Member Info for Chrisjse

I'm very pleased with the results, why the share price is so low I can't understand. I'm wondering if it will only be when they start paying a dividend again that the price will start to reflect what the company is really worth! Which was why I asked a question yesterday. I couldn't watch it all live but watched the recording which had no Q&As. Did anyone watch it live? Did they reply to my question of:

The report says "...insufficient distributable reserves, no dividend is proposed..." which implies there are some "distributable reserves" but I can't see a figure given. What is the figure? (The word 'Reserves' only appears in the report four times)

Anyone know what is PANMURE LIBERUM increased EBT Estimate please?

AIUI the interims are unaudited so not a factor.

The date was announced 12th November 2024. So I expect they will give a date any day now for this years. Hopefully this will generate interest and move the price. The price has tended to move up previously in the three weeks before interims and finals!

WOW! It hit 83p earlier this morning. I think you must be right!

Great news. I really should sell some now as Carclo is by far my biggest holding. My problem is finding a share that I think has as good a potential. Any suggestions? I paid between 9p and over £3 for my holding with an average of 29p

The 28% reduction in the pension deficit is very good news but the announcement leaves me with more questions than answers.

From Final results 2024: "A schedule of contributions is also in place with the pension trustees with an agreed £3.5m to be paid annually until 31 October 2039. Additional contributions also agreed are 26% of any FY25 surplus over underlying EBITDA of £18m." Is the £5.1m payment on top of the annual £3.5m

Presumably the pension deficit (31 March 2024 £64.5m) has since then been significantly reduced by the £5.1m payment and were there any other payments made in the last year?

I believe the scheme is now closed so if there was no deficit would there be any payment?

Re banking facility what does "represents an increase in margin of circa 1.75% over the comparable previous facilities." mean? An interest rate 1.75% higher e.g. 6.75% rather than 5%, 5.08% (5x1.0175) or what?

Also from Final results 2024 "...Under the terms of the amended and restated bank facilities agreement, the Group is not permitted to make a dividend payment to shareholders up to the period ending 31 December 2025." has this now been dropped?

Why make these two announcements ahead of the trading statement due any day?

Last year it was made 26th April. Hopefully they will also be able to announce the result of the Triennial pension review then. I anticipate steady buying until the announcement along with a steady rise! I expect the results will be good but whether it will be good enough for short term buyers waits to be seen.

I think some recent buyers did expect fantastic results, good solid results won't have satisfied them and some longer term holder had been holding on and expected more and decided now to cash out. If I had any spare cash I'd buy more.

Yes good solid results. I thought there might be a price dip unless they were amazing. I had hoped to hear about the pension revaluation but:"There is a Triennial Revaluation as at 31 March 2024 underway which is expected to conclude by 31 March 2025." Once that is complete, unless payments in have to rise significantly, the share price should start to motor!

And now they've sold the extra shares. With the large spread surely they must have made a loss? There actions were strange now it's bizarre!

Very strange. They bought another 0.26% at almost a high for the year at a much higher price than were selling in the last couple of months.

Now that I'm back in profit on Carclo I need to reduce my holding as it is by far my biggest holding, and suggestions for other small stocks please?

I would have thought significantly reduced borrowings was very positive!

Today's announcement seems to confirm my thought that the compensation payment was significantly less than £10m It was a framework agreement and not a cancelled order. I suspect the get out clauses for the customer may have meant that they were not contractually bound to much if anything. Carclo were paid for the work they did but had also incurred expense in putting the production capacity in place to be able to fulfil it. They say they've "reallocated to enhance projects with existing strategic partners." I'm hoping that this will improve the margins on those contracts by newer more efficient equipment and also leave spare capacity for new business. I got the impression that the 'leading global OEM ' was an existing Carclo customer before the 'Framework Agreement' but on rereading December 2020 announcement I can't see that mentioned. Am I reading into things something that wasn't there or was there some other mention? If they were previously a customer of Carclo for other products I wonder if they remain so?

Anyone know who Philip Parker is?

I tried Googling "Philip Parker INVESTMENT" a few possible but nothing obvious¬

" 36k and 24k." is I think a huge vote of confidence. We are almost certainly not talking about multi millionaires here, it could easily be a very significant investment for them. In addition to 'William Black/Armstrong Investments Limited'
Schroders have increased their holding to 13% They are no fools!

I think 'Tooling' will refer to the making of the special moulds for the anticipated new products and is unlikely to be of use to other customers this is why Carclo will have been paid up front for them. There will also have been investment in production machines, extra space and possibly even extra employees but given the recruitment problems I suspect they won't have to lay off many if any there shouldn't be too much of a hit. They should be in a good position if they can win other new business to utilise the extra capacity. There may be a short term cash flow impact as they've probably ordered more raw plastic than they will need in the short/medium term but unless prices drop that would be an advantage longer term. Realistically I think Carclo won't end up much/if any better off than if the 'framework agreement' had never happened, it is the longer term profits that will be missed. The customer is going to be taking a much bigger hit.

Is that right, not a single share traded today?

I think. "4 The Carclo pension fund paid out £9 million in pensions in a year when Carclo only made £3 million top-ups to the fund." fails on at least two points. If as you say it is not a closed fund I would expect standard payments by Carclo into the fund which would be included in the wages bill as well as the top-ups? Also what about investment income and capital appreciation? I appreciate the capital value may be down.