AUS
NZ
UK
CA
USA
IND
Highlights
- In FY23, TIFS’ revenue demonstrated a YoY growth of 7.6%
- The company increased its total dividends per share by around 169% in FY23
- TIFS strives to surpass its FY23 adjusted EBIT margin of7.4% in FY24
TI Fluid Systems PLC (LSE: TIFS), a multinational firm based in the UK, specializes in developing, manufacturing, and supplying automotive fluid storage, carrying, and delivery systems. It has a market capitalization of GBP 689.90mn.
In FY23, the company’s revenue demonstrated a 7.6% year-on-year (YoY) growth, driven by volume growth, new program launches, and implementation of commercial strategy. Similarly, the company increased its total dividends per share by around 169%. The company has declared to pay a final dividend of 4.53 euro cents per share on 21 June 2024, with an ex-dividend date of 23 May 2024.
Further, TIFS had a higher gross margin of 13% in FY23 compared to 10.1% in FY22. It also had a higher current ratio of 1.86x in FY23 compared to the industry median of 1.24x.
Recent business update
As per the company’s Q1 FY24 trading update, TIFS faced a marginal decline in revenue(down 0.4%) on a constant currency basis to €847.0 million compared to pcp. However, its revenue from the EMEA region improved by 4.3% YoY. Sales from Asia Pacific and American region slipped by 5.3% and 2.0% YoY, respectively, on a constant currency basis.
Company outlook
The company anticipates flat to low-single-digit constant currency revenue growth for FY24. Additionally, TIFS strives to surpass its FY23 adjusted EBIT margin of 7.4% in FY24. Concurrently, TIFS is setting its sights on achieving an adjusted free cash flow conversion rate of around 30% of adjusted EBITDA in FY24.
Top 10 Shareholders
The top 10 shareholders of TIFS together account for approximately 62.22% of the total shareholdings in the company. BC Omega Holdco, Ltd. holds the maximum number of shares with around 27.93% shareholding, followed by Liontrust Investment Partners LLP with around 11.23% shareholding, as depicted in the chart below:
Stock performance
The share price of TIFS has declined by about 3.52% in the last one month and over the last six months, it has decreased by around 20.29%. The stock has a 52-week low and 52-week high of GBX 97.90 & GBX 172.25, respectively. At present, it is trading higher than the average of 52-week high-low.
Note 1: Past performance is not a reliable indicator of future performance.
Note 2: The reference data for all price data, currency, technical indicators, support, and resistance levels is 31 May 2024. The reference data in this report has been partly sourced from EODHD/Others.
