Good morning! It's Paul here.

To get you started today, I added 3 more sections to yesterday's report in the evening, being updates from;

Ideagen (LON:IDEA)
N Brown (LON:BWNG) and
Carclo (LON:CAR)

Here is the link to yesterday's completed report.

Flybe (LON:FLYB)

Share price: 12.1p (up 3% today, at 10:48 - volatile)
No. shares: 216.7m
Market cap: £26.2m

Formal sale process - this regional airline has put itself up for sale. This is part of a strategic review with several options (i.e. Plan B, if nobody wants to buy it);

These options include further capacity and cost saving measures, initiatives to strengthen the balance sheet and preserve cash resources, as well as a potential sale of the Company through the commencement of a "formal sale process"

Discussions are already underway;

The Company confirms that, at the time of this announcement, it is in discussions with a number of strategic operators about a potential sale of the Company.

The question is whether any other airlines will see value in Flybe. The stock market certainly doesn't with the share price down to only 12p. There was a short-lived bounce this morning, that was snuffed out by sellers. Who knows what happens next.

On the one hand, I can see that buying Flybe for peanuts might be attractive, if another airline were able to strip out a lot of duplicated costs, and make Flybe profitable. On the other hand, maybe its legacy issues, such as onerous leases on uneconomic planes, might put off potential buyers?

The fundamental problem with Flybe seems to be simply that not enough people use its flights. Therefore, flying with too many empty seats just doesn't consistently make any money.

Let's have a look at its latest results, announced today.

Interim results - for the 6 months to 30 Sept 2018.

Usually when a company puts itself up for sale, after its share price collapsing, then you expect to see dire results. However, these interim figures actually look quite good - adjusted profit before tax is up from £9.4m last time, to £14.0m this time. That's a profit, not a loss.

The CEO's summary mentions…

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