Bekaret jumps on 'solid' H1 performance

NV Bekaert SA

29/07/2022 08:44

** Shares in Bekaert  BEKB.BR  jump 6.8% after the Belgian
steel wire maker reported H1 sales up 24%, with underlying EBIT
of EUR 283 mln, almost equalling the H1 last year
 urn:newsml:reuters.com:*:nASM000LBP urn:newsml:reuters.com:*:nGNE3NHdmG
    ** KBC Securities says the co reported a solid underlying
EBIT, beating its and consensus' forecasts by respectively 15%
and 8%, on the back of strong pricing
    ** The brokerage adds the solid performance was realized on
the back of strong pricing and an excellent operating
performance, despite increasing volatility, cost inflation,
supply chain challenges and lockdowns in China
    ** "We acknowledge the impressive track record of Bekaert's
current management team, with significant progress made on
efficiency improvement and portfolio upgrade efforts, which have
resulted in an accelerated FCF generation and much strengthened
balance sheet, which in turn creates room for M&A and/or share
buybacks," it adds
    ** Separately the co announced third tranche of share
buyback  urn:newsml:reuters.com:*:nFWN2Z998R
    ** Stock on track for best day since early March
    ** Friday's reduces YTD losses to about 13.5%​

 (Reporting by Marianna Ciabach-Malinowska)
 ((marianna.ciabach@tr.com))