The Food & Drink Group Share Discussion Threads

[cockneyrebel] 20/12/2006 20:15

Found this on Growth Co Investor,

Food & Drink - BUY

'Details, details' and 'location, location, location' seem to be the twin maxims at growing bar operator Food & Drink, which blasted forecasts with a sterling performance last year.

Finance director Urvashi Parekh stresses that the company, formerly known as Hartford, micro-manages every bar in its estate down to the finest facet to make them efficient as can be. New operations director Ray McClymont – hardened by 20 years' experience – has been taken on to maintain this voracious fastidiousness.

Management won't even look at new locations unless they're situated in the right location and going for a sensible price, with the potential for high returns on capital, such as the cluster of City bars where customers buy the highest-margin fare. 'The market is coming down slightly,' says Parekh, 'and our restaurant disposals and banking headroom give us the capability when the right sites come up.'

Results for the year to September benefited from the integration of 2005 acquisition Henry J Bean's, which was tightened up by the new group ethic and served up a 4.9% like-for-like sales increase from the UK managed sites and contributed revenues of £5.2m. Group like-for-likes were up 5.6%, sales swelled 53% to £20.3m, profit before tax and exceptionals mushroomed 204% to £1.3m and earnings rocketed sixfold to 29p. Gearing shrank from 101% to 80% thanks in part to strong cashflow, allowing the group to declare a maiden dividend of 1p per share.

Parekh says attention is increasingly moving toward margin-boosting food and an executive chef has been appointed to squeeze suppliers and tweak the menus. Furthermore, franchising talks for HJB are ramping up but will 'take time'.

House broker KBC Peel Hunt expects PBT of £1.37m for 2007 with EPS of 24.4p. Recommended by Growth Company Investor at a price equivalent, after a capital reduction, of 132p, the shares have appreciated considerably yet still trade at a healthy discount to the sector. Buy.

[spekky] 20/12/2006 16:12

I presume todays RNS. is basically just letting the mkt know whos got what.I'd like to know when the options are exercisable and I assume that will become clear when the Final Report drops through my door.Encouraging that the next grant is based on EPS growth of 25% per year over the next three yrs.By my reckoning that gives a fair value share price circa £4.50p (at todays PR ).So looking pretty good if that is achieved.Anyone any thoughts on current share price ?. By my caclculations,if that EPS is do-able,then turnover per share will be higher than it was when Urbium was
gulped down by Electra European Fund,just a thought..............

[spekky] 15/12/2006 08:21

HH increased ? I'm struggling to understand the 8p drop on wed when buys outstripped sells.

[jeff h] 14/12/2006 19:43

Decent write up in Shares mag today.

Said they've told S&N that they're taking Fosters out their bars and replacing
it with premium/more expensive products, already done the same thing with wine.

[cockneyrebel] 14/12/2006 17:43

Hargreaves Hale increase their stake to 20.2%

CR

[[e-mail]] 14/12/2006 16:31

vern

i still think i am right buying AST if you read some of the reports. i am by far the worst trader around

[spekky] 13/12/2006 17:31

Bit of profit taking (only to be expected).There's always a few steps back along the way forward.Happy to be holding and hoping to add on a good xmas trading update.

[[e-mail]] 13/12/2006 16:56

vern

when ever i post something happens

[spekky] 13/12/2006 14:30

Wondered when it would run out of steam.Roll on jan update.There is an RNS regarding total number of shares in issue which does n't seem to show on ADVFN,perhaps it spooked a few.I'm sure ADVFN will show it EVENTUALLY.
EDIT....nothing to do with RNS.Price dropped 1330ish RNS timed at 1426.Perhaps Hargreave Hale reducing.

[[e-mail]] 13/12/2006 10:15

vern

what a little jem glad i never sold all my shares when i brought ast

[jeff h] 13/12/2006 00:56

great minds think alike????!!

[glasshalfull] 13/12/2006 00:04

LOL Jeff....what are the chances of us posting essential the same info at this time of night ???

Regards

[glasshalfull] 13/12/2006 00:03

1 Page broker note out yesterday on the Edison site.




Regards,
GHF

[jeff h] 13/12/2006 00:02

Cheers Santa heres the latest Forecast from Edison's note:-

Y/E 9/07 Pre Tax £1.4m EPS 20.2p Div 2.0p
Y/E 9/08 Pre Tax £1.7m EPS 23.5p Div 2.5p

...they've assumed 30% tax rate though they expect it to be less in practice.

[santangello] 12/12/2006 22:53

I would personally like to pass on credit to Jeff H for his shared findings over the months.

[glasshalfull] 12/12/2006 17:55

Appreciate the kind sentiments.

Wish they all performed like this :-)


Regards,
GHF

[spekky] 12/12/2006 12:23

Same as yesterday,ADVFN showing deal 15 and 16 as sells when they are definately buys.I presume GHF has a fan club,if he regularly spots winners like this then I'd be happy to join it.LOL.....

[planetgong] 12/12/2006 11:44

Yep, cheers GHF!

[liarspoker] 12/12/2006 10:50

Well done GHF !!!

[spekky] 12/12/2006 10:49

Very interesting,15p rise so far compared to 8p yesterday,I was expecting a bit of action last thurs/fri. but assumed it would be over by now.There was n't what you'd call a frenzy last thurs but, instead,we seem to have a more sustainable steady rise.Obviously some savvy investors out there are doing the sums and reckon its good value.Vern,when you said you'd sell at £4 I have to admit it made me smile,however,if it gets into the 270-300p range this side of the Jan update then £4 prior to interims is a distinct possibility.Think I'll send Messrs Kowsun and Thomas a xmas card,they're a top team.

[santangello] 11/12/2006 22:43

MMs wanting stock mmmmmmmmm

[[e-mail]] 11/12/2006 16:40

vern

this is only a little set back most of the directors paid 12,5,for theirs. last time i dealt @ 10.5 they will come again this time i will sell @ 15 instead of being greedy.

[[e-mail]] 11/12/2006 16:40

vern

this is only a little set back most of the directors paid 12,5,for theirs. last time i dealt @ 10.5 they will come again this time i will sell @ 15 instead of being greedy.

[spekky] 11/12/2006 14:47

DOH!,better luck with the Italian wells,I'll watch with interest.....cheers.