Overview
Heritage Global Q2 operating income drops to $2.2 mln from $3.5 mln
Net income for Q2 declines to $1.6 mln from $2.5 mln
Adjusted EBITDA beats estimates at $2.6 mln, per LSEG data
Outlook
Company to continue strategic M&A evaluations in 2025
Result Drivers
AUCTION ACTIVITY - Healthy volume of auction activity and robust asset pricing levels supported results, per CEO Ross Dove
FINANCIAL SEGMENT - Operating income in the financial segment increased sequentially, driven by quality portfolio additions in the brokerage business
SHARE REPURCHASES - Strong cash position enabled repurchase of 744,424 shares, supporting share buyback program
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 EPS | $0.05 | ||
Q2 Net Income | $1.64 mln | ||
Q2 Adjusted EBITDA | Beat | $2.58 mln | $2.42 mln (4 Analysts) |
Q2 Basic EPS | $0.05 | ||
Q2 Operating Income | $2.23 mln | ||
Q2 Pretax Profit | $2.25 mln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the investment management & fund operators peer group is "buy"
Wall Street's median 12-month price target for Heritage Global Inc is $3.60, about 39.4% above its August 6 closing price of $2.18
The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 10 three months ago
Press Release: ID:nBw7n93pqa
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
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