Time to get into Enterprise

If the group's enterprise value (market value plus net debt) stays still, finance director Neil Smith points out that whatever debt is repaid from now should be transferred to equity value. Broker Deutsche Bank estimates this could be as much as £520m over the next three years, including £300m from disposal. Securing a new bank facility for £220m until mid-2016 was a key step, too, and more stable trading suggests that the situation for shareholders is salvageable. Indeed, the 1.2 per cent like-for-like fall in net income per pub marks a serious moderation on the pace of decline, which was 4.3 per cent last year, and achieving growth is 2013's focus. Meanwhile, 301 pub sales delivered £208m in cash and £150m of sale proceeds are expected this year. Still, the massive debt pile and falling property valuations - down £105m to £4.3bn in the year - are a reminder of the risks. And Enterprise's £600m of bonds that reach maturity in March 2018 look like they will need refinancing.

Broker Numis Securities expects underlying EPS to begin levelling in 2013 and forecasts 20.3p (from 20.4p in 2012).