Dillistone Share Discussion Threads

[b1ggles] 18/1/2010 17:07

Makes sense, cheers Jim.

[jimmcl] 18/1/2010 15:21

Probably because they need a AGM to approve a final dividend (See articles), and paying an interim doesn't need one. If they are to pay before 6th April, saving the recipients the increase in income tax (because the payment falls in 2009-10 rather than 2010-11), then a further interim with no final is a sensible option.

[b1ggles] 18/1/2010 12:28

I'm somewhat bemused by the trading statement and, in particular, the dividend details.

The actual details are clear enough but I don't understand the logic behind them. Why would they be paying a 'further interim dividend' after the year end, rather than call it a 'final dividend'?

[money mad] 28/7/2009 14:54

bought some today - (one to stick away for the long term)

[cliley454] 01/9/2008 10:14

That's what i'd say, should be on the way back to £3.

Take a look at PPS, they listed a couple of years ago at 80p and like lots of these start ups they've struggled and even after a recent placing at 10p you can pick them up today for under 8p, . They make hydrogen fuel cells which produce power with zero emissions. After some tough times, they've finally made a breakthrough and announced on Friday the launch of the Zemship, a passenger ship powered by their fuel cells. Also a new director came on boad today. This news is not yet reflected in the share price imho. More info on PPS bb, DYOR.

[valhamos] 01/9/2008 08:29

Good interim results and "full year will be somewhat ahead of current market expectations."

So about 18 or 19p eps for the full year?

[lynnex] 22/5/2008 09:55

Skyracer, this is utter tosh. The important word in the statement yesterday was VERY as in "VERY confident of a succesful outcome" because its almost a rehash of the original chairman's statement in the accounts, but with VERY added. The directors & Nomad will have thought very carefully about adding that word in this statement.

Also, I hear that at a private institutional meeting after the AGM, they were talking about "stonking results" for 2008, and stopped the brokers from issuing an profits upgrade until they were sure just how good 2008 was going to be. My reading of that is that this business is absolutely flying. the last paragraph of the statement issued yesterday is

"Since the year end, the Group has continued to be heavily cash generative, and our strong balance sheet and substantial cash reserves, together with the increasing value of recurring revenue contracts, means that the Group is relatively well protected against any short term slowdown in economic activity. The excellent start we have enjoyed in the first 4 months of 2008 also assists in this regard, and the Board is very confident that the Group will record another successful year."

The house Broker's analysis is "Blue Oar view: The valuation continues to appear compelling in terms of our peer analysis and DCF model. On the basis of our forecasts, Dillistone shares are trading on a 2008 prospective PER of 9.9x (10% EPS growth) falling to 8.6x (16% EPS growth) for 2009. The stock trades in line with its closest listed peer, Bond International Software (BDI.L), which trades on 9.7x (flat EPS growth) in 2008, falling to 8.4x (16% EPS growth) in 2009. We believe Dillistone's should trade at a premium to Bonds given its high EPS growth and dividend yields of 5.6% and 6.1% in 2008 and 2009 respectively. "

I think that this lot wouldn't dress up a profits warning. What you see is what you get here, and I reckon that they're saying "2008 is going to be a great year", plain & simple. Its a tightly run business, no debt, stonks of cash, good product, and strong prosopects, particularly in the fast growing far east. Particularly liked the phrase "Turnover and margins show significant improvement over the levels achieved in the same period in 2007" Significant in this context means more than 10%. Its a fill yer booots job, not a profits warning!!!!

[skyracer] 21/5/2008 07:17

This is a profits warning masquerading as a positive trading update. The key words are "which have now been fully implemented". Translated this means our forward orders have dried up.

[peach] 18/4/2008 18:26

Great results again from Dillistone. Div pushing 5% which is great for a growth stock with material cash backing - investors are being paid to wait for a re-rating which should be material given the growth rating being achieved. PEG ratio looking very attractive. The overseas exposure should help this year with Sterling looking weak.

