Fluidra S.A.: Q2 Call - Healthy channel inventory, continued market share gain and solid execution

研报英文原文证据摘录

Fluidra S.A.: Q2 Call - Healthy channel inventory, continued market share gain and solid execution

market recovery. Rest of Europe was affected by mixed demand and timing of 12/28E 1.94 1.71

commercial pool projects.

Jingyi Zheng

Analyst

Channel inventory level. Management repeatedly expressed confidence in FDR's

jingyi.zheng@ubs.com

positioning as well as inventory situation across channels. They continue to work closely +44-20-7568 3962

with customers. Sell out was up DD in Q1 and HSD in Q2, while sell in was MSD in H1

Andre Kukhninhence pointing to a clear liquidation of inventory. They are confident in the positioning

heading into H2, especially with continued focus on launching new products in N Am

andre.kukhnin@ubs.com

market. +44-20-7567 2162

Hemal Bhundia, CFA

Margin. Q2 saw positive pricing, benefit of efficiency plan, and negative mix impact. Analyst

There was also benefit from a small tariff refund reported under Opex line (€5m in Q2). hemal.bhundia@ubs.com

Management guide for € 5-10m additional refund in H2 but acknowledge 1/ Timing is +44-20-7901 6515

uncertain, and 2/Additional tariffs and inflation could offset some benefits. The

3.5% guided y/y increase in Opex does not include benefit from tariff refunds. Their

guidance does not rely on receiving all of these refunds.

Commercial. Down 10% in the quarter due to timing issue due to project-based

nature, ME conflict, and a high comp. Underlying business performed well and pipeline

remains good.

Highlights (€m) 12/23 12/24 12/25 12/26E 12/27E 12/28E 12/29E 12/30E

Revenues 2,051 2,102 2,184 2,274 2,405 2,546 2,696 2,854

EBIT (UBS) 355 380 395 428 486 547 593 628

Net earnings (UBS) 214 229 239 264 328 374 407 432

EPS (UBS, diluted) (€) 1.12 1.19 1.24 1.37 1.71 1.94 2.12 2.25