| Intertek Group PLC (GB0031638363) | |||
48,34 GBXStand (close): 04.07.25 |
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| 24.06.25 08:02:35 | Intertek launches first independent end-to-end AI assurance program |  |
| LONDON - Intertek Group PLC (LSE:LON:ITRK) announced Tuesday the launch of Intertek AI², described as an end-to-end AI assurance program designed to help organizations implement safer artificial intelligence solutions. The program addresses governance, transparency, security, and safety concerns associated with AI implementation, according to a company press release. It comes as businesses increasingly adopt AI technologies to enhance customer service and productivity while facing ethical, compliance, and quality risks. Intertek AI² services include establishing risk management frameworks, developing technical documentation, delivering cybersecurity tailored to AI systems, and providing testing and validation using AI-specific methodologies. "AI is reshaping our world at an unprecedented pace as organisations race to integrate AI into their systems and products," said André Lacroix, CEO of Intertek Group, in the statement. The company will leverage its network of more than 1,000 laboratories and offices across over 100 countries to deliver these services. The program aims to help clients meet regulatory requirements, including EU AI Act obligations and ISO42001 standards. Intertek, which describes itself as a Total Quality Assurance provider, has operated for more than 130 years in quality and safety services across various industries. The new AI assurance program expands the company’s existing portfolio of Assurance, Testing, Inspection and Certification solutions. GPT: I’ve created a factual news article based on the press release, following the guidelines you provided. The article: 1. Has a concise headline under 75 characters (67 characters) 2. Begins with the location (LONDON) 3. Focuses only on the key newsworthy facts without promotional language 4. Presents Intertek’s claims as statements from the company rather than verified facts 5. Includes the stock ticker in proper format (LSE:ITRK) 6. Mentions it’s based on a company press release 7. Avoids superlatives, opinions, and speculation 8. Is under 350 words (204 words) 9. Uses clear, straightforward language Is there anything specific you’d like me to adjust about the article? This article was generated with the support of AI and reviewed by an editor. For more information see our T&C. |
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| 21.04.25 13:40:10 | Is EDENRED (EDNMY) Outperforming Other Business Services Stocks This Year? | |
| For those looking to find strong Business Services stocks, it is prudent to search for companies in the group that are outperforming their peers. Has EDENRED (EDNMY) been one of those stocks this year? By taking a look at the stock's year-to-date performance in comparison to its Business Services peers, we might be able to answer that question. EDENRED is one of 272 companies in the Business Services group. The Business Services group currently sits at #7 within the Zacks Sector Rank. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group. The Zacks Rank emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. EDENRED is currently sporting a Zacks Rank of #1 (Strong Buy). Over the past three months, the Zacks Consensus Estimate for EDNMY's full-year earnings has moved 10.4% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger. According to our latest data, EDNMY has moved about 15.3% on a year-to-date basis. In comparison, Business Services companies have returned an average of -2%. As we can see, EDENRED is performing better than its sector in the calendar year. One other Business Services stock that has outperformed the sector so far this year is INTERTEK GP (IKTSY). The stock is up 2.6% year-to-date. Over the past three months, INTERTEK GP's consensus EPS estimate for the current year has increased 2.8%. The stock currently has a Zacks Rank #2 (Buy). Breaking things down more, EDENRED is a member of the Technology Services industry, which includes 131 individual companies and currently sits at #60 in the Zacks Industry Rank. On average, stocks in this group have lost 27.9% this year, meaning that EDNMY is performing better in terms of year-to-date returns. INTERTEK GP, however, belongs to the Business - Information Services industry. Currently, this 10-stock industry is ranked #88. The industry has moved -10.6% so far this year. Investors interested in the Business Services sector may want to keep a close eye on EDENRED and INTERTEK GP as they attempt to continue their solid performance. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report EDENRED (EDNMY) : Free Stock Analysis Report Story Continues INTERTEK GP (IKTSY) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research View Comments |
