Smart (j.) & Co. (contra... Share Discussion Threads

[coolen] 10/1/2024 21:39

No reason for Stewart Milne's accounts to have been made public, but dig deep and I see that their "boast" of £16m profits at their last year end (October 2022) was only after accounting for asset sales. Their operating results were a huge loss of -£34 million. Even that excluded £7million of interest charges. No wonder on Page 14, within the auditors report, the comment "material uncertainty" appeared.

In conclusion, the monthly Management Accounts at Stewart Milne since as far back October 2022 must have littered with more red flags than Red Square on May Day. I wonder what, if anything, Smarts suspected?

[russman] 09/1/2024 06:37

Stewart Milne demise is a sign of the times.

[russman] 17/11/2023 17:17

annual figures as expected.

[arthur_lame_stocks] 23/10/2023 20:51

I've watched this company for at least 15 years and it's about time the discount between price and tangible net assets was narrowed.

[russman] 23/10/2023 20:24

Building will be loss making but large net cash to tide them over.

[1c3479z] 23/10/2023 11:18

must be cheap at the price, 129 to buy, given the assets, relatively strong balance sheet, trouble is there are many others standing at similar discounts.

[russman] 18/10/2023 17:11

SP tanking for no apparent reason.

[1c3479z] 12/10/2023 12:52

bought their own shares back at 166-167 2 weeks ago, now the market is offering at 154.5. ought to be a bargain at the price, given the underlying assets?

[russman] 27/9/2023 17:18

still buying back even though interest rates have risen.

[russman] 17/5/2023 06:30

still buying back their shares, only small amounts

[russman] 21/4/2023 06:45

why has it kept a bank overdraft with all this cash lying about.

[russman] 28/1/2023 07:00

That is a lot of cash. Dont think buybacks will dent it.

[russman] 19/11/2022 03:19

500 plots stuck in planning.
Could be worse.

[c3479z] 18/11/2022 13:51

good results, net cash over 20m
divested 3 industrial estates in Jan 2022 just before the downturn in property so excellent management,
cautious outlook statement for the year ahead but on the face of it cheaply rated.

[russman] 10/10/2022 20:00

Cash of approx £39m at the interims.
A few speculative developments in the pipeline.
Could up the buyback or special divi with the finals.

[russman] 29/9/2022 17:24

still buying back their shares.

[c3479z] 19/4/2022 19:17

looks like they realised 6million profit on the business park sales but only a marginal rise in the dividend at the half year.

[c3479z] 04/4/2022 09:33

any progress on realising value from their proposed business park sales?

[russman] 09/3/2022 06:45

cash pays zilch at the mo.
Hypothetically
What fixed rate could SMJ mortgage their prime property.
swap at say 6% for 20yrs.
Use the mortgage to large the buybacks from family, saving the divi.
The risk is a property crash / banking crisis.

[russman] 08/3/2022 19:49

suppose buybacks save divi cost

[russman] 09/2/2022 17:30

still buying back their own shares.

[russman] 26/11/2021 07:43

Typical family business; they know their local market.
Steady property play.

[1tx] 23/11/2021 14:10

Thanks for information profdoc.Industrial property does seem to be flavour of the month with institutional investors with office & retail property facing uncertain demand so perhaps it is a good time to sell if SMJ can build & let replacements properties in the future at a lower price.I had wondered if the family was thinking of buying out minority holders with a company share buy back offer with the sale cash but I think your explanation is more likely.

[profdoc] 22/11/2021 11:27

1tx, the history of the company is quite interesting regarding sales of property. The family have been through quite a few property boom periods since 1947 and tend to be much more willing to part with property in exchange for cash when others are willing to pay high prices. For example, the company sold a lot just before the Great Recession: 2006: £5.1m, 2007: £12m. An indicator of managerial prescience?

Sometimes getting ready for the next downturn (when everything is looking dandy in the property market) is the best policy. The downturn will come. when it does, those holding cash will be able to pick up good sites at low prices.