Whitbread Share Discussion Threads

[jeffian] 23/10/2018 10:38

4 quid, Porsche19.45?!!

[porsche1945] 23/10/2018 10:20

Ftse almost uninvestable, brexit basket case, this heading back to under 4 quid, frightening where it would be without Coke deal..in the low 3’s at best..poor management needs clearing out, Brittan coming from hopeless Lloyds didnt help. Not sure who is going to be staying in all these hotels they have kept building instead of paying a better dividend to long suffering shareholders, UK heading for hard ore recession so hotels probably not best biz to be in.

[porsche1945] 23/10/2018 10:19

Ftse almost uninvestable, brexit basket case, this heading back to under 4 quid, frightening where it would be without Coke deal..in the low 3’s at best..poor management needs clearing out, Brittan coming from hopeless Lloyds didnt help. Not sure who is going to be staying in all these hotels they have kept building instead of paying a better dividend to long suffering shareholders, UK heading for hard ore recession so hotels probably not best biz to be in.

[skinny] 23/10/2018 07:38

Good financial performance and on-plan for full-year results
· Sale of Costa to The Coca-Cola Company for £3.9 billion approved by shareholders

· UK network increased to over 74,000 rooms, with a committed pipeline of over 13,000 rooms

· Strong pipeline in Germany with around 6,000 rooms to be delivered by 2021

· Solid financial performance supported by tight cost control, maintaining strong return on capital

· On-plan to deliver full-year results from continuing operations

· Revenue increased 2.6% to £1,079 million, reflecting continued capacity addition

· Total UK accommodation sales growth of 4.8% and like-for-like accommodation sales growth of 0.2% impacted by weaker consumer demand

· Underlying profit before tax increased in-line with sales by 2.5% to £270 million, supported by tight cost control and the benefit of the ongoing efficiency programme

· Costa is now reported as a discontinued operation, statutory profit for the period increased 3.5% to £47 million

· Strong cash generation with discretionary free cash flow at £283 million

· Strong balance sheet with net debt of £881 million and committed debt facilities of £1.8 billion

· Statutory profit before tax was maintained at £257 million

· Return on capital held broadly flat at 12.4% despite pace and timing of new capacity


more.....

[bountyhunter] 18/10/2018 21:41

general market volatily & weakness, actually this has held pretty well over the past 2 wks compared to the wider market

[ric0chet] 17/10/2018 08:58

down heavy this morning. Any reason for the falll todday?

[essentialinvestor] 09/10/2018 12:42

Added a few. If markets were to sell off hard could that Costs gap up from £40
close?, Find that difficult to see, but who knows.

[bountyhunter] 05/10/2018 13:09

not much in the price (yet) for the Costa sell off for a higher than anticipated price

[bmnsa] 05/10/2018 12:53

I keep adding to my pile,great company

[essentialinvestor] 03/10/2018 12:27

Very tempted to add a few more for longer term,
I'm guesstimating it's the tougher proposed EU migration rules that are weighing.
Premier Inn very dependent on EU workers,
as is wider UK hospitality.

Saw a comment from the HR director of Pret saying that for every 60 job
applications they get, only 1 will be from a UK national.

Does our Home Secretary have any experience of running a private sector business.

[bountyhunter] 23/9/2018 16:34

The proportions of net proceeds to be returned to shareholders, pay off debt and reduce the pension deficit have still not been defined as far as I can see which I for one am not happy about. With shareholders expected to vote on the Costa sale quite soon how the sale proceeds are to be split should be spelt out in detail and not be left open ended and vague imo.

[bountyhunter] 23/9/2018 16:08

Finally found the actual circular!

[philanderer] 21/9/2018 07:24

Questor: it may be selling Costa but Whitbread will remain an ‘extraordinary’ business

[bountyhunter] 19/9/2018 18:08

as long as they monetise me that will be fine after the share price declined from over £50 and then got stuck in the doldrums for the last three years :)

[rimau1] 19/9/2018 17:57

Totally agree Mozy, sum of the parts signifincantly north of £50 and once costa sale goes through its unlikely Premier Inn will remain independent for long enough to monetise Germany.

[mozy123] 19/9/2018 16:52

Just bought some more.

When you strip out Costa, pay out the $4.75bn you are left with an operating profit of premier of £500m per annum with a £4.5bn market cap. So cheap.

And a huge opportunity in the german hotel market.

[bountyhunter] 14/9/2018 17:17

JPMorgan Upgrades Whitbread To Overweight Amid Costa Sale

JPMorgan Cazenove upgraded Whitbread to 'overweight' from 'neutral' on Friday and lifted the price target to 5,500p from 4,470p. JPM said the sale of the Costa coffee chain to Coca-Cola underpins the Premier Inn equity story.

“We see the significant value unlocked by the Costa deal giving Whitbread interesting optionality,” it said.

“We see Premier Inn as a strong format with potential to become a structural winner and to further improve execution with no Costa distraction.”

[ianood] 12/9/2018 19:36

They still have the family gold, await a bid for that once the silver completes!

[bountyhunter] 12/9/2018 15:49

no that's Premier Inn, they sold a chain of coffee shops with a low barrier to entry which is why a huge variety of coffee shops have now swamped the high street

[montyhedge] 12/9/2018 15:07

So they sold the family silver, now what ?

[bountyhunter] 10/9/2018 19:51

BC, the market cap is 8.5m so if they returned say 3m that would be 6/17 * share price pence per share as a rough approximation.
They may of course issue redeemable B shares instead as a more tax efficient measure.

[zipstuck] 10/9/2018 18:06

Always the chance that Premier will be sold if not euro expansion of brand