Warburg Research starts coverage of KTG Agrar SE with buy recommendation

02.02.2015  |  DGAP

Hamburg, 2 February 2015. Warburg Research has started to cover KTG Agrar SE (ISIN: DE000A0DN1J4). The first recommendation is "buy" with a target price of EUR 20.20 (XETRA closing price on 29 January 2015: EUR 14.20).


The Warburg analysts highlighted the following aspects:

- Company benefits from a unique symbiosis of the individual business segments

- Extended value chain minimises market risks

- Company has passed from the growth phase to the harvesting phase

- Cultivation of large areas in Germany and abroad enables positive economies of scale

- Clear upside resulting from the realisation of hidden reserves

According to the study, sales revenues will increase to EUR 309 million by 2016 (2013: EUR 165 million), with earnings before interest and taxes (EBIT) projected to rise to EUR 42 million (2013: EUR 24 million). Earnings per share are expected to climb to EUR 2.24 (2013: EUR -0.22).

The full study is available for downloading at www.ktg-agrar.de/en/ir/analysen.


About KTG Agrar SE

With cultivable land of approx. 45,000 hectares, KTG Agrar SE (ISIN: DE000A0DN1J4) is one of the leading producers of agricultural commodities in Europe. As an integrated supplier, the company produces agricultural commodities and renewable energy and food. The Hamburg-based company's core area of expertise is the organic and traditional cultivation of market products such as cereals, potatoes, soy and rapeseed. For organic market products KTG Agrar is the European market leader. The company mainly produces in Germany but has also operated production in the EU member state of Lithuania since 2005. As a result of the takeover of Frenzel Tiefkühlkost and Biozentrale Naturprodukte, KTG has expanded the value chain by the production of food since 2011. In the year 2013, KTG achieved a total output of EUR 205.3 million and EBIT of EUR 23.9 million. Since November 2007 the company is listed on the Frankfurt Stock Exchange and had 775 employees at year end 2013. Further information can be found at www.ktg-agrar.de



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