|Interesting read-across from Arcadis (ie ex Hyder consulting & EC Harris) today wrt their UK building design division
United Kingdom (17% of net revenues)
Net revenues decreased mainly due to a 9% currency effect as a result of the decline of the British Pound. Net revenues grew organically with 3% due to good growth in Infrastructure and Water and to a lesser extent in Environment. In Buildings, revenue decline continued due to Brexit-related delays in investment decisions. A large architecture contract partly compensated for this decline. The operating EBITA margin was slightly lower.|
|Thanks NC - much appreciated.|
|PhilipA positive and encouraging meeting I thought. Some slowdown anticipated for FY 2017 due to flat order book (commercial sector slower + Brexit) but they are winning some great projects still and I have confidence in the management.I personally didn't come away wth any negatives and a pause for breath is probably not an ad thing.Weak sterling has to make them a potential bid target.|
|Any feedback from yesterday's meeting - I couldn't make it as I was at the TSTL meeting.|
|Just a reminder that I have a couple of places still available for the presentation by the directors this afternoon at 3pm if any of you want to join ?
|When did TW first start pumping them,any idea?|
|Ironic that TW blasts brokers, recommendations and their notes to pieces, regularly calling them incorrect and badly researched. But in this case actually follows their lead and said research.|
|I think TCM did it to themselves in all honesty, they've always been "interesting " imho|
|I hope the shareprophets article doesn't do to this what it's just done to TCM|
|London centric does get you noticed though,from 'Londoners' to the many people who are international visitors.
This very recent statement in late September is quite an accolade in my opinion.
Waterman Group PLC
22 September 2016
'WATERMAN GROUP WINS CANARY WHARF PROJECT
Waterman Group plc ("Waterman" or "the Group"), the engineering and environmental consultancy, is pleased to announce the appointment by Canary Wharf Group to provide structural engineering for a significant development at Canary Wharf, London.
Waterman are assisting Canary Wharf Group with their plans for a further phase of the overall Canary Wharf development which is likely to involve over 200,000 square metres (2,100,000 square feet) of mixed use buildings.
Nick Taylor, CEO of Waterman Group, commented; "We are honoured and proud to have been appointed as structural engineers on this development which is transforming an exciting part of London into a location of national importance. We look forward to developing our relationship with Canary Wharf Group to create further iconic landmarks." '
|Yes norbert I noticed that this morning,presumably some people who followed him in on the tip may well leave.
However some of us make up our own minds!|
|Tom and the guys at Shareprophets have put a 'sell' on Waterman http://www.shareprophets.com/views/24416/waterman-says-it-is-optimistic-up-to-a-point-we-suppose-one-we-got-wrongViva la difference!|
|Muckshifter - Yes agreed it's certainly a key market for them without any doubt but they are a regional business covering many sectors. I see that David Stredder @carmensfella has arranged a meeting with WTM management next Tuesday in London @ 3pm if anyone is interested please contact him. I will be attending.|
Thanks for the suggestion. I've read the annual reports over the last few years carefully, with an eye specifically on project locations, and while I accept that they are not purely London centric, I do feel that their biggest and most profitable market, by quite some margin, is in London work.
So it comes down to what you expect to happen as a result of brexit, imho, and personally I expect it to be painful for the UK, both short and long term, with London suffering the most.
But I will have a look at the magazine, as I've not seen it before.
Suggest take a look at their latest internal magazine which highlights their projects in Oxford, Leeds, Birmingham and Dublin.
It's a misconception that they are purely London centric albeit this is one of their key markets.|
|I like the aspect of the firm's longevity which I think Norbert raised.
They have been round 'the block ' a few times!
Probably seen it all and can also perhaps see where we are heading.
Unusual for me to get into a firm after it has risen,as I am either into new technology or recovery stocks but this seems a 'safer haven' perhaps in uncertain times?
Let's hope that proves to be the case.
Time will tell.
A dividend stock as well from my point of view.
|Interesting comparison rhomboid. After the surprise brexit vote, I seriously considered selling WTM, but didn't during the immediate post vote panic, although I'm still considering it. The main reason for that thinking was that I feel that WTM are a bit too "London building centric", which may have some bearing on its current value in comparison with Mouchel.
In decades of civil engineering contracting throughout the UK, but never in London, I believe I only remember seeing tender documents by Waterman once in probably a couple of hundred sets of contract documents, which reinforces my opinion gained from ARs.
|As posters here will know I have many times highlighted that on average most consultants are worth around 0.7 x sales. WTM have sales of circa £90m equating to a valuation of £60m on that basis. Current valuation is in fact £26m. Other valuation metrics (EBITDA multiples etc) show a similar valuation anomaly.|
|http://www.investegate.co.uk/wsp-global-inc-/rns/wsp-acquires-mouchel-consulting/201610120720483168M/ So c. 20% more turnover is worth £75m vs an EV here of less than £25m , disconnect|
|The ALNC headline of its article
'Waterman Profit and dividend Up by 50% following Robust year' says it al l really!
|Director buys every little helps I guess.|
|I am not even sure how it crept in there,apologies .
It must have been one I looked at with several yesterday.|
|Many thanks will address.|
the "thisismoney" article you reference above is showing as not available, but it is completely out of date anyway. Waterman now have offices in UK, Poland, Ireland and Australia only.
|FOR ANYBODY CONSIDERING THIS COMPANY....