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Analyst Comment

Gabriel Holding: Carve out of FurnMaster units and new growth strategy

By Philip CoombesEquity Research Analyst
Gabriel Holding

Gabriel announced this morning that the company is initiating a carve-out of its FurnMaster business area, which holds a strong position in the furniture production market in Europe and the US. Gabriel no longer considers this business area to be within the company's growth strategic definition.

With this strategic initiative, Gabriel will focus and invest further in the company's core business and growth strategic areas, Gabriel Fabrics (textile business) and SampleMaster (sales promotion solutions and concepts). Gabriel's new growth strategy thus includes the implementation of a carve-out process, where the FurnMaster business area will be either wholly or partially sold.

The company will continuously update the market as the process progresses. The FurnMaster business was established in 2012, and Gabriel invested in the FurnMaster business in the USA in 2016, with further expansion in the US via the acquisition of Grupo RYL in 2019.

Disclaimer: HC Andersen Capital receives payment from Gabriel Holding for a corporate visibility and research agreement./ Philip Coombes 08:42 05.08.2024. 

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Gabriel Holding

270DKK2.8.2024 klo 18.20
295DKKTarget price
Accumulate
Recommendation updated:30.06.2024

With roots back to 1851, Gabriel is today a niche company within the global furniture industry, which throughout the value chain, from idea to furniture user, develops, manufactures and sells furniture fabrics, components, upholstered surfaces and related products and services, through its business areas Fabrics, FurnMaster, SampleMaster and Screen Solutions. Gabriel sells B2B, and is growing with the largest market participants, working closely with leading international manufacturers and major users of upholstered furniture, seats and upholstered surfaces.

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Key Estimate Figures30.06.2024

202324e25e
Revenue931.2911.2973.7
growth-%-12.6 %-2.1 %6.9 %
EBIT (adj.)15.912.945.1
EBIT-% (adj.)1.7 %1.4 %4.6 %
EPS (adj.)-2.29-1.7814.53
Dividend0.000.000.00
Dividend %
P/E (adj.)neg.neg.13.3
EV/EBITDA14.610.86.9
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