Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
This morning's RNS shows yet another new major shareholder who's been buying and now has over 3% - John Peter Lobbenberg has 3.2%, or 1.82m shares:
Https://uk.advfn.com/stock-market/london/petards-PEG/share-news/Petards-Group-PLC-Holdings-in-Company/93343492
I bought some more at just under 11p.
Thanks for the heads up re the encouraging 9 months' results issued in India. I can see that OPG issued a 9 month update on the LSE on 23/2/22, 29/1/21 and on 11/2/20, but not last year - any idea why not, and is one definitely expected for this year?
Encouraging to see the sale of Petrel completed quickly as per today's RNS. This is a transformational deal.
£2.75m is now coming into CMH's coffers, with a further £0.25m deferred consideration.
The pension deficit is reduced to a paltry £0.4m.
On top of the £3m sale proceeds, CMH's liabilities will also be reduced by a further £2.6m, and the results to 31st May will look good with a £2m exceptional profit.
Per the interims, with RDC improving its operating profit by 43% year on year and CHC looking better for this H2 onwards, the core business is in good and improving shape.
A £2.8m m/cap gives a very decent risk/reward imo given the turnaround being achieved.
INSE recently held a webinar with over 400 people attending, mainly focusing on a number of net zero and ESG topics as outlined in the article:
Https://inspiredplc.co.uk/insights/industry-news/impact/eyes-on-the-horizon-what-did-our-first-2024-webinar-foresee/
Https://masterinvestor.co.uk/equities/currys-chemring-and-more/
Conclusion:
"The group has aims to get up to a £50m valuation within the next few years and I have a certain confidence that the REACT Group Management will achieve their target earlier than the market might be expecting.
The group currently has a £14.4m market capitalisation, with some £2.1m cash in the bank, its shares are well worth tucking away at these lower levels."
Nice upwards breakout on the chart this morning after the results.
WH Ireland are still waiting to publish new forecasts. They don't add much to this morning's RNS, but conclude:
"WHI view:
Today’s update highlights a favourable start to the second half. The previously announced NHS trust maintenance renewal in respect of the security needs of a group of hospitals highlights CSSG’s strong, embedded relationships with its client-base and the fact that a noteworthy proportion of its business is longer term in nature.
Encouragingly, though the quantum is not specified, the company is highlighting a robust pipeline of potential contracts in the entertainment and utilities areas. CSSG has announced contracts with major cinema groups, and we believe there are potentially some further promising prospects for the company, particularly as it continues to roll out its product across new and extended geographies."
A good, solid H1 performance reported today, with net profit up 18%. The acquisitions made will help H2 further.
There's £1.73m cash too, with the additional £5.78m due from Vigilant starting to be paid from next month against the £9.2m m/cap.
Above all, the outlook is very confident. The contract pipeline looks extremely promising:
"We have had a promising start to H2. In January 2024 we acquired two profitable locksmith businesses with a combined turnover of £0.5 million, operating from Peterborough and Worthing. We have been successful in delivering a number of new contracts including being re-awarded a three-year maintenance contract by an NHS Trust to cover their hospitals' security needs. This success reflects the high levels of service that make us a preferred supplier in the health sector.
In addition, there are a number of contracts in the pipeline in the utilities and entertainment sector and we believe that these customers represent a material long term opportunity. A solid underlying performance, coupled with the success of our ongoing strategy to identify acquisitions where there is a significant opportunity to enhance sales growth and profitability, leaves us well-placed to deliver year-on-year growth despite continuing difficult macro conditions."
Hybridan have a new note out today.
They forecast a £0.3m operating profit this year, or 0.9p EPS, with a £2m cash pile against the current £4.4m m/cap.
They have an interesting paragraph in particular re QRO:
"We believe that QRO Solutions will pursue growth opportunities in ULEZ (ultra low emission zone) charges and car parks in the UK and perhaps expand its footprint to overseas markets."
BGF Investment Management continue to buy - they've bought around another 600,000 shares in the last week, and now have 10.18% (up from 9.57%), or 10.59m shares:
Https://uk.advfn.com/stock-market/london/sdi-SDI/share-news/SDI-Group-PLC-Holdings-in-Company/93314256
Another tick up after some large-ish trades today.
Yes, the m/cap is £32m after the placing, cheers. But still ludicrously undervalued imho given the huge order books stretching out for many years ahead.
