Avon Rubber (AVON)

Business description

Avon Rubber designs, develops and manufactures products in the respiratory protection, defence (71% of 2016 sales) and dairy (29%) sectors. Its major contracts are with national security and safety organisations such as the DoD.

Stock data

Market cap.£294.7m
Last close950.00p
High / Low (52 weeks)1119.0p / 909.0p
Stock market listingLN
Forecast net cash (£m)19.1
Forecast gearing ratio (%)N/A
TeamIndustrials
SectorAerospace & Defence

Price performance

%1m3m12m
Actual0.5(8.3)(5.1)
Relative *(1.8)(10.3)(13.1)

* % Relative to local index

Other companies in sector Show

Company news

Chief exits high-flying Avon Rubber

Wed, 29 Apr 2015 10:52:30 GMT

12.9052

Mon, 05 Sep 2011 05:07:40 GMT

Is It Finally Time To Buy Avon Rubber plc And Rolls-Royce Holding PLC?

Tue, 26 Jan 2016 11:03:14 GMT

Avon Rubber plc (AVON) Jumped 1.47% on Oct 16

Mon, 16 Oct 2017 13:30:00 GMT

What Should We Expect From Avon Rubber plc's (LSE:AVON) Earnings In Next 12 ...

Wed, 04 Oct 2017 08:24:42 GMT

Investment summary

Avon Rubber’s pre-close confirmed the group will meet market expectations and that performance in H217 has continued apace. With positive mix effects in Protection & Defence and continued strengthening in Dairy, we believe that the eventual revenue and margin mix may alter slightly but that our profit levels will be achieved. With CEO Paul McDonald signalling continued confidence into 2018 and with further medium-term product developments to come through in both divisions, we continue to view Avon as delivering in the short and medium term.

Last updated on 03/10/2017

Y/E Sep Revenue (£m) EBITDA (£m) PBT (£m) EPS (p) P/E (x) P/CF (x)
2015A 134.3 27.3 19.8 56.1 16.9 14.0
2016A 142.9 30.8 21.6 74.2 12.8 9.1
2017E 168.9 35.7 25.0 66.6 14.3 8.8
2018E 178.7 36.9 26.9 71.4 13.3 8.4

Last updated on 20/09/2017

Latest video

Executive Interview - Avon Rubber 2015 Preliminary Results

Industry outlook

The FY18 US defence budget looks promising for Avon as it increases army troop numbers by 4%. Sales to EMEA and North America have increased, as have sales of fire products following the acquisition of Argus. Avon is increasingly focused on higher price sophisticated mask systems. Meanwhile, the supportive market environment in Dairy has allowed the positive growth trends in the division to continue with a particularly pleasing performance from InterPuls. With the group’s recent years’ investments also set to drive further growth over the coming years, we maintain our view that Avon has the market position, product portfolio and ambition to further accelerate its growth through organic and inorganic means.

Last updated on 03/10/2017

Key management

David Evans, Chairman
Paul McDonald, CEO
Nick Keveth, CFO

Company address

Hampton Park West
Semington Road
Melksham
Wiltshire
SN12 6NB
United Kingdom
+44 (0)1225 896800.
View website