(News Bulletin 247) – Oddo maintains its ‘underperformance’ rating on the Latécorère share, with a price target lowered from 0.35 to 0.20 euro.

The analyst estimates that the 2022 financial year turned out to be ‘disappointing’, with an adjusted EBITDA of -8.5 ME against -1.8 ME expected. However, turnover posted an organic increase of 16.5% to 468.4 ME, driven by the increase in production rates on the A320 and Embraer as well as the interconnection of the A350.

‘In 2023, we are counting on a continuation of the rise in production rates on all programs, with in particular a welcome rebound in the production of the B787 to reach around 5/month at the end of the year. We anticipate a turnover of 598 ME (+27.5%)’, indicates the broker.

While 2022 ended with FCF consumption exceeding Oddo’s expectations (-100.9 ME vs -53.3 ME), the company indicates that it is in discussions with its stakeholders, including its lenders in to improve its capital structure

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