Published on: June 23, 2021

FY20 Resilience

In our view the Group’s recent FY20 results announcement reflects a creditable performance despite the extremely tough trading conditions. It has demonstrated good cost control across the businesses and resilience from the Hickton portfolio. CEPS is poised to take advantage of a recovery in its end markets. The Group enters FY21E a transformed entity following strategic restructuring over the past two years and COVID-19 related cost cutting. Once a recovery in its operating environment starts to gather pace, CEPS is well placed to deliver on its buy and build strategy using the Group’s cash flow to reduce gearing, add further businesses and over time provide a steadily growing dividend stream.