Member Info for Adastra

I can't disagree with your logic and I think our discussion exemplifies the pressures on the BoD over the past two years. Whilst I accept that Brexit vote had already occurred I don't think that anyone could have foreseen the squabbling farce that has played out in Parliament. I would much rather see prudence within the board of TPG than a pressurised purchase of an inappropriate or overly expensive asset. Yes, I hold a lot of shares and yes it is frustrating but I prefer the current financial prudence and security to a despairing discussion on 'why did we buy that' Obviously just my own point of view but at least I can sleep with few worries. Happy to bide my time and anticipate a well researched and keenly priced acquisition to follow at an appropriate time soon. Kind regards...

As a LTH and accumulator of TPG I read the comments here with interest, contributing when I deem useful as other members have more 'field' experience in pertinent areas. The only point of contention amongst investors seems to relate to the 2017 fundraise not the quality of the company and its ongoing acquisitions. I believe the current management to be astutely aware of both that AND the fact that the landscape changed markedly after the raise due to increasing Brexit uncertainty. Whilst having little direct effect on TPG per se it certainly dictated a greater level of financial prudence. When uncertainty prevails, cash is undoubtedly King. Management in many companies is facing the unknown going forward and that can present both obstacles AND massive opportunities for those that are cash-rich. TPG has placed itself in the enviable position of having a significant (£20m+) war chest and a thriving business starting to generate significant cash (post substantial capital investment) whilst also carrying out a diligent acquisition strategy. Whatever the future, I am comfortable that prudence has prevailed over profligance. TPG is being successfully steered through uncertain times with seasoned management at the helm whatever boardroom differences may prevail (as happens in all good meetings). Don't lose sight of the fundamentals; this is not a company that's going to toss the begging bowl at unwary investors.....Sound and focused.

Two packets of 1.5m shares picked up in close order shows SERIOUS interest here as that is almost £200k. Nice indicator and a portent of increased interest in this undervalued gem with a big wedge of cash in the bank as well as a thriving and growing portfolio.

Anyone else noticed that a third of the way down this TP page it shows the classification as general engineering.....WRONG LSE ......TP is in Aerospace and Defence as all posters here are aware. It was reclassified on Dec 13 last year.

https://mobile.twitter.com/TPGroupUK Hi Max, TP Twitter feed is a mine of info. If you scroll back to July 3rd they were working across the board with partners and related industrial colleagues eg Qinetic/BAe in Sweden.

Thank goodness Able......agree with Dar et al that the subject has little relevance here and the depth and content of the info was better suited to a 'banking share' board. I have less than no patience with the over-salaried eschelons in that particular field. Give me the prudent, sensible BoD at TP Group and those invested here who continue to make this board most interesting, informed and relevant. Amen.

Nice busy start to 2019 for the group with part contract confirmation with MoD. The key news here is participation with Micropore and TP group gaining traction with acquisitions and partnerships previously announced. 3 contracts in the first six weeks of 2019 gives us an excellent start to the year. News of a substantial add-on acquisition with immediate earnings enhancement would really be the ideal boost that the MCap deserves. Keep up the prudent policies and keep driving organic growth till then. Sound BoD here.

Revenue and cash ahead of market expectations. Fine by me.

Fact, pure fact as per trading update The Group is therefore pleased to report that trading for the year ended 31 December 2018 has delivered revenue and cash ahead of market expectations, with adjusted operating profit in line with market expectations. .........suits me fine thank-you. This is what matters, the rest is guesswork.

The two key factors here relate to the specialist engineering facility where facility upgrade and machinery bore upfront costs on the back of the initial 2 year contract with GE for £1.6m. The fact that GE has announced a new 4 year £6m contract is double the previous workload at £1.5m per year, not 2 years. Whilst the maritime engineering business has been powering ahead, the general engineering has historically been loss making and low margin. I expect the Dukinfield facility to now motor ahead as it has specialist capabilities that it previously lacked. Given that all other aspects of TP are nicely profitable, this upgrade could have significant effect. The facility upgrade and capital injection required is complete and margins will increase accordingly due to the specialist equipment and skills available. The 4 year GE contract shows huge confidence in the facility and should encourage other orders across the board. The potential effect on the bottom line cannot be understated and the possibility of a maiden dividend is certainly not beyond possibility given prospects even with delayed acquisitions.

