6 March 2018 – final results

Mpac Group, formerly Molins, has released final results for the year ended 31 December 2017.  Net cash at the period end was £29.4m, just £4.4m less than the current market capitalisation.  Underlying profit before tax was £1.1m, translating into underlying earnings per share of 4.2p.  No final dividend was declared as the company is likely to invest to help drive future growth and is also eyeing up acquisitions.  Given the clarity which the results bring, offset by uncertainty over the longer term shape of the business, we now believe that a SPECULATIVE BUY rating is appropriate.