{"id":1589,"date":"2015-02-06T13:55:58","date_gmt":"2015-02-06T11:55:58","guid":{"rendered":"http:\/\/www.blog.asmus-puhl.com\/?p=1589"},"modified":"2015-02-06T13:55:58","modified_gmt":"2015-02-06T11:55:58","slug":"colfax-q4-2014-good-execution-in-a-still-sluggish-environment","status":"publish","type":"post","link":"http:\/\/www.blog.asmus-puhl.com\/?p=1589","title":{"rendered":"Colfax Q4 2014 – Good execution in a still sluggish environment"},"content":{"rendered":"

Colfax Corp. (NYSE: CFX) reported Q4 2014\u00a0net sales of just over $1.2 billion, an increase of 3% over the same period last year. <\/span><\/span><\/span><\/p>\n

13% growth came from acquisitions offset by a negative 7% impact from foreign exchange and a 3% organic decline in revenues.<\/span><\/span><\/span><\/p>\n

Adjusted EPS for the 2014 fourth quarter was $0.72 per share which represents an 18% increase versus the $0.61 per share reported last year.<\/span><\/span><\/span><\/p>\n

The Conference Call Transcript as always is provided by Seeking Alpha. <\/a><\/span><\/span><\/span><\/p>\n

There were positive news as p.e. the improved operating margin of 13.7% in the gas and fluid handling segment, but at the same time in their largest gas and fluid handling end market, power generation, revenues for the quarter decreased by 10% organically, while orders were off by 16% organically. <\/span><\/span><\/span><\/p>\n

Better news came from the general industrial end market, where sales increased 7% organically and orders increased by 4% organically.<\/span><\/span><\/span><\/p>\n

As CEO Steve Simms pointed out: \u201ewhile the fourth quarter results included excellent execution and working capital management and strong margins in gas and fluid handling, we were again hampered by a sluggish demand environment resulting in an organic revenue decline for the full-year of 2014.\u201c <\/span><\/span><\/span><\/p>\n

And they \u201eexpect 2015 to be another year without revenue growth, but with continued margin improvement.<\/span><\/span><\/span><\/p>\n

But the most interesting point came at the end of the prepared remarks: Steve Simms gave a clear hint that Colfax is already examining acquisition candidates. Only the due diligence process takes more time than anticipated: \u201ewe expect to announce a number of strategically compelling and financially attractive situations in the late second quarter or early third quarter of 2015.\u201c<\/span><\/span><\/span><\/p>\n

That’s Colfax! <\/span><\/span><\/span><\/p>\n

Don’t forget that part of their business model is to grow by the successful integration of acquired companies.<\/span><\/span><\/span><\/p>\n

So let’s hope that this will not be in the heavy industries segment where they always will depend of a few large orders.<\/span><\/span><\/span><\/p>\n

Colfax stock at this price level remains a buy! <\/span><\/span><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Colfax Corp. (NYSE: CFX) reported Q4 2014\u00a0net sales of just over $1.2 billion, an increase of 3% over the same period last year. 13% growth came from acquisitions offset by a negative 7% impact from foreign exchange and a 3% organic decline in revenues. Adjusted EPS for the 2014 fourth quarter was $0.72 per share […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[3],"tags":[],"_links":{"self":[{"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=\/wp\/v2\/posts\/1589"}],"collection":[{"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1589"}],"version-history":[{"count":5,"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=\/wp\/v2\/posts\/1589\/revisions"}],"predecessor-version":[{"id":1594,"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=\/wp\/v2\/posts\/1589\/revisions\/1594"}],"wp:attachment":[{"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1589"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1589"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1589"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}