Member Info for andsoforth

Key here is the expectation that debt will be reduced, and the maintenance of margins. Revenues for the first half have more than halved.

https://www.morningstar.com/articles/987068/article

This is an assessment of the impact of the virus on US insurers, but it has implications here. It seems generally positive. Clearly suggests there is long term value here too.

The trading update on 28 May suggested EPS would be significantly lower than last year, with an expected decline of 20%. This WILL be reflected in a reduced ongoing dividend. But the company also stressed its strong balance sheet, which must have been helped by the recent demerger. The final results in March, though now very much historic, were remarkably decent. Return on NAV was 15% and the solvency ratio sat at 166%. Uncertainty reigns, but with the price here at c50p, it strikes me this could be seen as cheap in the longer term.

FCAP has borrowed £1.8m at 3.65% to kit out its fancy new London offices, just when the rest of the sector is realising the value of working from home!!! This is starting to look more and more like a vanity project.

https://www.bloomberg.com/news/articles/2020-05-23/hertz-files-for-bankruptcy-after-rental-car-demand-vanishes

A different sort of business, but perhaps some similarities.

I've been watching this for a year or two. It always struck me as a business with a great past and great potential, but held back by sloppy management. Crystal Amber held 17% before the shakedown, and are at 19% now. They are not infallible, but they have a decent long term record. The worry for me is the level of debt, even if they claim headroom and secure covenants.

Does anyone think we will see dilution here? The updates in Feb and Mar seemed quite positive, all things considered. The "Turnaround Plan" seems sensible and viable.

"The Board is pleased to announce that GIS expects to report EBITDA of £1.65million, on sales of £5.8 million for the year ended 31 March 2020. Although this is a 6.8% decrease in profits (2019: £1.77 million) and 7.4% increase in sales (2019: £5.4 million) from the previous year, these results reflect the reduction of overall profit margins reported in 2019 and additional administration cost incurred in association with the development of its subsidiaries. The impact of Covid-19 saw a decrease in event driven equity volumes, but an increase in credit trading.

· Sales ?increased by 7.4% against FY2019
· EBITDA reduced by 6.8% against FY2019
· Net EBITDA profit margins 28%"
Given the current conditions, these seem passable results. The real test should be in six months.

The dividend is not fully covered, but cashflow is strong. The dividend is not fully sustainable at this level, and they may use the virus as a reason to trim it. Things may be a little stronger at BAT. Good luck.

The dividend is not fully covered, but cashflow is strong. The dividend is not fully sustainable at this level, and they may use the virus as a reason to trim it. Things may be a little stronger at BAT. Good luck.

Thanks sgee. I am indeed a long term and long suffering holder! The update last month could have been a lot worse, and the FCA investigation should conclude in the next couple of months, so from here on in it is all plain sailing!! Good luck!

https://www.investegate.co.uk/m-c-saatchi-plc/rns/holding-s--in-company/202005050710419387L/

Accounts for the volume, and the rise. That is a lot of money she has spent. What do you reckon sgee?

Volume of more than 24m today, including a sale of more than 12m. Is someone dumping shares? Price closed 10% up though. Anyone have any info? Thanks.

https://www.lombardodier.com/contents/corporate-news/investment-insights/2020/april/too-much-of-a-crude-thing-a-kick.html?utm_campaign=cio_viewpoint_oil_markets&utm_medium=OC&utm_source=twitter&utm_term=investmentinsights&utm_content=april2020

The yield is now c4%, so if you buy at this level it is still a decent income share. However, the dividend is still not covered by earnings, and cashflow is stagnating. Oil has been hit from all sides, and a recovery is still some way away. When it comes it could be rapid though. Overall, I think this is a wait and see situation, and most certainly not a buying opportunity. (My divi here pays for the tax and insurance on the car. I have dug the push bike out of the shed!!)

Cheers Adam. Much appreciated,.

Nothing from the company since November 2019, ansd usually an update at this time of year. Does anyone have a clue what is happening here? Thanks in advance.

Arrived at close of play today. Thanks to Tom78 and MrMath.

Has anyone else NOT received the dividend today?

In January the company claimed a "cash balance" of £3.6m, and the market cap is now £3.8m. The update then was poor, and there has been nothing released since. Any opinions?