Aktieselskabet Schouw & Co. Initiates Share Buy-Back Programme Amid Solid Q1 Performance

In a strategic move to enhance shareholder value, Aktieselskabet Schouw & Co. A-S, a prominent player in the Consumer Staples sector, has announced the initiation of a share buy-back programme. The programme, set to unfold from May 5 to December 31, 2025, will see the company repurchasing up to DKK 120 million worth of its shares. This decision, authorized by the annual general meeting on April 10, 2025, allows the company to acquire treasury shares up to 20% of its total share capital.

Currently, Schouw & Co. holds 2,041,993 treasury shares, representing 8.17% of its share capital. The buy-back programme will enable the acquisition of up to 2,958,007 additional treasury shares, bringing the total to 11.83% of the share capital. This initiative aligns with Regulation (EU) No. 596/2014, ensuring compliance with market regulations.

First Quarter 2025: Performance in Line with Expectations

Despite a turbulent market environment, Schouw & Co. has reported a first-quarter performance that aligns with expectations. The interim report for Q1 2025 highlights a revenue of DKK 7.9 billion, marking a 1% increase. However, EBITDA saw a 13% decrease to DKK 565 million, and earnings per share dropped by 20% to DKK 4.94. Despite these challenges, cash flows from operations improved by 29%, reaching DKK 220 million. The company’s Return on Invested Capital (ROIC) excluding goodwill decreased slightly by 1.0 percentage points to 12.5%.

Jens Bjerg Sørensen, President of Schouw & Co., noted that the portfolio businesses demonstrated resilience in the face of global uncertainty. The company has maintained its full-year EBITDA guidance, reflecting confidence in its strategic direction and operational capabilities.

Financial Outlook and Analyst Expectations

Looking ahead, Schouw & Co. is set to release its detailed financial results for the quarter ending March 31, 2025, on May 2, 2025. Analysts have projected an earnings per share (EPS) of 10.30 DKK for the quarter, a significant increase from the 6.20 DKK reported in the same period the previous year. Revenue expectations for the quarter stand at approximately 7.80 billion DKK, indicating a slight 1.06% decrease from the 7.88 billion DKK reported in the prior year.

For the full fiscal year, analysts anticipate an average EPS of 54.41 DKK, up from 40.87 DKK the previous year. This optimistic outlook underscores the market’s confidence in Schouw & Co.’s ability to navigate the current economic landscape and capitalize on its diverse portfolio, which spans food products, non-woven textiles, and technical electronics.

Conclusion

Aktieselskabet Schouw & Co. A-S continues to demonstrate strategic agility and operational resilience. The share buy-back programme, coupled with a solid Q1 performance, positions the company favorably as it navigates the complexities of the global market. With a diverse portfolio and a commitment to shareholder value, Schouw & Co. remains a key player in the Consumer Staples sector, poised for sustained growth and success.