Accrol Share Discussion Threads

[dr biotech] 31/5/2021 13:07

Accrol have c15% of the uk market. Competition is inevitable and less efficient plants will close. Fwiw I took the hit and sold most at a loss last week. Decent enough company but better opportunities elsewhere

[arbus5000] 31/5/2021 07:49

yes that's correct: I do not think that Acroll have a monopoly position now, and this should prevent them from having that one the future.

[stevesham] 31/5/2021 07:28

arbus5000

Thanks for filling in other details, the only thing I see that is good about this is lower prices for the consumers, which will have the adverse effect on Accrol, driving down prices and margins

Be interesting to see how this impacts going forward

[arbus5000] 31/5/2021 07:14

interesting development. ICT does bog roll as well the big reels all in one 'automated' and 'integrated' facility. Annual revenues are 840mln.

[stevesham] 31/5/2021 06:43

More competition coming, we all know that it is low(ish) margin and highly competitive

Wonder how this will pan out, time to reconsider any position for me at least

Just thought I would share

hxxps://tissueonlinenorthamerica.com/european-tissue-company-is-creating-more-than-200-jobs-in-north-wales/

More about it here

hxxps://www.ictgroup.net/en/media-room/news-events

Apologies if posted previously

[scemer] 27/5/2021 22:48

Yes very interesting they ended up buying the company that they were looking at ie John dale. These guys are no fools

[arbus5000] 22/5/2021 14:30

v. interesting thanks !

[dr biotech] 22/5/2021 13:47

Accrol have already moved to stop the LTC lot from doing that

hxxps://www.law360.com/articles/1367981/toilet-paper-co-sues-sellers-over-noncompete-in-30m-deal

[arbus5000] 22/5/2021 13:10

thanks for weighing in here. care to expand your hypothesis?

[john09] 22/5/2021 12:51

Bog roll . Uninvestable

[arbus5000] 22/5/2021 12:08

yes, and a temporary saturation/slowdown in toilet paper demand would have impacted revenues.

Edit: Long term remains bullish, with greater cost/revenue synergies. That's providing the former LTC crew dont do a dirty and launch another toilet company , after selling out, for the second time.

[simon gordon] 22/5/2021 11:41

Thought this the most interesting signal in the trading update:

"...the Group is making progress on its paper mill development plans and the Board expects to update the market in the near term."

Maybe another raising and then the business is set up for a multi year run.

[hew] 19/5/2021 11:58

Agree, strength of negative share price reaction surprised me rather. (I've followed both the "old Co." and the current.) Seemed to me a short term revenue issue affecting whole industry but ACRL doing better than most. Good underlying improvements through the business that bode well were ignored.

Suspect many longer term holders still see primarily an "income Co." and, whilst happy with the changes, have not switched mindsets to "income and growth". I'm prepared for some further costs of growth to come - strongly hinted at - and maybe some discounting of those played a part too.

[scemer] 19/5/2021 08:53

I agree, an excessive reaction to a very solid and capable business ticking all the right boxes

[ygor705] 19/5/2021 08:11

Some very big trades went through yesterday but were not reported until after the market closed. I think that an RNS is likely to be published over the next week or so and it will be interesting to see what is going on in the minds of larger holders. Personally, I am a little surprised at the extreme share price reaction to the trading update.

[zipstuck] 18/5/2021 09:34

The Group expects volumes across the UK tissue sector to normalise in H1 22 and that its main market, the discounters, will grow strongly, as the UK returns to pre-pandemic shopping patterns.

[catch007] 18/5/2021 09:07

Bit of market over reaction here imho. The recent acquisitions should kick in with savings and contribution in the near term. Debt reduction is a good sign and although trading revenues were disappointing the longer term positive trading outlook remains. GLA

[dr biotech] 18/5/2021 08:57

It’s some way short of the 150m revenues and bit about increased input costs is a concern, though they also say they have had some success in mitigating this, presumably through price rises. I may make a modest top up if the spread narrows. Not a great day for me with this and Vod being medium components of my portfolio

[this_is_me] 18/5/2021 08:46

Seems totally daft to Me. However I have made my money buying at daft prices and subsequently selling at daft prices. There are over 300 million shares in issue and so far 0.1% of them have been sold.

If it continues to tank I may buy lots more - when I think the knife has hit the floor.

[dr biotech] 18/5/2021 08:16

Looks like a well run company doing ok in a temporarily depressed market. Not sure what the expectations were to cause the drop

[zipstuck] 18/5/2021 08:15

A number of negatives

Higher expectations were set in the previous update so PER to high IMO

[zipstuck] 18/5/2021 08:15

A number of negatives

Higher expectations were set in the previous update so PER to high IMO