Research Dynamics: CPH Files FY2024 Earnings Report

CPH Group announced their FY24 results with net sales at CHF 323.3 mn, marking a 10.6% decline year-on-year, mainly influenced by lower raw material prices and reduced customer volumes. The EBITDA fell to CHF 53.8 mn, down by 17.2% from the previous year, leading to an EBITDA margin of 16.6%. The net result was CHF 34.4 mn, dropping from CHF 45.1 mn in FY23, which had unique real-estate gains.

Zeochem's sales decreased 5.6% YoY to CHF 117.3 mn due to declining lithium prices. However, demand for molecular sieves and deuterated products supported growth. Conversely, Perlen Packaging's sales declined 13.2% YoY, impacted by customer destocking and decreased raw material costs.

The economic forecast for 2025 suggests a 3.3% global growth rate, though uncertainties remain. CPH aims for cost optimization and seeks to maintain EBITDA margins within 16-18%, anticipating resilient earnings growth. The stock's intrinsic value suggests a 27.4% potential upside from current levels.