Good morning,

There's quite a few things to catch up on today. I will probably write through the afternoon.

There are updates from Fletcher King (LON:FLK), United Carpets (LON:UCG) and Triad (LON:TRD) - these are all sub-£10 million market cap, but I plan to cover them briefly.


And from yesterday:

Please bear with me while I work through this!



Fletcher King (LON:FLK)

  • Share price: 42p (-3.5%)
  • No. of shares: 9.2 million
  • Market cap: £4 million

Half-year Report

This tiny property company has occasionally looked like an attractive "value" investment, available to purchase at a discount to tangible book value.

It provides a range of property services, including the management of small property funds, and invests in its own funds.

These H1 results show a fall in revenues to just £1.3 million, giving rise to a small pre-tax profit of £108k.

At least this is better than the pre-tax loss that was suffered in H1 last year.

Performance reflects "the subdued property market associated with uncertainties over Brexit and the UK political situation".

Sales and lettings were "severely impacted", and decisions were put on hold due to political uncertainty.

Commercial property investing reached a 5-year low, and this situation helped to bring about the suspension of M&G's property fund.

As others have already said, I think the clarity that the economy might enjoy in the next few months could trigger quite a lot of pent-up activity - we shall see!

On the bright side, for FLK:

Steady and predictable revenue from asset management clients provides ongoing support for the business along with a regular supply of valuation instructions from lending banks.

Outlook statement concludes by saying that no clear guidance can be given:

Although the political climate is now clearer, it remains hard to predict the final outcome for the rest of the year and our previously stated views on the difficulty in maintaining profitability remain.

My view

This is valued…

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