.2) |
9.0 |
23.4 |
(6.8) |
(25.3) |
14.2 |
||
Opening net debt/(cash) |
|
|
(1.3) |
3.7 |
(3.7) |
9.0 |
52.0 |
41.3 |
17.9 |
24.7 |
49.9 |
FX |
(0.2) |
(0.5) |
0.6 |
(2.7) |
1.7 |
0.0 |
0.0 |
0.0 |
0.0 |
||
Other non-cash movements |
0.1 |
(0.2) |
0.0 |
(0.1) |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
||
Closing net debt/(cash) |
|
|
3.7 |
(3.7) |
9.0 |
52.0 |
41.3 |
17.9 |
24.7 |
49.9 |
35.7 |
Source: XP Power, Edison Investment Research
|
|
Research: Real Estate
Continuing positive accounting returns, confirmed by the H122 results, active shareholder engagement and accretive share repurchases at lower levels have all supported the Civitas Social Housing REIT’s share price recovery from September lows. With an attractive 5.8% yield and 10% discount to NAV there is further strong potential, supported by continuing strong demand for care-based social housing.