Charles Jillings, CEO of Utilico, energized by strong economic momentum across Latin America. Watch the video here.
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Management have never seemed too bothered by the share price, they have seen it slide over 95%.
I don't normally bother trying to guess what all these little trades are. What I do know is that we are not in an orderly market, there are almost no buyers out there and prices are tanking all over the place.
At 13p £90m Mcap is less than net debt, normally indicating a business in distress but HSS has never been in better health with net debt approaching zero in the next 2 years so should be well placed to ride out the impending troubles
Why purchase one share ?......im not a professional trader ,am i missing something?
All I can think is that markets are forward looking and a recession is on the way so the MMs are pricing in the mother of all market crashes.
What on earth is going on with these "1' & "8" trades.
Are they codes?
Gobsmacked to see the SP sinking lower.
Management must be pulling their hair out, if they have any left.
Good positive news over the last year and still the slide!!?
Gla
Wouldn't be buying anything yet, smelly stuff hitting the fan months away...
Time to buy?
HSS Hire’s performance is undoubtedly impressive. But I do have some reservations about this still-penny stock. The rental equipment sector doesn’t exactly have high barriers to entry. And, unfortunately, that means the group’s rental fees are constantly under competitive pressure.
It’s also worth noting that the firm has just under £79m of debt maturing in the next five years. This is a drastic reduction from the £240m due just a year ago. However, with interest rates rising, these financial obligations could eat away at its newfound profitability.
Nevertheless, with a market capitalisation of only £100m, I can’t help but feel this opportunity is too good to miss for my portfolio.
hTTps://www.fool.co.uk/2022/07/02/is-this-penny-stock-on-track-for-an-explosive-recovery-in-2021-2/
Is this penny stock on track for an explosive recovery in 2022?
Investing in penny stocks is a risky endeavour. But it can also deliver gigantic returns for a prudent investor like me.
Published 2 July, 8:09 am BST
HSS
The land of penny stocks is fraught with risk, especially today, where access to capital is becoming even more restricted. Most businesses in this arena have small operations with miniscule profits and lack the necessary resources necessary to scale rapidly.
Yet, every once in a while, one of these companies finds a way. And suddenly a teeny-tiny business can become a giant. I may have found such an opportunity today. Its shares collapsed during the pandemic, but they could be in for an impressive comeback.
A turnaround penny stock?
Investing in an equipment hire business is hardly the most exciting idea out there. Yet HSS Hire (LSE:HSS) might soon display an explosive performance for patient investors.
As a reminder, this company lends out tools & equipment while also providing support services to over 32,000 customers in the UK. It predominantly caters to construction tradespeople, who don’t necessarily have the capital to buy expensive machinery. And for those that do, many still choose to rent to avoid all the costs of testing, maintenance, and distribution.
In 2020, the pandemic struck. Multiple lockdowns saw construction projects grind to a halt, and the demand for equipment rental evaporated with it. Unsurprisingly, the group’s revenue saw a double-digit decline, and profitability went out the window with a reported £4.7m operating loss. Subsequently, the penny stock went from trading at 26.7p to 14.3p today.
Back to black
But is all that about to change? Earlier this year, management released its preliminary results for 2021. And despite the share price staying in penny stock territory, things seem to be going very well, in my opinion.
Revenue across the board jumped by double digits, climbing back to 92% of pre-pandemic levels. According to a recent trading update, this top-line growth has continued over the last six months. But the bottom line is where the real magic is happening.
Following the disruptions from Covid-19, management executed a major structural overhaul of the business. Some 134 stores were permanently shuttered, revamping the operating model to rely more heavily on technological solutions. I think it’s fair to say the plan worked. Why? Because the Return on Capital Employed (ROCE) surged from 10.7% to 22.1%. Consequently, operating profits for 2021 came in at a record high of £34.5m!
PIs are busted out everywhere and there is no new money coming in for AIM stocks. No short term boost in sight...
Sub £100m Mcap on EBITDA of over £70m and cash flow of £35m, business never been in better shape but sentiment so poor the share price isn’t far from record lows now. The cyclical stocks are indicating the bottom is going to fall out. Speedy and the others in construction aren’t faring any better
My broker had up 11% and Google at 10am , 0% shown above ??
If I remember those sells yesterday were at around 15p and now I can sell 10k at over 16k for the first time in a month. Seems that something happened in the book.
