Results: M.P. Evans Group PLC Exceeded Expectations And The Consensus Has Updated Its Estimates

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It's been a good week for M.P. Evans Group PLC (LON:MPE) shareholders, because the company has just released its latest full-year results, and the shares gained 5.2% to UK£10.10. It looks like a credible result overall - although revenues of US$353m were in line with what the analysts predicted, M.P. Evans Group surprised by delivering a statutory profit of US$1.65 per share, a notable 11% above expectations. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

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AIM:MPE Earnings and Revenue Growth March 27th 2025

Taking into account the latest results, the three analysts covering M.P. Evans Group provided consensus estimates of US$343.4m revenue in 2025, which would reflect a discernible 2.7% decline over the past 12 months. Statutory earnings per share are expected to sink 17% to US$1.41 in the same period. Before this earnings report, the analysts had been forecasting revenues of US$357.3m and earnings per share (EPS) of US$1.42 in 2025. The consensus seems maybe a little more pessimistic, trimming their revenue forecasts after the latest results even though there was no change to its EPS estimates.

View our latest analysis for M.P. Evans Group

The consensus price target rose 8.8% to UK£13.61, with the analysts apparently satisfied with the business performance despite lower revenue forecasts. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. The most optimistic M.P. Evans Group analyst has a price target of UK£14.96 per share, while the most pessimistic values it at UK£12.56. The narrow spread of estimates could suggest that the business' future is relatively easy to value, or thatthe analysts have a strong view on its prospects.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 2.7% by the end of 2025. This indicates a significant reduction from annual growth of 17% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 4.0% annually for the foreseeable future. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - M.P. Evans Group is expected to lag the wider industry.