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GTN - Vilico consolidation boosts earnings - Earnings Flash

Company Research

03 May 2017

Q1 2017 revenues +52% and EPS +188% vs Q1 2016, slightly exceeding our expectations. Q1 2017 performance reinforces our view that FY17 will provide a much clearer business picture and meaningful P&L for GTN, driven by the full-year consolidation of Vilico (UpCom: VLC). Overall, GTN is slightly outperforming our expectation thanks to VLC’s improved margins even though Vinatea’s GPM undershot our projection. That said, any changes to our target price and forecasts will likely be non-material.

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