Menzies(john) Share Discussion Threads

[colinhy] 12/9/2013 10:52

09/09/13 e-Bulletin

Menzies Aviation expansion at Aberdeen Airport and further growth in Scotland!

I am delighted to announce that on 1st September we successfully completed the takeover of the Aero Handling business at Aberdeen Airport (ABZ).

On 1st September, Kenny Nicol, Station Manager ABZ and his team commenced handling the Aero Handling portfolio of customers at Aberdeen. These customers include Loganair ('Scotlands' Airline'), British Midland Regional and Atlantic Airlines. This takeover has resulted in 50 new colleagues joining the Menzies team and increased the volume of aircraft turns handled by Menzies at ABZ by an additional 18 flights per day.

Having only established our ground handling business in Aberdeen in August 2012 (through the purchase of Airbase Flight Support), we have now doubled the size of this station in just over a year. Please join me in congratulating Kenny Nicol and his team on this exciting development.

Menzies has also won the Loganair contract at Edinburgh for 5 years which adds an additional 10 flights per day from 27th October 2013 and have further been successful in renewing our contract with them at Glasgow for a 5 year term.

These three stations fall under the remit of our VP Operations North, John Henderson, and demonstrate a confidence in John and the Menzies team in Scotland to deliver a high quality service over a sustained period.

[colinhy] 28/8/2013 11:54

28 August 2013

Menzies Aviation seeks antitrust approval for 7.7 mln pound Skystar acquisition

Menzies Aviation (New Zealand), an airport baggage handling services arm of UK's John Menzies Plc, is seeking antitrust approval to buy the Skystar Airport Services unit at Christchurch and Dunedin airports as part of a 7.7 million pound deal spanning both sides of the Tasman.

The New Zealand Menzies unit, with local annual revenue of some $31 million, has applied the Commerce Commission for clearance to buy the Skystar operations, which are owned by ASX-listed Monadelphous Group. The local Skystar operations reported annual sales of $4.7 million in the year ended June 30, 2012, according to the latest financial statements lodged with the Companies Office.

The New Zealand acquisition is part of a bigger purchase for the British company, which last week said it had agreed to buy the Skystar Australasian ground handling business for 7.7 million pounds as part of a strategy to expand into attractive growth markets.

In its application to the Commerce Commission, Menzies said the company's commercial rationale was to expand its operations in Perth and pick up business in other parts of Australia where it doesn't yet operate.
"Despite the aggregation in the relevant markets, the proposed acquisition of Skystar New Zealand by Menzies New Zealand will not have the effect or likely effect of substantially lessening competition in a market," Menzies said in its application to the regulator. "This is because Menzies New Zealand will be constrained post-acquisition by near and potential competitors in the relevant markets, and by the countervailing power of its customer airlines

[colinhy] 23/8/2013 09:28

Airwise.com 23 August 2013

While the headlines this week may have focused on the slight decline in first half profits at John Menzies, the Edinburgh-headquartered company actually took two steps forward in its aviation business.

Two acquisitions by the company take it into South America and strengthen its position within the Australian market.

Menzies bought Decasol, a Colombian ground and cargo handling business for up to GBP£6.4 million (USD$10 million), describing it as a "bridgehead for further opportunities in other countries" in South America.

Decasol already handles 60,000 aircraft turnarounds and 50,000 tonnes of cargo for existing customers of the UK group.

Craig Smyth, managing director of Menzies Aviation was reported as saying: "Decasol is a very exciting new development into an attractive market, as well as expanding our relationship with some key Latam low cost and national carriers."

Menzies has also done a deal to pay GBP£7.7 million (USD$12 million) for Australian ground-handling business Skystar which operates at eight airports throughout Australia and New Zealand, handling 17,000 turnarounds a year for 10 airlines.

The company said the two deals would be earnings-enhancing from next year. Menzies' recently appointed finance director Paula Bell was quoted as saying that the businesses would bring about GBP£15 million of revenue into the group.

The management hopes that the acquisitions will prove significant steps forward for a a division which delivered a 10 percent increase in operating profit to GBP£15.5 million (USD$ million).

They are operating in a highly competitive business environment as airlines apply all the pressure they can to keep ground-handling and turnaround costs as low as possible.

But Menzies said it won 50 contracts and only lost 15 in the first half with only four lost on service pricing.

While admitting the continued downward pressure on prices, Menzies said: "However, our track record reinforces our belief that customers choose and stay with Menzies Aviation for our superior service offering."

