Stryker shares tumble despite strong Q2 results and raised guidance
Investing.com -- Shares of S4 Capital PLC (LON:SFOR) climbed 13% today following the company's trading update for the fourth quarter of 2024.
The company reported that its full-year performance was in line with the guidance provided on November 7, 2024. S4 Capital's like-for-like net revenue is expected to decline by 11%, which is slightly better than the consensus estimates of around a 12% decrease.
The company has also projected its adjusted EBITDA margins to fall between 11-12%, surpassing the consensus of approximately 11%. This improvement in margins is attributed to the continuation of significant cost-cutting measures that were carried out through the fourth quarter, according to the company.
In addition, S4 Capital anticipates its net debt to be considerably lower than the expected range of £150-190 million, with consensus figures around £185 million. The net debt to EBITDA ratio is expected to settle at 1.6x, which is significantly better than the anticipated 2.2x.
Looking ahead, S4 Capital provided its first guidance for 2025, indicating that net revenue and operational EBITDA are expected to be broadly similar in 2025 to the figures of 2024. This forecast suggests a net revenue of £746 million, which is 3.5% below the consensus of £773.3 million, and an EBITDA of £84 million, 16.8% below the consensus of £101 million.
The company is scheduled to announce its annual results for 2024 on March 24, 2025.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.