Overview
Mining services firm's Q4 revenue up 9.2% yr/yr, slightly beating analyst expectations
MSALABS revenue rose 74.2% yr/yr, supporting overall growth
Company secured new contracts in USA, Gabon, and Côte d'Ivoire
Outlook
Capital Ltd expects growth driven by improved performance at MSALABS and Reko Diq
Company strategically positioned to benefit from record commodity prices
Group revenue guidance for 2026 will be provided at FY 2025 results
Result Drivers
MSALABS GROWTH - MSALABS revenue increased by 74.2% yr/yr due to new laboratory commissions and improved utilization
MINING REVENUE INCREASE - Mining revenue rose 39.7% qtr/qtr due to the ramp-up of the Reko Diq contract
DRILLING REVENUE DECLINE - Drilling revenue fell 7.5% qtr/qtr, impacted by protests in Tanzania
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
FY Revenue
Slight Beat*
$345.80 mln
$345.11 mln (4 Analysts)
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the mining support services & equipment peer group is "buy."
Wall Street's median 12-month price target for Capital Ltd is GBP180.00, about 46.3% above its January 19 closing price of GBP123.00
The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 15 three months ago
Press Release: ID:nRST5852Pa
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
