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Hogg Robinson Group (HRG)

Business description

Hogg Robinson is a major global player in corporate travel services.

Share price chart

Share chart

Stock data

Market cap.£195.8m
Last close63.25p
High / Low (52 weeks)68.5p / 40.5p
Stock market listingFULL
Forecast net debt (£m)50
Forecast gearing ratio (%)169
TeamConsumer
SectorConsumer Support Services

Price performance

%1m3m12m
Actual11.2118.2258.12
Relative *6.111.5564.14

* % Relative to local index

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Y/E Mar Revenue (£m) EBITDA (£m) PBT (£m) EPS (fd) (p) P/E (x) P/CF (x)
2010A 326.8 44.5 28.4 6.33 10.0 5.3
2011A 358.0 51.6 32.9 7.28 8.7 4.1
2012E 378.0 57.9 36.6 8.03 7.9 3.9
2013E 398.0 61.2 39.5 8.65 7.3 3.6

Last updated on 09/12/2011

Latest research

Investment summary

Hogg Robinson continues to impress with excellent first-half results and a confident outlook statement. The company is in fine shape to face threatened headwinds and proved the resilience of corporate travel service earnings in the recession thanks to its predominantly managed income and strict cost control. Its rating remains undeservedly well below both market and sector. We are raising our current year PBT forecast by £0.8m owing to lower-than-expected interest costs.

Last updated on 09/12/2011

Industry outlook

Despite economic uncertainties, IATA has newly confirmed that "the trend in air travel is still upwards" even if a slowdown is in prospect. International air traffic was up by 5% in October (6% in the year to date). There is no strict correlation with premium traffic. Global lodging RevPAR forecasts remain cautiously positive.

Last updated on 09/12/2011

Key management

John D Coombe, Chairman
David Radcliffe, CEO
Julian Steadman, FD

Company address

Global House, Victoria Street, Basingstoke,
Hampshire
RG21 3BT
United Kingdom
+44 (0) 1256 312 600
View website



Sectors covered by Edison's research teams