Ground-handling currently accounts for 63 per cent of the aviation business and is likely to grow in importance.

Part of the group's confidence comes from the fact that it has applied some surgery to the business closing some cargo operations in the US and UK.

Over the half year cargo tonnage shrank by 14.5 percent but like-for-like business, stripping out the closures, was down only 2.6 percent, while operating margins rose from 4.7 percent to 6 percent plus.

While the shares fell back on their half year results earlier this week they are up about 17 percent over the year marking the fact that the market believes that John Menzies is heading in the right direction.

[colinhy] 22/8/2013 14:58

John Menzies Now Covered by Analysts at Panmure Gordon (MNZS)
August 22nd, 2013

Equities research analysts at Panmure Gordon started coverage on shares of John Menzies (LON:MNZS) in a research note issued to investors on Wednesday, American Banking News reports. The firm set a "buy" rating and a GBX 877 ($13.72) price target on the stock. Panmure Gordon's target price would indicate a potential upside of 17.64% from the company's current price.

MNZS has been the subject of a number of other recent research reports. Analysts at JPMorgan Chase & Co. reiterated an "overweight" rating on shares of John Menzies in a research note to investors on Wednesday. Separately, analysts at Numis Securities Ltd reiterated an "add" rating on shares of John Menzies in a research note to investors on Tuesday. They now have a GBX 834 ($13.05) price target on the stock. Finally, analysts at N+1 Singer reiterated a "corporate" rating on shares of John Menzies in a research note to investors on Tuesday.

Five equities research analysts have rated the stock with a buy rating, The company presently has a consensus rating of "Buy" and a consensus target price of GBX 852.67 ($13.34).

[colinhy] 20/8/2013 08:54

John Menzies Stock Rating Reaffirmed by N+1 Singer (MNZS)
Posted by JAGS Staff on Aug 20th, 2013

A number of other firms have also recently commented on MNZS. Analysts at Liberum Capital reiterated a "buy" rating on shares of John Menzies in a research note to investors on Tuesday. They now have a GBX 847 ($13.25) price target on the stock. Separately, analysts at Shore Capital Stockbrokers reiterated a "buy" rating on shares of John Menzies in a research note to investors on Tuesday. Finally, analysts at JPMorgan Chase & Co. reiterated an "overweight" rating on shares of John Menzies in a research note to investors on Wednesday, July 3rd. They now have a GBX 852 ($13.33) price target on the stock.

Four analysts have rated the stock with a buy rating, John Menzies presently has an average rating of "Buy" and an average price target of GBX 844.33 ($13.21).

[major clanger] 17/5/2013 20:59

Broker notes:

[colinhy] 06/3/2013 08:17

Menzies reaps benefits of aviation cost-cutting

[broadwood] 05/3/2013 14:22

John Menzies performs well despite tough trading conditions
Tue 05 Mar 2013




- John Menzies, the FTSE 250 aviation and distribution group, has pleased investors with an upbeat set of full-year results for 2012, despite difficult trading conditions at both its operating divisions.

Revenue made a marginal decline to £1,996.8m (2011: £2.013.8m), but underlying pre-tax profit rose to £58.4m from £56.4m the previous year.

Underlying earnings per share inched 0.2p higher to 73.4p.

The dividend was increased by 0.85p to 17.85p.

Menzies Aviation, where operating profit on a constant currency basis was up 16%, turned in a strong performance despite airline failures and currency headwinds, the group said, adding that future prospects remain good as it aims to deliver on its organic and selective acquisition growth plans.

At Menzies Distribution, which helf profits flat, the acquisition of Orbital Marketing Services Group has provided the division with a "highly synergistic business that will offer new areas of potential growth".

Chairman Iain Napier said: "The group continues to trade on a sound footing with both divisions returning good results. Market conditions remain tough, but despite this we continue to deliver our targets.

"Overall the group is well placed to continue to deliver growth."

Group net debt increased to £93m mainly due to spend on acquisitions, while the cost of exceptional items for the year came in at £18.4m.

[broadwood] 05/3/2013 07:09

Happy enough with those results.

[colinhy] 19/2/2013 10:21

According to Forsyth Black, senior vice-president for Africa, Middle East and India at Menzies Aviation, the industry is about to boom.

"As the world comes to Africa looking to reap the benefits offered by emerging markets, the industry on the continent is already starting to expand, with new contracts and tenders coming on stream," he says

[broadwood] 05/2/2013 16:38

Am I being thick? Why wasn't there an RNS about that Thomson contract?

