Sprue Aegis Share Discussion Threads

[rcturner2] 16/9/2015 10:27

IC view is interesting, but net of cash the figures are much better.

[pj 1] 16/9/2015 10:25

Only on mobile access so cannot access everything but are there not x2 German states yet to undertake the legislation including Berlin? I also seem to rememeber Germany has more rental properties than even Spain and the rest of Europe (Please check) so a 'hidden' possibility. Its hard to imagine they will not follow suit at some point

[speedsgh] 16/9/2015 10:20

IC VIEW:
With sales in France expected to soften, this rate of turnover growth is unlikely to continue even if the German market flourishes. A forward earnings ratio of 16 times looks about right. Hold.

[the big fella] 14/9/2015 10:47

Indeed, a great set of numbers. Without the currency headwinds these would be well over a fiver by now.

[davebowler] 14/9/2015 10:27

Westhouse;

Sprue Aegis – Interim Results up to best expectations

Sprue produced an excellent set of interim results, confirming the positive news in the trading statement that it released on 13 July 2015. Adjusted operating profit (before share based payments) more than tripled to £9.0m (£2.7m in H1 2014 before £0.5m of AIM costs) on revenue which more than doubled to £56.5m (£23.8m in H1 2014). These record results were secured despite significant adverse currency movements, principally the euro but also the dollar, which led to the gross margin falling by 8.4% to 29.0%. Adjusted EPS was 16.8p and the group continued with its progressive dividend policy, increasing the interim dividend by 25% to 2.5p. The impressive operating performance helped net cash increase to £28.9m at the half year stage from £16.3m at end-December 2014.

France and, to a lesser extent, Germany continued to provide the majority of the sales increase with regulation still driving the market. Sprue has said that the French order pipeline is still reasonable for H2 2015 and extends into Q1 2016, although sales into France will inevitably be lower in 2016. As we showed in our note in April, Germany should begin to pick up pace and is likely to partially offset the reduction in sales into France next year with the commencement of the ten year product replacement cycle starting in Germany and as further German states enact fire safety legislation, a trend which is likely to continue across Europe in the coming years. In the UK there was positive sales news in the UK Fire & Rescue Service and Sprue appears to be making significant progress towards commercialising its connected homes product offering which offers further incremental growth potential. UK Trade results have been hampered by the delay in full scale production of the mains-powered product range, however, SONA is expected to go into full production before the end of this year and is expected to provide significant sales growth for Sprue in 2016. The group’s miniaturised carbon monoxide sensor is also being fitted into more finished carbon monoxide products which should lead to an enhanced profit performance in 2016.

Sprue remains on track to deliver full year results in line with market expectations, subject to no further net adverse currency moves. We upgraded our forecasts in July on the trading statement and we maintain these forecasts and for future years. We keep our 400p price target and Buy recommendation.

[reddave999] 14/9/2015 08:46

Just added

[rcturner2] 14/9/2015 08:24

I just picked up another 3000.

[rcturner2] 14/9/2015 07:54

Looks like total dividend for the year will be 10p.

[glasshalfull] 14/9/2015 07:36

Not often you see an established profitable company report EPS +247% in its interim statement ;-)

Congratulation to Sprue management & employees!

Statement confirms the multitude of other key drivers for growth as we approach 2016.

Regards,
GHF

[3800] 12/9/2015 17:51

Thanks for the reassurance over the forecasts Glasshalfull, I didn't want to write up the numbers Harrogate did just in case I gave someone a heart attack. I have seen the results are scheduled for Monday so at least thats right.
3800

[glasshalfull] 12/9/2015 13:14

Harrogate - That's exactly what's occurred.

Regards,
GHF

[reddave999] 12/9/2015 12:50

Thanks for that Glasshalful, I am quietly confident that the update will be positive, especially as the Euro has strengthened recently and is below the 1.39 exchange rate that Sprue had factored.

[glasshalfull] 12/9/2015 12:22

Forgot to mention that my understanding is that results are scheduled for Monday.

Regards
GHF

[glasshalfull] 12/9/2015 12:04

3800 - 2015 forecasts by Weshouse are contained in the Header of this thread (in bold type) & are correct.

I believe Westhouse have recently provided H1 estimates...with considerable H1 weighting factored in. Perhaps that's what has been highlighted to you?

In July 2015 the SPRP t/s indicated op profit of £9m in H1 2015 which should translate directly to PBT of £9m...so we may expect c.16p EPS for H1 2015.


Kind regards,
GHF

[3800] 11/9/2015 21:57

Hi all, I have just read that westhouse securities have brought out new forecasts for year end 2015 on the 9th September but what I've read seem rather unlikeley to be correct. Doe's anyone know what they are?

[reddave999] 07/9/2015 17:29

They indicated mid September on their website:)

[speedsgh] 07/9/2015 16:43

Looking forward now to SPRP interims which should be sometime this month.

[reddave999] 27/7/2015 14:13

This share seems to have stalled so I think I'll move on.

[rcturner2] 16/7/2015 09:35

GHF, great job. That increase in the cash pile is unreal, is that just an artifact of cash flow or is it likely to continue at that rate, do you know?

[glaws2] 16/7/2015 06:58

GHF - thanks for this - have Westhouse produced an updated note ?