Emeco earnings to lift 40% & EBIT margin to be up to 47%

Company News

by Jessica Amir

Emeco (ASX:EHL) has announced its expecting its FY19 earnings to be about 40 per cent higher than FY18 and to be between $211 million and $213 million.

The company that rents heavy earthmoving equipment and uses big data and analytics says, its earnings margin for FY19 should be between 46 and 47 per cent, a jump from last year’s 40.2 per cent. Last year’s EBITDA came in a $153 million.

EHL says less than 25 per cent of its total revenue, comes from thermal coal, with its thermal coal customers being tier 1 and the highest quality exporters.

Emeco says the market conditions remain positive and its outlook for FY20 remains strong.

Emeco shares are trading 13.03 per cent higher at $1.86.

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