They will be absolutely raking it in now, not sure about the rest of GB but construction activity around London is frenetic. Speedy trading update a couple of weeks ago saw revenue up YoY 8% in April/May, HSS up 13% in Jan-Mar. How long this lasts is the question.
Agree - some very unusual activity!
I am not sure what is really going on with some transactions yesterday & today, sells, then being corrected to unknowns??
Time we headed back closer to 20p
So I guess that Tosca must be fully out by now, so I cant blame them any more for the SP not going up. I guess the SP is holding up pretty well considering the rest of the UK domestic stocks. 25% still is not much of a free float, 7 trades today so far at 1430
From latest annual report:
Exponent 33.43%; Ravenscroft 26.71%; Hestia 5.53%; Merchant Capital 3.97%; Lombard Odier 3.51%
That's 73.17% so free float is 26% plus or about £30m.
You can view the webcast for the results now, not really much to add, though the discussion around the tech evolution was interesting. They sounded very confident and relaxed. They are pushing hard on differentiating their customer proposition which I think is shrewd in what is a fragmented and crowded market. Not many companies out there with the opportunity to spend £5-10m on tech investment. Very few interesting or thought provoking questions, probably reflects the limited interest in the company
https://www.hsshiregroup.com/investor-relations/financial-results/
Probably didn’t matter how good the results were I think a lot will have been waiting for results to close positions, could end up red here regardless of the decent performance
We need others to see that this is the case too and start getting on board. Great results.
Great results......Turnaround transforming this company.....
Here is the pres. Pretty good results, cant see any flags really
https://www.hsshiregroup.com/wp-content/uploads/2022/04/FY21-Results-Deck-vFINAL.pdf
Long awaited and looks like positive news, let’s see how the market reacts to this.
GLA
Financial Highlights Continuing Operations1 FY21 FY20 Change Revenue £303.3m £250.1m 21.3% Adjusted EBITDA2 £69.8m £59.6m 17.2% Adjusted EBITDA margin 23.0% 23.8% (0.8pp) Adjusted EBITA3 £31.7m £13.4m £18.3m Adjusted EBITA margin 10.4% 5.3% 5.1pp Adjusted basic earnings/(loss) per share 1.52p (4.64)p 6.16p ROCE4 22.1% 10.7% 11.4pp Net debt leverage5 1.5x 2.8x 1.3x Other extracts Operating profit / (loss) £34.5m £(4.7)m £39.2m Profit / (loss) before tax £6.1m £(29.6)m £35.7m Basic earnings/(loss) per share 1.05p (15.13)p
Strong trading performance with new operating model driving improved profitability o 2021 like-for-like6 revenues up 20% year-on-year, returning to pre-pandemic 2019 levels o Capital-light Services revenue 24% ahead of 2020 on a like-for-like6 basis, o EBITDA and EBITA materially ahead of 2020 with EBITA margin almost twice prior year; reflective of operating model effectiveness and continued strong price control o Technology-led, low-cost operating model underpinning improved Group returns with ROCE4 increasing to 22.1%, up 11.4pp compared to 2020 • Materially stronger balance sheet with leverage on a non-IFRS16 basis reduced 1.8x to 0.8x o Net debt7 reduced to £45.4m (2020: £120.4m) o Sales of Laois completed for net proceeds of £10.0m and All Seasons Hire for £54.3m o Refinancing completed, reducing the ongoing annual interest charge to around £3m8 (2020: £16.3m) • Technology-led low capital intensity operating model continues to drive accelerated growth o c.60% of transactions now processed through HSS Pro, our new digital platform, enabling improved enquiry conversion as customers value the enhanced experience o Restructured organisation into two divisions, already delivering improved performance o HSS ProService – focused on customer acquisition, sales enquiry conversion and leveraging digital assets; and o HSS Operations – focused on customer fulfilment and service o Low-cost builders merchant network expanded to 55 locations (December 2020: 24), now representing 16% of customer orders in England & Wales. 44% like-for-like9 revenue growth
Quote
Materially stronger balance sheet with leverage on a non-IFRS16 basis reduced 1.8x to 0.8x
· Net debt7 reduced to £45.4m (2020: £120.4m)
· Sales of Laois completed for net proceeds of £10.0m and All Seasons Hire for £54.3m
· Refinancing completed, reducing the ongoing annual interest charge to around £3m8 (2020: £16.3m)