Eneraqua Technologies Share Discussion Threads

[bri15] 22/8/2023 16:07

And the fall continues, something not right here.

[igoe104] 25/7/2023 18:08

Hopefully they have finalised the water utilities contract they were working on., and other new opportunities they are pursuing..

[ny boy] 25/7/2023 17:31

380p high this year to 115p is some downtrend 70% loss if you bought at the top. Just for gamblers really, ok if you can catch a quick 5/10% profit, bottom fishing once a stock is on a big slide is high risk, so just a gamble imo

[igoe104] 25/7/2023 11:39

That policy with never come under threat,regardless of what government is in. Just shows how paranoid markets can become ..

The company needs to bring out some positive contract news etc, to break the downward momentum.

Has anyone tried getting InTouch with the management, ive tried to no avail...

[asagi] 25/7/2023 10:10

share price reacting badly to the suggestion that the governments 'Net Zero' policy is under threat.

Asagi (long ETP)

[igoe104] 05/7/2023 13:37

Vox markets talk positive about ETP today. 25 minutes 40 seconds in..

[eezymunny] 05/7/2023 12:06

What were their forecasts before the humungous profit warning Rivaldo? All wrong, that´s what they were!

I predict another profit warning.

[rivaldo] 05/7/2023 09:17

Liberum this morning also note "AGM trading update indicates trading has been in line."

They reiterate their Buy recommendation and 335p target price.

Their forecasts are 15.3p EPS this year, rising to 18.9p EPS and then 22.7p EPS.

That's with a 1.4p dividend this year rising to 1.6p and 1.8p.

So a similar ballpark to Singer's forecasts. Which again is hopefully an indication that they've been guided in that direction.

[eezymunny] 05/7/2023 08:42

Nothing like giving half a sentence. They actually say "The current year is progressing as expected with a high level of activity in terms of both continuing contracts and new opportunities which we are pursuing."

Meeting forecasts presumably dependent on winning a lot of business. It all sounds elusive IMO.

Each to their own. I predict a profit warning.

[rivaldo] 05/7/2023 08:18

Actually ETP specifically state today "The current year is progressing as expected".

The implication is therefore that the numbers in the market are being met. Certainly Singer Capital have left their forecasts unchanged as outlined above.

ETP would be hung, drawn and quartered if they surprised the market again! Let's hope they've learnt their lesson. If they have the shares are extremely cheap. If they haven't then they deserve to be punished. Singer's reiteration of their numbers hopefully indicates that trading is as per....

[eezymunny] 05/7/2023 08:09

KETL have said clearly how the business are doing in their AGM statement. ETP have chosen not to. Which leads me to believe.....

Rivaldo said numbers aren´t issued in AGM statements. My KETL comment is just to show how utterly opaque the ETP statement is IMO.

As I said, bargepole for me for the time being.

[darryn1] 05/7/2023 08:01

What on earth has KETL got to do with ETP.

[eezymunny] 05/7/2023 07:50

KETL said in their AGM update ""We are pleased to report an improved trading performance and can confirm that profit after tax for the full year remains in line with market expectations*." and "*Current profit after tax consensus for year ended 31 December 2023 is £25.8m".

The complete absence of anything like that in ETP´s suggests there´s a fair bit of work to do to meet estimates IMVHO. Bargepole for me until we see something more positive.

[rivaldo] 05/7/2023 07:46

AGM statements never contain any specific numbers so that's hardly a surprise. Of course sentiment is not with ETP for the moment, but at least this "appears" to be a step in the right direction.

Certainly Singer Capital's update this morning indicates that they've been guided to reiterate their rebased forecasts for this year following today's update.

Singer reiterate their 249p price target, and also their forecasts of:

- 15.8p EPS this year rising to 20.2p EPS
- 1.4p and then 1.6p dividends
- £6m net cash rising to £8.7m at the end of each financial year
- a P/E of 7.9 falling to 6.2

[eezymunny] 05/7/2023 07:37

Beware the trading statement that says absolutely nothing about revenue, profit, performance vs forecasts etc. Smells like they need to close a lot of stuff to hit numbers?

[igoe104] 28/6/2023 21:34

Shocking investment for me, Management are really poor at communicating, they don't reply to emails and have no respect for shareholders. Its just the case of keep your fingers crossed and hope they can turn it around.

Has anyone else had any sort of communication with the management team ?

I'll definitely make sure I'm at the AGM next year, unfortunately i can't make next week's one.

[g2theary] 28/6/2023 19:03

Glad I only bought 2500 shares at 1.55 here :D was doing ok in the 1st few days :D may add more at 100p something doesn't seem right ... is the worry contracts being shelved?

[aishah] 21/6/2023 07:28

BOE expected to raise base again tomorrow. Cost of borrowing getting steeper with stubborn inflation. Truflation's methodology has UK inflation rate of 12.96% against the govt. reported rate of 8.7%

[rivaldo] 20/6/2023 11:31

Kimchi1, re your post 215, here's Singer's new note dated 7th June - they now have a Buy recommendation, having previously been Under Review

They forecast 15.8p EPS this year, rising to 20.2p EPS next year (with 1.4p and 1.6p dividends and a £6.0m and £8.7m cash pile excl. IFRS 16 leases respectively):

"Shares rebased to attractive level

Eneraqua’s share price has rebased after the forecast downgrades at the May FY23 results. FY24 will be a reset year, with earnings reducing. However, many of the Group’s structural growth drivers are still intact and the growth story is expected to resume in FY25 (we forecast EPS growth of 28%).

