Coats Group (COA)

Business description

Coats Group is a leading producer of industrial thread and consumer craft textiles with over 70 manufacturing sites internationally. Its divisions are Industrial: Apparel & Footwear (c 67%) and Performance Materials (c 17%); and Crafts (16%), based on FY16 revenue.

Stock data

Market cap.£1205.6m
Last close85.30p
High / Low (52 weeks)89.5p / 46.0p
Stock market listingLN
Forecast net debt (US$m)215.7
Forecast gearing ratio (%)94
TeamIndustrials
SectorGeneral Industrials

Price performance

%1m3m12m
Actual(2.5)9.9108.1
Relative *(3.6)8.191.3

* % Relative to local index

Other companies in sector Show

Company news

Coats Group unveils refinancing package and enters US private debt market

Fri, 08 Dec 2017 07:52:30 GMT

Coats Group PLC

Fri, 16 Dec 2016 13:55:14 GMT

Coats Group reports flat full year revenues as it winds down struggling crafts ...

Fri, 24 Feb 2017 15:33:45 GMT

Pensions deficit deal means Coats Group can pay dividends in the future

Fri, 16 Dec 2016 13:54:55 GMT

Coats settles final portion of pensions dispute

Mon, 26 Jun 2017 12:39:40 GMT

Y/E Dec Revenue (US$m) EBITDA (US$m) PBT (US$m) EPS (fd) (c) P/E (x) P/CF (x)
2015A 1489.5 183.0 109.7 4.0 28.2 18.0
2016A 1457.3 198.6 127.1 4.8 23.5 20.6
2017E 1501.9 212.1 145.6 5.8 19.4 N/A
2018E 1557.8 214.9 147.7 5.9 19.1 8.5

Last updated on 08/12/2017

Investment summary

Coats’ key Industrial segment continues to show revenue growth clearly ahead of GDP in its leading North American and western European end-markets in market conditions which are described as competitive. At +5% l-f-l progress for both, the 10 months to October are in line with the reported H1 period; mix has shifted slightly, in favour of Apparel & Footwear (+6%), with Performance Materials growth trimmed (now +4%). We have modestly rebalanced our revenue and EBIT estimates in favour of Industrials, Apparel & Footwear with group profit projections unchanged overall. An update on strategic progress with FY17 results in February has been flagged and before then Coats is hosting a US capital markets event (28-29 Nov).

Last updated on 13/12/2017

Industry outlook

Population growth is the ultimate trend driver for clothing and footwear demand. Increasing urbanisation, mobility and wealth are all features of this overall growth. Consumer consumption will generally track GDP growth over time. Economic and demographic differences at a country level mean that the local characteristics of demand vary. Coats is the world’s leading industrial thread and consumer textile crafts business.

Last updated on 13/12/2017

Key management

Mike Clasper, Chairman
Rajiv Sharma , CEO
Simon Boddie, CFO
Rob Mann, IRO

Company address

1 The Square
Stockley Park
Uxbridge
Middlesex
UB11 1TD
United Kingdom
+44 (0)20 8210 5000
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