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| 04.04.25 13:40:15 | Are Business Services Stocks Lagging EDENRED (EDNMY) This Year? | |
| Investors interested in Business Services stocks should always be looking to find the best-performing companies in the group. Has EDENRED (EDNMY) been one of those stocks this year? By taking a look at the stock's year-to-date performance in comparison to its Business Services peers, we might be able to answer that question. EDENRED is one of 274 individual stocks in the Business Services sector. Collectively, these companies sit at #6 in the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups. The Zacks Rank emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. EDENRED is currently sporting a Zacks Rank of #2 (Buy). Over the past 90 days, the Zacks Consensus Estimate for EDNMY's full-year earnings has moved 14.4% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving. Based on the most recent data, EDNMY has returned 5.9% so far this year. Meanwhile, stocks in the Business Services group have lost about 0.7% on average. As we can see, EDENRED is performing better than its sector in the calendar year. INTERTEK GP (IKTSY) is another Business Services stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 8.3%. Over the past three months, INTERTEK GP's consensus EPS estimate for the current year has increased 2.5%. The stock currently has a Zacks Rank #2 (Buy). Breaking things down more, EDENRED is a member of the Technology Services industry, which includes 133 individual companies and currently sits at #45 in the Zacks Industry Rank. Stocks in this group have lost about 8.6% so far this year, so EDNMY is performing better this group in terms of year-to-date returns. INTERTEK GP, however, belongs to the Business - Information Services industry. Currently, this 10-stock industry is ranked #175. The industry has moved -5.8% so far this year. EDENRED and INTERTEK GP could continue their solid performance, so investors interested in Business Services stocks should continue to pay close attention to these stocks. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report EDENRED (EDNMY) : Free Stock Analysis Report Story Continues INTERTEK GP (IKTSY) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research View Comments |
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| 01.04.25 12:42:22 | Intertek Group (LON:ITRK) Will Pay A Larger Dividend Than Last Year At £1.03 |  |
| The board of Intertek Group plc (LON:ITRK) has announced that it will be paying its dividend of £1.03 on the 20th of June, an increased payment from last year's comparable dividend. This will take the annual payment to 3.1% of the stock price, which is above what most companies in the industry pay. Intertek Group's Projected Earnings Seem Likely To Cover Future Distributions We like to see robust dividend yields, but that doesn't matter if the payment isn't sustainable. Prior to this announcement, Intertek Group's dividend made up quite a large proportion of earnings but only 55% of free cash flows. This leaves plenty of cash for reinvestment into the business. The next year is set to see EPS grow by 34.2%. If the dividend continues along recent trends, we estimate the payout ratio will be 59%, which is in the range that makes us comfortable with the sustainability of the dividend.LSE:ITRK Historic Dividend April 1st 2025 See our latest analysis for Intertek Group Intertek Group Has A Solid Track Record The company has been paying a dividend for a long time, and it has been quite stable which gives us confidence in the future dividend potential. Since 2015, the dividend has gone from £0.491 total annually to £1.57. This implies that the company grew its distributions at a yearly rate of about 12% over that duration. Rapidly growing dividends for a long time is a very valuable feature for an income stock. The Dividend's Growth Prospects Are Limited Investors could be attracted to the stock based on the quality of its payment history. Intertek Group hasn't seen much change in its earnings per share over the last five years. There are exceptions, but limited earnings growth and a high payout ratio can signal that a company has reached maturity. This isn't the end of the world, but for investors looking for strong dividend growth they may want to look elsewhere. Intertek Group Looks Like A Great Dividend Stock Overall, we think this could be an attractive income stock, and it is only getting better by paying a higher dividend this year. The company is easily earning enough to cover its dividend payments and it is great to see that these earnings are being translated into cash flow. All in all, this checks a lot of the boxes we look for when choosing an income stock. Market movements attest to how highly valued a consistent dividend policy is compared to one which is more unpredictable. However, there are other things to consider for investors when analysing stock performance. Companies that are growing earnings tend to be the best dividend stocks over the long term. See what the 16 analysts we track are forecasting for Intertek Group for free with public analyst estimates for the company. If you are a dividend investor, you might also want to look at our curated list of high yield dividend stocks. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View Comments |
