Industrials – LSE – M cap £1,188m – Price 106.60p – Non client QV
SIGMAROC
Lime time
At its capital markets day on 7 May, SigmaRoc set out its ambitions to build ’Europe’s leading choice mineral platform’ with a focus on lime and limestone. It stated its medium-term (2025–30) targets, including organic revenue growth of 3–5% pa, an EBITDA margin of more than 24% (23.2% achieved in FY23 on a pro forma basis), free cash flow (FCF) conversion of more than 50%, a leverage ratio of 1.5–2.0x and a return on invested capital of more than 15%. Sigmaroc’s growth prospects look strong, underpinned by growth in its diverse end markets, increasing demand due to macro trends of sustainability and increased demand for lime and minerals products. Sigmaroc also noted that it will have a heightened focus on predictably generating and growing its FCF.