Avon Protection Share Discussion Threads

[18bt] 11/5/2010 07:46

These results really do look strong and should lead to upgrades. Sales in particular have shown a marked rebound - converting them to profit has been more challenging, but some of that is down to e.g. pensions. Net debt affected by the need for working capital for the increased sales and capex on the new filter facility - both of these should be one-offs, so I'm not concerned by this. The company is back to growth mode in sectors which look good at present. There is even the possibility of a small final dividend, which is 6 months earlier than I was expecting.

May be time for a re-rating, though the market may wait until the final results.

[martin2729] 11/5/2010 07:29

+------------------------------------------------+-------------+-------------+
| | 31 March | 31 March |
| | 2010 | 2009 |
| | | |
| | GBPMillions | GBPMillions |
+------------------------------------------------+-------------+-------------+
| REVENUE | 56.5 | 48.4 |
+------------------------------------------------+-------------+-------------+
| EARNINGS BEFORE INTEREST, TAXATION, | | |
| DEPRECIATION AND AMORTISATION | 6.2 | 3.9 |
+------------------------------------------------+-------------+-------------+
| OPERATING PROFIT | 4.1 | 2.1 |
+------------------------------------------------+-------------+-------------+
| PROFIT BEFORE TAX | 2.9 | 1.4 |
+------------------------------------------------+-------------+-------------+
| NET DEBT | 14.4 | 16.5 |
+------------------------------------------------+-------------+-------------+
| BASIC EARNINGS PER SHARE | 6.1p | 2.7p |
+------------------------------------------------+-------------+-------------+


· Revenue up 17% (23% at constant currency)

· Operating profit up 91% (118% at constant currency)

· Continuing operating activities (before exceptional items) generated cash
of GBP4.9m

· Basic Earnings Per Share up 126% (162% at constant currency)

· Continued good level of order intake in Protection & Defence, with closing
order book of GBP69.5m

· Significant year on year improvement in the Dairy business with the
outsourcing of European dairy production completed on time and to cost

Peter Slabbert, Chief Executive commented: "Avon has made good progress during
the first half of 2010 growing revenue, doubling operating profit and
maintaining the order book at the strong levels with which it began the year.

[18bt] 20/4/2010 09:29

Further good strength in the shares - a bit of a delayed reaction to the trading update which looked pretty encouraging - especially dairy.

[mikey34] 31/3/2010 16:51

JEFFIAN,
80p seems to be a base now.....would think it could go back to 100p......the update was good.

[jeffian] 31/3/2010 15:31

Reasonable trading update, I thought. I'm always expecting the worst from this management so anything else is a bonus! Even the delayed sale of AEF seems to have worked in their favour as the business has improved a bit. Perhaps it will now head back to its Dec/Jan levels. Please.

[brucie5] 12/3/2010 09:36

Suggests that there's something leaking... Question is whether to hold. Chart suggests support about here, although it's broken through its 200ma. So lots of momentum chasers will have cut and run. I await developments.

[jeffian] 11/3/2010 18:43

Ouch! What was that all about? Management here are serial disappointers; please don't tell me they're going to do it again.

[brucie5] 11/3/2010 17:19

Oh, well. Back to square one. What's going on here?

[brucie5] 04/3/2010 09:52

Nice recovery of momentum, I'm glad I held on despite the drop. It would be nice to see a cup and handle throw this back up beyond 1.00. For time being, it's broken clear of its emas 20-200.

[mikey34] 03/2/2010 09:29

Brucie,

I think you're right on the technicals.The fundamentals have also improved here.

[brucie5] 02/2/2010 09:50

Picked up a few of these today, as it looks like another attempt on 1.00 could be imminent. It's found support at 90p, and currently looks coiled right on top of the momentum mas. Looks like a sort of cup and handle, with the handle just forming. Had to pay 1.00 to buy, so hope I'm right!

[18bt] 21/1/2010 07:36

Rassuring update this morning. Encouraging on dairy and margins and one onward order. Does anyone have any forecasts for these (House broker is Arden)?

[rgcol1] 19/1/2010 17:02

i did a news search for avon and found this,the share price started falling 2 days later .
the price is now sitting on a 2 month support level .


RUDNIK, Czech Republic, Jan. 4 (UPI) -- A boiler explosion at a Czech Republic auto parts factory has left one person dead and three seriously injured, officials said Monday.

Martina Zahourkova, spokeswoman for the regional firefighters in Rudnik, told the Czech news agency CTK that the blast at the Avon Automotive factory also caused minor injuries to several other people.

She said the fatality happened when the pressure wave from the explosion damaged a truck, killing a person standing next to it and seriously injuring the driver. Other people were hurt when the roof of the boiler room collapsed, CTK said.

The plant is owned by auto parts manufacturer British Avon Rubber, the news agency said.

[dibbs] 18/1/2010 11:55

14,000 shares also traded on plus this morning which show on L2 but not on the regular monitor. Sitting on the bottom of the trendline on the chart these look good for a run from here. As you say though not a traders stock with the spread but a good move on a thinly traded stock like AVON will soon consume this and move you into profit. Not one for T trading I guess.

Dibbs

[ch1ck] 10/12/2009 12:25

Looks like an oppotunity to pick up some more shares below 90p

[letsddp] 27/11/2009 11:33

Why the huge drop in SP, been in this for a while now, unless my fundamentals are bad, dont understand why the big drop. Profit taking fair enough, but this looks more than that

[jeffian] 26/11/2009 10:39

Certainly it is pleasing to see that at long last we have some businesses which are making and selling (as opposed to developing) things and generating sales, cash and profits. My only concern is that the market's mood in recessionary times is to pick up on the bad stuff and discount the good and the pension fund issues have certainly made a mess of the Balance Sheet, knocking shareholders' equity down by £40m and leaving us with negligible net equity of £2m. The restoration of the dividend must be a key driver to getting the share price moving again and I didn't like the comment that "the Board believes it remains appropriate to continue to strengthen the Group balance sheet and further reduce debt. Accordingly we are not proposing to pay a dividend in 2009 but remain committed to resuming a dividend at the appropriate time." The weasel way Boards have with words, I fear "the appropriate time" may be further off than we would like!

[nurdin] 26/11/2009 08:25

Edison expecting 61% jump in eps this year to 18p..PE now 5.5x at 100p.Way too cheap imo

[18bt] 26/11/2009 07:35

Agreed. Accompanied by a pretty positive statement. The cash generation is pretty impressive (even if some came from sale and leasebacks). Further reduction in debt in the current year should lead to resumption of dividend payments.

[nurdin] 26/11/2009 07:25

Excellent results...EPS at 12.5p well beat Edisons estimate of 11.2p.Outlook statement pretty bullish too...:o)

[jeffian] 25/11/2009 12:22

Hmmmmm.........looks as if someone may have had a sneak preview!

[nurdin] 25/11/2009 10:42

Results tomorrow.....should give the share price a nice filip...hopefully ;o)

[jeffian] 16/11/2009 12:22

Thanks nurdin. Makes life easier to have a graph at the top.