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.

Jessica Amir

Finance News Network
Jessica joined FNN in January 2017 after having worked in financial advising for seven years and in TV journalism for seven years, specialising in finance, equities and analysis. She has interviewed former Prime Ministers of Australia, Tony Abbott, Julia Gillard and Kevin Rudd and ex Treasurer Jo Hockey. Jessica has worked as a journalist with Sky News Business, ABC 1, ABC's The Business, ABC24 and has also been a regional Channel 7 and 9 TV reporter with Prime7 and Win News.