Avon Protection Share Discussion Threads

[wallywoo] 15/12/2021 10:56

Net debt was $44m at H1 and $55m now. So they have lost $11m cash in the last period. They can't afford the dividend, it is just a attempt to stop the shares falling further. This is no bargain, in the months ahead that will be proven. Looks expensive to me . Won't be touching it.

[fuji99] 15/12/2021 10:50

I would add that if they maintain the dividend as it is, the yield is even better than the traditional "dividend only" stocks of the FTSE 100. So one can patiently wait and receive dividends while recovery takes place.
This is also a special sector serving the military and the civilian safety sectors. It will always prosper, with or without wars.

[fuji99] 15/12/2021 09:43

Bought more. They have to review any business segment that does not work properly and this is a fair and transparent approach. With the dividend policy maintained and possible share buy back as mentioned, there will be recovery. AVON is making money and it is a resilient defensive unique technology business. I am holding for the long run regardless of blips along the way.

[terminator101] 15/12/2021 09:35

Well that went well huh rampers.

[c0cky] 15/12/2021 08:59

I'm in! Business can't be that bad. Still got a dividend and increasing it. Basic business on the up. Just went down wrong street with body armour.

[lammylover] 15/12/2021 08:56

Its hard to believe the body armour business is worthless and being written down. Surely there must be some value in there to an external buyer who can make the necessary investments to get approval?

[wallywoo] 15/12/2021 08:48

IMO this will be under 900p for quite some time. Avon need to prove they can generate cash and grow their business without any further disasters. I traded this the first time from 950 to 1100. But shall not again because I expect no bounce.

[ch1ck] 15/12/2021 08:34

Conflict escalates with Russia very worrying

[ch1ck] 15/12/2021 08:33

I agree if this was a Japanese company there would be flashing of bladesJob done

[jw330] 15/12/2021 08:29

uh-oh. management sounds like they are out of their depth. Good luck to all holders. Technicals looking rather bad

[justiceforthemany] 15/12/2021 08:25

How many Director Buys will we see today?
CEO should resign or be sacked.

[pdwop] 15/12/2021 08:07

Shockingly poor stewardship. Wealth destruction.Wild West of capitalism. No accountability and no consequences for BOD. Asymmetric risk. Reputational risk not so easily calculated. Very questionable dividend policy.Reactionary short-termism.

[hamhamham1] 15/12/2021 08:01

The market just limes to know, now it does, it'll move on

[ch1ck] 15/12/2021 07:59

If we fall I'm buying back in a we are at levels not seen for years with the same business model now nd at a quarter of the peak price

[ch1ck] 15/12/2021 07:54

I don't know guys the body armour was a big mistake and the share price reflected this in the fall.I can see the city liking the fact the board have taken what is a bold unexpected decision. There must have been some massive failings within the ballistics model

[wallywoo] 15/12/2021 07:39

Well I suppose if you ignore all the right downs, then they made a profit!!!Sorry mate results look awful for a company valued 50 percent higher than their annual revenue. Big fall coming. Was the debt figure expected to be so high, going from a high cash to high net debt $55m seems extraordinary. Can they afford the dividend??

[pdwop] 15/12/2021 07:30

"significant commercial momentum into FY22, which will also benefit from a strong ramp-up in body armour". Paul McDonald October 2021... Incompetent value destruction... How do the BOD get away with it?

[walkernbudgie] 15/12/2021 07:28

With respect I wasn't reading the wrong line - its is the adjusted profit I was quoting (and is the reportable figure) as comparison vs estimate.

[walkernbudgie] 15/12/2021 07:23

Headline is misleading - here is the detail

YEAR RESULTS
Revenue $248.3 million, estimate $251.1 million (range $248.0 million to $253.0 million)
Adjusted operating profit $22 million
Operating loss $29 million
Final dividend per share 30.6c
Adjusted basic EPS 60.6c
COMMENTARY AND CONTEXT
Growth expectations for FY22 and beyond are underpinned by our long-term contracts in respiratory and head protection and our strong opening order book excluding armor of $116.5 million, which provides good visibility going into the new financial year
Continues to experience the impact of disruption in global supply chains and customer order pattern volatility
Cautious view on the anticipated rate of growth for FY22 at this stage
Board is guiding to revenues excluding armor, in FY22 of between $260m and $290m, with further revenue of up to $25 million from the armor business depending on the timing of DLA ESAPI product approvals

[wallywoo] 15/12/2021 07:21

Profit after tax is $25.8M LOSS!!!You are reading the wrong line. Another big take down today IMO.

[walkernbudgie] 15/12/2021 07:16

Headline being published - Avon Protection FY Revenue Misses Estimates

Oh well you can't win them all

[walkernbudgie] 15/12/2021 07:11

Full results now available - entirely predicatable and somewhat tedious reading.
Adjusted profit after tax - $18.6 m - towards bottom end of estimates.