||EPS - Basic
||Market Cap (m)
|Aerospace & Defence
Real-Time news about Manroy (London Stock Exchange): 0 recent articles
|battlebus2: So nearly 40% of the current share price, and as you say the path is clear for a suitor to look at the U.K. business. Either way i like the direction this is going.|
Statement regarding recent share price movement
Manroy, the AIM quoted UK defence contractor, notes the recent movement in its share price and confirms that it is in very preliminary separate talks with each of Herstal SA ("Herstal"), Beretta Holding S.p.A. ("Beretta") and U.S. Ordnance, Inc. ("USO"), which may or may not lead to an offer being made for the whole of the issued share capital of the Company.
There can be no certainty that a formal offer will be made for the Company or the terms on which such an offer may be made.|
|bookbroker: Share price speaks volumes from my last comment, beginning to believe that this co will struggle to make it on its own, one more week and I think I will be out.|
|speedsgh: From a pure TA viewpoint a nice uptrend has developed since Jan with the share price posting a succession of higher highs + higher lows. However the price did recently fail to break through the ceiling of the long-term downtrend in place since H1 2011. If we can break through that ceiling, we should hopefully be off to the races. RSI is looking oversold but MACD still currently falling.
Fundamentals are looking good. Interim results were on 25/5 last yr so not too long to wait for an update. Any positive news on the delayed US order + we can hopefully kiss goodbye to the longer term downtrend. Fingers crossed.|
|thorne3: Bookbroker -I agree there is something strange about the share price action here which I cannot put my finger on.I think for a lot of investors the jury may be out until such time as 1)the £8m order is confirmed and 2) more light is shed on the MUSA situation.If these matters proceed as planned then the share price will really light up.I am advised that its merely a matter of patience.|
|temelco: Well that's a start we are back to where we were last July. So now we are worth - what -£13 million. If what Glyn Bottomley says is right that means they should earn IRO £3-3.5m this financial year. ie under 4 PE. IC 2 is more than right.....The price will, of course, drop back, because the MMs need to get some stock in, but I'd say the trajectory of the share price will have shifted from down to up. One of the interesting things is the chart - believe it or not - is not yet screaming buy. But6 another week or two at or above these levels and it will|
|jimmy12345: bookbroker, im finding good news is not rising the share price anywhere on aim just now, ive just had very positive news in many of my holdings recently and even on good news the price has been dropping or not rising.
for instance AGTA, BLVN, SOU
all good news last couple days but no real movement, i also hold NEW :), and the market is sure letting me know bad news, while not giving me rises on good.
fustrating, but positive news and profits must eventually be rewarded in a higher share price.
im in here at 80p, im more fustrated than most|
|temelco: From Allenby
We initiate coverage of Manroy with a Buy recommendation and fair value of 60p offering 46% upside to the current share price of 41p. This recommendation is based on the recovery in profits expected in the current year to 30 September 2013 and a share price which is reflecting the historic issues that adversely impacted the FY 2011/12 outcome and nothing for the much improved performance that we anticipate being delivered against the group's record order book. Manroy recently announced losses for the year to 30 September 2012, primarily as a result of delays in the novation of US contracts by the Department of Defense (DoD), a delay in the receipt of First Article Acceptance (FAA) from the DoD and a delay in the confirmation of a particular export order for Heavy Machine Guns from a major customer. In addition, the relocation of Manroy USA (MUSA) from two existing facilities into new premises in North Carolina also negatively affected results from this 49% owned associate. These delays and one-off costs will serve to enhance prospects for the current year as the group expects the export order referred to above, and others, to be confirmed. Novation was received in April 2012 and the FAA process is progressing well, albeit having taken much longer than expected. Meanwhile, a record order book of £9m in the UK and $13.2m (£8m) from MUSA, together with a very encouraging pipeline of contact opportunities augurs well for further revenue generation. Concerted efforts by management to increase export business and widen the group's product base have met with success and now places the group in arguably its best position since float to deliver improved returns this year. Our forecasts for FY 2012/13 call for a near doubling of revenue to £14m, an adjusted PBT of £1.86m and EPS of 7.7p, rising to £17m, £3.18m and 13.6p respectively for FY 2013/14. The resulting PER of 5.3x falling to 3.0x compares to a sector average of 10.9x and 11.0x respectively and illustrates the significant discount that Manroy trades on against the sector average. Assuming our forecasts are met we anticipate the group returning to the dividend list and prudently look for a dividend of 1p, rising to 2p next year. We consider the current depressed share price as offering an attractive entry point for investors and reaffirm our Buy recommendation. (IJ)|
|glasshalfull: Yes, the shares would go "ballistic" if these contracts materialised Simon.
