Corticeira Amorim: Thriving in Distressed Portugal (and Cheap)

Corticeira Amorim SGPS SA (Corticeira Amorim) is a Portugal-based holding company engaged in the cork industry, the company trades on the Lisbon exchange. For the nine months ended 30 September 2012, Corticeira Amorim SGPS SA revenues increased 7% to EUR408.5M. Net income increased 24% to EUR26.5M. Revenues reflect Corks segment increase of 8% to EUR240.6M, Reinvestments (Floor & Wall Coverings) segment increase of 8% to EUR95.4M. Net income benefited from Other Expenses/Losses decrease of 40% to EUR4.1M (expense), Extraord. Income/Loss decrease of 20% to EUR4.6M (expense).

This company has no real competitors as it dominates its industry, but on a 'comp basis' trades in line or at a discount, despite superior margins earnings etc. PIIGs? Not this company. Net income for...