Oddo BHF maintains its 'underperform' rating on Orpea shares, with a price target lowered from 0.03 to 0.02 euros.
The Group reported quarterly revenues (Q4) of €1,346 million, up 11.7% (+9.7% cc). Full-year sales reached 5198 ME (+11% and +9.5% cc.). The company estimates its 2023 EBITDAR at 690ME and its pre-IFRS EBITDA at 200ME (vs. 210 ME previously guided).
Although Orpea has not issued a guidance for 2024, the consensus is for a growth trajectory of 5.4%, i.e. sales of 5,477 ME.
Orpéa is nearing the end of its refinancing, i.e. recapitalization. This will be followed by a reconfiguration of the scope of consolidation, with (non-strategic) asset disposals, which we understand are currently being reviewed", stresses the broker, for whom a return to the share price seems premature at this stage.
Copyright (c) 2024 CercleFinance.com. All rights reserved. The information and analyses published by Cercle Finance are intended solely as decision-making aids for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.
ORPEA is the European leader in global dependency care. The group operates retirement homes, follow-up care clinics, and psychiatric clinics. At the end of 2023, ORPEA had a network of 1,031 facilities (93,470 beds) located in France/Benelux/United Kingdom/Ireland (574 facilities; 45,431 beds), Central Europe (247; 24,316 beds), Eastern Europe (124; 12,764 beds), the Iberian Peninsula and Latin America (83; 10,394 beds), China (2; 154 beds) and the United Arab Emirates (1; 36 beds).
As of December 31st , 2023, the estimated value of the real estate portfolio was EUR 6.3 billion.
Net sales are distributed geographically as follows: France/Benelux/the United Kingdom/Ireland (58.4%), Central Europe (26%), Eastern Europe (9.9%), Iberian Peninsula and Latin America (5.5%) and other (0.2%).