- Land division set for best full year ever
- PE ratio of 10 and dividend yield of 8.6 per cent
- 45 per cent discount to sum-of-the-parts valuations
Hargreaves Services (HSP:420p), an industrial group and land developer, reported a drop in first-half profits from £18.7mn to £2.7mn, but expects a materially better second-half performance.
The profit reversal was caused by the £1.9mn net loss (£10.9mn profit in 2022) from HRMS, the group’s German metals trading subsidiary, due to lower demand from a recession-hit Germany and weaker zinc and pig iron prices. HRMS is a supplier of specialist raw materials to European customers in the steel, smelting and ferroalloy industries.