[broadwood] 04/2/2013 14:57

Nice find Colin - explains the strength. They do seem to be doing a lot of things right.

[colinhy] 04/2/2013 14:38

04/01/13
e-Bulletin from Terry Brown - VP Business Development UK&I



Following a competitive tender process, I am delighted to announce that Menzies Aviation has been awarded a 3 year contract for ground handling services by Thomson Airways at Glasgow Airport (GLA), commencing 1st of April 2013.

Thomson Airways operate around 1100 flights per annum from Glasgow with a mix of long, medium & short haul routes. The airline currently operate Boeing 757 and 737 aircraft, but will add the new B 787 Dreamliner in May 2013 for Orlando & Mexican routes.

This is a significant milestone as this is our first working relationship with Thomson Airways in the UK and is testament to the hard work and negotiating skills of Annmarie Horne and John Henderson and to the ever-increasing customer confidence in Menzies service and quality standards.

We hope that this partnership will lead to a stronger working relationship between both companies as the contract progresses and further growth opportunities arise.

Please join me in congratulating Louise Hurst, Station Manager, GLA and her team on yet another new customer.

[werty5] 28/1/2013 22:11

Breakout above 700 it would seem waiting to see if there is a pullback tomorrow.

[werty5] 28/1/2013 22:09

Breakout it would seem waiting to see if there is a pullback tomorrow.

[broadwood] 28/1/2013 15:38

They're certainly getting a wiggle on today. No obvious reason I can see.

Not complaining though.

[joe_satriani2] 28/1/2013 13:21

I don't see an RNS to explain the recent rise, up another 5% today - any idea?

[broadwood] 28/11/2012 16:09

Market liked that acquisition.

[philanderer] 23/10/2012 17:10

Took my profit this morning.

xd tomorrow.

[philanderer] 18/10/2012 20:43

Possible air travel disruption Guernsey........

Disrupted travel plans could be on the cards if a pay dispute with baggage handlers is not settled.

Unite, which represents workers at Menzies Aviation, has lodged a complaint with Commerce and Employment.

Around 60 men and some women employed by the handling company want an RPI increase this year.

Menzies took over from Airbase Flight Support in August but the employees say they have not had a pay rise for five years.

Unite regional officer Bob Lanning said Menzies had refused to recognise the union and enter into discussions with the men.

"The guys are up in arms over the fact that the company won't recognise discussions with us, despite half of them being members.

"There's no excuse not to, but there's no legal means to force it in Guernsey."

Mr Lanning said there could potentially be some disruption because there was nothing to stop them walking out in Guernsey.

"They are essential workers, if they weren't there the airport can't run.

"But they are manual workers struggling to make ends meet."

The men move baggage and guide planes in and out of parking spaces.

Mr Lanning said it was not something he would support but even if they chose not to do any overtime, it would cause huge problems.

"Without any recognition I don't have any right to discuss it with them.

"I want the airport to run. I'm reliant on it myself and it is a lifeline for the island."

One of the men, who asked not to be identified for fear of losing his job, said 'morale was through the floor'.

"All we are asking for is for the union to be recognised and a rise that keeps up with inflation."

The men were told they would get an attendance allowance of £50 a month in the summer but Mr Lanning said that payment was not written in to their contract and not a guaranteed monthly payment.

Now the dispute has been lodged, discussions should start and either lead to arbritation, where the ruling will be binding, or a tribunal.

Menzies was this morning unavailable for comment.

[philanderer] 17/10/2012 20:08

'Menzies Distribution upgrades its app as monthly online transactions reach milestone'

17 Oct, 2012

[philanderer] 17/10/2012 16:46

Lots of single and double digit trades today .

[philanderer] 16/10/2012 12:35

Greyhound racing sponsorship ???

'Fairly Handy expected to win The Menzies Distribution Race'

[philanderer] 07/10/2012 09:28

Investment Insider: Stay on the ground as airlines take off

....There are other ways to take advantage of a recovery in the airlines market that do not require investing in airlines directly. John Menzies, the former high-street newsagent, operates Menzies Aviation, the world's second-largest global aviation services business.

It provides a range of passenger handling services that include ticketing and check-in. Menzies is valued at about eight times prospective earnings, which doesn't look too demanding. The prospective yield is an above average 4.2 per cent.

Some claim investing in airlines directly can be a recipe for disaster. Warren Buffett put it succinctly when he jokingly said the Wright brothers' flight was one small step for mankind and one giant step backward for capitalism. I tend to agree, which is why I think staying on the ground may be a better way to invest in an airline recovery.