Sims reports cash proceeds lower than initial estimate
Sims Ltd says it has completed the sale of its UK Metals business—a deal that resembles an old-fashioned layby, judging by the terms of the sale outlined on Friday.
Read MoreSims Ltd says it has completed the sale of its UK Metals business—a deal that resembles an old-fashioned layby, judging by the terms of the sale outlined on Friday.
Read MoreAfter a lengthy process, Sims (ASX:SGM) has finally found a buyer for its UK scrap metal businesses and also finished the sale of the last interest in a US operation.
Read MoreA trio of updates from third-quarter trading companies ahead of their June 30 balance dates produced one good, one bad, and one okay.
Read MoreSims Ltd, the scrap metal recycler, has received inquiries from potential buyers regarding its UK scrap metal business. The company initially announced a review of its UK operations during its annual results briefing and commentary in August. Yesterday, Sims informed the ASX that it had been approached by undisclosed parties interested in the business.
Read MoreAnother heavy news day among ASX stocks on Wednesday, including earnings upgrades from companies of very different sizes and a somewhat controversial key hire.
Read MoreScrap metal merchant Sims has beaten market expectations with soaring results that included a 74% surge in December half revenue and a near quadrupling in net profit.
Read MoreEarnings up and more to come says global scrap metal and recycling company Sims Limited – and that’s despite the recent downturn in the pace of activity in the Chinese economy.
Read MoreA successful 2020-21 for two Australian multinationals saw Sims Metal and Breville take different approaches to rewarding shareholders on Tuesday: one upped its dividend, the other slashed theirs.
Read MoreA number of updates emerged after the long weekend, with the headline act coming from metal recycler Sims Ltd, which produced its second earnings upgrade in the past year.
Read MoreShares in scrap metal giant Sims Ltd hit a two year high of $16.90 and closed up more than 8% after the company upgraded its June 30 earnings forecasts.
Read MoreMetal recycler Sims has reinstated its interim dividend, with a 12 cents a share fully franked payout after returning to profit in the six months to December.
Read MoreSims’ September quarter update disclosed all assets delivered a strong operating income and the company was cash flow positive. UBS believes the end markets are improving for Sims with both ferrous and nonferrous scrap prices rising.
Read MoreThe update at the AGM provided a materially improved trading outlook. Credit Suisse notes all metal divisions obtained solid earnings in the September quarter.
Read MoreA loss for metal recycling business Sims Metal in the year to June – a big loss of $265.3 million for the full financial year on a statutory basis after COVID-19 lockdowns across the globe slashed its scrap metal intake and profit margins.
Read MoreCredit Suisse reviews the earnings drivers and revises down earnings forecasts for the second half of FY20.
Read MoreThe company has withdrawn guidance because of the unknown impact on scrap demand and activity. Credit Suisse notes the positives include a strong balance sheet, with limited draw on working capital under the current trading conditions.
Read MoreWith the recent rally in scrap prices, amid tight supply, as the Northern Hemisphere winter kicks in, Citi believes the company’s FY20 guidance and consensus forecasts now hold upside risk.
Read MoreThe company has sold its European e-recycling asset, its most profitable asset in this division, to Remondis for EUR83.5m. This leaves the key-recycling assets in the US and Australia.
Read MoreDidn’t see this one coming.
Read MoreThe company expects the first half result to be “materially lower” than the prior corresponding first half. This earnings warning comes soon after the FY19 results where, Credit Suisse points out, management had highlighted macro headwinds stemming from the US/China trade war, low Turkish steel demand and soft automotive demand.
Read MoreThe company has guided to May quarter operating earnings (EBIT) of US$28-29m from its auto and metals recycling segment.
Read MoreCiti notes the stock has pulled back substantially and sector sentiment remains weak amid falling steel/scrap prices and minimal buying interest. Still, the broker suspects a market nadir may be close.
Read MoreThe re-starting of US blast furnace capacity has caused a slump in US steel prices and put the steel market into surplus, constraining the price that US EAF steelmakers can pay for scrap. Recent tariff reductions have made this worse.
Read MoreSo what is a reporting period without a profit warning of some degree from Sims Metal Management?
Read MoreShares in scrap metal processor, Sims Metal fell 12% at one stage yesterday after it warned that first-quarter earnings would be a bit light on.
Read MoreA glance through the latest expert views and predictions about commodities. Steel; mining & franking; diversified majors; thermal coal; and Nickel Mines.
Read MoreAnother earnings shock has seen shares in scrap giant, Sims Metals Management (SGM) plunge 19% yesterday.
Read MoreSims Metal Management Limited (SGM) reported its first half results today. Underlying EBITDA of $129m up by 38% and Australasia EBITDA increased by over $30m due to stronger sales volumes. Net debt also reduced further to $121m.
Read MoreThe weak US dollar and rising ocean freight costs look like being more than enough to offset continuing strong demand for scrap metal around the world, so Sims Group Ltd has forecast a fall in first half profit and flat second quarter earnings.
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