ALFPC - Fountaine Pajot

[Arski]

I came across this French company. They are producing and selling cruising catamarans worldwide. This is a fast growing business, according to the fundaments given on Yahoo Finance and TIKR Terminal, but I couldn't find any data about their recent quarter and thus can't judge how hard they are hit by the virus. This might be a good opportunity because of the EV/EBIT of 7 (2019 EBIT), while growing at high double digits.

Love to hear your thoughts.

[Spekulatius]

I have this company on my watch list but never really put work in it. We know that the revenues are down 18,7% and based on prior communication, they remain profitable, but earnings are down substantially:

https://www.fountaine-pajot.com/wp-content/uploads/2020/10/cp-fountaine-ca-2019-20-vdef.pdf

 

What they are selling are very big ticket items and it‘s hard to say how this works out. Sales are more driven by confidence than economic consideration and I would bet that target clientele isn’t hurting.

 

Besides the financial angle, it would be great to know how the produce (yachts) are regarded by their customers and what kind of competition exists. I think they compete with some Italian yacht builders.

[matts]

FP is a volume production catamaran builder. The directly compete with Lagoon (French) and Leopard (South African). The three don't really distinguish themselves in quality or price. I would disagree with the statement that their clientele are not hurt by economic downturns. These are entry level catamarans. Many of the buyers are retirees or near-retirees with a very tight budget. The boat buyers who are not effected by the economy would be buying the semi custom and custom catamarans from the likes of gunboat, catana, privelege, etc.

 

Final point is that economic downturns bring a glut of boats onto the used market. A 2016 fountaine pajot isn't much different than the 2020 FP, but like cars, can be bought for a steep discount right after it comes off the factory.

[Jurgis]

Final point is that economic downturns bring a glut of boats onto the used market. A 2016 fountaine pajot isn't much different than the 2020 FP, but like cars, can be bought for a steep discount right after it comes off the factory.

 

I wonder if Charlie's catamaran is going to hit the market.  ;D  :P

[Arski]

Year revenue (ended in August) is down 16,7%. Included the sale of subsidiary: JJL Catamaran, on 31 July 2020.

 

They are working on new products: three new catamarans (Samana 59, Isla 40 and Power67) and two new monohulls (D470 & D61).

 

There is a new large shareholder: Arkéa Capital Partenaire SLP and they will support the Fountaine family, who are still the biggest shareholder(s).

 

https://www.fountaine-pajot.com/wp-content/uploads/2020/11/point-activite-et-evolution-actionnariat.pdf