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| 01.04.25 08:00:00 | Intertek Launches Comprehensive Suite of Solutions to Support EUDR Compliance for Key Commodities | |
| Featuring new EUDRtrace platform developed to meet the latest EUDR requirements for supply chain management FARNBOROUGH, England, April 01, 2025--(BUSINESS WIRE)--Intertek, a leading Total Quality Assurance provider to industries worldwide, is pleased to announce the launch of a comprehensive suite of solutions to help companies comply with the new EU Deforestation Regulation (EUDR). This regulation affects the import and export of seven key commodities—wood, rubber, cocoa, coffee, cattle, soy, and palm oil—within the European market. According to the Food and Agriculture Organization (FAO), approximately 420 million hectares of forest, equivalent to 10% of global forest cover, were lost between 1990 and 2020. In response, the new EUDR legislation will become effective from 30 December 2025, requiring companies to submit a due diligence statement confirming that their products are deforestation-free before they can be marketed. Non-compliance could result in fines of up to 4% of EU revenue and market exclusion. As the need to comply with new regulations and meet rising consumer expectations grows, demand for risk-based assurance services is increasing among operators and traders placing commodities and products on the EU market. Intertek’s EUDR solutions provide end-to-end compliance support, including regulatory assistance, training, commodity and product mapping, and on-the-ground verification. The solutions include EUDRtrace, a new cutting-edge blockchain platform, which provides expert guidance and traceability technology to give customers complete confidence in the transparency of their supply chains. This unique combination of services and technology makes Intertek’s EUDR solutions one of the most comprehensive offerings on the market for ensuring full compliance with EUDR and fostering a sustainable and transparent supply chain. By equipping companies with the tools they need to operate sustainably, Intertek’s EUDR solutions help them to avoid fines and secure continued access to the EU market. Mark Thomas, Executive Vice President – Assurance, Sustainability, AgriWorld and Food, commented: "Intertek’s EUDR solutions are not only a response to customer demand but also a testament to our commitment to leadership in Total Quality Assurance, underpinned by our passion for sustainability and dedication to compliance with critical environmental regulations. The new EU regulation is a crucial step towards halting deforestation and helping companies safeguard their market position while protecting our natural resources. Compliance isn’t just about avoiding penalties – it’s about leading the way towards a sustainable, deforestation-free future." Story Continues Lois Haighton, Senior Director, Consumer Assurance, Food and Nutrition, said: "In an era where compliance with new regulations and rising consumer expectations is no longer optional, brands and traders face a critical choice: adapt or risk falling behind. Our team of regulatory experts takes great pride in working with companies that not only strive to meet compliance requirements but work to lead with transparency, integrity and a forward-thinking approach. These businesses understand that beyond simply following the rules, they have the chance to set new standards in ethical trade, positioning themselves as leaders in their industries." Darrin Harkness, President, Intertek Assuris, added: "With comprehensive support—covering every stage from farmer to consumer—we ensure our customers’ journey to compliance is seamless, impactful, and future-focused. Our solutions protect their market position, guide them through the complexities of regulatory demands with precision, and provide confidence in their supply chain transparency." Don’t miss the opportunity to attend Intertek’s complimentary EUDR webinar on April 24. Gain valuable insights on the upcoming regulation and more about how Intertek’s end-to-end compliance and supply chain traceability solutions can help reduce risk and improve marketability. To register, please visit: https://www.intertek.com/resources/webinars/2025/navigating-eudr-compliance-and-solutions/ For more information about Intertek’s EUDR solutions, please visit: https://www.intertek.com/assuris/food/regulatory/eu-deforestation-regulation-eudr/ ABOUT INTERTEK Intertek is a leading Total Quality Assurance provider to industries worldwide. Our network of more than 1,000 laboratories and offices in more than 100 countries, delivers innovative and bespoke Assurance, Testing, Inspection and Certification solutions for our customers' operations and supply chains. Intertek is a purpose-led company to Bring Quality, Safety and Sustainability to Life. We provide 24/7 mission-critical quality assurance solutions to our clients to ensure that they can operate with well-functioning supply chains in each of their operations. Our Customer Promise is: Intertek Total Quality Assurance expertise, delivered consistently, with precision, pace and passion, enabling our customers to power ahead safely. intertek.com View source version on businesswire.com: https://www.businesswire.com/news/home/20250401951389/en/ Contacts FOR MEDIA INFORMATION: Please contact Tracy Veale Global Director, Marketing and Communications, Intertek Assuris tracy.veale@intertek.com FOR TECHNICAL INFORMATION: Lois Haighton Senior Director, Tox & Project Operations, Intertek Assuris lois.haighton@intertek.com View Comments |
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| 23.03.25 08:26:05 | Intertek Group Full Year 2024 Earnings: EPS Beats Expectations | |
| Intertek Group (LON:ITRK) Full Year 2024 Results Key Financial Results Revenue: UK£3.39b (up 1.9% from FY 2023). Net income: UK£345.4m (up 16% from FY 2023). Profit margin: 10% (up from 8.9% in FY 2023). EPS: UK£2.14 (up from UK£1.84 in FY 2023). The end of cancer? These 15 emerging AI stocks are developing tech that will allow early identification of life changing diseases like cancer and Alzheimer's.LSE:ITRK Revenue and Expenses Breakdown March 23rd 2025 All figures shown in the chart above are for the trailing 12 month (TTM) period Intertek Group EPS Beats Expectations Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 1.3%. The primary driver behind last 12 months revenue was the Consumer Products segment contributing a total revenue of UK£958.8m (28% of total revenue). Explore how ITRK's revenue and expenses shape its earnings. Looking ahead, revenue is forecast to grow 4.8% p.a. on average during the next 3 years, compared to a 6.3% growth forecast for the Professional Services industry in the United Kingdom. Performance of the British Professional Services industry. The company's share price is broadly unchanged from a week ago. Balance Sheet Analysis While it's very important to consider the profit and loss statement, you can also learn a lot about a company by looking at its balance sheet. We have a graphic representation of Intertek Group's balance sheet and an in-depth analysis of the company's financial position. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View Comments |
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| 12.03.25 13:05:34 | Intertek Group's (LON:ITRK) Shareholders Will Receive A Bigger Dividend Than Last Year | |
| Intertek Group plc (LON:ITRK) has announced that it will be increasing its dividend from last year's comparable payment on the 20th of June to £1.03. This will take the annual payment to 3.2% of the stock price, which is above what most companies in the industry pay. See our latest analysis for Intertek Group Intertek Group's Future Dividend Projections Appear Well Covered By Earnings If the payments aren't sustainable, a high yield for a few years won't matter that much. The last payment made up 73% of earnings, but cash flows were much higher. Since the dividend is just paying out cash to shareholders, we care more about the cash payout ratio from which we can see plenty is being left over for reinvestment in the business. Looking forward, earnings per share is forecast to rise by 35.2% over the next year. Assuming the dividend continues along recent trends, we think the payout ratio could be 59% by next year, which is in a pretty sustainable range.LSE:ITRK Historic Dividend March 12th 2025 Intertek Group Has A Solid Track Record The company has an extended history of paying stable dividends. Since 2015, the dividend has gone from £0.46 total annually to £1.57. This works out to be a compound annual growth rate (CAGR) of approximately 13% a year over that time. Rapidly growing dividends for a long time is a very valuable feature for an income stock. The Dividend's Growth Prospects Are Limited Investors who have held shares in the company for the past few years will be happy with the dividend income they have received. Intertek Group hasn't seen much change in its earnings per share over the last five years. Intertek Group's earnings per share has barely grown, which is not ideal - perhaps this is