Good morning, it's Paul and Jack here with the SCVR for Wednesday.

New thread for BOO results - Boohoo (LON:BOO) (I hold) results are due out today shortly (I'm writing this at 06:35). Given that it's my largest, long-term personal shareholding, I'll obviously want to spend some time this morning going through the numbers in detail. Given that BOO is now way too large for the SCVRs at a market cap of £4.3bn (we usually stop when we get into the £400-500m range of market caps), then these days we discuss BOO on a separate thread, which is here. So please put any BOO related comments there, much appreciated.

Agenda -

Paul:

Smiths News (LON:SNWS) (I hold) - an interesting turnaround is underway here. Interim results are in line with expectations. Debt starting to reduce. Balance sheet still ugly, but within 2 years debt should be reduced to 1x EBITDA. Dividends to resume this year. A nice value share, in my opinion.

Tclarke (LON:CTO) - in line with expectations trading update for 2021 to date, plus a record order book. Very nice, but this is a stock that will always be on a low PER, as it's earning low margins, on large complex projects.

Jack:

Mcbride (LON:MCB) - rising input inflation and volatile revenue sees the private label manufacturer downgrade full-year guidance

Cambria Automobiles (LON:CAMB) - solid update from asset-backed car dealer. Government support has helped through lockdowns and Cambria could emerge as a winner in this sector


Paul's Section

I've managed to tear myself away from BOO!

Smiths News (LON:SNWS)

(I hold)

39.2p (slightly up today) - mkt cap £95m

This is the UK’s largest distributor/wholesaler of newspapers & magazines.

I’ve gradually warmed to this share, as a decent recovery is gaining traction.

For background, I reported here on 3 March 2021, when it reported an in line with expectations H1 trading update.

Interim results - today are in line with expectations, as previously confirmed.

Key numbers:

  • Revenues £551.6m in H1, so a significant sized business
  • Adj EBITDA in H1 £20.5m, as expected
  • Adj profit before tax £14.4m in H1
  • Adj EPS of 4.6p
  • Net bank debt of £70m, slightly below the £71m previously indicated - at 1.9x EBITDA this is now comfortably within covenants, and on a falling…

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