The investment case one-pager is updated after Green Hydrogen Systems published its Q1 2024 trading statement this Monday. The quarter showed good progress in factory acceptance tests and customer deliveries, and the company maintained its guidance for 2024.
Today, we are publishing our latest Software-as-a-Service (SaaS) sector report, covering the recent news and thematics from the SaaS sector with insights into our comprehensive data set over Danish-listed SaaS companies.
Hexicon, a developer of floating offshore wind, holds a large portfolio of projects at various stages of development. Conservatively valued the combined value of the project portfolio is substantially higher than the company’s total equity value. However, significant earn-outs and claims by debt holders, combined with questions about the timing of cashing in the projects, create a somewhat uncertain picture. In addition, the immediate need for a cash infusion puts pressure on Hexicon to either divest projects or seek other financing solutions on uncertain terms.
Join Inderes community
Don't miss out - create an account and get all the possible benefits
Meriaura Group will report its Q1 2024 results on Friday, May 3. Port strikes and other industrial action have had a significant negative impact on the sea freight sector, which we estimate could lead to a year-on-year decline in Q1 results.
In our view, LapWall's Q1 report can be interpreted as a slight defensive win given the challenging overall picture for the construction sector. We have not made any material changes to our near-term outlook for LapWall, but the strong start to the year and the guidance provided have lowered the risk level of the stock.
We have recently started our collaboration with Spar Nord, and as part of this, we have prepared a One-pager on the bank.
Read our One-pager here, where you will get a brief description of the bank and its latest financial report, as well as an outline of a number of positive and negative factors regarding the case. At the same time, you will get the latest key financial figures and ratios, as well as an updated peer group consisting of some of the largest Danish listed banks.
The company has only one open dispute concerning the restructuring, and thus ending the restructuring is realistic already in the near future, which we find positive
Q1 report was a bit soft with growth below estimates. We believe the currently low market activity in the construction and manufacturing sectors slightly burdens Hexagon’s growth in 2024 but the company’s solid long-term growth profile is still intact.
The first months of the year for Kreate went almost as expected in a seasonally weaker Q1. The profitability trend is moving in the right direction, as the results improved for the second quarter in a row. The market is now also showing clear signs of recovery, which bodes well for the delivery of profitable projects in line with Kreate's specialized expertise.
Following the sliding and underperforming share price we have updated our One-Pager which illustrates that the market currently implicitly discounts little value of the company’s pipeline in absolute terms.
Q1 was operationally in line with expectations, and we kept our forecasts unchanged in the big picture. However, the biggest news yesterday was that the Banking business will unexpectedly remain part of the group, which was disappointing. In 2024, we expect the company’s earnings to be at the level of the comparison period, due to a challenging market, but to grow moderately in the coming years.
In our view, the Q1 report landed on the positive side thanks to the earnings beat and cautiously positive market commentary. We revised our forecasts slightly upwards after the report, although some of the changes were technical.
Exel's Q1 figures were broadly below our expectations due to the timing of deliveries. However, on the day of the results, the spotlight was stolen by the company's planned rights offering of a significant size to strengthen its balance sheet and accelerate its strategy.