Ansell Limited

No Opportunities: Ansell Extends Buyback

Ansell has come down firmly on the side of shareholders by deciding to extend its ear old share buyback after finding no yummy takeovers.

Ansell Profit, Dividend Edge Higher

Ansell shares were up more than 7% at one stage yesterday as investors gave what appeared to be a modest result (which included a small nudge up to the final dividend) for 2018-19 a big thumbs up.

Ansell Embarks On Efficiency Drive

While Ansell is targeting savings by closing three manufacturing facilities, raw material costs remain the key risk for the earnings outlook.

Trump Tariffs Pierce Hole In Ansell Outlook

Shares in protective products group Ansell fell more than 9% after it warned that its earnings could fall, because of cost uncertainties and the impact of tariffs on US imports.

Small Gains At Restructured Ansell

It was another six months of small gains for Ansell, the protective gloves and clothing group and the odd bigger step.

Ansell Eyes Rebound After Profits Slip

Gloves and protective clothing maker Ansell’s full-year net profit has dropped 7.2% to $US147.7 million ($A186.8 million), for the year to June 30 as the company prepares for life without its long held sexual wellness business.

Ansell Withdraws From Condom Business

Shares in protective products group, Ansell jumped to two year highs yesterday after it finally sold its condom business and launched a big share buyback, a deal that has been five months or more in the making.

Ansell Dividend Edges Higher On Flat Result

Gloves and protective clothing maker Ansell (ANN) edged its interim dividend up by just a quarter of a cent for the December half after reporting a flat first-half net profit.

Ansell Beats Revised Expectations

Ansell (ANN) shares bounced sharply higher yesterday, jumping more than 17%, despite reporting as 15.1% slide in full-year profit to $US159.1 million ($A207.8 million).

Ansell Confirms Weak Result

A hesitant relief rally in Ansell (ANN) shares yesterday after the company followed up the earnings and guidance downgrade of late last week, with a set of interim figures that contained no new surprises.

Ansell Flags Softer Earnings

Ansell (ANN) shares will cop a pounding when trading resumes this morning after produced a surprise earnings downgrade at 6pm yesterday, well after the close of trading which saw the local market sold off heavily in a 2% plus or $34 billion crunch.

Contrarian Opportunity In Ansell?

After the company’s annual report in August, ANN fell significantly as a result of unfavourable currency fluctuations. Although the benefits of a strengthening US dollar (USD) for Australian listed companies are well publicised, there can be drawbacks as well.

Currency Headwinds Hurt Ansell

Gloom and more gloom at the annual meeting of protective goods group, Ansell (ANN) yesterday with news of a weak start to the 2015-16 financial year, confirmation of weak to lower earnings for the year to June 2016, and the first strike from shareholders on the company’s pay policies.

Ansell Launches Suprise Buyback

Glove and condom maker Ansell (ANN) surprised yesterday with a share buyback of up to $US100 million, an announcement that came three weeks after the company released solid 2015-16 financial year results.

Ansell Update

The Montgomery funds took a position in glove manufacturer, Ansell (ASX: ANN), after its first half result for the 2015 financial year exceeded our expectations. Six months on the company has announced its full year report, and while the results did not exceed the market’s expectations, our investment thesis remains intact.

Ansell Slumps On Currency Headwinds

Ansell (ANN) shares took a real whacking yesterday after it stunned the market with what was in effect a sharp downgrade of 2015-16 earnings and revenue growth.

Ansell Makes Third Takeover In Two Years

Productive products producer Ansell (ANN) has revealed its third major acquisition in three years with plans to buy Microgard, a UK-based protective clothing manufacturer, for 59 million pounds (A$113 million).

One Stock We Had To Get Our Hands On

During reporting season, we were quick to build a new position in a company after seeing a much stronger result than we had forecast in our research. A large cash holding allows Montgomery Investment Management to be nimble when opportunities present themselves.

Ansell’s Outlook Far From Smooth

Brokers are becoming more polarised around glove and condom manufacturer, Ansell (ANN). Some believe a return to stronger growth is underway while others caution that aside from acquisitions, this is far from certain.

Ansell’s Buys Boost Confidence, Earnings, Dividend

Protective equipment maker Ansell (ANN) is looking for new buys after reporting that its half-year net profit rose by just over a third to $US87.7 million ($A113 million) for the half year to December 31.

Looking At Ansell’s Long Term Incentive Plan

Upon examining Ansell’s (ASX:ANN) Long Term Incentive Plan for management, we have noticed some interesting developments in the company’s capital position.

Ansell Posts Mixed Result

On the face of yesterday’s 2013-14 profit figures, Ansell (ANN) is another company paying the price for a takeover which has cost the company a big writedown as it goes about revamping the entire business.

