B&S's 'weak' H1, lower margin target set stock for worst day in over 2 yrs

B&S SA

22/08/2022 09:26

** Shares of B&S Group  BSGR.AS  fall 11.3%, on track for
their worst day since March 2020, after the Luxembourg-based
consumer goods distributor reports weak H1 results and forecasts
lower FY margin  urn:newsml:reuters.com:*:nFWN2ZW01B
    ** The company posts a 23.4% drop in H1 net profit to 16.7
mln euros ($16.73 mln) while EBITDA falls 11% to 40.6 mln, with
EBITDA margin of 4.1%
    ** It sees FY EBITDA margin of around 5% vs 6.2% in 2021
    ** "Although we already anticipated a downward adjustment
this was lower than expected (ING 5.78%)," says ING on the
margin target
    ** The broker also points to "a weak set of interim
results", noting the H1 EBITDA was impacted by a 7.1-mln-euro
provision for a doubtful debtor
    ** The group says it remains cautious on H2 turnover and
EBITDA due to the unpredictable macro climate
    ** The stock has fallen 35% YTD to 4.58 euros and trades at
its lowest level since April 2020

($1 = 0.9981 euros)

 (Reporting by Augustin Turpin)
 ((augustin.turpin@thomsonreuters.com))