Johnson Matthey (LON:JMAT) Releases Quarterly Earnings Results

Johnson Matthey (LON:JMAT) announced its quarterly earnings data on Thursday. The company reported GBX 128.50 EPS for the quarter, Digital Look Earnings reports. Johnson Matthey had a negative return on equity of 5.87% and a negative net margin of 1.13%.The firm had revenue of GBX 1,257.30 billion for the quarter.

Here are the key takeaways from Johnson Matthey’s conference call:

• Johnson Matthey reported 6% underlying growth in line with upgraded guidance, with underlying operating profit up 14% and free cash flow rising to GBP 168 million, more than 160% higher year on year.
• Clean Air margin improved sharply to 14.5%, and management said it is on track to reach 16%-18% margins by 2027/2028 through cost savings, footprint consolidation, and better commercial execution.
• Hydrogen Technologies reached run-rate breakeven in the fourth quarter, but the company also took impairments after recalibrating growth expectations amid slower fuel cell and electrolyser markets.
• PGM Services was hit by a GBP 48 million operational metal loss at the U.S. refinery, and management said higher loss provisions and refinery transition costs will continue to weigh on earnings near term.
• The announced Cormetech acquisition expands JM into stationary emission control for data centers and distributed power, is expected to be earnings accretive from year one, and comes with a visible pipeline and around GBP 20 million of expected run-rate synergies by 2030.

Johnson Matthey Stock Performance

Shares of LON JMAT opened at GBX 2,150 on Thursday. The firm has a fifty day moving average price of GBX 2,020.86 and a 200-day moving average price of GBX 2,107.21. The company has a debt-to-equity ratio of 71.01, a current ratio of 1.65 and a quick ratio of 0.76. The stock has a market cap of £3.60 billion, a PE ratio of -32.63, a price-to-earnings-growth ratio of 49,242.50 and a beta of 0.91. Johnson Matthey has a 1 year low of GBX 1,660 and a 1 year high of GBX 2,434.

Insider Transactions at Johnson Matthey

In other Johnson Matthey news, insider Alastair Judge purchased 14 shares of Johnson Matthey stock in a transaction that occurred on Wednesday, April 15th. The shares were bought at an average price of GBX 2,022 per share, for a total transaction of £283.08. Also, insider Liam Condon purchased 14 shares of the stock in a transaction that occurred on Wednesday, March 11th. The stock was bought at an average price of GBX 1,941 per share, with a total value of £271.74. In the last ninety days, insiders bought 72 shares of company stock valued at $146,198. Corporate insiders own 0.51% of the company’s stock.

Wall Street Analyst Weigh In

Several analysts recently issued reports on JMAT shares. UBS Group reissued a “neutral” rating and issued a GBX 2,200 target price on shares of Johnson Matthey in a research note on Friday, May 22nd. Deutsche Bank Aktiengesellschaft upped their price target on Johnson Matthey from GBX 1,922 to GBX 2,120 and gave the stock a “buy” rating in a research note on Tuesday, April 7th. Finally, Berenberg Bank lowered their price objective on Johnson Matthey from GBX 2,250 to GBX 2,100 and set a “buy” rating for the company in a research note on Monday, March 23rd. Four analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of GBX 2,218.33.

Johnson Matthey Company Profile

Johnson Matthey is a global leader in science that enables a cleaner and healthier world. With over 200 years of sustained commitment to innovation and technological breakthroughs, they improve the function, performance and safety of their customers’ products. Their science has a global impact in areas such as low emission transport, pharmaceuticals, chemical processing and making the most efficient use of the planet’s natural resources. Today more than 13,000 Johnson Matthey professionals collaborate with their network of customers and partners to make a real difference to the world around us.