Member Info for Frankseluk2

Avacta total sales from all divisions for 6 months to 30th June 21 were £2.321m.
If we said after materials and mark up that leaves about £700k for the manufacturer.
Point being, if Carclo were the manufacturer, that's about 2 days work even if the total amount was attributed to lft's which its not.

Carclo supply the very largest Pharmaceutical companies in the world.
Avacta put out an RNS this am because their lateral flow test (LFTs) has come under scrutiny and it's use stopped whilst it sorts things out.
Avacta is a great company and I have heard once or perhaps twice that CARCLO manufacture their LFTs. I don't know if they do or not. What I do know is that CARCLO have been manufacturing LFTs for problably longer than Avacta has existed. It's also worth mentioning that Nick Sanders , in our last presentation played down the amount of Covid work we are doing. He went on to remind us that diabetes and (can't remember) the other bits.., he said ,demand for CTP products in the medical and diagnostics sectors has continued to increase from both existing and new customers and we expect this to continue in the POST -pandemic period.

In my opinion Carclo are going to have a cracking year. The Framework agreement should now be 100% up and running . The pension and debt hopefully will be reduced further. Aerospace order intake was ahead of sales so that will start showing through. And now all flight restrictions in the UK have been lifted. Also the company have reduced Central costs considerably fy21 4.9million plus. Fy22 likely to be around 2.8million or less. Yes the company said trading marjins for the second half are expected to be slightly lower reflecting the current higher cost environment but the board anticipates full year underlying trading will be slightly ahead of slightly AHEAD OF EXPECTATIONS .
Look at this time as an opportunity, buy on the dips. All in my opinion.
Happy days ahead....

Thank for that Time2Retire.
No mention of CARCLO of course, we are a subcontract manufacturer.
(In case any new investors were wondering)

Can't open the link unless your a subscriber Time2Retire.

2022 hopefully will be another year of progress for Carclo.
Sales should be quite a bit ahead of last year, baring any Covid disruption. We were informed, Nov investor presentation, that the framework agreement signed Dec 20 is up and running in the UK and will be very shortly in the US.
That alone could be adding (depending on timing) over 1million a month, certainly, before the end of this financial year.

Hi Mstar,
Re- your concern:
Carco technical plastics has been around since about 1997. Carclo the company since 1924.
If you log onto Carclo Plc and click ‘our markets’ you will get a better understanding of the business. Also look at the recent accounts, presentations and annual report. The company defined benefit scheme was closed to new members some years ago.
The company recently entered into a 10 year framework agreement worth circa 10million over that period. The contract involves Carclo in the 1st instance, designing the product and creating the tooling for mass production. Tooling, I believe accounted for less than 14% of CTP revenue in the previous year. The company also manufactures Electronics/Consumer, Optics and Aero cables. I think your concern re profit, scale and LFTs are misplaced.
You point regarding the Pension deficit and borrowings are more valid in my opinion, though I think the company are taking great steps to sort this out. Certainly, the pension deficit and borrowings are being reduced considerably with cash to the pension and also to the bank. (The company generated over £7m cash. £1.8m pension, £3.3 working cap, cash £2m). The market generally should help as far as the pension is concerned together with the new initiatives regarding existing members taking benefits, also a reduction in life expectancy has taken place over that past couple of years. All this will become more visible in the coming year. A scenario where I believe the pension and debt will not impact the company would be if we were acquired by another company. A simple calculation (guess) of EBITDA x 20 minus Pension deficit and debt gives a share price circa £1.00.
I think the directors are doing a great job and I look forward to the day they can start paying dividends again. At the same time my fall-back position is that we could be acquired by a larger company.
All in my opinion only.

Presedent Biden has ordered 500 million at home rapid covid tested. Let's assume these are lateral flow tests.
The population of the USA is circa 333 million.
How many tests have you taken this last month. How many will you take before meeting up with the family this Christmas weekend.
500 million to cover the USA will do the USA for a while...does any other country use them? Imo? One thing is for sure CARCLO ( alongside others )make them....

Taken from latest results Beza.
At 20times share over £1.00
Half yr to 30th Sept 21 Underlying EBITDA from continuing operations(1)
£6,863,000

Hi Beza, it sure would be nice if we were in a new year tip sheet.
I have a pal who's business is a (very) mini Hanson Trust. He tells me they pay between 15 and 20 times ebitda for a target company and considerably more in certain circumstances depending on the company. When talking to him I didn't mention CARCLO. The companies they are interested in are private (not quoted) and generally not international. Based on what he said I believe a multiple way over 20 would be used in a business similiar to CARCLO. :-)

I wonder if the production lines will be working Christmas day?
Demand must be through the roof....

For those like myself who have wondered about these single digit trades, take a look at Royal Mail or Darktrace share buy backs today. There are quite a few.

Mesquida.
I had thought the 125k you mentioned on ADVFN was a delayed buy Mesquida.
Hopefully Schroders are not on their own.

On the basis the price has risen both yesterday and today and considering the spread at the time and trades either side, looks like we may have a bit of professional interest following the presentation.

Since joining the company a year ago our Executive Chairman has purchased over 719k shares.

Was good to watch and listen.
Great to hear Nick say he was disappointed with the share price reaction to the H1 results.
Also the framework agreement is up and running in the UK and will be shortly in the USA.
and that lateral flow tests likely to be around for some time yet!

Found on Alliance News. Need to be a subscriber to get the rest. I'm not...

Better than nice in my opinion.
Pension deficit reduction is huge and this is without taking new mortality tables into account.
We should now see a steady rise in the share price to a more realistic level.
Will miss the presentation at 12.30 but hoping to watch this evening.

They seem like a good crew Steelwatch. Carclo has a lot on long term employees for sure.

Happy to be invested here for sure. Looking forward to the near 10% increase in the dividend. And the possibility of much more in the future.
I have a question for the more knowledgeable among us!
If we have Revenue /Profit etc etc before and after tax in the high 20%/30% and higher why is the earning per share growth down in the 9%/10% territory? I'm not complaining.......

This is our time. We are but one of a handful of players that can meet client needs through our market leading approach. We are confident of strong growth for the foreseeable future. We are currently building increased capacity to accelerate sales and making great strides toward our medium term target of $100 million."

Brilliant.....jmo