The next focusIR Investor Webinar takes places on 14th May with guest speakers from Blue Whale Growth Fund, Taseko Mines, Kavango Resources and CQS Natural Resources fund. Please register here.
Certainly hope you're right Lego ... I am concerned that they can't find a buyer for the Aussie site and are considering relocating the plant to the US ... which must be a horrendously expensive exercise with no immediate payback ... so pushing profitability further out.
Also given the US-centric nature of the business, what value does a UK-dominant management team offer? Certainly fixing the feedstock supply issue will answer my biggest beef with HYR ... only then will be able to assess whether we have a pit-pony or a race-horse.
I'll reserve judgement until we hear more news ... During my exposure to HYR, the management team has consistently underperformed ... and I don't see that another non-exec director is the must-have that we were missing. Unless Chris Ellis is instrumental to the turnaround ... in which case why is he re-joining as a non-exec? Where is our long-awaited CFO? Or dedicated CEO? Maybe we'll hear more when they update before month-end. I'm not anti-Chris Ellis ... just unclear what this announcement truly adds ...
They have 3-months from Dec 31st to report / update ... and 6-months to produce audited accounts.
Previously they've updated by Jan 31st ... let's hope it's worth the wait.
End of January would be my guess ... do check previous history for further guidance. Bear in mind we have new management so they may have different ideas / agendas regards communicating. Chairman Moynihan suggested that we'd get regular updates from our new CEO. It hasn't happened which leads me to believe that others are dictating the communications strategy. Patience is required I regret to say.
Checked HYR's website yesterday ... Dinwoodie now listed as CEO. Let's hope we don't have to wait too long for positive news.
Just re-reading yesterday's announcement ... no mention of Dinwoodie's confirmation as CEO ... Did I miss something? Anyone know anything?
Tend to agree, nastid. I was part of the 42% and hope that I don't regret my decision. Pleased to see Colin M buying, disappointed that David Dinwoodie hasn't followed suit. A great deal rests with his ability to turn it around. Be nice if he demonstrated some personal financial commitment.
Agreed nastid - longterm holders have paid heavily for the privilege of being early investors. Can't help wondering why it has taken so long for the BoD to recognise that a). the Australian operation was not worth further investment ... and b). that the feedstock issue would be eased by greater cashflow. I'd have hoped that an alert BoD would have spotted these things much sooner. Plus I don't understand how cooperation with (UK based) Slicker helps with the stated focus on HoNA ... longer term, yes, there may well be synergies ... But let's get HoNA really showing that it can be stand-alone profitable, boost the SP via demonstrable results (not just EBITDA doodah), and then look at joint R&D with Slicker for the european sector ... If the BoD are serious about paying a dividend within 15 months, then the focus on executing the HoNA strategy must not be sidelined to help build a european centric relationship with Slicker ... unless of course Slicker plans a major move into NA ... at which point, synergy & cooperation become much more compelling in the near-term. There's a lot riding on our new (prospective) CEO and his ability to haul HYR around - hopefully he can succeed where his predecessors failed. GLA
It's going to take a while for the dust to settle but HYR was never (in my view) going to be a quick-fix turnaround. They've determined that the way forward is via HoNA and dropping operations in Oz ... I'm intrigued by the implication of potential Institutional Investors ... and the aspiration of paying a dividend for the full year ending 31-12-2019. We'll not have too long to wait (albeit several months) for 2H 2018 results and that will provide better insight into how the business is doing. A concern (for me) is that David Dinwoodie is possibly too thinly spread across multiple businesses - but he undoubtedly has the full confidence of Andrew Black so I remain strapped-in for the ride. There's little point in jumping off right now. GLA
Thanks skittish - agree with your summary and sentiments - hope you're right about piggybacking the giant - can't see we've much choice. GLA
Can anyone shed meaningful light on what's planned? If the core business is sold within 8 weeks (subject to approvals) what are we left with? And what will this residual entity be able to contribute to the Homesend JV? Aside from 2 director slots ... so the JV surely becomes even more heavily weighted towards MCard ... and ESG becomes increasingly / potentially irrelevant ... please tell me I'm wrong and why .... Thanks
Hi & welcome ... HYR is probably off the radar for many folk these days because it has been taking years to deliver and has been prone to endless "bad luck". Feedstock issues have been an ongoing problem and haven't (yet) been reliably resolved ... Yes there are some encouraging signs and we're promised an update from management by the end of Sept ... certainly the current SP is an interesting proposition if you fancy a punt ... just don't get too carried away or start believing its a sure-fire, one way bet. GLA
to Arden Partners will hopefully drive some more focussed exposure for HYR. AP appear to be undergoing a turnaround of its own and, with approx 38 corporate clients (Jan 2018), may be better able to align with HYR. We still need to resolve the feedstock issue and appoint some senior full-time execs though ... guess we need to be patient, so I'll get back to watching the paint dry. GLA.
...what it is ... doh!
Apparently the Board is due to meet tomorrow and will review the trading update during that meeting. The response I was given suggested that the Q1 update would likely be issued later this week. Apparently they were advised that given they weren't reporting half-year or full-year results they didn't need to issue an explanatory RNS in the meantime. Not wonderful public relations IMO ... but it is, was it is.
To verify whether Q1 Trading update will be published today and await a call-back. Hmmm. Last time I acted similarly, Ian Smale (CEO before Chris Ellis) called me within the hour ... Obviously that was a few years ago ... let's see what happens this time.
hope it offers encouraging news ... at least we'll get a snapshot of what is, or may be, happening ... I'm unsettled by the presence of 100% Interim Exec-Directors ... it's the kind of structure that might be attractive in a trade sale scenario. In any case, it is critical that the workforce believes in HYR's future. An absence of full-time dedicated leadership won't be helpful.
We don't know for sure. We may not get anything until the Q1 Trading Update - usually around mid-April. Obviously a contract win or positive news about feedstock could happen at any time. Perhaps we could all try holding hands and thinking positive thoughts? Beginning to (almost) miss the rampers. Only joking. GLA
Harry - It appears important to you to wipe out Lego's contribution to this board. Read lego's analysis and it is factual and accurate. The pump & dump period last year was also factual although you rightly challenge the abrupt about turn. Leave that to one side (it didn't alter my decision to hold) and lego's posts raise important points and the dialogue here would be all the poorer without them. As for net asset value (your sole contribution as far as I can tell) does not necessarily mean that those assets can be sold for their book value. Please moderate your personal vitriol and concentrate on adding to the quality of dialogue and analysis of HYR's prospects. Thanks - more in hope than expectation.
HYR's BoD have repeatedly cautioned that feedstock remains difficult to source. Without feedstock they can't produce at sufficient scale to move beyond the current status quo... and there are only so many costs that can be cut, after all. Lego has always provided some of the best and most coherent comments about HYR. Stuff was available here (if you looked for it) and certainly in the company's own reports. It's a shame if you were seduced by the rampers' drivel. But anyone suggesting that any stock is a sure-fire, one-way only bet ought be treated with extreme caution. Better luck next time. BTW - If you can shed light on why feedstock is so elusive, please do let me know. Thanks.