PaperlinX Limited (PPX)



Welcome to InvestSMART

You are currently viewing our site as a guest, which gives you limited access to our site features. By signing up for a free membership, you will receive our Investment Opportunity newsletters and have access to additional features for finding and comparing managed funds and shares. Registration is fast and simple, so please:

Sign Up Today » it's FREE! Already a member? Login now!


General Information
Company Name: PaperlinX Limited
Stock Code: PPX
Website: www.paperlinx.com.au
GICS Sub-Industry: Trading Companies & Distributors
Market Cap ($M): 39
Equiv. Shares (M): 665

Current Price Data+
Current Price Open High Low Last Close Volume Price Movement
$ 0.059 $ 0.058 $ 0.059 $ 0.054 $ 0.059 89,370 0%

Current Broker Consensus Recommendation more
Recommendation: Strong Sell (5)
Recommendation Date: 29th Oct 2014
Brokers Surveyed: 1

Company Overview

Business Description:
PaperlinX (PPX) is a global merchant company supplying the printing and publishing industry and office supplies. PPX distributes fine paper and sign and display, graphics and industrial packaging materials to a wide range of customers in Europe, United Kingdom, North America, Australia, New Zealand and Asia.

Strategy Analysis:
Following its exit from paper manufacturing, PPX is focused on improving its remaining merchanting businesses which have strong market share in Australia, US and European merchanting markets. International merchanting markets are large (estimated $30bn market value in North America, $22B in Europe). Strategies revolve around extracting efficiencies and reducing costs as well as expansion of its non paper merchanting operations. The company is undertaking a full strategic review of the business including addressing its unsustainable balance sheet structure. PaperlinX reported a net loss of $108m for the year ended 30 June 2011. Revenues from ordinary activities were $4.66bn, down 8% from last year. Basic and Diluted EPS was (21.4) cents compared to (38.9) cents last year. Net operating cash flow was $54.6m compared to $23.1m last year. No dividend was declared.


Financial Summary
Year to Jun NPAT EPS EPS chg (%) PER DPS Yield (%) Franking (%)
2016  F -- -1.0 -- -- -- 0.0 --
2015  F -- -1.5 -- -- -- 0.0 --
2014  A -30.9 -4.9 -- 0.0 0.0 0.0 --
Source: Aspect actuals / Thomson IBES estimates

Peer Comparison
EPS Growth (%) P/E (%) Dividend Yield (%)
Company Mkt Cap 2014 A 2015 F 2016 F 2014 A 2015 F 2016 F 2014 A 2015 F 2016 F
Emeco Holdings (EHL) $114 M -- -- 0.3220 -- 32.2034 24.3590 0.00 0.00 0.00
PaperlinX (PPX) $39 M -- -- -- -- -- -- 0.00 0.00 0.00

Market Comparison
Earnings P/E Ratio P/B Ratio P/E Growth P/S Ratio
PPX -- -- 1.07 -- 0.01
Market 0.93 15.6 1.24 1.81 1.53
Sector 1.01 10.72 0.95 1.46 0.42

Directors
Name Position Start Date
Mr Andrew Price Chief Executive Officer,Managing Director 01 September 2012
Mr Michael Barker Non-Executive Director 27 September 2012
Mr Robert George Kaye Non-Executive Director,Non-Executive Chairman 27 September 2012

Management
Name Position
Joost Smallenbroek Chief Financial Officer
Michelle Wong Company Secretary
Wayne Johnston Company Secretary
Andy Preece Executive General Manager, Australia, New Zealand & Asia
Cory Turner President, Canada

Substantial Shareholders
Holding Name
33,700,372 (5.53%) Raymond Gonzalez
111,432,010 (18.29%) Orbis Investment Management Pty Ltd and its related bodies
49,048,082 (8.05%) Maple Brown Abbott Limited
30,500,000 (5.01%) Communication Power Incorporated (Aust) Pty Ltd

Calendar of Events
Date Event
18 September 2015 Report (Annual)
19 August 2015 Report (Prelim)
19 February 2015 Report (Interim)
© 2011 Morningstar, Inc. All rights reserved. The data and content contained herein are not guaranteed to be accurate, complete or timely. Neither Morningstar, nor its affiliates nor their content providers will have any liability for use or distribution of any of this information. To the extent that any of the content above constitutes advice, it is general advice that has been prepared by Morningstar Australasia Pty Ltd ABN: 95 090 665 544, AFSL: 240892 (a subsidiary of Morningstar, Inc.), without reference to your objectives, financial situation or needs. Before acting on any advice, you should consider the appropriateness of the advice and we recommend you obtain financial, legal and taxation advice before making any financial investment decision. If applicable investors should obtain the relevant product disclosure statement and consider it before making any decision to invest. Some material is copyright and published under licence from ASX Operations Pty Limited ACN 004 523 782 ("ASXO"). DISCLOSURE: Employees may have an interest in the securities discussed in this report. Please refer to our Financial Services Guide (FSG) for more information at www.morningstar.com.au/fsg.asp.

Advertisement

Trade Shares Online from $19.95^
Free Guides

The SMH Guide to Leveraged Trading using CFDs

An educational booklet that outlines the different types of Contracts for Difference (CFDs) available in Australia.

More details...

News

Prices slashed - everything must go!

Nick Swales, Regional Director, Newcastle Office, Rathbones 27/10/2014 | “If you want to have a better performance than the crowd, you must do things differently from the crowd.” Sir John Templeton.

Aussie share market bulls now have company

Ric Spooner (Chief Market Analyst, CMC Markets) 20/10/2014 | Today, Australian investors will not have to go it alone buying stocks as they did for much of last week. Bargain hunters this morning will be supported by the morale boosting encouragement of a 3% turnaround in the German Dax and a 264 point rally in the Dow Jones.

The Importance of Ignoring the Noise of the Market

Carl Richards, director of investor education at the BAM Alliance 17/10/2014 | “As odd as it may sound, the sooner you start treating your investments like you treat life, the happier you’ll be with the outcome.”

You only dance twice

William H. Gross, Janus Capital Group 16/10/2014 | “Financial markets are artificially priced. In the bond market, there is nothing normal about a three year German Bund yielding “minus” 10 basis points.”

The Big Picture - Australia 200 Index

CMC Markets 8/10/2014 | Share market indices around the globe are breaking down. While analysts cast around for reasons, it’s clear that a time factor is in play. Simply put, many investors “feel” a correction is overdue. How low could it go?

Billionaires bankroll Ten's new direction Media Network sees digital future

The Age 19/12/2013 | Ten Network's programming ambitions will be funded by a $200 million loan guaranteed by three of its billionaire owners, as the free-to-air broadcaster declared digital was the future and pointed to early signs that its switch to an older market demographic was working.

More...


Sponsored Links