|Psm update next week
Should be just getting a re-affirmation of strong growth as per last update / rns / bloomberg CEO interview :)|
|Peel Hunt: Galliford Try story ‘still attractive’ - HTTP://citywire.co.uk/money/the-expert-view-hsbc-bovis-and-vodafone/a994358?ref=citywire-money-picture-galleries-list#i=5
Peel Hunt expects ‘material improvements’ at Galliford Try (GFRD) after the housebuilder set out its strategic plans.
Analyst Clyde Lewis retained his ‘buy’ recommendation and target price of £16.50 on the stock, which closed 12p or 0.8% lower at £15.03.
‘While the group reported good progress with its H1 [first half] results, with profit before tax up 19%, the key news…is the group’s 2021 strategic growth vision,’ he said.
‘These plans will see material improvements in all three divisions, resulting in group profit before tax being over £230 million in four-and-half years’ time versus £160 million in full year 2017. Despite the post-Brexit rally in the share price, we believe investors will find this story attractive.’|
|This rise indicates possible large trade in the pipeline as a buy
Today or maybe tomorrow|
|expect rise to continue till next week,
We knew Bdev was coming out with good figures based on last rns
Psm will be as same as last rns, strong, based on Ceo on bloomberg few weeks ago
yesterdays reaction for Gfrd was over done
|broadwood. Always a good idea to quote your source so readers may read the full article. Thanks for posting
|Delayed reaction to yesterday's strong results.|
|Construction group Galliford Try gave investors reason to cheer as it hiked its dividend 23 per cent to 32p a share.
Shares soared when the market opened as profit climbed 19 per cent to £63million. Revenue in the six months to December 31 was up 3 per cent to £1.3billion.
Much of the growth came from its house-building business Linden Homes.
Galliford set out ambitious plans for the next four years, targeting profit of £220million
Shares have now recovered past their pre-Brexit levels – the stock plunged more than 40 per cent in the weeks after the referendum vote in June to lows of 785p – but experts say there could still be further to go.
Yesterday shares finished up a nudge at 0.9 per cent, or 14p, to 1502p|
Interesting; if true makes CLLN look even cheaper.|
|What happened in the last hour? A great set of figures, dividend increased by 23
% and the price nosedives. Great buying opportunity. IMHO DYOR|
|NOTE: The following compares figs in CLLN 2015 Annual Report with figs in GFRD 2016 Annual Report in an attempt to compare importance/performance of Construction within each company. I have used figs for Construction excluding Middle East for CLLN. More up-to-date figs for CLLN will of course be released shortly but perhaps useful for now as a comparison.
Looks like Construction represents a large % of total revenue for GFRD than for CLLN but margins on Construction are much poorer at GFRD (1.1%) compared to CLLN (3.0%).
Please feel free to point out any glaring errors that I may have made...
Total revenue: £4,586.9m
Construction revenue (excl Middle East): £1,258.3m
Construction (excl Middle East) as % of Total revenue: 27.4%
Total underlying operating profit: £259.0m
Construction underlying operating profit (excl Middle East): £37.8m
Construction (excl Middle East) as % of Total underlying operating profit: 14.6%
Total underlying operating margin: 5.3%
Construction (excl Middle East) underlying operating margin (incl Middle East): 3.0%
Total revenue: £2,670m
Construction revenue: £1,503m
Construction as % of Total revenue: 56.3%
Total underlying operating profit: £135.0m
Construction underlying operating profit: £15.8m
Construction as % of Total underlying operating profit: 11.7%
Total underlying operating margin: 5.1%
Construction underlying operating margin: 1.1%|
|What? ... oh ... following. I thought I was having a senior moment.|
|As for share price rise
Following (editied ) worth watching
Two out of three i think will be good ..|
|Just breached 52-week high of 1535p.|
|21 Feb Peel Hunt 1,650.00 Buy|
|Strong looking results with pleasing 23% increase in interim dividend. Note that they are guiding for lower div growth in future years ("a five year CAGR on dividend of at least 5%").
Cashflow/margins in Construction continue to be impacted by some legacy contracts but they appear to be on top of this and they forecast that this should start to improve from FY2018.|
|Where gouverment has said they are looking to invest <-----
Galliford Try plc is one of the UK's leading housebuilding and construction groups with revenues of Â£1.5 billion.
