Member Info for SlickMongoose

Waste of time. Best just to ignore them, or use the dip to buy if you feel like it.

Maybe wait until it actually is in the 90's before gloating?

Personally I know I can't predict short term price movements, good luck to those who believe they can.

So you're talking about the realised reserves from the capital restructure? That's not cash and it's misleading to describe it as such. It's just some tidying up of the acccounts and people shouldn't read too much into it.

Pernix, their plans for using cash are very clear in the RNS, they're using it to pay down debt.

Kallumama, I believe the answers are:
1. No impact
2. No impact
3. This is really just a tidying up exercise and not a big deal. The point of doing it now is so that if the board decide at some point in the future to pay a dividend, they can do so quickly without having to go through this process. It's just something to get out of the way.

Net debt down from £4m in April to £0.3m in Oct is a great result.

There was a trading update 3 weeks ago...

Yes, on every normal financial measure the company looks great, and in a defensive industry. The big issue is the pension fund and we won't really know more about that until the next triennial review.

https://www.theguardian.com/education/2020/nov/18/exodus-of-exhausted-headteachers-predicted-in-england-after-pandemic

One thing that isn't talked about much, but if anyone watched the investor presentation last week there was one comment I particularly liked where they said they have absolutely no issues recruiting teachers.

I'm sure that if you're teaching at a good, well funded school with well behaved pupils then teaching in person would be preferred, but teaching online must be a thousand times better than teaching in person at a bad or mediocre school. Particularly if you can teach from the side of a pool in the south of Spain.

There's unlikely to be a dividend until the pension deficit gets sorted out. Currently the pension fund can claim half of any dividend paid iirc.

Lowball offer. We're still very cheap compared to other gaming companies.

It may not have been quite the result we wanted but it's still a positive. Mass market bread is a shrinking industry with tiny margins, and the priority for PFD is to sort out the debt & pension, which this will go towards.

Current forecasts per stockopedia are for net profit of £78m, which they're already beating in 6 months. Obviously the market already knew the forecast was low but this still looks good.

If they did £160m for the full year that would put them on a p/e of 22. Cheap for the quality of the company.

How is it? It seems to be well received from what i've seen online.

Thanks neo, although I think you've linked the wrong article there.

Nice write-up from Ed Croft on Stockopedia for anyone who has a subscription.

Bread is a shrinking market and very low margin. I'm happy for them to sell it. We certainly don't want to be adding more debt to buy it, debt reduction is too important right now so we can refinance at a reasonable rate.

Thanks for that spreadsheet Kallumama, it's very interesting. For a stable consumer brands company like this I'd expect to trade at a bit more than 10x EBITDA once debt free, but I understand the desire to be conservative.

Ex-div for 30p, plus the market is down.

https://twitter.com/PaulBrandITV/status/1304396777400020995

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