Member Info for RogerMellie50

John - quite so. I wish it was a niche that would get a bit more of attention though!

Hi Pharmall - thanks for that. Except for BAE, MSi is the only defence stock I've ever owned, not a sector I have any background in/knowledge of. Can't even remember how I ended up investing in the first place, probably an Investor's Chronicle tip donkeys ago! Agree with your comments on MSi 's total lack of 'investor relations'. I've tried to squeeze some info out of them from time to time, but to no avail. I can't complain much though, my book cost here is 2quid odd, so they've come good.

Your guestimate is better than anything I can offer, although I certainly agree that defence will be the only division with growth. We'll find out in a month anyhow.

Morning John,

I do wonder what MSI will do about the other divisions longer term, and also what the bod's game plan is succession wise. Defence division's operating profit of 13mil against revenues of 67mil for last year, compared with operating profit of just 14.7million against against revenues of 109 for the company as a whole (all 4 divisions). Tells us all we need to know about where the value is here!

My comparisson with Cohort was more about trying to find out how MSI are valued compared to peers, but I can't really find any other UK defence companies with same Mcap - Qinetiq, Chemring way out of our league and different technologies really. From what I can tell, MSI are in a bit of niche by themselves.

Afternoon John,

I'm more interested in seeing what the margins are and what the orderbook looks like, as opposed to purely looking at revenue for the half. I think the nature of the industry means revenue reporting is always going to be quite 'lumpy', if you know what I mean.

They've certainly been hammering the trade shows all year, just finised a big naval one in Paris. I was trying to compare P/E ratios for other UK defence companies, but difficult to find any with similar mcaps (i'm disregarding the other divisions of MSI, as I see it as a defence company primarily). Cohort probably the closest, but twice our mcap and with P/E of 25, compared to ours currently languishing a bit at 14. Can you think of any others?

General rule of thumb here seems to be 1 trade for every 2 comments on the board daily.

Been camel riding before John, in Kazakhstan and southern Morocco. Horrible creatures.

Tav,

I read the note as well, and it's not explicit.

My mistake, new CGT allowance kicks in on budget day. I'd always though it had to be voted on first, but what do I know. Business relief changes kick in next tax year.

"...decade long infrastructure boom". All the best.

Doha. Would rather stay in the airport and drink 11quid coffees than venture out. Had to spend a week in Qatar before - each to their own, but not for me!

The company tell us nothing, so I'm always scouring the press and contract databases instead. Missed a flight connection and am having to spend 17hrs in an airport, so nothing else better to do!

At least you asked John, (-;

RN having a play today:

https://ukdefencejournal.org.uk/british-ship-opens-fire-off-coast-in-trials/

On the flip side John, you'll be getting one, ENTIRE penny off a pint! Rejoice.

Bit of a fudge, but effective rate of 20% over 1 million is a lot worse than some of the other specualtion, but obviously worse than being entirely exempt as we were before. Bit of a relief rally today, but at least we know were we stand.

Is CGT allowance being held at 3k? Can't seem to find any info on that.

Good old Rachel, never doubted her for a minute!

Morning John,

Willing to stand corrected, but my understanding is that any immediate changes will only come in to effect after they've been debated and voted on in Parliament, so another 4 days from today. Therefore, still a window for people to sell up and realise gains before CGT goes up on share profits (which is a dead cert, it's just a question of how much). I'm more interested in the business relief/IHT for AIM shares - I expect any changes there to be phased in, but what do I know.

I think your projections there are optimistic but also certainly possible. Still haven't heard anything about follow on orders from the US navy contract. I'm interested to know if any sales of the landbased systems have happened. Chairman's statement in the F/Y report said there were some orders in the offing. Let's see.

Jennings is a Cumbrian name, could be a relation!

I would have gone to the AGM in Doncaster this year, but had a last minute engagement. Under 2 hours on the train from Kings Cross.

Purely guessing, but I imagine recent selling has been someone/a few people with a big holding looking to sell some whilst they still only get charged at 20% on gains. Likely go up to 24% in the budget tomorrow, possibly more. Any CGT increases might also be phased in, but I assume some people not willing to take a chance. I might buy a few more anyway.

We'll get H/Y report in 5/6 weeks.

think i'm a bit younger than yourself john, but i can remember some great agms with jennings brewery up in ****ermouth before marstons snapped them up (and then closed the site completely a few years ago) and also thwaites in blackburn. used to book a room for the night!

made a good amount off jennings shares (as well as getting a third off on bottled beer home deliveries), but thwaites was a write-off, unfortunately. jennings were hugely undervalued, as the market didn't really seem to appreciate how much their real estate portfollio would be worth in the event of a buy-out (which subsequently happened) and was just focussed on their pub and brewery revenues, which were largely irrelevant.

sadly, i think the days of agm beanos at the cafe de paris are a thing of the past!

I think that French chap may have only put on $28 million as well John!😉

I know John, the phrase 'running commentary' gave me a laugh. They don't provide any commentary, full stop! Being MSI's Nomad must be an easy job. I think the AIM disclosure rules about market sensitivity are so open to interpretation, but maybe people who understand them better might argue differently. In fairness to MSI, with some contractors that I've owned (Renew, Costain etc) I often read about contracts in the general press and they aren't RNSd either.

I think I read someone describe MSI as a private company with a listing.

Constant selling here in large clips, I imagine people realising gains before Reeves puts CGT up on share profits, which seems to have been confirmed in the press, with 2nd home owners now being spared. My guess is they'll match current 20% for shares to the 24% for property for higher rate payers.

I eventually got a polite 'non-answer' from the company secretary about the new contract on the government procurement site.

"We do not provide a running commentary on individual matters. Instead, where appropriate, we do issue RNS announcements and updates and inform Shareholders in the chairman's statement".

Blood out of a stone with this company, but it's always been thay way. Anyway, there's an email for the contract officer at the MoD on the award notice, so I'll try them instead!

Missed out on RR. Was on my 'watchlist' for ages, but never got round to it.

I think I probably have the opposite problem in that I hold on to shares for too long, although I have learnt to sell some in to spikes and buy back in. I don't really invest in anything that doesn't generate revenue anymore and am more income focussed. Been building up my ISA for 20 years, so it's nice to to not be passing on any of it to HMRC!

I do keep a bit of money aside for the occassional punt, but the past couple of years have been hopeless. Was 20% up on an oily a few years ago called Advance Energy, but foolishly kept it all on the table before the spud, turned out to be dry as a bone and lost the lot!

Ah, that explains the inclusion of the palm oil price in your updates!