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Under IFRS 16 lease liabilities were brought on balance sheet.

You could argue it's a technical accounting point but as they
are now classed as a debt I thought it worth amending my post.

Yes KGF still have approx £800 million of cash, but also longer term
lease liabilities.

* cash of approx £800 million Excludes lease liabilities.
So I should not have referred to it as ..net cash.

An Edit function would be most appreciated on LSE !.

Doug, it looks like the market is pricing in a marked slowdown.

As you have seen with BOO, Down over 70% in 12 months,
when market perceptions alter it can result in dramatic
price movements.

Given approx £800 in net cash and an already modest multiple,
I would hope recent lows around 2.47/8 may provide some support.

However, we now have inflation levels not seen for decades,
this is a highly volatile business backdrop.

I do not have the resources or depth of understanding
that sell side analysts have!, mine is just a guesstimate
IF economies markedly slow over the year ahead,

Yup read the guidance, however guidance is subject to revision.

If they can do 22 pence on EPS - significantly below current consensus
gives a forward multiple of approx 12.5 x.

What we do not yet know is how big an economic slowdown
we are looking at. Recession no longer out of the question,
but would hope we can avoid that.

Results exceptional as was long since known,
balance sheet transformed over the last 3 years.

However, headwinds are growing for retail and many other
sectors, are we heading for a recession etc?.

Around £765-770 on pre tax now looks a tad optimistic to me.
An interesting few months ahead for markets.

Diesel now above £1.80 in the local area.

My fuel costs are up by about 60% over 12 months.

Neil, that's a chunky trade.

I shop mainly at MKS for food,
but with everyday expenses rising so rapidly
now spend about £150 a month at Lidl to supplement my MKS shop.

It's a tougher retail backdrop than 2021, you could argue this
is now in the price.

Morgan, recent data on their food side looks positive,
however that's on % share, not margin.

Certainly a more challenging backdrop, but then the recent SP
already tells that story. Whether it's now allowed for at these levels...

Not YNGA though.

Some posts removed - good to see the mods taking action.

All his posts appear to have been deleted....?

on this forum.

Different views are welcome, otherwise it becomes an
echo chamber, but personal comments add nothing to
a discussion.

Fixed cost work now reduced to a small %,
£150 million buy back in FY '22 with a
growing dividend and net cash position

Strong Buy is on a 3 year basis

The businesses will eventually be sold, if that's what you mean.

That's the basis of the Melrose model - Buy, Improve and Sell.

They have successfully executed this strategy since the days of Wassall PLc,
their previous investment vehicle - that first operated when I just in my
early 20's - a very long time ago!!.

However, there are huge current challenges - longer term looks a lot better, all imv
as always.

Is that a serious question..?.

Their 2 major sectors, civil aerospace and auto
have been hit hard firstly due by covid, followed up with
chip shortages impacting auto production.

Now we are faced by sky high oil prices impacting airlines
and a wider cyclical slowdown, if not recession. as consumer disposable
incomes are increasingly squeezed by higher prices.

In a nutshell.

That being said, I like the longer term provided the mad monk
does not blow us all to kingdom come.

Are we nearing another great buying opportunity?.

In old money that was approx 8 a share on RYA.

longer term risk.reward looks favourable,
on the proviso Putin does not launch chemical
or nuclear weapons .

the previous plunge low.

Obvs that can change.

A global pandemic and now this.

we are looking at a pronounced growth slowdown,
duration and degree the unknowns.