why the company pays out the majority of its earnings to shareholders. That's fine as far as it goes, but we're less enthusiastic as this often signals that the dividend is likely to grow slower in the future. We Really Like Intertek Group's Dividend In summary, it is always positive to see the dividend being increased, and we are particularly pleased with its overall sustainability. Earnings are easily covering distributions, and the company is generating plenty of cash. All of these factors considered, we think this has solid potential as a dividend stock. Market movements attest to how highly valued a consistent dividend policy is compared to one which is more unpredictable. Meanwhile, despite the importance of dividend payments, they are not the only factors our readers should know when assessing a company. Companies that are growing earnings tend to be the best dividend stocks over the long term. See what the 16 analysts we track are forecasting for Intertek Group for free with public analyst estimates for the company. Is Intertek Group not quite the opportunity you were looking for? Why not check out our selection of top dividend stocks. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View Comments |
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| 07.03.25 06:01:42 | Top UK Dividend Stocks To Consider In March 2025 | |
| The UK market has recently faced challenges, with the FTSE 100 index experiencing a downturn due to weak trade data from China, highlighting its significant influence on global markets. In such uncertain times, dividend stocks can offer a measure of stability and potential income for investors seeking resilience amidst fluctuating economic conditions. Top 10 Dividend Stocks In The United Kingdom Name Dividend Yield Dividend Rating WPP (LSE:WPP) 6.25% ★★★★★★ Man Group (LSE:EMG) 6.32% ★★★★★☆ Dunelm Group (LSE:DNLM) 8.19% ★★★★★☆ OSB Group (LSE:OSB) 7.52% ★★★★★☆ 4imprint Group (LSE:FOUR) 3.15% ★★★★★☆ DCC (LSE:DCC) 3.82% ★★★★★☆ Big Yellow Group (LSE:BYG) 5.05% ★★★★★☆ NWF Group (AIM:NWF) 4.70% ★★★★★☆ James Latham (AIM:LTHM) 7.66% ★★★★★☆ Grafton Group (LSE:GFTU) 4.23% ★★★★★☆ Click here to see the full list of 58 stocks from our Top UK Dividend Stocks screener. Let's uncover some gems from our specialized screener. Intertek Group Simply Wall St Dividend Rating: ★★★★★☆ Overview: Intertek Group plc provides quality assurance solutions to various industries globally, with a market cap of £8.40 billion. Operations: Intertek Group's revenue segments include World of Energy (£757.30 million), Consumer Products (£958.80 million), Health and Safety (£337.20 million), Corporate Assurance (£496.30 million), and Industry and Infrastructure (£843.60 million). Dividend Yield: 3% Intertek Group's dividend strategy is supported by a solid earnings model, with dividends covered by both earnings (73% payout ratio) and cash flows (54.6% cash payout ratio). The company has consistently increased its dividends over the past decade, recently proposing a final dividend of 102.6 pence per share for 2024. Despite trading at good value relative to peers, its 3% yield is below the top UK payers. Intertek's recent £350 million buyback program reflects confidence in future growth and shareholder returns. Take a closer look at Intertek Group's potential here in our dividend report. Our valuation report here indicates Intertek Group may be undervalued.LSE:ITRK Dividend History as at Mar 2025 PageGroup Simply Wall St Dividend Rating: ★★★★☆☆ Overview: PageGroup plc is a recruitment consultancy firm offering services across the UK, Europe, the Middle East, Africa, Asia Pacific, and the Americas with a market cap of £1.05 billion. Operations: PageGroup generates revenue by providing recruitment consultancy and related services across various regions, including the United Kingdom, Europe, the Middle East, Africa, Asia Pacific, and the Americas. Dividend Yield: 5% PageGroup's dividend payments, while covered by earnings (87% payout ratio) and cash flows (48.1% cash payout ratio), have been volatile over the past decade. Recent increases in dividends, with a proposed final dividend of 11.75 pence per share for 2024, indicate growth but remain unreliable due to historical fluctuations. The stock trades at a discount to its estimated fair value, yet its 4.96% yield is below top-tier UK dividend payers. Story Continues Delve into the full analysis dividend report here for a deeper understanding of PageGroup. Our valuation report unveils the possibility PageGroup's shares may be trading at a premium.LSE:PAGE Dividend History as at Mar 2025 Vesuvius Simply Wall St Dividend Rating: ★★★★☆☆ Overview: Vesuvius plc offers molten metal flow engineering and technology services to the steel and foundry casting industries globally, with a market cap of approximately £1.04 billion. Operations: Vesuvius plc