Low & Bonar (LWB)

Business description

Low & Bonar produces specialist performance materials for a variety of end-markets by combining polymers with specialty additives and pigments. It now reports as four global business units.

Stock data

Market cap.£229.1m
Last close69.50p
High / Low (52 weeks)89.8p / 63.0p
Stock market listingLN
Forecast net debt (£m)110.4
Forecast gearing ratio (%)51
SectorBasic Industries

Price performance

Relative *(15.13)(14.65)(1.16)

* % Relative to local index

Other companies in sector Show

Company news

Low & Bonar suffers hurricane fall-out as prices rise

Mon, 16 Oct 2017 08:14:54 GMT

Good results for Low & Bonar PLC

Tue, 11 Jul 2017 09:56:15 GMT

Worst over for high-yielding Low & Bonar?

Tue, 03 Feb 2015 15:02:13 GMT

Why Low & Bonar plc's Shares Collapsed Today

Fri, 05 Sep 2014 09:22:30 GMT

Why Low & Bonar plc Could Thrash Returns From HSBC Holdings plc And Rio Tinto plc

Fri, 17 Jul 2015 11:37:30 GMT

Y/E Nov Revenue (£m) EBITDA (£m) PBT (£m) EPS (p) P/E (x) P/CF (x)
2015A 362.1 46.0 27.4 5.8 12.0 6.7
2016A 402.2 52.8 29.2 6.0 11.6 4.5
2017E 440.0 59.4 35.4 7.2 9.7 3.6
2018E 440.9 64.2 39.2 8.0 8.7 N/A

Last updated on 18/10/2017

Investment summary

Disappointing demand in Civil Engineering (CE) markets causes us to reduce earnings estimates. Despite this, FY17 is expected to show good progress overall although the reduction in net debt from the half year will now be less than previously anticipated. Good underlying performances from three business units are being partly obscured by CE. Resolving this is likely to benefit group valuation in our view.

Last updated on 18/10/2017

Industry outlook

Key strategic medium-term financial targets are currently for 10% operating margins and 12%+ return on capital employed. Organic group revenue growth may be supplemented by M&A. The onus is clearly on territories outside Europe to provide the growth engine.

Last updated on 03/10/2017

Key management

Martin Flower, Chairman
Brett Simpson, CEO
Philip de Klerk, CFO

Company address

One Connaught Place,
W2 2ET
United Kingdom
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