Good evening/morning, it's Paul here with Friday's SCVR.

Timing - I've got a Zoom meeting just after 3pm, so will need to be finished by then. Today's report is now finished.

Agenda - the first 3 items are backlog sections from yesterday;

Fw Thorpe (LON:TFW) - AGM statement (done)

Naked Wines (LON:WINE) - Half year report (done)

Srt Marine Systems (LON:SRT) - Interim report (done)

Quiz (LON:QUIZ) - (I hold) - stores update (done)

Telit Communications (LON:TCM) - another sub-optimal offer approach (done)

Let's start with some catch-up items, left over from yesterday, which I wrote up last night.


Fw Thorpe (LON:TFW)

Share price: 322p (down 2% at 14:43)
No. shares: 116.5m
Market cap: £375.1m

AGM Statement

This is a group of companies selling lighting equipment.

It issued an AGM statement at 15:15, which is most inconvenient. Far better to issue the text at 7am, so everyone can see it before the market opens, than issuing it during the trading day, when many smaller shareholders will be busy in their day jobs.

This trading update relates to FY 06/2021. It says;

"I am pleased to report that during the first few months of the 2020/21 financial year, despite the significant issues generally in the global economy, orders and revenue remain broadly similar when compared to the same period last year.

That’s encouraging, but the period covered is from July onwards, which was when lockdown had been lifted, and plenty of companies are reporting improved trading.

Lightronics factory fire in Sept 2020 - only minimal operational impact.

Outlook - sounds OK, but caution expressed;

Whilst management is satisfied with the current order situation, with order books around the Group generally healthy, both the COVID-19 pandemic effect and Brexit transition concerns are foremost in our minds. We plan for the future carefully, but at this present time we remain cautious about the Group's second-half performance."

My opinion - Stockopedia shows it on a PER of 24.3 times forecast EPS of 13.5p for FY 06/2021. Given the lacklustre growth in recent years, I really cannot understand why the PER is that high? Although the balance sheet is excellent, with surplus cash.

It’s quite a nice company, but it looks 20-30% over-priced to me, based on the figures available. Maybe holders/buyers…

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