Our new forecasts are supported by the order book, with 90%/47% visibility over our FY24/FY25 revenue forecasts. There is a project pipeline of £425m beyond this. Post the results, the shares now trade on a Jan. ’24 EV/EBITDA rating of 4.8x, falling to 3.6x or a P/E rating of 9.2x, falling to 7.2x. Whilst confidence needs to rebuild, we believe the shares should attract a higher rating over time, reflecting an attractive margin profile and long term growth outlook.

We target an EV/EBITDA rating of 9.2x, which drives a target price of 249p (15.8x implied P/E). This supports our Buy recommendation.

Forecasts rebased to prudent level

Post the 23rd May results, we rebased our FY24 adj. PBT forecast by 42% to reflect a reprioritising of projects in favour of typically lower margin, lower cost per unit projects. We believe forecasts are now pitched prudently. Our new forecasts are supported by a record order book and a strong pipeline. The order book provides visibility over 90%/47% of our FY24/FY25 revenue forecasts. There is a project pipeline of £425m beyond this, of which 38% is expected to be completed in FY25 so there is c.£162m of business to go after. This implies a required success rate of 34% to hit our revenue forecast vs. an historic tender win rate of greater than 50%. We consider this to be a conservative position. Management also indicates that the order book is supportive of an improving margin profile.

Long term growth outlook still intact

Eneraqua’s principal activity is the provision of turnkey retrofit district or communal heating and hot water systems, replacing end of life systems in multiple occupancy buildings (primarily social housing). It also delivers water efficiency upgrades for utilities/commercial customers. The long term growth outlook for Eneraqua’s services is underpinned by the need to improve energy efficiency, to reduce domestic energy costs and therefore reduce fuel poverty. These growth drivers remain unchanged and we expect earnings growth to resume in FY25, forecasting EPS growth of 28%.

Shares attractively valued

Whilst confidence needs to rebuild, we believe the shares should attract a higher rating over time, reflecting an attractive margin profile and long term growth outlook. We value Eneraqua against a basket of ESG driven Support Services stocks and Engineering Consultants. These trade on an average EV/EBITDA rating of 9.2x. Applying this to our Jan. ’24 earnings forecast implies a target price of 249p and a P/E multiple of 15.8x. We therefore move to Buy."

[eezymunny] 14/6/2023 18:27

Falling. From a great and absurd height.

[kimchi1] 08/6/2023 08:05

RNS Reach

8 June 2023

Eneraqua Technologies plc

("Eneraqua Technologies", the "Company" or the "Group")

Control Flow HL2024 technology unlocks commercial development from water neutrality block

Eneraqua Technologies plc, a provider of specialist energy and water efficiency solutions, announces that use of its Control Flow HL2024 technology has unlocked the development of a large commercial site for one of the Group's Local Authority clients. This builds on the Company's successful net water neutrality programme which has been used to unlock development of new housing.

In the UK and Europe, approval of many new homes and commercial developments is being delayed due to concerns on water and nutrient neutrality in the local water catchment area. In the UK the House Builders Federation estimate this issue is currently delaying approval of some 120,000 new homes. The same concerns also apply to commercial developments with many projects on hold across the UK.

Following a successful pilot last year, Eneraqua's Control Flow HL2024(R) products are being used to unlock new homes affected by neutrality concerns. Following extensive long term trials, Control Flow HL2024(R) products are recognised as delivering long-term water savings by reducing water wastage in the home. On average they reduce water consumption by more than 20%. By reducing long-term demand from existing homes, Control Flow HL2024(R) products create the headroom needed for new builds.

As a result of the water savings achieved, approval has now been given for the first commercial site which was impacted by delays caused by water neutrality issues. The opening of the 14,500 sq m factory and warehouse development had been held in the planning phase since 2021 due to concerns raised by Natural England of the impact on local water resources. Through an installation programme of Control Flow HL2024(R) products into existing homes in the area, Natural England has agreed that there is sufficient water headroom and has now signed off on the opening of the development. This is expected to create some 200 new jobs in the area.

Eneraqua is in discussions with a number of local authorities and developers on how it could help them unlock their development sites and support local regeneration.

[kimchi1] 07/6/2023 14:54

Anyone have full access to this research note on Eneraqua, dated today 7th June ?

"Shares rebased to attractive level"

[kimchi1] 07/6/2023 11:05

Hmmm, some buy trades that seem to have triggered the shareprice rise from 10am are showing now ...
Cautiously optimistic of a recovery from these levels.
Management must communicate better though and preferably buy some more of any loose stock.

[igoe104] 06/6/2023 19:30

CEO sold a large amount in December nearly 1.8 million quid worth.

It certainly wouldn't harm him to stick 250k back in at these levels, unless he's been on a spending spree.