Solid progress at Manchester cutting-edge engineering facility.
https://www.investegate.co.uk/tp-group-plc--tpg-/rns/additional-contract-for-nuclear-systems/201901220700046869N/
Continuing confidence in TP's advanced engineering facility in Dukinfield by a major player like GE is a real driver alongside Marine, IT and logistics support. Good news that all divisions are benefitting from management actions and internal promotion.

Strong year-end trading update as expected on all fronts with acquisitions adding the excitement of outperformance ahead on top of good organic growth. It would have been better IMO to provide this update later in the week or next week after the Brexit dust has settled somewhat. I can't help but feel that the rise that would have accompanied today's statement has been suppressed by external events. However, an excellent year behind us, a solid one ahead (with room for surprise upwards) and £20m plus in the bank is a darned good investment case in an uncertain world however it unfolds.

Hi Max. I agree with all your comments but still think the case for entering the divi-payers club is now crucial. Why? For all the above reasons. We have excellent contracts with govt and blue chips extending into the horizon giving good earnings visibility. We have prudent management focused on value extraction in their acquisition strategy. We have a cosier able amount of cash which would comfortably support a 0.2p maiden divi with little effect on reserves. It's a bit like Dragons Den where the benefits of becoming a dividend payer reaps multiple benefits over the cost. TP Group would be entering the premier league for fund managers restricted to 'growth shares with divi'. I honestly believe that we could not pick a better time than to announce the introduction alongside latest trading figures. No-brainier IMO.

In line with recent years it would be usual for TP to give a t/u and results notice. Management prudence and focus has been key to maintaining significant cash at this opportunistic time for acquisitions. They have added complimentary companies already at excellent p/e with immediate earnings enhancement. Given the strength of significant long term orders and increasing workload there is no better time IMO to introduce the announcement of a maiden dividend. It would immediately place TP in front of investment managers restricted to AIM divi payers and a wider audience. Let's hope the BoD have the continuing foresight to see this golden window.

Lots of strong relationships being built here by TP group with blue chip companies. Thales, BAe etc are pivotal to the growing size and credibility of TP alongside strong and long-term MoD contracts. Excellent news.

https://mobile.twitter.com/TPGroupUK/status/1074988139981213696

Yet more good news on Twitter: We are pleased to announce the signing of a collaboration agreement with Thales for work on surface and subsea maritime platforms #ThalesUK #maritime Announced today

To really see the prospects for growing marine organically see the COGS applications - 'submarine AND surface'. https://www.tpgroup.uk.com/news-and-insights/case-studies/2018/cogs-combined-oxygen-generating-systems/

This is good news as Aerospace and Defence clearly represents TP Group far better than industrial engineering. The BoD has carefully refocused the group into very defined parameters and is organically growing across the board. Let's hope that the group now attracts a whole new range of II's who can see the benefits of the move. At least the sector carries a higher p/e than industrial, based on areas for that growth and expansion and reflects the 'upmarket' nature of the group. Also means that the envisaged acquisitions will probably be more receptive to approaches by TP. Now let's see the MCap track the prospect So!

The microturbine tech held from the Corac days could be very valuable since it can either generate energy from gas pressure or conversely increase gas flow rates by inputting power. It was trial led in generating power from the US Henry hub system during pressure step-down and also in Texas in increasing gas flow from oil wells showing reduced output. The potential applications of this tech to industrial, marine, aerospace and subsea should be borne in mind as Spirax-Sarco have demonstrated with their 'power from steam waste' programme. Nice IP to have in the chest along with the big cash reserve and contract flows. Completely overlooked and oversold IMO - accumulating quietly!