Ansell Grips Restructuring Challenge

Ansell (ANN) has embarked on a major rationalisation of its organisation, impairing brands and IT assets, closing its manufacturing site in Malaysia and discontinuing the Hawkeye military glove business. Given the scale of the company’s business, broker reactions were tepid, with most wanting more confirmation the company can rejig growth.

Ansell Raises Dividend

Another company lifting dividend yesterday was Ansell (ANN), the condom and glove maker, which reported a 14.9% lift in earnings for the six months to December.

Ansell’s $US600 Million Growth Bid

Ansell (ANN) has returned to the acquisition trail, this time with a $US600 million plus deal to buy a major glove and protective wear rival in the US. It is the second purchase by Ansell in the past two months.

Acquiring Growth

Ansell (ASX: ANN) is a company that has grown its earnings by 7 per cent a year for the past 6 years. But rather than doing it organically, it has primarily done this by purchasing other companies.

Ansell Buys South Korean Supplier

Predictably there were a few jokes in reports and the market about a deal with a "midas touch" after protective clothing and condom maker Ansell (ANN) revealed yesterday it was buying a key supplier, South Korean glove maker and textile group Midas.

Ansell: Growth Versus Costs And Currencies

Glove and condom group Ansell (ANN) recently conducted an analysts tour of its Asian manufacturing operations, one that saw BA Merrill Lynch return with the view the company is set to enjoy a step change opportunity via the bringing of new products to market.

Ansell’s Gloomy Outlook

Acquisitions The Wildcard For Ansell

Late last year shareholders in Ansell (ANN) gave approval for the company to buy back up to 10% of its issued capital and the board has taken them up on this, last week announcing a share buyback of five million shares of 3.7% of the stock on issue.

Ansell Reports Strong Sales In First-half

Shares in gloves and condoms maker, Ansell (ANN) rose 4.8% to $12.05 after the company reported strong sales for first-half results and upgraded full-year guidance for fiscal year 2008.

ANN On Track For 2008 Forecast

Ansell (ANS), a healthcare barrier protection business, reconfirmed its earnings per share are in line with its guidance at its annual general meeting today and indicated strong first quarter results.

More Good News For Ansell

The good news continues for Ansell (ANN) as SSL International, the world’s leading condom manufacturer, has posted 16% sales growth for the year for its Durex brand.

Ansell Goes Brazilian

For some months Southern Cross Equities has been positive on the prospects of Ansell (ANN), suggesting there was upside in the share price as the company transformed into a higher growth play.

Continuing this growth strategy the company has acquired Blowtex of Brazil, a company with around 20% of what is the world’s fifth largest condom market. The acquisition on its own appears unlikely to drive the stock higher, but it does show the company’s capacity to grow its market share and to enter into new markets.

According to both GSJB Were and UBS the deal should be earnings neutral in FY07, Weres pointing out it represents only around 1% of group sales. Neither broker has adjusted its earnings estimates as a result, though UBS points out the deal should prove slightly accretive in FY08.

The broker is estimating earnings per share of 65c this year and 69c in FY08, while the GSJB Were forecasts are for 64.3c this year and 74.2c next year. Thomson One Analytics shows median estimates of 63c and 76c respectively.

Southern Cross’s forecasts are for 58.1c this year and 79.7c next year, while it suggests the acquisition is evidence of the opportunities to be found in new markets. With the Brazilian condom market growing at double-digit rates thanks to a government distribution program the deal looks good in terms of filling the company’s manufacturing capacity, UBS noting the company currently supplies 13% of global demand but has the capacity to lift this to 18%.

With this in mind Southern Cross expects the company to increase the operating capacity in Brazil, as such a move would allow it to bid on larger tenders. UBS also suggests the deal as likely to be the first of many, as on its estimates the company has a war chest of around US$200m available for additional purchases.

Further upside could also come from cost savings, as the broker notes there is potential for a consolidation of the company’s manufacturing facilities, with evidence of gains here likely to emerge late in FY08 or early in FY09.

Southern Cross also sees upside from savings, noting management in the Asian manufacturing operations appears focused on improving efficiencies and taking advantage of lower costs of production provided by the company’s technology. This technology is also proving beneficial in terms of product innovation, the broker pointing out this is helping management grow market share while preserving the value of its local brands.

The broker continues to rate the stock as a Buy, with a price target of $14.00. UBS is similarly positive in its rating and has a $13.19 target, while Thomson One shows a median price target of $13.12.

Overall the FNArena database shows the stock is rated as Buy twice, Neutral twice and Reduce once, with an average target of $12.42. Shares in Ansell are little changed in early trading, as at 10.45am the stock was down 3c at $11.46.