A Pre-Solicitation notice was published by the DoD in January 2013 allowing any company to respond who feel they have the capability to fulfil the DoD requirement. The notice states that 50,000 QCB kits are to be delivered between 2014 and 2018
Current Market Cap
£7.8m (at 41p)
Allenby have initiated coverage with Buy recommendation but sensible earnings forecasts given the various timing difficulties that have impacted during the last 12 months, with room for upgrades should certain contracts materialise.
Allenby Capital Limited
D/V 1.00p (2.4% yield)
D/V 2.00p (4.9% yield)
On the issue of contracts & delays,
Results for the year to September 2012 were frustrating for management and investors alike, being impacted by events that were largely out of the group's control. Once First Article Acceptance in the US is confirmed, the way will be clear for delivery against a strong order book worth £8m from its 49% owned US associate, MUSA. The record UK order book of £9m gives management the confidence that group revenues for the year to September 2013 will be in line with market expectations of c.£14m. In addition, Manroy is negotiating on a significant number of contract opportunities which, if awarded, would result in a very substantial increase in the order book.
On question of ethics is one that each potential investor will have to reconcile with their belief/view.
Manroy plc is the holding company for a group specialising in the provision of solutions for weapon design, production and mounting requirements for Infantry, Armoured Fighting Vehicles (AVF) and Naval platforms.
In the UK these services are delivered by Manroy Engineering Ltd and in the USA by Manroy USA LLC (MUSA), a 49% owned associate. Specifically, Manroy is best known as the UK's only manufacturer of Heavy Machine Guns (HMGs) and has recently designed and introduced a General Purpose Machine Gun (GPMG) and, following the acquisition of the trading assets of AEI Land Systems Ltd, the product range has been further expanded to include the design and manufacture of ancillary products including weapon tripods, towbars, turrets and weapon mounting solutions.
Manroy adheres strictly to UK legislation regarding the export of weapons
Clearly, the exporting of armaments is politically sensitive and it is worth stating at the outset that Manroy adheres strictly to UK legislation concerning the sale of armaments and weapons to foreign countries and governments. The group has never undertaken arms sales to any embargoed countries and in circumstances where the group sells its products overseas, such sales are undertaken in strict adherence to UK Government export regulations and approvals and are only undertaken after all appropriate UK Government licenses have been granted.
The US arm, MUSA is only 49% owned by Manroy & it appears that this ownership structure was implemented to allow for the application and subsequent award of HUBZone status where a business must be at least 51% owned and controlled by citizens of the United States and 35% of the firm's total workforce must reside in the HUBZone.
Benefits appear threefold,
*US federal government agencies are required by the HUBZone Empowerment Act to contract with HUBZone-certified small businesses for more than 3% of their budget in the form of prime contracts to HUBZone firms.
*Having HUBZone status allows MUSA to tender for certain DoD contracts on a sole supplier basis rather than competing against major Defence contractors.
*Provides MUSA with a 10% price evaluation preference in full and open contract competitions as well as further sub- contracting opportunities. In other words it results in MUSA's quoted price being automatically discounted by 10% against those from businesses without such status.
MUSAs acquisition of Sabre
In March 2011, MUSA completed the acquisition of the business and assets of Sabre Defense Industries (Sabre) for $6m in cash for assets that had been independently valued at $10.7m. Sabre was established in 2002 and was a direct competitor of MUSA. The purchase of Sabre was secured in auction against strong competition from three major international competitors providing some indication of the commercial and strategic value of this business.
The kicker here is that Sabre previously had turnover c.$17m per annum & due to bankruptcy has not supplied the Dod since 2010.
Caledonian Heritable Limited 23%
Glyn Bottomley 11%
Standard Life 3.9%
Strindberg Rajput 3.5%
Downing LLP 3.5%
(As at 30/09/12)
My conclusion is it that MAN appears substantially undervalued & I would anticipate from commentary of RNS announcements & Allenby research that there are a few decent contract award announcements round the corner, while current order book & profitability in 2013 looks pretty much nailed on, with PERs of 5.3 for the current year falling to 3.
The company have been reiterating delivery of the order book, notwithstanding the delayed £8m order which would be the icing on the cake.
Placing aside ones ethical stance for a moment, there appears to be a strong possibility for capital growth at the current distressed share price which is also augmented by a decent d/v yield if business goes to plan, with 4.9% yield for 2014 pencilled in at the current price.
|jimmy12345: hi temelco. im in here 6 months ago at 80p.
it reads great, rns great, contracts great and the BOD have stated we will be in good profits soon.
yet the share price drops? big drops on tiny volume.
the conclusion is this is so under the radar that selling 500 quid worth drops the share price 5%. this share needs some intrest.
until then hold tight and let the company do there stuff|
Manroy share price data is direct from the London Stock Exchange