Diskus Werke

DB: DIS

€161.6m market cap

€16.7 last close

Diskus Werke is an archetypal Mittelstand systems provider with extremely strong market positions in the sub-segments within which it operates. The company is organised around three business units; Machine Tools & Automation, Tools & Components, and Production.

Investment summary

Diskus Werke has countered the disappointment of its September profit warning by clearly exceeding reduced PBT guidance for 2018 (€14.6m vs €14m) and securing a strong 9% rise in its year-end order book. This is impressive, given a slowing German machine tool market and procurement cost pressures. As in 2017, continued loss elimination at three problematic subsidiaries has been accompanied by volatility at some larger businesses. Current-year guidance is for 4% revenue growth at higher margin, driving a 10% increase in PBT to c €16m (€14.6m). Finances remain resilient (the debt/equity ratio is down slightly at 51%).

Sector
Industrials
Share price graph
Price performance
%
1m
3m
12m
Actual (6.7) 2.5 (5.1)
Relative* (8.6) 0.7 (3.9)
52-week high/low €17.9/€16.3
*% relative to local index
Key management
Axel Loehr CFO