The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
As usual the call was positive and upbeat. It always is.
They see no surprises this year in terms of material exceptional costs.
They are confident that the new enzyme capacity will be on stream by August and generating some commercial income in 2023. I believe the significant increase in revenue from this will be next year, with forecast of 50% capacity being sold at roughly 10M revenue.
They seem to be back to their core , so now we wait and see whether they can deliver.
The call was conducted in the usual confident way
It ap po ears they are doing everything right, but still the shareprice remains depressed.
The broker has 120 target with 100% possible upside.
Hard to understand.
Their acquisition trail continues, with 10 projects in the pipeline.
There better be some better news about the enzyme business on Monday.
Trust in their competence is very low now.
I also want to know how confident they are in their cash position.
Consideration of sale.
Return of 1.2 mil shares
Capital equipment at book 0.44 mil
Inter company loan repayment of 0.65 mil over 3 years
Shares in treasury now over 10% after recent buy backs
I thought management held circa 30%. Can anyone verify the management holding.
Thanks, Vig
EKF DIAGNOSTICS HOLDINGS PLC will be holding a Preliminary Results meeting on 28th Mar 2023 at 4:30pm BST.
I am beginning to despair of the abuse of inside information on the LSE. First EKF and now SRC.
Investor value destroyed in both cases. Seems private investors are not valued.
Question for the March investor call ..Investor value creation, is it on the company agenda ?
I think that sums up investor feelings today.
The two failures were on what I would expect to be managed under project/program governance.
Time, cost, quality and risk management.
If this was so then there should have been no surprises.
If the company do fron up and have an investor meet, then I would be looking for reassurance that they have competent project management in place to avoid more surprises.
The CEO gave an upbeat update in late September. It looks like he was not totally transparent on the outlook. For this he has rightly been removed.
Optimism is fine, but as investors we need realism, and is clear the board have the same view.
The results disappoint, but only compared to what we know know were over optimistic projections.
The disappointment is that inside information not available to private investors has made them the short term losers.
The business potential is still there and they need to kick on from here and deliver.
Company have refused request for an investor meet presentation.
Liberum still upbeat and have maintained the 120p price target.
My view is they need 2023 to be a year of consolidation and delivery against that target.
Still not a peep out of Pershing sq about their stake.
You make a good point about investor return and at the moment it's abysmal. A question for the investor call.
I see several people have requested a meeting through investor meet, but no response from the company.
I was comfortable yesterday to buy, but today has got me wondering whether we have a leak of inside information.
I can't think of what might be.
I am expecting decent results, though not spectacular.
The main point for me is how their investment in production of bio cultures production is progressing.
Bought more today, which shows on here as a sell.
Could be usual games from MMs prior to results.
What's not to like about the trading update, they are quietly delivering despite the Macro economic turbulence.
If and when the turbulence abates you can see this company taking advantage.
I am a big fan.
Interesting to note that Pershing cannot list in US at the moment. They would have to have a majority holding in the company for that to happen
Bill and team personally hold over 30% of Pershing, not by award, but by personal purchased.
I wonder with all the share buy backs, whether they are moving in this direction.
Ackman held out the prospect of listing PSH in the US in future years, a move that could boost investor demand by making it much more marketable in the main market in which it invests.
That could help address the chronic double-digit share price discount that has been the major problem with Pershing Square’s performance.
Thank you for your question. However, we have not disclosed an investment in Sigma Roc PLC.
I am guessing this means the investment is not significant to Pershing at the moment.
Their call focused on the big holdings.
As an investor in Pershing, I noticed they bought circa 6% holding. That's quite a vote of confidence.
There is a Pershing Q3 call next week and I will table a question on this. Let's see if they will reveal why they took this punt.
Looks good. 48 M ebit and strong cash generation.
Allays any concerns over funding payments.
Hopefully they will follow up with a call to give more detail.
Maybe now the share price can return to sensible levels.. I say hopefully