Panmure Gordon Share Discussion Threads

[discodave4] 25/3/2015 08:59

Guess your also invested in CNKS?, no offence intended.GLDD

[topvest] 25/3/2015 07:34

At least Cenkos get the big deals - see AA today.

[isis] 25/3/2015 06:55

Good bit in the Times which also mentions Dalmans' 10% stake:-

[isis] 25/3/2015 06:54

Panmure pays out first dividend since 2007 after a bumper year
Share:
by Michael Bow25 March 2015 1:29am
PANMURE Gordon unveiled its first dividend for eight years yesterday in a sign of the group’s resurgent fortunes during last year’s bumper crop of capital market deals.

The corporate finance house, led by chief executive Phillip Wale, will pay about £400,000 in total to investors through a 2.5p dividend after pre-tax profits almost doubled to £2.15m.

The group, which was beset by problems in the wake of a botched expansion into the US, said it was also in the market to make acquisitions if opportunities arose, after missing out on Charles Stan­ley’s securities business earlier this month.

“Since the start of the year we’ve been presented with four different opportunities to buy parts of businesses,” Wale said. “We’ll always be willing to look at them [acquisitions], but they need to make economic sense.”

Shares fell 5.9 per cent amid low trading volumes yesterday.

[discodave4] 24/3/2015 21:07

Top, No offence but prefer they stayed well away from the "Cenkos model".....you mean broker and NOMAD to QPP and the infamous "loan facility" to Directors!, no thanks.GLDD

[topvest] 24/3/2015 20:38

Well they have delivered a profit and a dividend so I'm happy. Not sure why they are looking at acquisitions. They have the brand. They just need to knuckle down and develop the business. If they just followed the Cenkos model there would lots of upside. Cheap as ever. Something will happen at some point.

[discodave4] 24/3/2015 20:02

Believe they exited US business h1 2012 so doubt it's that?, who knows. From past results seems like redundancies and restructuring costs have been £0.5m to £1.2m for the past five years or so.......high turnover industry with high levels of pay and associated redundancy payments?.

[isis] 24/3/2015 19:36

Was hoping they are exceptions so should not occur annually - maybe something more in the Annual Report - I think it has something to do with the sale of the US business.

[discodave4] 24/3/2015 19:26

Not too dissimilar though from previous year, so nothing out of the ordinary.DD

[isis] 24/3/2015 15:49

Seems there were Redundancy and Restructuring costs which marred H2 figures.

From the Report:-

Redundancy, restructuring and other non-recurring charges1 (1,216)

[isis] 24/3/2015 15:14

City stockbroker Panmure Gordon marks turnaround with first dividend since 2007

Changing times: Panmure Gordon boss Philip Wale said City brokers are having to adapt to a new norm (Picture: Stefan Rousseau, PA)
4



NICK GOODWAY

Published: 24 March 2015 Updated: 13:31, 24 March 2015
City stockbroker and corporate finance house Panmure Gordon has celebrated its turnaround by paying its first dividend since before the financial crisis in 2007.

At 2.5p a share it will cost the firm about £400,000, and chief executive Philip Wale admitted it was a modest dividend “but nice to have it back in place”.

Wale, who took charge in 2012, also jested about how much it would mean for Panmure’s biggest shareholder, QInvest, the Qatari investment bank, with a 43.5% stake: “It’s hardly going to pay a Manchester City player’s wages for a week.”

On a more serious note Wale is grateful for a supportive major shareholder during what has been a period of immense change in corporate broking.


That shows in Panmure’s figures. While pre-tax profits rose by 84% to £2.15 million, driven by an 8% rise in commission and fee income, the drivers were all in corporate dealmaking.

Corporate finance fee income rose by 14% to £20.7 million while commission and trading income in institutional broking was down 4% at £9.4 million.

Wale believes this is a permanent change in the broking world.

“There is a smaller commission pool because there has been a metrical change in the way the buy-side pays for research and the fact that actual commission rates have come down,” he said.

“The model for firms like ours had to move to corporate fee income. Even there the market is as competitive as I have seen it in my 30 years of broking.”

Panmure had a look at buying both Oriel Securities and the corporate broking side of Charles Stanley, but in both cases lost out to overseas bidders.

