Last close As at 05/08/2026
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Market capitalisation
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Research: Industrials
Schaltbau Holding supplies products and technologies for rolling stock, rail infrastructure, automotive and other industrial applications. With 70% of revenues coming from rail, Schaltbau should benefit from trends towards digitalisation and interconnectivity within this market segment. The ability to leverage leading direct current (DC) switching expertise should provide opportunities in new markets, such as new energy, e-mobility, DC industry and smart grids.
Schaltbau Holding |
Leveraging leading DC switching expertise
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Industrial engineering |
Deutsches Eigenkapitalforum 2020
30 October 2020 |
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Schaltbau Holding supplies products and technologies for rolling stock, rail infrastructure, automotive and other industrial applications. With 70% of revenues coming from rail, Schaltbau should benefit from trends towards digitalisation and interconnectivity within this market segment. The ability to leverage leading direct current (DC) switching expertise should provide opportunities in new markets, such as new energy,
e-mobility, DC industry and smart grids.
Smart energy and mobility concepts
Schaltbau Holding offers products and technologies for safe, sustainable energy and mobility solutions. Earlier in 2020, it changed its group structure to mirror the four brands it operates: Bode (52% of revenues in the first nine months of FY20), which manufactures door and entry systems for trains, buses, commercial and electric vehicles; Schaltbau (28%), which provides high- and low-voltage electromechanical components with a leading position in DC switchgear, including contactors and connectors for the rail industry; Pintsch (14%), which supplies rail infrastructure such as level-crossing safety systems, axle counting systems and signal technology; and SBRS (6%), which offers services for complete and partial modernisation of trains as well as e-mobility solutions (eg fast-charging stations for electric buses).
Ready for acceleration of growth after FY20
In the first nine months of FY20, the coronavirus pandemic had a mixed effect on Schaltbau’s four brands, with Bode (exposure to automotive and bus) and Schaltbau (exposure to OEMs and rail market operators) reporting lower order intakes but Pintsch and SBRS showing strong increases. After a relatively good performance in 9M20, management reiterated its full-year guidance (provided on 31 March 2020) of revenues of €460–500m (from €492m in FY19 like-for-like) and an EBIT margin of around 4% (3.7%), with the important remark that revenues are now expected at the upper end of this range, at around €500m. Its medium-term ambition is to achieve revenues of €750–800m (reflecting a CAGR of 7–8%) and a significant EBIT margin improvement by FY26.
Schaltbau Holding is a research client of Edison Investment Research Limited
Valuation: Discount to peers
Schaltbau is valued at a discount to its peers, which we think is mainly caused by its below-average margin. Management’s focus is on revenue growth and substantial margin improvement over the next few years. This offers multiple expansion once the gap in margin compared to peers has been (largely) closed.
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Consensus estimates
Source: Schaltbau, Refinitiv |
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Research: TMT
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