The Group is organised in five Divisions;
Infrastructure, <-------- i think this is where they will do better
Affordable Housing & Regeneration. <------- i think this is where they will do better
The Group's Building Division specialises in education, health, leisure, commercial, interiors, affordable housing and facilities management. Galliford Try's Infrastructure Division encompasses work for the water, highways, rail, remediation, flood alleviation and renewable energy sectors. The Group's PPP Investments Division develops and invests in public/private partnership projects. Its Housebuilding Division operates through five regional brands: Linden Homes, Linden London Developments, Stamford Homes, Midas Homes, and Gerald Wood Homes. Concentrating on brownfield sites and individually designed developments, the business completes around 1,800 homes annually. The Group's rapidly growing Affordable Housing & Regeneration Division specialises in the creation of sustainable communities.|
|Whichever way you look at it, this is a super set of numbers from a confident company. Gotta love that dividend.|
|Ceo comments make a difference to SP
Peter Truscott, Chief Executive, commented:
"The Group delivered another strong performance in the first half. Our reorganised management teams have settled well and are making positive strides towards their respective operating and financial targets.
We continue to see robust demand and pricing in residential markets, for both Linden Homes and Partnerships and Regeneration, driving good rates of sale, and the land market remains benign in all regions. Linden Homes continues to achieve margin improvement, including much improved overhead efficiency. Partnerships achieved a higher proportion of mixed tenure development revenue, resulting also in first-half margin growth. Construction is making steady progress in resolving legacy contracts, and the contribution from newer work is encouraging, demonstrating that the underlying business is strong.
Whilst we remain alert to potential uncertainties in the wider economy, we continue to see opportunity in all of our markets. We enter the new calendar year with strong order books: both Linden Homes and Partnerships are at record levels, and whilst Construction is lower than the prior year, it remains both at a very comfortable level and, more importantly, of high quality. Our improved debt facilities have further strengthened the balance sheet, providing financial flexibility to underpin our strategy for growth.|
|Very good results
especially when you have noise from Brexit
Just look at what happened Bovis yesterday
This has better diversification then its peers
GALLIFORD TRY PLC - HALF YEAR REPORT FOR THE SIX MONTHS ENDED 31 DECEMBER 2016
STRENGTHENING OUR FOUNDATIONS TO SUPPORT STRATEGY FOR GROWTH; NEW TARGETS TO 2021
Financial H1 2017 H1 2016 Change
Revenue 1 £1,308m £1,265m + 3%
Group revenue 1 £1,235m £1,182m + 4%
Profit before tax £63.0m £52.9m + 19%
Earnings per share 61.9p 52.2p + 19%
Dividend per share 32.0p 26.0p + 23%
Net debt £113.8m £95.7m - £18m
Group return on net assets 2 24.9% 23.1% + 1.8%ppts|
|No nasty surprises. Good order books.
- Galliford Try posts a strong first half with pre-tax profits rising 19% to £63.0m, earnings per share up 19% to 61.9p and interim dividend up 23% to 32.0p.
- Net debt of £113.8 million (H1 2016: £95.7 million), in line with expectation. · - extended to 2022 on same terms; debt private placement of £100 million 10 year fixed-rate notes, adding flexibility and diversity of lenders.
- Strategy to 2021 targeting sustainable growth and strong returns across all three businesses. Targets include 60% growth in profit before tax to FY 2021, a five year CAGR on dividend of at least 5% and a return on net assets in FY 2021 of at least 25%.
Chief executive Peter Truscott said: "The Group delivered another strong performance in the first half.
"Our reorganised management teams have settled well and are making positive strides towards their respective operating and financial targets.
"We continue to see robust demand and pricing in residential markets, for both Linden Homes and Partnerships and Regeneration, driving good rates of sale, and the land market remains benign in all regions.
"Linden Homes continues to achieve margin improvement, including much improved overhead efficiency.
"Partnerships achieved a higher proportion of mixed tenure development revenue, resulting also in first-half margin growth.
"Construction is making steady progress in resolving legacy contracts, and the contribution from newer work is encouraging, demonstrating that the underlying business is strong.
"Whilst we remain alert to potential uncertainties in the wider economy, we continue to see opportunity in all of our markets.
"We enter the new calendar year with strong order books: both Linden Homes and Partnerships are at record levels, and whilst Construction is lower than the prior year, it remains both at a very comfortable level and, more importantly, of high quality.
"Our improved debt facilities have further strengthened the balance sheet, providing financial flexibility to underpin our strategy for growth."|
|Results statement look very good to me, and 23% increase in divi more than i was expecting.
Can see the recent strong share price increase continuing and can see no reason why we shouldn't be retesting £18 before long.|
|I sold out yesterday after the recent strong rise as I didn't want to hold into earnings. Results look ok but whether they are good enough to hold the recent rise remains to be seen. If it reverts to mean trend then I'll buy back in|
|Seems a confident enough statement, let's see what comes out of the analysts meeting|