Some cautious comments in the outlook however - but even if they halve the growth rate it's still attractive. I'm hoping they won't do anything silly with the cash. I'd rather them just increase the div.

P

[jazza] 13/4/2008 16:25

Elssworth u thick c*nt.

You're posting about DSGI on the DSG thread....wrong thread numbnuts!!!

[lynnex] 11/4/2008 13:52

Azalea
You're welcome. I'm sure this one will do very nicely. Bond had slightly disappointing numbers out a week or so ago with only 4% eps growth, and Dillistone are due to report next wednesday (16th). Given the contract wins they announced last year, and their trends on recurring revenues, I'm expecting eps growth of around 20% or so. I'm hoding on, hoping that the market will put a proper price on what looks a soundly run business, with no borrowings, oodles of cash in the balance sheet, and a good market.

[azalea] 10/4/2008 09:42

lynnex
12 of 13
Thank you for pointing out my error.
I return to post the news that DSGI has issued its second profits warning; but find I am on the wrong thread, my apologies to DSG investors, I hope your investment continues to prosper.

[peach] 25/1/2008 18:19

Management has been buying at recent lows in the last few days. Adding to their already substantial shareholdings. They have already announced a planned final div of 5p - taking full div to 7.5p or 3.75% - which given the growth rate and valuation of the company appears attractive.

[lynnex] 09/12/2007 12:00

Azalea, you've got this company confused with Dixons, the code for which is DSGI, wheras Dillistone is DSG. Confusing, I know, but this is a sound company thats never blotted its copybook since it came to the market, and has always delivered on its forecasts. Interims were excellent, and there seems to have been a string of contract wins, which should flow through to profits this year and into the future as the support revenues assoviated with them begin. I'm watching this carefully.

[azalea] 28/11/2007 08:09

I see DSG has got its just desserts - producing a 26% fall in H1 ptx profits. Perhaps one of the lessons its top management needs to learn is not to make black and white warranty promises to it customers and then totally renage on them.

[theband] 02/10/2007 19:37

This is weird, can you actually buy it, and if so, how much. Hardly any trades shown.

[peach] 14/9/2007 16:27

Good interim results today:
- strong growth rate continued - with forward visibility for second half
- widened margin (which is still very high)
- strong cashflow (around 5.6% forward fcf yield)
- greater proportion of repeat business
- start of div payments
- Strong growth outside of the UK

Company is worth £16m, but has cash balance of £1.1m and no long term debt. Forward PE is around 16 times. Stripping out cash it's on around 15 times earnings. Reasonable given the growth. I'm expecting further gains for this stock.

Thoughts?

P

[peach] 08/5/2007 22:49

Greater liquidity and narrowing of the bid offer spread (as noted above probably due to a market maker caught short of stock which is now resolved)
Delayed reaction to good results
Recent announcement on business wins
A very low valuation given the growth rate
A decent div in the offering
etc etc (see earlier posts)

[alphorn] 08/5/2007 21:42

Anyone know what is driving up the sp?

[cochise] 01/5/2007 14:13

MM buy at full offer - 10000 at 170p - which is nice.

[demark] 21/4/2007 00:21

take a look at this clip from online times -210407- market report........

dyor

The peculiar story of the day was provided by Dillistone, a recruitment software group, which jumped 20p to 157½p as four of its directors helped out a market maker caught short of stock. With only 10 per cent of shares in free float, they agreed to provide liquidity by selling on 11,241 issues at 157p each.

Dillistone had been marked down sharply since February, sparking talk that its lone market maker was trying to shake out sellers after failing to fulfil orders requesting up to 50,000 shares. Jon McLaughlin, Dillistone's chairman and finance director, said early investors may be ready to sell more, but not at the current price

[cochise] 20/4/2007 10:59

Agree with your thoughts, Peach, and holding small stake for a couple of months now. It's been a wild ride, but, encouraged by management buys, have held on and now just in profit. Hopefully when their move is completed, and if growth continues at anything like past performance, there will be increased recognition of the evident value, and an explosion of posts here. Good luck.