Any sign of the production issues being solidly addressed - or new contract wins - and the upside here is huge.
tipped by malcolm stacey on share prophets with 50% upside (can't verify as subscriber-only):
https:// *************.com/views/73050/sewage-on-the-loose-who-you-gonna-call-this-polished-cleaning-outfit-is-on-the-way-up
Good to see a little buying coming in at the full 69p offer this morning.
Liberum forecast £16.2m PBT for last year, rising to £18.3m PBT this year. That equates to 13p EPS rising to 13.7p EPS this year - a P/E of just 4.9.
Liberum also forecast a 2.7p dividend for last year, rising to 2.9p this year (a 4.3% yield).
WH Ireland's update note this morning talks about the positive start to this year, and rehashes today's contract win news, until this decent summary in the last paragraph given the mere £3.4m m/cap:
"With a range of fundamentally competitive products in their respective markets, we see real potential for improvement as the rail market recovers and highlight the group’s robust net cash position (FY2024E WHI est: £2.7m). Trading on low single digit P/Es for FY2024E and with net cash making up over 50% of the market cap at the year ended FY2023E, we view the shares as undervalued at current levels"
Kepler Intelligence have isued new research on Miton's UK MicroCap Trust this morning run by Gervais Williams, and Miton have this to say about MWE:
Https://www.trustintelligence.co.uk/investor/articles/fund-research-investor-miton-uk-microcap-retail-feb-2024/returns
"Although this company continues to generate growth in profits and dividends upwards of 7%, the share price has suffered due to worries over its Israeli operations being affected by conflict. Earnings have also been impacted when converted into dollars due to weakness in the exchange rate. However, some of its aerials are being used in military applications meaning the company is busier than usual. Gervais and Martin remain upbeat, and they believe there is no dilution to the upside potential of the company."
There's some really interesting coverage of the latest Air Ambulance acquisition here - and the closing comments imply more acquisitions are in view:
Https://www.helicopterinvestor.com/news/101054/hi-uplift-gama-aviations-last-minute-rescue-of-specialist-aviation-services/
Extracts:
"It was a race against time. Gama Aviation had more than 60 separate transaction documents to finalise with a host of stakeholders in just a few hours. All part of its bid to acquire UK air ambulance provider Specialist Aviation Services before the business would be forced to cease operations.
At risk were life-saving air ambulance services over London and the southeast of England. Without a last-minute deal, the emergency medical service (EMS) ambulance helicopters could have been grounded for weeks if not months"
"The acquisition is designed to accelerate the growth of Gama’s Special Mission strategic business unit (SBU) and complements other recent contract wins, including the Welsh Air Ambulance contract. Gama also recently opened new international operations in the Middle East to augment its fixed-wing aircraft management and MRO services in the region."
"“Long-term contracts that give you regular income and regular cash flow for a long time is very welcome,” he said. “Obviously, that’s provided by government work and special missions work as opposed to the ad hoc nature of the rest of business aviation.”
"Netted about $100m
So, what next for Gama Aviation? The company is always open to promising business opportunities, according to Khalek. And, after the sale last autumn of its US MRO business Jet East, it has the means to invest. Gama acquired the business for about $12m and injected up to $20m of debt. It sold the business for $131m and, after costs, netted about $100m.
While non-compete clauses limit Gama’s short-term acquisition strategy in the US, the company remains hungry for new opportunities. “Debt markets are pretty horrible at the moment and pricing is not very nice,” Khalek told our CJI London conference. “So, we’ve taken the opportunity to use our funding to influence budgets more and look to other financing down the line.”
It remains to be seen what, where and when Gama Aviation will be tempted to make its next acquisition."
Another contract win announced for QRO, this time for in-vehicle ANPR as opposed to the prior contract win in AI cameras.
And it's for a new police force customer too:
Https://uk.advfn.com/stock-market/london/petards-PEG/share-news/Petards-Group-PLC-Contract-Win/93307967
News - big wins for RNWH's AMCO and QTS subsidiaries to deliver a £229m programme for Network Rail.
These are works for CP7 in its north west and central territory. AMCO and QTS have won 4 of the 10 places up for grabs, and I'm guessing they weren't going for the 2 civil engineering structural places anyway:
Https://www.constructionenquirer.com/2024/02/13/six-win-229m-north-west-central-minor-rail-works-deal/