Financials Melrose Industries LIQUIDNET SYSTEMS

Equities

GB00BZ1G4322

Aerospace & Defense

Delayed LIQUIDNET SYSTEMS Other stock markets			5-day change	1st Jan Change
- ^GBX	-.--%		-.--%	-.--%

05-02	Melrose Industries PLC Approves to Declare A Final Dividend for the Year Ended 31 December 2023	CI
05-02	Melrose remains on track as Engines arm powers strong first quarter	AN

Valuation

Fiscal Period: December	2019	2020	2021	2022	2023	2024	2025	2026
Capitalization ¹	11,665	8,650	6,992	5,453	7,562	7,958	-	-
Enterprise Value (EV) ¹	15,483	11,985	8,260	6,592	8,134	9,153	9,053	8,889
P/E ratio	-200 x	-16.2 x	9.03 x	-18.4 x	-7.52 x	170 x	41.4 x	27.7 x
Yield	0.71%	0.42%	1.09%	1.73%	0.88%	1.19%	1.62%	2.01%
Capitalization / Revenue	1.01 x	0.99 x	1.02 x	0.72 x	2.26 x	2.16 x	1.97 x	1.81 x
EV / Revenue	1.34 x	1.37 x	1.2 x	0.87 x	2.43 x	2.49 x	2.24 x	2.02 x
EV / EBITDA	10.3 x	16.6 x	10.3 x	7.44 x	15.3 x	13 x	10.5 x	9 x
EV / FCF	54.5 x	24.5 x	192 x	-98.4 x	-123 x	-176 x	41.9 x	21.7 x
FCF Yield	1.83%	4.08%	0.52%	-1.02%	-0.81%	-0.57%	2.39%	4.61%
Price to Book	1.55 x	1.22 x	0.93 x	2.29 x	2.23 x	2.52 x	2.42 x	2.3 x
Nbr of stocks (in thousands)	1,457,476	1,457,476	1,457,476	1,351,475	1,332,715	1,304,565	-	-
Reference price ²	8.003	5.935	4.797	4.035	5.674	6.100	6.100	6.100
Announcement Date	3/5/20	3/4/21	3/3/22	3/2/23	3/7/24	-	-	-

¹GBP in Million²GBP

Estimates

Income Statement Evolution (Annual data)

Fiscal Period: December	2019	2020	2021	2022	2023	2024	2025	2026
Net sales ¹	11,592	8,770	6,883	7,537	3,350	3,679	4,038	4,392
EBITDA ¹	1,505	724	800	886	532	701.8	858.7	987.4
EBIT ¹	1,102	340	375	480	390	536.2	685.2	808.7
Operating Margin	9.51%	3.88%	5.45%	6.37%	11.64%	14.58%	16.97%	18.41%
Earnings before Tax (EBT) ¹	106	-535	-618	-307	-8	122.1	307.1	425.8
Net income ¹	-60	-536	833	-308	-1,019	57.29	215	289.6
Net margin	-0.52%	-6.11%	12.1%	-4.09%	-30.42%	1.56%	5.32%	6.59%
EPS ²	-0.0400	-0.3667	0.5310	-0.2190	-0.7550	0.0358	0.1472	0.2203
Free Cash Flow ¹	284	489	43	-67	-66	-52	216	409.7
FCF margin	2.45%	5.58%	0.62%	-0.89%	-1.97%	-1.41%	5.35%	9.33%
FCF Conversion (EBITDA)	18.87%	67.54%	5.38%	-	-	-	25.15%	41.49%
FCF Conversion (Net income)	-	-	5.16%	-	-	-	100.46%	141.45%
Dividend per Share ²	0.0567	0.0250	0.0525	0.0698	0.0500	0.0724	0.0990	0.1226
Announcement Date	3/5/20	3/4/21	3/3/22	3/2/23	3/7/24	-	-	-

¹GBP in Million²GBP

Estimates

Income Statement Evolution (Quarterly data)

