Zigup (LON:ZIG) Announces Earnings Results

Zigup (LON:ZIG) released its quarterly earnings data on Wednesday. The company reported GBX 53.10 EPS for the quarter, Digital Look Earnings reports. Zigup had a return on equity of 8.01% and a net margin of 4.68%.

Here are the key takeaways from Zigup’s conference call:

• ZIGUP reported a strong year of operational and financial progress, with revenue up to £1.86 billion, underlying revenue up 5.2%, and underlying EBIT rising 9.7% to £164 million.
• Steady-state cash improved sharply, increasing by £79 million to £96 million, and management said this marks an inflection point with cash now on an upward trajectory.
• Spain was a standout performer, with rental revenue growing more than 16% and margins remaining strong; management also raised its margin guidance for the market to 18.5%-20.5%.
• The company is pushing ahead with its UK and Ireland simplification program, targeting £20 million of run-rate savings by FY2028, with £10 million expected in the current year and benefits already starting to show.
• Statutory profit before tax was hit by £26 million of impairments tied to the exits from NewLaw and ChargedEV, though management said the exits should improve profit by about £7 million per year from FY2028.

Zigup Trading Down 3.3%

LON:ZIG opened at GBX 450 on Thursday. Zigup has a twelve month low of GBX 294.50 and a twelve month high of GBX 490. The firm’s fifty day simple moving average is GBX 445.02 and its 200 day simple moving average is GBX 409.62. The firm has a market capitalization of £1.02 billion, a price-to-earnings ratio of 12.10 and a beta of 1.04.

Wall Street Analysts Forecast Growth

Separately, Berenberg Bank reiterated a “buy” rating and set a GBX 550 price target on shares of Zigup in a research note on Friday, May 8th. Two equities research analysts have rated the stock with a Buy rating, According to MarketBeat.com, the stock currently has an average rating of “Buy” and a consensus target price of GBX 537.50.

About Zigup

ZIGUP (formerly Redde Northgate plc) is the leading integrated mobility solutions provider, with a platform providing services across the vehicle lifecycle to help people keep on the move, smarter. The Company offers mobility solutions to businesses, fleet operators, insurers, OEMs and other customers across a broad range of areas from vehicle rental and fleet management to accident management, vehicle repairs, service and maintenance.
The mobility landscape is changing, becoming ever more connected and ZIGUP uses its knowledge and expertise to guide customers through the transformation, whether that is more digitally connected solutions or supporting the transition to lower carbon mobility through providing EVs, charging solutions and consultancy.

The Company’s core purpose is to keep its customers mobile, smarter – through meeting their regular mobility needs or by servicing and supporting them when unforeseen events occur.