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Highlights

  • CT Automotive Group’s H1 FY24 revenue decreased 11.3%.
  • Adjusted EBITDA rose 10.4%, fueled by higher tooling profits and reduced expenses.
  • CT Automotive secures up to USD 20 million in funding, refinancing working capital until October 2027.

CT Automotive Group PLC (LSE: CTA) has a market cap of GBP 36.71mn and is listed on the FTSE AIM All-Share index. It focuses on the design, development, and supply of interior components for the global automotive sector.

In H1 FY24, CT Automotive Group reported a revenue of USD 60.50 million, reflecting an 11.3% decrease compared to USD 68.20 million in H1 FY23. This decline was mainly due to a fall in production revenues, which decreased to USD 56.0 million as a result of reduced volumes in the broader automotive market. However, tooling revenues saw a significant boost, nearly doubling to USD 4.5 million. On the profit front, the company's adjusted EBITDA improved by 10.4%, rising to USD 7.40 million from USD 6.70 million in the previous year. This growth was largely driven by higher gross profits from tooling and a reduction in distribution and administrative expenses.

Recent Business Update

As per its announcement dated October 11, 2024, CT Automotive revealed that it has secured a new debt agreement to refinance its current working capital facility. The agreement provides up to USD 20 million in funding and extends the term until October 2027.

Company Outlook

CT Automotive Group has seen a good performance in H2 2024. The company states that its profit before tax is on track to meet market expectations and show a slight margin improvement. The company is focusing on cost reduction through digitisation, robotics, and AI to boost automation. Its expanded business development team is working to drive future growth. This effort is supported by new programs launched in 2024, a strong order book for 2025-2027, and a healthy pipeline of RFQs.

Top 10 Shareholders:

The top 10 shareholders of CT Automotive Group own around 93.43% of the total shares. Simon Brian Phillips holds the largest stake with approximately 26.77%. Otus Capital Management Limited follows with about 17.86%. The chart below illustrates this distribution.

Stock Performance

CTA's stock price has fallen by approximately 13.91% over the past month and by around 12.38% over the last six months. The stock's 52-week low and high are GBX 44.00 and GBX 85.00, respectively. As of November 06, 2024, the stock’s closing price is GBX 49.5.

Note 1: Past performance is not a reliable indicator of future performance.
Note 2: The reference data for all price data, currency, technical indicators, support, and resistance levels is 06 November 2024. The reference data in this report has been partly sourced from EODHD/Others.