Charles Jillings, CEO of Utilico, energized by strong economic momentum across Latin America. Watch the video here.
Agree that sale and leaseback is probably not the best strategy in the long term. However should Constellation wish to purchase our shares at a nice premium then they can do what they like with the freehold properties.
Let’s face it. Constellations Lookers shares are now only worth 89p. They would not be paying 102 if they were not seriously considering a full bid, irrespective of whether they are supportive of Lookers strategy or not.
In my opinion it is highly likely that we will see consolidation of the Retail Automotive space in 2022. The digital offering of the likes of Cazoo and Cinch have already seen a number of new players enter the very lucrative second hand car market. As such traditional retailers including Lookers are increasing their presence in digital market to compete. Assuming that the shortage of new vehicles continues well into the current year and profitability remains well above the long term trend a bid for lookers now would look to be very well timed so let’s hope for news on that front very soon.
Interesting find MikeClarke. I re-read the trading statement and group strategy update from which I have copied the following statement from item 4, increasing used vehicle penetration.
The Board continues to believe that the scaled used vehicle market presents the Group with a significant opportunity, as evidenced by several recent new entrants to the market. So yes it does look like Lookers are going compete head on with Cazoo and Cinch. Great to see a proactive board of directors now.
Thanks red wine day. I have this morning found on AM-online an article published yesterday titled, Lookers opens new Ford Transit Centre in Colchester. Perhaps that could explain the reduction in nett cash.
At the interim results nett cash was stated as 33m, three months later end of September 30m and today at December end 8m. Apart from the 4.1m returned to the government I am at a loss without final accounts to understand the large reduction in nett cash. Surely cash in transit does not account for the difference. Anybody able to throw some light on this.
Results were very good but this was well flagged at the half year trading update so not really a surprise hence only a muted reaction to the results. My holding was bought around the current price so will add on any share price weakness. I suppose the unknown is how the supply of new vehicles is going to affect the full year and next years results. However I am happy to hold and hope we have a dividend payment at the full year.
As mentioned on the ADVFN board today and something I had overlooked is the fact Grenville Turner is the outgoing chairman and as such has full visibility of the current year and future strategy. Probably quite unusual for an outgoing Chairman to substantially increase their holdings and as such should be a good indicator of the future share price.
Pernix, I do not wish to get into a discussion with you when you misinterpret the contents of my post. I have not said the share price is going down from here, some days they will go down others they will go up. The trend direction is the important one. I do not short shares as this is the domain of professionals. If you consider my posts to be negative then don’t read them.
Don’t wish to pour cold water on your assumption Pernix but of course there are two sides to a trade, £1 million bought equals a similar sale by others who take a different view as to the share price direction. As always hope that you are right as I am still a holder.
Having sold earlier this year admittedly a few pence too early I was interested to see today’s results and the markets reaction. Whilst the company puts a good spin on achieving a full year profit and reduction in net debt the outlook for the current year is not so clear cut. The current share price seems to reflect a return to 2019 profitability but I am not so sure. The comment, Trading in the first quarter of FY21 is on track with Group's expectations does not tell much about expected profitability for 2021. Whilst headline EPS OF 1p reported EPS after acquisition and exceptional costs resulted in a loss of 2.3p. One to keep an eye on for me at the moment.
Yes still here although I sold my shares at 84p for a nice profit. Watching everyday as I would like to get back in but always wanting a few pence cheaper than the current price. Story of my investing life, always looking for a lower entry point and then missing out on a subsequent rise.
Well let’s see if we can make progress now above 200p. Slightly annoyed that I missed a short window to top up earlier this week at about 190. I should have left a limit order with the broker rather than watching all day and still missing the low point.