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GoCPI - interesting choice of words... I've evidenced my comments and I've made them available here to challenge/scrutiny on but the best you can come up with is accusations of gaslighting slander. Very curious. You also claimed that I'm "probably trying to get weak hands on here to sell to try and get a lower entry." - even more strange for I'm a tuppenny ha'penny investor here. Nonsensical conspiracy theories appear to be central to your argument and though curious, it looks very weak indeed.
SK - how is that throwing insults or vitriol? I've only called you out for what I see you doing - Gaslighting - I trust you don't want me to expand on what that is?
Reading up AR day in and day out won't really help with seeing where the SP is going to go from here. It may help you understand why it's at where it is now. What that won't tell you are the management activities afoot at Capita and the impact they could have on cash flow. It won't clearly tell you/announce that there was kitchen-sinking in HY 23 results when AH clearly said the transformation wasn't complete. He said there was lots more to be done to cut costs and turn this around properly. If you read the AR and make decisions on the basis of LFY FCF/profitability, then good luck to your investment thesis. You combine that with the management actions afoot, listen to the June update and get a real understanding for what the strategy going forwards is and how that would impact cash flow generation, that's then upping the understanding of your investment thesis.
Looking at the US economy, looking at UK GDP growth and then extrapolating that to an investment decision on CPI - I can only wish you the very best!!!
sk ive read them. believe me (and as i said) its a **** show currently but with the cost savings, new ceo and a new international strategy here things could easily turn round. im not sure you are recognising that possibility
Look throw insults about all you want but prior to investing my hard earned Englishes I'll always pour through the past few years results, together with context of macro e.g. ONS UK wide results too - i.e. to examine the landscape and asses if there's current value and/or future positive prospects of prosperity from making an investment. So far I'm putting down some fair challenges here and vitriol aside I've read very little that's changing my assessment of CPI - Sad really... because at first glance I thought I had stumbled on a possible goldmine with CPI and I was rather looking forward to being proven wrong/finding something less obvious from my analysis.
Trisor - I'm just simply looking at the published/audited sets of results... I recommend you give them a thorough read.
SK - "Meanwhile... UK will be worst performer in G7 next year with growth of just 1% - terrible state of affairs and CPI relies on growth just as any other business does."
Before we even talk about revenue growth at CPI, you need to consider the fat/costs that need to and are being cut. That is step one to get CPI to a state of sustainable FCF generation. And instead of idle speculation and a single-minded focus on lack of UK growth, its probably useful to focus on the FCF generation ability at CPI once these costs are cut. Even if CPI grows revenues at 1 to 2% annually, much of that should fall into the bottom-line.
Based on pure cost savings that could be achieved from 2025 onwards, and I'm going by numbers quoted by AH, we should be worth a good 2 to 3 times of this level. And if UK growth gets better and our revenues grow a lot more as a consequence, we'd be worth a lot more.
I'd wait for the strategy update in about 5 -6 weeks and assess the lay of the land. And I wouldn't bother posting negative comments day in and day out in a share where you claim you have no interest, but probably trying to get weak hands on here to sell to try and get a lower entry. We've seen plenty of gaslighters in our investing lifetime!!!
righto savage-bidenomics is a complete failure and the dmocrats are running the us into the ground
as for capita
1. are you privy to existing contract to determine each one's profitability?
2. are you privy to the current situation?
3. as only material contracts are rns'd , how do you know this?
i accept the **** show so far but you are making judgments based on very little tangible information for the current financial year which is now entering its fifth months. we have had a couple of big telecoms wins and there is a big cost cutting drive supposedly occurring. this could switcheroo really quickly. even a realistic prospect of a switcheroo will set this off
"UK is reducing its debt" - £2.7 Trillion and still rapidly rising... and yet no real terms growth to service the debts.
Trisor... Im not certain you're understanding Capita...
1. Long term contracts are proving unprofitable with revenues drying up simultaneously.
2. Yes, diversification to be welcomed but... I see no signs of profits received into the company coffers, is CPI mis-pricing in tender processes?
3. Outsourcing is not new, we all know this but... I see no demand growth in the figs and the macro situation looks unsupportive. Little evidence CPI is targeting its competitors lunch either.