Fiscal Period: December	2019 S2	2020 S1	2020 S2	2021 S1	2021 S2	2022 S1	2022 S2	2023 S1	2023 S2
Net sales ¹	5,892	4,121	4,649	3,540	3,343	3,594	3,943	1,633	1,717
EBITDA	-	-	416	432	368	373	513	-	-
EBIT ¹	563	-	284	223	152	171	309	159	231
Operating Margin	9.56%	-	6.11%	6.3%	4.55%	4.76%	7.84%	9.74%	13.45%
Earnings before Tax (EBT)	-	-	150	-256	-362	-358	51	-	-
Net income	-	-	-	1,166	-333	-360	52	-	-
Net margin	-	-	-	32.94%	-9.96%	-10.02%	1.32%	-	-
EPS	-	-	-	0.7200	-0.1890	-0.2460	0.0270	-	-
Dividend per Share ²	-	-	0.0250	0.0225	0.0300	0.0248	0.0450	0.0150	0.0350
Announcement Date	3/5/20	9/3/20	3/4/21	9/2/21	3/3/22	9/8/22	3/2/23	9/7/23	3/7/24

¹GBP in Million²GBP

Estimates

Balance Sheet Analysis

Fiscal Period: December	2019	2020	2021	2022	2023	2024	2025	2026
Net Debt ¹	3,818	3,335	1,268	1,139	572	1,195	1,096	931
Net Cash position ¹	-	-	-	-	-	-	-	-
Leverage (Debt/EBITDA)	2.537 x	4.606 x	1.585 x	1.286 x	1.075 x	1.703 x	1.276 x	0.9426 x
Free Cash Flow ¹	284	489	43	-67	-66	-52	216	410
ROE (net income / shareholders' equity)	8.87%	1.64%	2.7%	4.09%	4.92%	10.1%	13.1%	14.4%
ROA (Net income/ Total Assets)	3.7%	0.69%	1.28%	2.14%	-	4.55%	4.95%	5.62%
Assets ¹	-1,622	-77,987	64,911	-14,426	-	1,259	4,347	5,149
Book Value Per Share ²	5.160	4.860	5.150	1.760	2.540	2.420	2.520	2.650
Cash Flow per Share ²	0.5100	0.5100	0.1700	0.1500	0.0200	0.1400	0.3100	0.4400
Capex ¹	465	275	220	271	95	191	199	213
Capex / Sales	4.01%	3.14%	3.2%	3.6%	2.84%	5.18%	4.94%	4.85%
Announcement Date	3/5/20	3/4/21	3/3/22	3/2/23	3/7/24	-	-	-

¹GBP in Million²GBP

Estimates

EPS & Dividend

Year-on-year evolution of the PER

Year-on-year evolution of the Yield

Change in Enterprise Value/EBITDA

Ratings for Melrose Industries

Trading Rating

Investor Rating

ESG Refinitiv

More Ratings

Analysts' Consensus

Sell

Buy

Mean consensus

BUY

Number of Analysts

Last Close Price

6.1 GBP

Average target price

7.112 GBP

Spread / Average Target

+16.60%

Consensus

EPS Revisions

Estimates Revisions

Quarterly earnings - Rate of surprise

Company calendar

Sector Other Aerospace & Defense

	1st Jan change	Capi.
RTX CORPORATION	+23.82%	138B
GENERAL DYNAMICS CORPORATION	+15.15%	81.01B
NORTHROP GRUMMAN CORPORATION	+0.44%	69.66B
BAE SYSTEMS PLC	+22.60%	52.04B
L3HARRIS TECHNOLOGIES, INC.	+6.15%	42.13B
HINDUSTAN AERONAUTICS LIMITED	+61.62%	36.88B
RHEINMETALL AG	+78.40%	24.23B
AXON ENTERPRISE, INC.	+11.79%	21.92B
BHARAT ELECTRONICS LIMITED	+34.82%	20.83B

Other Aerospace & Defense