Mining attachment business ANG has struggled since a profit downgrade in May which we believe was an overreaction, this week it reported revenue up +27% to $258mn in FY23, while underlying EBITDA increased by +10% year on year to $31mn. While they operate in a challenging area, this is a very well-run company and they now have a better strategy in place (we think) to drive growth from here. This is being shown through a material improvement in margins over the past 12 months, particularly in North and South America, while the near-term outlook for mining production volumes appears solid.
- ANG operates in a tough part of the market, but on balance, a stronger order book will drive stronger earnings and that should support a higher share price – MM has ANG on its Emerging Companies Hitlist.
MM is considering ANG under 30c
Add To Hit List
