Cenkos Sec Share Price (CNKS)

fantastic divi, have topped up my holding, keep up the good work guys :-)

Chief Executive Officer Jim Durkin said: "Whilst revenues have reduced owing to prevailing market conditions, I am pleased that we continue to raise funds for our expanding client base and that we remain profitable on our continuing operations. "We also generated a £3.5m profit after tax from discontinued operations, following on from the disposal of our controlling stake in Cenkos Channel Islands. We have made an encouraging start to the second half of 2012

Shares in financial services firm Cenkos Securities rose on Wednesday, with investors focusing on the half-on-half increase in revenue rather than the year-on-year decrease, which was largely attributed to the economic slowdown. Revenue from continuing operations came in at £20.2m, compared to £25.1m in the same period the previous year and £18.6m in the second half. Profit before tax from continuing operations fell from £5.0m to £3.5m (compared to £5.7m for the whole of 2011) resulting in earnings per share of 3.6p (2011 H1: 5.0p). The interim dividend was lowered by 0.5p to 3.5p. Divisionally, the corporate broking and advisory saw a 20% decline in revenue to £19.0m from £23.8m, largely due to a fall in corporate finance revenues. In its core market, AIM, the total value of primary admissions to AIM fell from £260m in the first half of 2011 to £210m in the first half of 2012. Additionally, in the same period, the value of secondary fund raisings on AIM fell from £2,557m to £1,551m. During the half year, the firm completed 21 transactions and its clients raised a total of £306m (H1 2011: £358m). Institutional Equities revenue fell just 1.0% to £1.3m, with the segment result improving to £0.3m from £0.1m. The number of shares traded in the UK market, across all exchanges, was little different from the same period last year. Fund and Wealth Management, which is provided through its 50% owned subsidiary, Cenkos Channel Islands, generated a profit after tax from discontinued operations of £3.5m.

Life is not easy for the brokers who make their living looking after the smaller and medium-sized companies that bulge bracket investment banks largely turn their noses up at. The market for flotations and M&A work has certainly improved from the dark days of the credit crunch, but the good times are a long way from being back. That is reflected in the way shares in Cenkos Securities have performed. These shares are starting to look cheap at about eight times forecast full-year earnings. The dividend was cut last year, but should be raised if earnings improve, although yield is not something to count on. There is a buying opportunity here for those willing to roll the dice, says the Independent.

Not sure this recent drop is warranted - surely a quick rebound is in order - look at the chart - have you ever seen a share with such frequent 10+% swings!

Business highlights · Ranked number one NOMAD, in respect of client market capitalisation, by Hemscott in January 2011 reflecting continued success in attracting new institutional and corporate clients helping to grow the Cenkos franchise. · Continued success in raising funds for our clients even though conditions in equity capital markets remain unpredictable. In the year to 31 December 2010, we raised a total of £1.44 billion (2009: £0.95 billion). · In April 2010, Cenkos, as sole book runner and listing sponsor, raised £460 million for the Anthony Bolton-managed Fidelity China Special Situations plc. In February 2011, we raised a further £166 million for this Fund. · Strong growth in Fund and Wealth Management business with funds under management increasing 41% to £1.10 billion (2009: £0.78 billion) reflecting increasing diversification of revenue within the Group. · Continuing investment in high quality personnel with the expectation of increasing the Group's level of recurring income. · Since the period end a further £292 million has been raised for clients from 5 transactions.