I Read The News Today Oh Boy! 30-Jul-2018

30th Jul '18 by matylda

7 comments 3127 reads

Morning all!

Dialight ( Dialight (LON:DIA) ) – 466p – £151.5m – PER 12.9

Interim Results For The 6 Months To End June 2018 – Revenue down from £92.7m to £80.1m with Underlying (and Statutory) Profit and EPS both halved to £2.8m and 6.4p respectively. Net Cash is down from £12.7m to £7.3m. As previously guided, FY results will be heavily H2 weighted.

Remains on my Avoid list for now.

Reach ( Reach (LON:RCH) ) – 72.8p – £217.9m – PER 1.94

Financial Report For The 26 Weeks To The 1^st July 2018 – Revenue up 10% with a Statutory Loss of £107.3m (£150.0m impairment charge). Pension deficit is down from £80.6m to £297m and the Interim Dividend will be paid, 2.37p versus 2.25p last time. FY in-line with market expectations.

I just can’t get away from the Pension Deficit, the terminal decline of the print sector although some might fancy the 8% yield! I will remain Neutral for now.

Luceco ( Luceco (LON:LUCE) ) – 37p – £59.5m – PER 5.16

Trading Update For The 6 Months To End June 2018 – Expects FY to be break-even.

This sounds woeful and remains on my Avoid list for now.

Clipper Logisitics ( Clipper Logistics (LON:CLG) ) – 405p – £411.1m – PER 21.3

Preliminary Results For The 12 Months To End April 2018 – Revenue up by 17.6% from £340.1m to £400.1m, Profit up by 14.6% from £12.5m to £14.3m with EPS up by 13.6% to 14.2p (2017: 12.5p). The Dividend is up 16.7% to 8.4p (2017: 7.2p).

Still quite like this but going to go Neutral here as it seems to be priced about right for now.

City Pub ( City Pub (LON:CPC) ) – 231p – £135.1m – PER 25.9

Acquisitions Update – Bought 3 new pubs from existing resources, pipeline of potential deals remains strong – Confident of 50 pubs (at buyers prices) by the year end, ahead of the plan set out in the IPO.

I remain Neutral here but will add it to my Watchlist to do more…

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MrContrarian

30th Jul '18

My morning smallcap tweet: London calling, London falling.

Premier Global Infrastructure Trust (LON:PGIT), Luceco (LON:LUCE), Foxtons (LON:FOXT)

Premier Global Infrastructure Trust (PGIT) The grandly named £23m microcap reports H1 total return -7.2%. Blames portfolio being on the wrong side of macro trends. "Neither the Board nor the Managers are satisfied with the lacklustre performance of the portfolio over the past 18 months...The underlying performance of the Company’s investments remains very encouraging, with strong earnings growth...While the macro environment remains challenging for global trade, interest rates and currencies in the short term, your Board remains confident in the prospects for the long term..."
Luceco (LUCE) H1 trading. H1 UK retail sales almost 20% down but overseas growth remained strong. Blames 'previously highlighted' retailer destocking and lacklustre consumer confidence. Guides close to break-even adjusted operating profit in H1. Q3 retail order book is over 30% higher than Q2, reflecting an end to destocking in its UK retail business. Expects year-on-year adjusted operating profit growth in H2.
Foxtons Group (FOXT) H1 rev down 9%. EPS -1.1p (1.2p). Div passed 'in line with our policy'. "As expected the weak sales market impacted our performance in the first half of 2018. After a slow start to the year, performance in our lettings business improved throughout the period delivering another consistent result...will continue to invest in our proposition to enable us to maintain our differentiation in the minds of buyers, sellers, landlords and tenants." I'm short.

DJLJ23

Clipper Logistics (LON:CLG) down 20%, what have i missed in the update?, i felt it was quite positive, with no massive issues identified

Damian Cannon

I've asked Graham to take a look in the SCVR but my belief is that the results have come in a long way below analyst expectations but seemingly in-line with management expectations. I don't quite understand how these numbers aren't a lot closer - especially after the end of the financial year.

Albertos

Missed analysts targets - N+1 Singer EPS 16.5p vs 14.2 achieved.

On a high PER so market, as is the case these days, marked it down severly.

Phil

Many thanks Edward, Damian

ISAallowance

Non-exec director buy at Swallowfield (LON:SWL) announced today (I hold):

"Swallowfield plc, a market leader in the development, formulation, and supply of personal care and beauty products, including its own portfolio of brands announces that Roger McDowell, Non-executive Director, has purchased 8,666 Ordinary Shares of 5 pence each in the Company at a price of 270 pence per Ordinary Share as set out in further detail below."

RustySpanner

1st Aug '18

Dialight share price has spiked up today by about 6% at time of writing. A couple of years ago, having done some recent work for a major building contractor that was installing LED street lighting, I thought that would be an area worth investing in. But looking at the FT article here https://www.ft.com/content/3a05b8ea-f6e2-11e7-8715-e94187b3017e and employee reviews on Glassdoor https://www.glassdoor.co.uk/Reviews/Dialight-Reviews-E7797.htm it really does't look like a sustainable business!

I Read The News Today Oh Boy! 30-Jul-2018

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Matylda

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