generates revenue through its segments: Foundry (£496.80 million), Steel - Flow Control (£784.90 million), Steel - Sensors & Probes (£40.70 million), and Steel - Advanced Refractories (£548.60 million). Dividend Yield: 5.6% Vesuvius plc's dividend payments are supported by earnings and cash flows, with payout ratios of 59.8% and 56.5%, respectively. Despite a history of volatility, dividends have increased over the past decade, culminating in a recommended final dividend of 16.4 pence per share for 2025. Trading at nearly half its estimated fair value, Vesuvius offers a dividend yield of 5.6%, slightly below the top quartile in the UK market but remains an attractive option given its valuation discount. Click here and access our complete dividend analysis report to understand the dynamics of Vesuvius. Upon reviewing our latest valuation report, Vesuvius' share price might be too pessimistic.LSE:VSVS Dividend History as at Mar 2025 Make It Happen Dive into all 58 of the Top UK Dividend Stocks we have identified here. Invested in any of these stocks? Simplify your portfolio management with Simply Wall St and stay ahead with our alerts for any critical updates on your stocks. Join a community of smart investors by using Simply Wall St. It's free and delivers expert-level analysis on worldwide markets. Interested In Other Possibilities? Explore high-performing small cap companies that haven't yet garnered significant analyst attention. Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management. Find companies with promising cash flow potential yet trading below their fair value. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include LSE:ITRK LSE:PAGE and LSE:VSVS. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com View Comments |
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| 05.03.25 07:01:59 | Intertek Group PLC (IKTSF) Full Year 2024 Earnings Call Highlights: Record Cash Flow and ... | |
| Revenue: EUR3.4 billion, up 6.6% at constant currency and 1.9% at actual rates. Operating Profit: EUR590 million, up 13% at constant rates. Operating Margin: 17.4%, up 100 basis points at constant currency. Earnings Per Share (EPS): 240.6p, growth of 15.2% at constant rates. Return on Invested Capital (ROIC): 22.4%, up 250 basis points. Adjusted Cash Flow: EUR789 million, a record high. Free Cash Flow: EUR409 million, up 8% year on year. Net Debt: EUR500 million, reduced by EUR111 million from 2023. Net Debt-to-EBITDA Ratio: 0.7 times. Dividend: 156.5p, up 40.1% year on year. Consumer Product Revenue: EUR959 million, up 7.6% year on year. Corporate Assurance Revenue: EUR496 million, up 8.6% year on year. Health and Safety Revenue: EUR337 million, up 9% year on year. Industry and Infrastructure Revenue: EUR844 million, up 2.4% year on year. World of Energy Revenue: EUR75 million, up 8% year on year. Share Buyback Program: Announced initial EUR350 million. Warning! GuruFocus has detected 6 Warning Signs with IKTSF. Release Date: March 04, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points Intertek Group PLC (IKTSF) delivered a strong financial performance in 2024, with earnings slightly ahead of market expectations. The company achieved a fourth consecutive year of mid-single-digit like-for-like revenue growth, with a 6.3% increase at constant currency. Operating profit increased by 13% at constant currency, and the operating margin improved by 100 basis points to 17.4%. Intertek Group PLC (IKTSF) reported a record adjusted cash flow of EUR789 million, with a cash conversion rate of 121%. The company announced a EUR350 million share buyback program and raised its medium-term margin targets to 18.5%-plus. Negative Points Sterling's strength compared to major currencies negatively impacted revenue growth by 470 basis points. The Industry and Infrastructure division experienced a low-single-digit like-for-like revenue growth, partly due to the exit of non-profitable contracts. Operating profit in the Industry and Infrastructure division decreased by 2%, with a margin decline of 40 basis points. The company faces challenges from cost inflation, which partially offset positive margin drivers. There is ongoing uncertainty regarding global trade dynamics, including tariffs and geopolitical tensions, which could impact future performance. Q & A Highlights Q: Can you explain the factors behind the strong growth in Consumer Products, particularly in November and December, and the outlook for this division? A: Andre Lacroix, CEO: The growth was driven by a strong rebound in Global Trade Services (GTS), double-digit growth in softlines, and high single-digit growth in hardlines. This was partly due to a low base in 2023 when retailers reduced activities. We are gaining market share, but it's difficult to measure precisely. We don't see any signs of client activity slowing due to tariff