Wale said: “We offered a good price but against the rival prices that were offered we could not make the economics stack up.”

[isis] 24/3/2015 12:24

It seems par for the course a nasty drop on results day. Happened to a couple of shares of mine recently and both recovered and beyond.
Moneysupermarket fell 10% after good results and now 50p higher.

Nothing wrong with these results and a good appointment to boot!

Broking very much a business of 'Who you know'. ;-))

[salpara111] 24/3/2015 09:43

Well, I have read the results properly now and am clear that I am holding for the moment.
I think the markdown was something of an overreaction, having said that I dont think there was enough to warrant a rise in the share price
My main concern now is that they will go back to radio silence for 6 months like they did last time meaning a drifting share price for that period.
I really do feel that there is a requirement, even if it is not legally required, to issue some sort of interim update.
The best scenario is that someone would buy them out but that cant happen unless Quinvest is a willing seller.

[isis] 24/3/2015 09:36

Well at least they're bouncing back.

AIM stocks can be very wicked sometimes.

[salpara111] 24/3/2015 09:20

Having read and digested.
My main concern is that they have given no explanation for the profits collapse in the second half and with that it leaves me wondering if the business is truly sustainable going forward.
Markets were better in 2014 than 2013 from a trading volume perspective but they reported a drop which means there is a problem with that aspect of their business.
Like most holders I guess I am now well underwater but loathe to sell given that they are not in any trouble and have stacks of cash and no debt.
Looking at the trades list it is clear that quite a number of private buyers have thrown in the towel and to be honest I cant blame them
This morning was one of the rare occasions where I was convinced that I would go looking for one of my stocks on the top 50 gainers list....just shows how badly wrong you can get it!

[adamb1978] 24/3/2015 09:20

Salpara111

Need to strip out exceptionals, which clouds the performance. H2 as everyone in the financial sector saw wasnt a greater priod but pre-exceptional PMR did 7.7p in H2. Annualise that to get 15p for a year and then the PE os about 8x - 9x, despit e60% of the market cap being in cash. Cheap

[paleje] 24/3/2015 09:11

Their client list shrunk a bit from the previous year but they say it's strengthened in 2015, don't know how much. They're in a sector tipped for m&a activity, that might cause some excitement in the year ahead, not today though.

[isis] 24/3/2015 08:57

Fall seems a bit harsh - looks like some were gonna sell whatever happened.

[adamb1978] 24/3/2015 08:02

Net cash is now 60% of the market cap!!!!

[isis] 24/3/2015 08:00

Panmure Gordon hikes FY pretax profit by 84%
24 March 2015 | 07:25am
StockMarketWire.com - Panmure Gordon & Co has hiked its FY pretax profit by 84% to £2.15m, from £1.17m a year earlier. Net commission and fee income rose 7.6% to £29.39m, from £27.32m. Its FY dividend was 2.5p a share, from nil.

CEO Phillip Wale commented:

"We are delighted that the business is consolidating its strong position for growth following a successful turnaround period. Despite difficult markets in the second half of the year revenue growth has been encouraging.

"The return to paying a dividend for the first time since 2007, the onset of the financial crisis, is a clear sign that the strategy executed over the recent years is successful. We remain firmly focused on serving our corporate and institutional clients and aligning our resources to profitable opportunities.

"Since the start of 2015, we have gained further corporate client appointments, won further transaction mandates and executed four significant fund raises already. We are optimistic that recent improved activity will continue and are pleased to be working on a healthy pipeline of engagements.

"Whilst difficult to forecast, equity capital markets are expected to remain receptive to high quality, sensibly priced transactions. With the support of our major shareholder, QInvest, Panmure Gordon is well-positioned to build on the achievements of 2014 and create meaningful upside for shareholders."

[isis] 24/3/2015 07:58

Cash and equivalents £12.4m

Good outlook statement too.

[adamb1978] 24/3/2015 07:56

Results do look very good. Only gripe is that presentationally they dont talk about pre-exceptioanl EPS so it looks more highly rated than it is

[roscodagama] 24/3/2015 07:50

Those results look brilliant. And a dividend !