Hill & Smith PLC: Strong start to the year; +2% to FY26E EPS

研报英文原文证据摘录

Hill & Smith PLC: Strong start to the year; +2% to FY26E EPS

Deutsche Bank Group

Deutsche Numis Research

Rating Company Date

Buy Hill & Smith PLC 21 May 2026

Forecast Change

Europe

United Kingdom

Reuters Bloomberg Exchange Ticker Price at 20 May 2026 (GBP) 2,625.00

HILS.L HILS LN LSE HILS

Price Target (GBP) 2,975.00

Steel

2,625.00 -

Steel 52-week range (GBP) 1,654.00

Strong start to the year; +2% to FY26E

Valuation & Risks EPS

Richard Paige

Sales +5% OCC YoY drives upgrade to top end of expectations Research Analyst

Hill & Smith has enjoyed a strong start to the year, with OCC sales +5% YoY, driven +44-20-7545-4606

by strong performance at US Engineered Solutions and Galvanizing Services. This

Thomas Elgar, CFA

sees guidance raised to the top end of expectations (EBITA £157.6m-160.5m), Research Analyst

which we now adopt. Comparatives stiffen from here, however we believe that +44-20-7541-1556

upside risk to our estimates remains, if current strong momentum is sustained.

Key changes

Peer updates have been strongly positive, in both US galvanizing and grid 2,930.00 to

TP ↑ 1.5%

infrastructure, albeit we expect trading conditions in many of the UK businesses (ex 2,975.00

Galvanizing Services) to remain challenging. Here management is now actioning 138.91 to

DB EPS (GBP) ↑ 2.0%

changes that will support improved UK performance (more detail with H1 results on 141.69

12 August). Hill & Smith's US businesses, which have delivered double-digit OCC Source: Deutsche Bank

sales growth in the first four months of the year, generated c. 79% of group EBITA

Price/price relative

in 2025.

Hill & Smith remains one of our top sector picks for 2026 due to its high exposure

to a range of multi-year US infrastructure growth markets and further margin

upside and M&A potential.