My personal Credit Card Limit increases every couple of years too... doesn't mean I'm about to go bust... I'm just effective at managing my finances and growing my income, thereby allowing me a greater limit. The same goes for the US, as the world's greatest economy they've the checks and balances in place to grow their economy and their debts along with it.
Almost right
Germany is forecast lower than UK common link is manufacturing. Hey Ho! but wait for 3 months for the next report!
UK is reducing its debt so we will see some improvement!
Like I said before its difficult trading in the markets at the moment! You will get wild swings in the market. Long term investing makes sense but DYOR.
'Last chance to buy in at this price' - how many times has that been claimed on here? A tepid update next month and this will be single figures. Just because it's lost 75% of sp last year, doesn't mean it can't lose a further 75% from current. Even with earlier positive news, it's still reversed red today currently
Savage Im not certain you are understanding Capita completely.
1. We have long term contracts
2. We are looking abroad to diversify
3. Companies and institutions prefer to outsource to someone they can trust as it costs them less and allows them to concentrate on their core businesses
I would also point out that growth figures are an average for each subsection .
Finally 1.7% is not booming. The US's debt is increasing by about 3 trillion a year. That debt has to get serviced
Hi NOFEAR
That means Tim, Pablo & Helen all would have been working together at G4S. what a coincidence. This is UK corporate world.
Trisor: OECD forecasts US and Canada as the fastest growing G7 economies next year, both growing 1.8%.
Meanwhile... UK will be worst performer in G7 next year with growth of just 1% - terrible state of affairs and CPI relies on growth just as any other business does.
Hi kularatnam
The new CFO would had been working at the same time as Capita own Helen Parris Director of Investor Relations who also joined Capita after leaving her Director of IR at G4S position.
Agree Go CPI
The changes are all planned as I have stated before this is a controlled release of info to the market so as not to shake the boat! Expect more updates between Now and August!
The management has been resistant to change hence the reduction in share price forcing their hand!
This will be the last chance to buy in at this price.
You snooze you loose!
However Do your own research!
I've long been saying that this is overdue and it's highly likely that a financial cost control focused CFO is coming in. Welcome Pablo - after the multi-year disaster under JL and TW, its very encouraging that there's now a firm line in the sand and the old guard is being let go.
How on earth could those two say with a straight face that the restructuring was complete when it was nowhere close to being done and there was so much more fat (read unnecessary costs) across CPI's middle management, is mind-boggling. They just couldn't bring themselves around to making the hard decisions for CPI to be a truly cash generative business and these 4 years of obfuscation has led the SP to where it is now. An utter joke!!!
I would have thought the demise of Weller and Lewis would have been immensely healthy from a share price perspective but CPI continues to slumber ...
It seems that only proven cash flow and profit is going to wake this beast ....
So tell me why the AGM is seeking to re-elect the same individuals that have overseen this steep decline?
Also it Weller getting a golden goodbye
Appears to be a smooth and cordial transition. Normally only after someone at this level announces his/her resignation you look for new candidates and it takes a long time - more than three months - to find a replacement. Sorry for Tim, he has been sick for sometime and may not have been at his best. That does not mean he justified his tenure at CPI. Pablo may have been his junior at G4S. So there is a possibility Tim would have recommended Pablo.
This also shows the impartiality of AH because many of us here thought Xenia would have been the successor since Xenia was his CFO at SDL Plc.
To Lowden's credit, AH becoming the CEO. GLA
At last CPI may now have the key components of a senior management team who are able to take the company forward. This is now Adolfo's team taking shape and the old guard will be gone soon, thank goodness.
Yes Culley, me too re DL. Hopefully soon. I still have more shares than he does. Ridiculous!!
Pablo is interesting. Yes, he’s done restructuring like at G4S, but also divestment at Stansted. Interesting!
Also from Madrid but is that just a coincidence? I can’t see that he’s worked with Adolfo in the past.
Share price responds well this morning! Nice.
If anyone is going to the Agm please PM me or let me know how I can contact you .
Now this is EXACTLY what is needed -
“ Pablo has extensive experience operating as a senior finance executive across a range of sectors with companies directly comparable with Capita. He is highly experienced in driving change in complex businesses and has delivered significant cost savings, streamlined organisation structures and enhanced processes and systems. ”
Good move & has been predicted for some time. I would also be happy to see the Chairman David Lowden move on.