The next focusIR Investor Webinar takes place tomorrow with guest speakers from WS Blue Whale Growth Fund, Taseko Mines, Kavango Resources and CQS Natural Resources fund. Please register here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
That's a completely nonsensical way to calculate an average.
Time will tell - real move masked by rate cuts hope - coming sooner - supposedly. When the tide goes out again is the time to take a view.
I trimmed a further15% as a hedge. My DLG average is now sub £ Zero . Now the add phase.
Think I've got lucky, just dumped the £50K i bought last night for 217 so 700 quid profit in 12 hours, not life changing but I just can't call which way this is going to go.
Or ... the market suspects that a third bid may get over the line?
As expected buoyant markets holding this up for now. Sems 204 test held.
Calm down, calm down! FY23 was always expected to be an annus horribilis. Despite DLG increasing premiums throughout FY23 it was never going to immediately fix the problems created by its underpricing in FY22 and the initial part of FY23; it's called accruals accounting. It means that expenses are recognised as and when they arise whereas income is, more often than not, spread over the term of the policy i.e. there is a lag. There are already indications that the "worm" has turned in the first two months of FY24 and hopefully this trend should now continue without any further material inflation-related cost shocks in motor.
Weather-related claims are, perhaps, slightly elevated and perhaps there is more work to do on home premiums over the next 12 months. In the past, claims might have expected to be materially higher in the first quarter following winter-related weather events but we do now seem to be seeing more regular weather events outside the "normal events window" e.g. summer flooding events to appear to be on the rise (either that or there was chronic under reporting in the past). Whether increased flooding events are entirely related to Climate Change remains to be seen e.g. the increase in flooding events may in part be explained by (unscrupulous) developers having built more new properties in recognised flood zones over the last 20-30 years.
Are back.....or maybe not!
While the Board is confident in the actions taken in Motor, it recognises that the period over which to judge the sustainability of Motor's capital generation has been short and consequently this dividend should not be regarded as a resumption of regular dividends. The Board will update on any changes to its dividend policy, alongside the conditions it has previously set to consider restarting regular dividends, in July to coincide with its planned strategy update.
The D LG board stated the Ageas offer materially undervalued the company but that was BS. If anything the offer was generous based on these results.
Interesting to see what Areas do next, and how DLG major shareholders react.
May think twice about adding unless 160s.
If the US futures hold up the SP at the open it might cap the move.
Guess the 4p won't help. Maybe Mr Market will shoot up the price 🤔 to confound us all.
Not good, will drop
Jam tomorrow has been offered, but only crumbs today are on the table.
I fear the market will not take these poor results well at all!
Underwhelming for sure. Shocked by the op loss. Ageas could well walk away here.
Will buy on weakness though as I like jam.
Have just cancelled my Privilege policy as it was up 80% from last year. No thank you.
The figures are not good, lets hope Ageas dont walk away or we will be looking at 1.50
I suspect another Ageas offer will be listened to, as the update was underwhelming. The dividend of 4p has only appeared because of Ageas, otherwise there wouldn’t be one, and full resumption is not guaranteed. DLG looks pretty vulnerable.
Shock operating loss, lucky for the fireside gain on the disposal.
Ageas should move today. Popcorn ready.
4p only, lower end.
This is key for me. The white flag is up. Investors are done waiting.
More jam than Hartleys !
While the picture has improved, we need to do more to drive performance and we have identified immediate actions we can take in 2024 to create value, including substantially reducing our cost base, driving claims excellence and optimising pricing capabilities whilst returning us back to higher quotability levels.
A 4 pence dividend is dismal
Lucky the markets are positive this am.
In many ways ... especially the King's X noticeboards and London. Woke n broke.
Are back!
Of course they will come back with a bid Mary .
We are Uk citizens beings pilfered out of the last remnants of Uk profitability. You’ll be given short term incentives . And be happy.
The demise of the uk has been happening before your eyes Mary.
The bull case is...
It looks increasingly likely that Ageas will come back with an improved offer after it appointed Deutsche Bank to work alongside its existing list of advisors on the bid.
Any bid would need to be made by 27 March, six days after Direct Line’s results.
The set up...
UK
Direct Line takeover speculation still rife as results approach
Published: 11:58 15 Mar 2024 GMT
Direct Line Insurance Group PLC (LSE:DLG)’s final results on Thursday, 21 March come hot on the heels of its rejection of a takeover bid from Belgium’s Ageas last week.
Indeed, “investors will be keen to hear thoughts from management and details on ‘further initiatives’ supposedly coming” in the results, according to Hargreaves Lansdown’s Matt Britzman.
Ageas’ offer had valued Direct Line at £3.17 billion, comprising of 120p in cash and one new Ageas share for every 28.41107 Direct Line shares.
“There’s still plenty hanging in the balance,” Britzman added, with speculation around takeover deals propping up the share price.
Aside from takeover talk, motor insurance price hikes will likely be a key point of contention in Direct Line’s update.
That said, “Direct Line was slower to raise prices than the wider market which means it’ll take longer to feel the benefits than peers”, Britzman commented.
Any commentary from new chief executive Adam Winslow on plans to improve margins will therefore be awaited, he added, with Direct Line still facing a “long way to go” in regaining investor confidence.
Per DLG. ... a lot riding on the presentation today. Let's have a good one.
The Board is confident in Direct Line Group's standalone prospects given its strong strategic position, powerful brands, and robust capital position. Adam Winslow will take up the role as CEO on 1 March. He is tasked with refreshing the strategy and operational focus of the Group with the clear objective of returning to a sustainable level of operating profit over time.