We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Register for streaming realtime charts, analysis tools, and prices.
| Share Name | Share Symbol | Market | Stock Type |
|---|---|---|---|
| Sport Media | SPMG | London | Ordinary Share |
| Price Change | Price Change % | Share Price | Last Trade
|
|
|---|---|---|---|---|
| 0.00 | 0.00% | 0.925 | 01:00:00 |
| Open Price | Low Price | High Price | Close Price | Previous Close |
|---|---|---|---|---|
| 0.925 | 0.925 |
| Top Posts |
|---|
Posted at 01/4/2011 16:44 by topinfo DJ Sport Media Group PLC Administration TIDMSPMG SPORT MEDIA GROUP PLC ("Sport Media", "SPMG" or "the Company") ADMINISTRATION Further to the announcement made this morning, the Company announces that as a result of its inability to meet certain creditors as they fall due, the Company has today ceased trading with immediate effect. The Company is in the process of appointing administrators and will update the market once an appointment has been confirmed. For further information, please contact: Sport Media Group Plc Andrew Fickling, Chief Executive Officer |
Posted at 23/3/2011 08:46 by pedro57 The way I read this comment is that management is looking at ways to simplify the debt structure within SPMG as currently there are seven different loans with various maturities and interest costs. SPMG is probably targeting a refinancing of these loans at a lower intestest cost to ensure cost savings on the debt costs and a simplification of debt structure. |
Posted at 19/2/2011 08:57 by pedro57 Knowing, I do not think there are that many shares left to buy at the current share price level. SPMG could indeed continue to move up strongly with the buy limit cut back as much as it has been (I noticed a number of smallish trades going through after the 250K buy order yesterday). It will be interesting to continue to observe the share price action and volumes. Answering your question Risk it is hard to find out the exact forecasts market consensus (only one broker Daniel Stewart) were going for pre the warning. I have a report from Jan 2010, where FY10 expectations for SPMG were for an EBITDA of £2.1m and EPS of 0.8p (there might however have been one more report published between Jan 2010 - Sep 2010). Today market consensus is going for an EBITDA of £1.4m and EPS of 0.4p for SPMG, these forecasts were last updated beginning of 2011. |
Posted at 18/2/2011 12:36 by pedro57 Hi Wessie, good to see a new member on the SPMG board. I think the next weeks will be exciting for SPMG holders. There is clear evidence now that the share overhang is clearing and it already is hard currently to get a hold of big blocks of SPMG. |
Posted at 13/2/2011 12:29 by pedro57 Good to see a pick-up of activity and a debate going on at SPMG's message board. Cartagena, if you look at SPMG's past investor presentations you will see that there hasn't been a decline in readership since 2009, over 1H10 the Daily Sport sold 72,400 copies during the work-week and over Jul-Aug there was a small improvement with 73,500 copies sold. I think it is unlikely that these trends would have changed so much over Sep-Dec to arrive at your 10% decline in physical newspaper sales. You are correct that it is all about sales, but the way I view SPMG is that at a share price of 1p the worst is priced in the company is not going bust even if there were to be a further deterioration in cash generation. All management needs to do is grow sales and cut costs a little bit and we will see decent EPS and even better cash generation. It is also important to remember that the Daily Sport was bought for £50m, currently SPMG's enterprise value is £12m, which in my undervalued the asset even if its value were 1/3 of the original purchase price SPMG should be trading at a multiple to where it is today. You were referencing the difficult situation the UK newspaper industry is in, which is true, but at the same time UK newspaper shares have more than doubled over the last two year and are trading at higher valuations than SPMG. |
Posted at 12/2/2011 17:07 by pedro57 Classified advertising are short ads posted usually by individuals with short text, sometimes only a couple of words, a picture and a phone number. Display advertising are your standard advertising by companies (very extensive with pictures text, nice layout, etc.), usually over a whole newspaper page, whereas with classified advertising you could have dozens of ads on one page or even more. Call girls and lip service I think are services offered by the digital division of SPMG, not sure how important they are for overall business. On question regarding EBITDA and PBT I will check next week what financial estimates were for 2010 before SPMG updated its guidance. |
