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Krustysmegma: I would say Strix results are decent. Times are changed now as the economic environment adjusts to slower growth worldwide. That means lower sales, profits for most companies going forward & that’s the comparison investors need to make with Strix results.
Net cash generated from activities is affected due to higher commodity costs, energy costs, cost cutting & currency hedging lowering cash returns. That is common with most manufacturing industries except currency hedges.
Then the new Chinese factory did only open only 6 months back & is delivering cost efficiencies but I guess will do more with time. That should pay for factory costs going forward & saves property rental costs too. Strix dividend is up with Board confidence in Strix meeting stated growth targets. Big vote of confidence here. Strix shares should rise as Investor embrace the Spring/Summer months. Liberum brokers still have today 370 pence price target after reviewing Strix results today. I’m buying Strix shares on weekness like today as represents good value with around 4% dividend yield.

To mitigate increasing costs, Strix said: "Strix has successfully implemented price increases on some of its legacy products in both kettle controls and water categories and will also be implementing further increases across the wider range with effect from 1 May 2022, which alongside a range of other efficiency measures and foreign exchange rate and commodity hedging arrangements will help to minimise the impact of any cost inflation."

Strix rated by Liberum Broker as Buy with 370 pence target price.

Strix earnings per share up. That’s a good result.

Adjusted basic earnings per share and adjusted diluted earnings per share were 15.2p (2020: 14.9p) and 14.9p (2020: 14.3p) respectively.

Strix has expanded share of the global kettle controls market further 1% to 56% by value (not to 70% as I said my mistake)

Strix Results today - The negatives of results were flagged up before like commodity inflation & freight inflation. These are common to all companies but Strix has coped well. Strix is hitting medium term growth targets of doubling sales in now 3 years time. Strix turnover up near 30%, profit margins only down slightly suggesting Strix can pass on inflation price rises to customers but still increase company sales. Strix share price is down a lot today but this is likely knee jerk results reaction but under calm scrutiny should bounce back. There are very few companies with near dominant market share like Strix & they increased market share to near 70% (up 1%). I do see inflation as transitory with energy prices coming down in the future as more supply comes on stream. Global economic growth to be lower with lower demand for energy usage as well & lower freight costs. Strix has defensive growth capabilities, people buy kettles as essential safety convenience products in lockdowns & more home working trends globally. As economies slow down people are at home more too. The Italian acquisition is also generating higher sales as successful integration & so was a good decision to buy. No word on new contracts as yet but I think this is pipeline news. Strix is highly cash generative, sales are growing, profits are growing, dividends are up. I would say Strix shares are a Buy & are good value at these levels.

Well next week Strix trading results are out. Strix did stockpile raw materials as commodity prices were up last year. This should offset some commodity price inflation. Customers were paying for higher prices which is good. Additional cost cutting and currency measures should also help. There is inflation everywhere so it's a playing field here. Most important Strix can and are able to push price rises onto their customers which is very key and they have high profit margins which protects them too. Together with geographical spread of markets and some essential products I hope this bodes well for the future. Strix shares are at a discount which means they are good value. Their rising trend should continue with increasing organic sales and newer contracts as stated in the pre-close trading comments only 5 weeks ago.

Strix 300p soon? Swinging up share chart trends now. Share volumes, values rising. That’s a turnaround & Strix trading results next week. Upwards share trend is my friend with shares now rising into 260’s. This should be surpassed more swiftly now.

As yesterday US Federal Reserve wants lower inflation, price stability foremost. Might help lower inflation with oil prices coming off the boil too with other commodities. Now expect lower economic growth worldwide. My previous post was worst case for cyclicals with rampant inflation. If Strix can pass on price increases then better than most. Hope the shares go up as they are now trending upwards. It has been volatile trading across most shares with geopolitics driving sentiment & lots of news flow !

I can see a short squeeze pushing up Shell’s share price like that of short squeeze on oil. Oil traders were over bullish on their oil price bets but now they are over bearish. As you say Shell’s free cash flow is going to be immense, not reflected in the current low share price. Shell shares hopefully going up soon.

Brent oil now around $100 but was slightly below due to CoVid recovery months back. So this makes no sense with world shortfalls of oil and gas currently. Countries are scouting out new sources from elsewhere. So oil should be priced higher if demand at current levels. I get it if country economies slow down a lot than oil demand lessens but that could be some way off.

US 'not seeing evidence' Putin is planning to stop the conflict - Sky news today.
As peace talks between Russia and Ukraine are set to continue today, the US has signalled it remains sceptical of any resolution.
White House press secretary Jen Psaki said while the Biden administration supports Ukraine's participation in the talks, Russian President Vladimir Putin would have to show signs of de-escalating.
"And what we're really looking for is evidence of that, and we're not seeing any evidence at this point that President Putin is doing anything to stop the onslaught or de-escalate," she said.

Anything can happen. If Russia turns off gas pipes totally in retaliation for Western sanctions, energy shares will be in focus again. Then god forbid any use of chemical weapons may create another crisis like that of a nuclear reactor explosion. Then again safety commodity plays again. So wait n see but at least get some kind of dividend with Shell shares at least.

Bank of America raises Shell price target to 2750 p (2450p) today “Buy”

130 Brent. Shell shares edging up. They should be 2600p by now . Should reflect oil price increases, profits going up.

I agree Shell shares worth over 3000p as it’s a Top class Global Oil Major. This may happen more quickly than people might think. JP Morgan Bank Broker says $185 for Brent Crude in 2022. This is driven by the dire supply shortages for oil and gas globally.

Share markets globally going to tank. Stagflation is major issue now with high oil, gas & commodity prices. That’s high inflation, lower economic growth (or no growth). Strix shares likely fall further with cyclical shares further out of favour. Maybe Strix shares going to around 120p with oil price rising lots. I remember too well the 1970’s oil price shock as a youngster!

Absolutely well said Shell. Thank you for the full Shell transcript. It enlightens Shell’s intentions & reasons for their actions. That’s enough for the market I think. Move on. Shell shares do look undervalued as I said last week. There should be catch up in Shell shares rising a lot to match their American Oil industry majors. The huge increase in Shell’s cash flow & bottom line profits means Shell’s looks very cheap share to buy. Shell is clearly undervalued & should have risen last week as oil was $118. Now it will spark much higher with the markets realising the dire shortage of crude oil & gas supplies globally.

I agree with you. I would say that Shell should have handled this situation much better. Nevertheless Ukraine should benefit by around £25 millions to save Ukraine fund or similar.

So Brent Crude now at $133, Asian Markets Pre-Open (11pm, U.K. Sunday Time). JP Morgan Broker sees Brent Crude at $183 per barrel at 2022 year end. Shell shares should shoot up lots on Monday stock market open.