Tuesday 20 October 2015 by FIIG Research Company updates

Company updates – Coffey, Emeco and Fortescue report

These three companies have recently reported on their quarterly results. The International Development sector of Coffey’s  business remains a positive for revenue, concerns around Emeco’s liquidity continue and positive free cashflow generation for Fortescue results in a strong quarter

Coffey International first quarter FY16 update

Coffey International provided a first quarter update at its Annual General Meeting held on 15 October. We also note the company has announced a credit positive takeover offer. Full details are discussed in a separate article which can be found here. The full summary, Coffey International 1Q16 trading update, has been compiled by Will Arnold who looks at the company’s: revenue by industry, debt profile, outlook and contracted fee revenue.

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Emeco has reported for the 1Q16 period

Emeco has reported a modest result for the first quarter of FY16 but this result remains some way from alleviating concerns about its credit profile. The company’s cash balance has fallen to $20.9m at 30 September 2015 following the September bond coupon payment and concerns over the company’s liquidity remain. Alen Golubovic further summarises these results in his note, Emeco reports modest 1Q16 result but credit concerns remain. The note also contains a link to the ASX announcement.

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Fortescue buys back bonds in a strong September quarter

Fortescue (FMG) announced an overall strong September quarterly result across a number of fronts. Continued positive free cashflow generation has allowed the company to buy back USD384m of bonds in the secondary market at an average value of 80 cents in the dollar. Alen Golubovic discusses the key highlights from Fortescue’s results and bond buyback and implications in more detail in a full note. 
 
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