05 November 2020
By Maynard Paton
Results summary for Tristel (TSTL):
- Revenue and profit reached new highs following very satisfactory 20%-plus growth, bolstered in part by the pandemic.
- The UK performance appeared odd, given H2 sales were lower than H1 despite the Covid-19 boost.
- Overseas sales surged 35% during H2, with the purchase of Ecomed during 2018 now proving to be a great success.
- The accounts remain in good shape with high margins, appealing equity returns, net cash and respectable cash generation.
- A possible P/E of 39 might be justified if the pandemic leads to permanently greater demand for hospital disinfectants. I continue to hold.