Member Info for Culley01

CPI do sometimes come out with a bit of good news just prior to a scheduled statement/ results so here’s hoping. I’m also hoping that although most of the news in the results is already known
there should be some concrete figures re debt etc that will hopefully encourage the market.

@Nic62 when I spoke to investor relations about a month ago re pension deficit they said they have already prepaid future years requirements & are not expecting any further calls following the 3 year March pension review

Having filtered Aim some time ago it’s quite amusing seeing reply’s to his posts without reading the original.

I must say I haven’t enjoyed the 30s much apart from the ability to average down.
3 X 100k of shares at 28 then 25 then 23

Could hit 29 today

I wonder how many investors both PI & IIs are in the same position as myself.
Have a substantial holding, have belief that’s this will prove an excellent long term holding but don’t want to add any more until we begin to see a sustainable rise. I know in theory I should add when they are at these levels but I would prefer to wait until I see 35p + and rising.
This may be Y/E results, August 1/2 year results, December Y/E statement or a few good contract wins or more disposals. I’m sure we will get there but I wouldn’t like to predict when.

Whilst I’m hoping for a rise pre & post Y/E results I have a feeling you may be right about August being the catalyst. By prepaying future years pension deficits in the 2002/3 tax year this will help boost TFC in future years. Also Y/E 2003 will give the first set of clear accounts without distortions from disposals (although we should still have a few to come). However future disposals should have the benefit of adding cash rather than being earmarked for debt reduction

@Cashola hopefully you’re right & it would be really good to see a price in the low 30s before the March results with a further rise post results.

I’ve got 2 orders in. One for a 100,000 buy at 25 & the other for a sell at 30.
I wonder which will come first as nothing surprises me any more with CPI share price
I should add that this is not my main holding which is a long term hold

It would be nice ( for a change!) to have a gradual build up of the SP prior & post results but I’m not holding my breath as we’ve been disappointed so often in the past

I’m not sure why people have it in for Nic62. He only made one reasonable comment

@nic62 good to see new posters & welcome to CPI chat

Well it’s killed off trading for the moment
16 trades in total for £58K

I must say I’m feeling more optimistic on CPI now.
I had thought that the Y/E results in March would just be a rehash of the December statement & we would have to wait for August half year results but having been reassured by CPI that the pension shortfalls are well in hand & are in fact ahead of target, further disposals to come & now generating free cash flow I’m hoping for a reasonable uptick prior to & after the Y/E results.
It would be nice to see a few contract wins & some more disposals prior to year end to help give the SP a bit of an uplift.

I emailed Stephanie Little (public relations manager) with a couple of questions & got a very prompt reply.
1) I asked if they were expecting further calls by the pension fund from the upcoming March triennial review. At present, depending on future market conditions, they are not expecting further calls & have in fact being prepaying future years calls.
2) I asked if they could give an indication of expected sale proceeds from disposals over the next 6 months. The reply was 0.75 - 1.0 X revenue but I’m not sure what revenue they are referring to.
If this makes more sense to someone else please post.

Twice as many sells to buys on ADVFN on a rising price.
Possible big buyer in the background with some after hours declarations?

@RiskyBiz - 50p for 2023 would make me happy followed by 75p for 2024 & £1.00 for 2025

To start with negatives I think the Y/E results due in march won’t show any free cash flow as substantial contributions to pension fund + disposal costs of sales (as indicated by SM) will take up all free cash flow. I also think that because of high inflation there is going to be another big cash demand on the triennial review by the pension fund & I think this is why SM indicated dividends wouldn’t start until 2024.
Hopefully that’s all the bad news.
Positives
Debt pre IFRS down to NIL & post IFRS also reduced
More cash in from additional disposals.
Cost savings really beginning to show in the bottom line
Hope for some good contract wins.

The goal posts on this seem to keep moving further away & unless the IIs decide that this now represents an opportunity or we get dividends/share buybacks I can see this drifting along in the 23 - 28p price range. I’m still positive long term but I’m getting somewhat impatient.

Happy Christmas everyone and a very prosperous 2023 ( it certainly will be if CPI eventually takes off!)

My idea of buying an extra 100k shares for 23p and selling after results for a quick £5k profit at 28p hasn’t exactly gone to plan. The first bit went fine (buying) & I think I may have a long wait for the next bit.
This really is a frustrating share, good news doesn’t seem to achieve anything apart from a very temporary uplift.
I have a feeling that SMs statement that dividends won’t start until 2024 is because we won’t see sustainable free cash flow in the 2023 Y/E accounts & will have to wait for 2024.