Tuesday, May 1, 2018

Tessenderlo annual report 2017

Front page of Tessenderlo 2017 annual report
 For the report in full please click here and to see my previous summary then please visit Tessenderlo annual report 2016 and to find out more concerning Tessenderlo then please go to analysis of Tessenderlo 2017.

Below is the financial statement and it looks like a middle year. The earnings increased slightly compared to 2016 but the earnings was only 1/3 of last years. The invested and have now started up production of a liquid fertiliser that can be used both by households as well as by farmers. In the Q1 of 2018 they have also decided to buy out a energy producing plant that they previously owned 20% of for, as they mention, sustainability reasons as well as flexibility. When I calculated the P/E that they paid for that it was up around 20 which I find very expensive (they paid ~350 M €) especially since the earnings of that unit comes from a year when pretty much all energy producing companies have made nice profits. This makes me a little concerned. However... the reason for this investment was made on the leader Luc and his ability to find value so all will, I am sure, be good in the end.

Income statement of Tessenderlo 2017

Conclusion: Not a very good year for Tessenderlo but due to the latest deals I suspect that there will be a massive increase in revenue from the Tessenderlo Group as they now call themselves.

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