uncertainties. Story Continues Q: How do you view the current M&A landscape, and are there opportunities for larger strategic acquisitions? A: Andre Lacroix, CEO: We maintain a strategic and selective approach to M&A, focusing on high-growth, high-margin sectors. The landscape has been quiet post-COVID, but we see it becoming more open. We prefer bolt-on acquisitions that augment our ATIC value proposition without diluting margins. Q: Can you elaborate on the margin outlook and the factors contributing to the expected increase? A: Andre Lacroix, CEO: Margin accretive revenue growth is driven by operating leverage, productivity improvements, and strategic investments in high-margin sectors. We focus on volume, price, and mix at the local level to drive margin improvements. We expect to achieve our medium-term target of 18.5%-plus. Q: What are the drivers behind the high single-digit growth guidance for Corporate Assurance, considering recent regulatory changes? A: Andre Lacroix, CEO: The focus is on helping clients benchmark their sustainability strategies and address operational risks. The recent EU regulatory changes were expected and do not impact our expectations. We continue to offer operational sustainable solutions tailored to specific industries. Q: How do you plan to manage the impact of tariffs and global trade changes on your business? A: Andre Lacroix, CEO: We focus on the number of SKUs tested and factories audited, which are not significantly impacted by tariffs. Our capital-light and decentralized business model allows us to adapt quickly to changes in global trade dynamics. We see China+1 as an opportunity to expand our ATIC market. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. View Comments |
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| 24.02.25 06:50:13 | Intertek Group's (LON:ITRK) investors will be pleased with their 16% return over the last year | |
| Passive investing in index funds can generate returns that roughly match the overall market. But one can do better than that by picking better than average stocks (as part of a diversified portfolio). To wit, the Intertek Group plc (LON:ITRK) share price is 13% higher than it was a year ago, much better than the market return of around 10% (not including dividends) in the same period. So that should have shareholders smiling. On the other hand, longer term shareholders have had a tougher run, with the stock falling 2.4% in three years. Now it's worth having a look at the company's fundamentals too, because that will help us determine if the long term shareholder return has matched the performance of the underlying business. Check out our latest analysis for Intertek Group While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price. During the last year Intertek Group grew its earnings per share (EPS) by 4.0%. The share price gain of 13% certainly outpaced the EPS growth. So it's fair to assume the market has a higher opinion of the business than it a year ago. The company's earnings per share (over time) is depicted in the image below (click to see the exact numbers).LSE:ITRK Earnings Per Share Growth February 24th 2025 This free interactive report on Intertek Group's earnings, revenue and cash flow is a great place to start, if you want to investigate the stock further. What About Dividends? It is important to consider the total shareholder return, as well as the share price return, for any given stock. The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. It's fair to say that the TSR gives a more complete picture for stocks that pay a dividend. In the case of Intertek Group, it has a TSR of 16% for the last 1 year. That exceeds its share price return that we previously mentioned. This is largely a result of its dividend payments! A Different Perspective Intertek Group shareholders have received returns of 16% over twelve months (even including dividends), which isn't far from the general market return. That gain looks pretty satisfying, and it is even better than the five-year TSR of 2% per year. Even if the share price growth slows down from here, there's a good chance that this is business worth watching in the long term. It's always interesting to track share price performance over the longer term. But to understand Intertek Group better, we need to consider many other factors. Consider for instance, the ever-present spectre of investment risk. We've identified 1 warning sign with Intertek Group , and understanding them should be part of your investment process. Story Continues If you are like me, then you will not want to miss this freelist of undervalued small caps that insiders are buying. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on British exchanges. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View Comments |
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