Chronux Research

The leading independent research firm in South Africa

Chronux Research, founded in 2020, is an independent equity research provider focused on the South African market, with coverage spanning over ten sectors and approximately 30 companies. Within the domestic market, Chronux is particularly well recognised for its Industrials, Construction, Mid-Cap and Forestry & Paper research, where the firm combines deep sector knowledge with disciplined financial modelling and a clear, conviction-led investment framework. The team provides a global perspective on key structural and cyclical themes across the sectors covered. Chronux delivers fundamental equity research incorporating both long and short ideas with analysis driven by in-house financial models, ongoing dialogue with industry decision-makers and regular engagement with management teams. In addition to company-level research, Chronux facilitates high-level interaction with senior executives and provides access to relevant industry experts, supporting clients in forming differentiated investment views. Chronux has also been committed to developing the next generation of analysts and advancing careers within the investment industry, supported by a strong and engaged institutional client base.

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Making It Possible

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European containerboard & Corrugated (Mondi); European Pulp & Wood (Mondi & Sappi) Key message: Stora Enso’s results reinforce a mixed near-term outlook for Mondi: structurally supportive packaging fundamentals but continued cyclical pressure in Europe....

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Key message: Italtile is responding to increased competition by improved operational efficiencies and new products. Italtile released 1H FY26 results. System-wide revenue (including franchises) was flat with continued pressure in the Manufacturing division from...

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Key message: Trading so far in 2H has been positive may herald the start of a margin recovery. Cashbuild released 1H FY26 results. Revenue increased by 3% (pre-existing stores +1% and new and refurbished stores +2%). Diluted HEPS increased 18% to 671c and an interim...

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Key message: With the order book at high levels, expected infrastructure spend could push it higher.   WBHO released 1H FY26 results. Revenue and operating profit declined by 4% and 1% respectively with the operating margin increasing to 5.4% (from 5.2%) with...

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Key message: Revised strategic growth targets are more credible and operational performance has improved. AECI released FY25 results. HEPS increased by 53% to 1098c on a 4% decline in revenue but an increase of 12% in EBITDA. The EBITDA margin increased to 10.6% (from...

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Key message: A period of investment is over and returns should improve as profitability catches up to invested capital. Bidvest released 1H FY26 results. HEPS increased by 5.1% (normalised HEPS +5.3%) on a 3.7% and 6.9% increase in revenue and trading profit...

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US & European Paper Packaging (Smurfit & Mondi) Key message: European profitability strengthened, with EBITDA up +9% QoQ and the margin expanding to 9.9%. Management is guiding to a material uplift in European earnings in 2026, with EBITDA expected to increase...

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Key message: Management credibility has taken a hit, and it is difficult to place faith in management guidance at present. KAP released 1H FY26 results. HEPS increased 32% to 22.7c on a 3% decline in revenue and 10% increase in operating profit. No dividend was...

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Key message: Strong cash flows should increase returns to shareholders through higher dividends or share buybacks. Motus released 1H FY26 results. HEPS increased 19% off a 3% and 8% increase in revenue and operating profit respectively. An interim dividend of 300c was...