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And not the start I was expecting ffs
Back to the dog pound for you Cyberpuppy!
500+ odd negative posts since January 2021 as anyone can tell checking your profile and all posts on one BB Metro Bank no doubt you bought back in the heady £40 days and hold a long term grudge...its the future that matters, results were good imho and in time the share price will recover!
At least 40p starts
Yeah fantastic, just look at the share price go, honestly don't know what planet folk are on at times
Not a shorter- I bought in at 2019 "low point" and have watched the mismanagement thereafter. I hope, like you, that there is a sale soon with someone like Shawbrooks taking on the business on with a reasonable premium (they affered >£1 a share before the recapitalisation). But the worst case scenario is that we have a poor CEO driving the business towards another recapitalisation with the new owner now willing to let the shareprice slide as cover in case he has to take private-as he should have been forced to do in October. Its impossible to tell what is going to drive performance of a stock which is 75% owned by less than 20 institutions . But I doubt it will be based on fundamentals. But someone has to call them out to keep them as honest as possible
He can't afford a car now let alone a real view mirror..that short smoking!
You’re looking in the rear view mirror. Close the short and move on. The banks future is bright and it’s going to grow again within this new capital base. Already planning new branches in the north if you drill down and read within the results. I’m ignoring the negative shorters. Going one way
Results pretty good in circumstance 10% on sp at least imv.
Another £30m of annualised cost savings to come on top of £50m already bagged straight to the bottom line at 8 75% adds 50p to current share price.
Will Metro Bank be target of another takeover bid?
Daniel Frumkin, Chief Executive Officer at Metro Bank, said:
“Overall, Metro Bank performed strongly in 2023 as we continued to position the business for growth. We were pleased to return to profit on a statutory basis and deliver our best half-year results for several years. After addressing our capital position in Q4, we also launched a successful deposit campaign, with deposits totalling £16.5 million as at the end of February 2024.”
“During the year we also launched a cost saving plan which included reducing store hours and roles across the organisation. These efforts will ensure the bank is right-sized for the future, with a strong focus on both digital and great customer service.”
“Looking forward, I remain confident in our ability to be the number one community bank. The work we have undertaken this year has laid the path to become a structurally profitable business and our focus towards the SME, Commercial and specialist mortgages sector presents an exciting opportunity in an underserved area of the market. I remain grateful for the continued support of our colleagues, customers and shareholders as we embark on the next chapter of our journey”.
I would argue Q4 performance (post the issues in October) is the better predictor of near term future and it looks like £5m a month losses AFTER the cost reduction. The big question over the medium term is whether the bank can slash £80m from the cost base and continue to have a differentiated service proposition. If you look at what Frumkin was saying at the half year it was all about the growth in low cost deposits built on teh service model- highlighting the growth in accounts during the extended hours! All of a sudden that doesn't matter? Hard to see how you could look to a positive future with this CEO in place. Over last 4 years the cost base grew by £150m and Frumkin had no interest in cost reduction- it was all about growth. Now, having mismanaged the recapitalisation, promising IRB to the market and then "having" to announce he wasn't getting it, prompting a shareprice collapse and £1.5b of current account balances to leave the bank, its all about taking out cost with no impact on the top line. Really?
HtTps://youtu.be/huPB3T0v_uQ?si=tH1TDVEB6sFo4bS3
Statutory profit £30m x3 concensus.
Annual cost savings £80m up!
Deposits up!
Customers up!
NIM margin up!
My c@ck up!
Time to look forward not back
Looks like they lost £1.5b of current account balances in H2. Not as bad as it could have been but explains a lot of the Q4 loss- i.e. 1.5b x 5.25% = £75m annual hit to the P&L. The new current account performance stated in Q4 (50k) is positive but notable it is not a net new number. And big question is whether that is the same quality of accounts. Looks from the disclosure that they lost proportionately more higher balance SME/commercial deposit balances.
Splendid!
Statutory profit before tax of £30.5 million for the year, the first time since 2018, with a 67% year-on-year reduction in underlying loss to £16.9 million.
Deposits of £15,623 million as at 31 December 2023 are up 1% from June leading to an elevated liquidity coverage ratio of 332% as at 31 December 2023.
Underlying revenue grew by 5% year-on-year reflecting effective asset rotation and increased yields plus 12% growth in capital efficient fee income, whilst costs marginally reduced, creating positive operating jaws.
Continued to grow personal and business current accounts, opened 246,000 accounts in the year and over 52,000 of those were in the fourth quarter.
On track to deliver £50 million of annualised cost savings in Q1 2024 as previously announced, these savings have been actioned with c.1,000 colleagues, equal to 22% of headcount, leaving before mid-April.
A further £30 million of annualised cost savings is expected to be delivered by the end of 2024.
Remain committed to stores, including opening new stores in the North of England.
Secured the capital position and extended the debt instrument maturities to 2028 or beyond
Key metrics all ahead of market expectations including the annualised cost savings. Markets look forward not back. A few negative reactions suggest some short positions will need to be closed.
So the bank made underlying losses of £17m. Given the half year profits were £16m and Q3 had a "small profit" suggests the bank has lost over £30m in the last 3 months. £10m a month underlying losses is a pretty nasty place to be. The cost reduction wont have kicked in- but £50m annual savings, so £4m a month, isn't going to offset it all. You get to the same place looking at statutory- i.e. the bank got a one off gain of £61m from the T2 restructure (net of transaction costs). SO add in Q1-3 profits it would have been at £80m profit. If you take out the £15m restructuring costs that is £65m profit. So they must have lost £30-£35m in Q4. Cant see how structural unprofitability justifies a re-rating. But as a highly manipulated, closely held stock, who knows?
Knocked what out the park, still delivered a loss making year overall!!!!!!
Market was also expecting to hear that cost reductions would be £50m. These cost savings have now increased to £80m. This bank will be on a PE of 1 at this rate.
Well done metro bank.
Let this multi bag baby
That at least this one beats expected numbers. Feels every update of every share I own scores an own goal some where and makes you wonder is it worth it or better going under the mattress. Vanquis and thg being most recent mismanagement
Results day
Hoping that proactive have uderestimated metro's profit. My sensible side saying 11m feels about right.... do you rate proactive journalism primetime?
Click on link of mine
proactive investor below