Ben Richardson, CEO at SulNOx, confident they can cost-effectively decarbonise commercial shipping. Watch the video here.
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At these levels - SRC has to be a buy? - this is the support
- Most recent TU - trading "ahead" of expec.
- Excellent management
- Buy and builds appaer to be integrating very nicely
- Support SP at these levels
- TU imminent?
- Strong CF and profits.
- no supply issues
- inflation can be passed onto customers says management
SP should not be here IMO.
thanks for your replies - I personally don't want a divi
I'm with the Italian on this one - the company is focused on acquiring and integrating construction material businesses into its various trading platforms and as such its short term plans are relatively transparent - use cash and debt to fund acquisitions and growth. I don't see a dividend here for at least 2/3 years. What we should note is the LTIP incentives due in 2024 - the majority of which max out at 8p eps - and achieving that number will make our senior management team a lot of cash - so there's a clear focus on driving earnings growth in the next 24 months. SB
based on nothing more than gut feeling,my personal view is no dividend likely for some time.i would expect them to want to wait and see how the johnston acquisition beds in and what feeds through to the bottom line over a period. just my opinion and could easily be wrong.
What do posters think about the possibility of a dividend for 2021?
I hadn't really expected one but would be a pleasant surprise.
A 1p divi would only cost around £6m and would put SRC on the radar of income funds and the wider market.
I know the Company focus is to use cash generation to buy businesses but a £6m divi would not make much of a dent in the cashpile.
Trading updates are generally considered in the category of 'good practice' and as such do not require prior market notification - unlike H1 or full year results for which definitive release timings are issued the market. To that extent I expect IR are probably just not in a position to provide feedback - and the business had the Johnston acquisition to finalise and start to integrate. I would be surprised if we do not hear from the company in the next week or so on what is likely to have been a strong 2021 laying the foundations for a £500m revenue business in 2022 and a 20% EBITDA - which will hopefully be the catalyst for a decent re-rate of the current share price. SB
Last December's update was a week later than 2020. The Nordkalk takeover has really enlarged SRC and an update would be a full year one as well. Therefore would give them up to the 18th to issue one.
wonder if we will get a further trying update for full year 2021 this week.had one on 4th feb last year.
GOV waffling in Parliament about considering the carbon impact of concrete and construction - good thing Sigmaroc has already started onto the "green brick road".
https://sigmaroc.com/2021/06/10/greenbloc-update/
SigmaRoc Plc, has reaffirmed its commitment to reducing the construction industry’s dependency on cement by becoming the only company to offer a cement-free ultra-low carbon alternative for every product in its precast concrete portfolio.
From January 2022, every product currently manufactured by Sigma Roc’s Precast Product Group (PPG) – Allen Concrete Ltd, CCP Building Products Ltd and Poundfield Precast Ltd – will be available in a cement-free ultra-low carbon option.
The announcement follows the launch of Greenbloc – the first ever cement-free alternative to ordinary Portland cement (OPC) blocks – in February 2021.
The cement-free range, which also extends to bespoke solutions, will be manufactured at its five sites located across the country, to provide the broadest geographical reach of any precast concrete product supplier in the UK, while also minimising carbon emissions throughout the supply chain.
emmanuel maes buying again, reasonably significant amount.
more directors buys confirmed this morning.looking interesting.have purchased a modest holding in my sipp drawdown. this morning
Further to 3 directors announcing buys on 6th and 10th Jan........."Furthermore, on 12 of January 2022, Paul Gustavsson, ExCo for Nordkalk, purchased 25,000 Ordinary Shares at a price of 99 pence per share".
I have to say….if that’s how these shares react in a pull-back…,.imagine what they’ll do in a boom!
Dyor
I doubt if it could be taken over for less than a £billion now when the quality and quantity of the assets are taken into account, never mind the projected income!
Dyor
I'm tempted to add to my 2021 holding to, I must admit these are getting pretty much everything right thus far, I think 2022 could be a bigger year than 2021 at this rate, well backed by IIs to fund the next stage this year, a real contender for another doubling in size this year, with further acquisitions.
I think we will see £1.20 fairly soon, and with news beyond, best and simple thing about SRC is that with each acquisition they can tweak numbers to show growth without anything organic going on, with organic growth (which I think the EU/UK is going through in build/construction) as well, means this is a double bagger for me.
DYOR , considering adding to these below £1.
This is a really well run and focused company. It was one of my best buys in 2021 and I recently added a few more. It still more room to rise so this an excellent start to 2022.
Had taken my eye off SRC whilst the sp fell back. They were too cheap to sell last week. Even after today's rise, still too cheap to sell now. The company they have agreed to buy Johnston Quarry Group, who have some quality assets. In theory that means no worries about inflation, as quality homes and developments require superior materials and products. Should be a relatively straightforward integration.
Have had a look at the JQG websites, links below, for anybody interested.
https://jqgroup.co.uk/
https://www.buildingstone.co.uk/
https://bathstone.com/
Regarding the Nordalk acquisition, that was always going to be a large buy to digest. The final results and report around April time, should give us a much clearer idea of progression.
There’s just no stopping these guys! They are progressing fast but carefully.
My dream share!
Dyor
Today’s acquisition plus other quarries in pipeline is a sizeable increase relative to interim turnover.
Fact that it is being acquired without issue of new shares is a positive for me.
When you consider how well they got through the first major lockdowns I am confident they will excel again. Highly motivated and determined management. IMO. Fingers crossed for a prosperous and happy new year to all.
Any views in effect of latest Covid variant on Sigmaroc operations???
Thanks silverblade - I concur with your estimates.
Those shares where I have had success have been consolidaters such as Northern Leisure in the 90's and Ashtead in the noughties so that is the attraction here coupled with a solid track record from sound management.
By my reckoning, the addition of the Nordalk business will take's SRC's average monthly turnover to c. £40m. Full year 2021 should be £270m+; with 2022 looking at £500m based on a 5% organic growth rate. If the business can achieve its target 20% EBITDA we are looking at £100m of earnings in 2022. It will be possible to add further small scale acquisitions without breaching a 2 x EBITDA debt ceiling - with the scale of free cash flow in future years adding considerably to the companies ability to pursue further consolidation opportunities. SB
Can anyone tell me if the “unknown “ deals in black are discounted trader deals or something else? Thanks