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H R Owen (HRO)

Business description

Following major restructuring, HR Owen principally comprises its luxury cars business involving franchises for Bentley, Rolls-Royce, Ferrari, Maserati, Lamborghini and Bugatti. It also operates aftersales franchises for Audi, BMW/Mini and Lotus.

Share price chart

Share chart

Stock data

Market cap.£14.9m
Last close63.00p
High / Low (52 weeks)96.5p / 63.0p
Stock market listingFULL
Forecast net debt (£m)23.7
Forecast gearing ratio (%)175
TeamIndustrials
SectorAutomotive Retailers

Price performance

%1m3m12m
Actual(5.26)(13.1)(34.72)
Relative *(9.77)(18.88)(32.61)

* % Relative to local index

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Y/E Dec Revenue (£m) EBITDA (£m) PBT (£m) EPS (fd) (p) P/E (x) P/CF (x)
2009A 125.4 0.1 (1.3) (4.4) N/A 0.8
2010A 154.0 3.6 1.7 5.5 11.5 N/A
2011E 193.0 3.6 1.5 4.6 13.7 N/A
2012E 225.0 3.8 1.5 4.6 13.7 5.1

Last updated on 09/12/2011

Latest research

Investment summary

The appointment of Joe Doyle as CEO involves a seamless change; he is leading the implementation of the strategic review of operations published during in May. Recent positive developments include the new atelier with Ferrari at the Berkeley Hotel and the acquisition of a regional Bentley and Aston Martin dealership. We have edged our targets lower following the autumn IMS, which highlighted a slowdown in demand in October and continuing doubts about the timing of deliveries on new product introductions.

Last updated on 09/12/2011

Industry outlook

City sentiment towards the motor distribution sector remains cautious. Fears about next year's trading are becoming more prominent, overshadowing the action taken by leading retailers to build their downstream activities. SMMT forecasts suggest little change new vehicle registrations, although the retail content is falling to the detriment of margins. Profits are under pressure in the short term, but this often provides acquisition opportunities for the larger groups.

Last updated on 09/12/2011

Key management

Jon Walden, Chairman
Joe Doyle, CEO
Mike Warren, FD

Company address

Melton Court
25 Old Brompton Road
London
SW7 3TD
United Kingdom
+44 (0) 207 245 1122
View website



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