Norcros is a market leading group of brands specialising in design led, sustainable bathroom products across the UK, Ireland, Scandinavia, South Africa, and select export markets. It is the number one bathroom products business in the UK and Ireland.

11 Apr 2024

FY24 matching up to our expectations

In meeting expectations for FY24, Norcros has demonstrated business resilience in the face of challenges in both of its primary markets. A positive cash flow performance has also left year end pre IFRS16 gearing below 0.9x underlying EBITDA.

In our view, neither virtue is reflected in the company’s valuation and the 1 May Capital Markets event should help to shed more light on the company’s strategy, market positions and medium-term prospects.

Encouragingly, UK margins improved further whereas in South Africa load shedding is abating and revenues stabilised. With net cash inflows, the group ended FY24 with c.£37m net debt (pre-IFRS16) versus c.£50m a year earlier.

Our fair value of 233p / share (very close to the H124 NAV / share) is unchanged and represents potential c.32% upside in a re-rating scenario.

Download as a PDF file

Return to Norcros

Register to be first

Get research on the companies that interest you straight to your inbox

Equity Development is a partner to successful companies looking to enhance their investor relations. Our top-rated analysts produce best in class investment research. Based in London, UK, we help our clients connect with investors via presentations and interviews.

Equity Development Limited 3rd Floor, 80 Cheapside, London, EC2V 6EE

Website design & development by Breckenridge