Posted at 10/2/2011 07:55 by pedro57 Given SPMG's business model the company does not need significant capital investment, if you look at the cash flow statements of the last years you will find that yearly capex did not exceed £100K, which is around £8K per month. This is what makes SPMG's business attractive as capex needs are limited and in an environment of high profitability any excess of cash can be returned to shareholders. Regarding the repayment of debt the key question is SPMG's cash generation, if cash generation of 1H10 is matched the cash balance will increase by £70K per month this means net financial debt (financial debt cash) will continue to decline. The question is how will funds that are not used for debt repayment (~£300K over 2H10) be used alternatively, i.e. increase of cash balance, increase of working capital, etc. In my view we should see a step-up in cost savings and a small increase in newspaper sales in 2H10, I am more sceptical whether advertising and digital will have increased, but I do not see a decline either so net-net 2H10 should see a further improvement. On wastage SPMG has been improving performance, although there probably is still some work to do on this front. |
Posted at 08/2/2011 08:42 by pedro57 Administrative costs are essentially the cost of paying employees and renting SPMG's offices, the company has already reduced costs here quite aggressively highlighted by a 20% cost reduction in 1H10 over 1H09, but there still should be a small further improvement in 2010. The finance costs are essentially the cost of debt, which will gradually come down as debt is repaid (net debt was reduced by ~4% in 1H10). The share based payment charges is the cost of awarding options to management, it is non-cash, but seems high to me particularly because management does not have that many options. The amortisation of intangibles relates to the £1.1m of intangibles on the balance sheet. This amortisation is non-cash effective, but reduces the tax paid so I would expect this to continue, although the company could stop amortising this item and show a 0.3p improvement in EPS if it wanted to. In my view the most effective cost savings for SPMG are not within cost of sales that were £7.65m over 1H10 almost 80% of revenue. If SPMG were able to reduce wastage (mainly copies of newspaper that are not read) this would impact bottom line more significantly than the items you listed. It does seem that SPMG has been targeting COGS with some success as evidenced in their investor presentation with newspaper waste rates 2% lower in Jul-Aug 2010 than the 1H10 average. If SPMG could build on the momentum of lowering waste rates through either selling more newspapers or better inventory management it would make a considerable difference on the bottom line. |
Posted at 07/2/2011 20:27 by pedro57 Net debt will continue to decrease, the key thing to remember is that the company is generating cash after paying cash expenses. If you check the last results over 1H10 £70K of cash were generated every month after paying all cash expenses, which resulted in net debt declining by £350K over 1H10. Even if there is no change in the operational performance until now net debt will have continued to decline. What is needed for an uplift in net profit in the P&L will be an improvement either in revenues (more newspapers sold & higher digital division turnover) or lower costs as this benefit will go straight to the bottom line and improve the pay-down in net debt even further. In my view reason for current debt holiday is to improve cash balance to a higher level £300K resulting in the market gaining more confidence in SPMG's survival. The loan holiday will probably not be extended by company. The performance of the digital division has bottomed out and particularly Telecom2 could lead to higher operating profitability in the division. The way I see SPMG is that 1) current share price is result of Lloys selling 15% stake and market not seeing survival of company, 2) as long as cash generation remains at current level net debt gets reduced and company survives so share price too low, 3) any operational improvement would lead to big uplift in financial performance making investment case even better. I hope this helps! |
Posted at 31/1/2011 13:37 by pedro57 There are a number of factors behind the significant decline in the share price; firstly Lloyds, which was the largest shareholder in SPMG sold out of its ~15% stake in entirety (a move repeated in a number of Lloyds owned AIM stocks). This sale put a lot of pressure on the share price given the low liquidity of SPMG and the fact Lloyds sold no matter how low the shares went between Jan-Aug 2010. The second factor is the continued disappointment in the operational performance of SPMG, this company essentially went from being very profitable and paying a big dividend in 2007 to a number of profit warnings and worries over the viability of the business in short course. Currently the market has taken the view that SPMG will close shop hence the low share price. |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions
Hot Features
Premium
