Chemring Share Discussion Threads

[time_traveller] 06/2/2014 10:08

Me too. Hopefully clear a bit of stickiness at 250 on the second attempt, for a run to £3.

[jonntara] 04/2/2014 23:25

Very happy with my chemring punt up to now.

[broadwood] 03/2/2014 13:11

Oh to be an idiot eh.

[broadwood] 30/1/2014 21:21

Jupiter buying in.

[fangorn2] 27/1/2014 10:09

Chunky reduction by Invesco...from 19% to 15.31%

[broadwood] 23/1/2014 17:25

Those results should keep it on the recovery path and the original bidder coming back is not out of the question.

Manufacturing and defence group Chemring pleased the market with its full-year results on Thursday, prompting broker Investec to reiterate its 'buy' rating on the stock despite a drop in profit.

On an underlying basis, pre-tax profit declined 25.2% from £70.1m to £52.4m year-on-year (YOY), pushing earnings per share from 28.5p to 21.6p.

Revenue for the period slumped 15.6% from £740.3m to £624.9m, although the group stressed its performance recovery programme had driven an operational improvement and resulted in a more resilient business.

Revenue slipped as the defence market remained challenging, while operational issues in some of its business had a further negative impact on its performance. It was also affected by the shutdown of the US government, which caused a delay to product acceptance and shipment in October.

Since the initiation of the recovery programme in January last year, the group has undergone a reorganisation, implemented a plan of operational performance improvement, refocused the business on development activity, and improved its management of both cash and costs.

Group Chairman Peter Hickson said: "At the end of a year of significant change, Chemring is now a more resilient business, with a clear strategic direction. Much has been achieved by the new management team during the year, with the positive impact of the performance recovery programme beginning to bear fruit.

"In addition, the strategic planning process has provided a clear view of the market, competitive dynamics and prospects for each of the businesses, as well as identifying the core markets in which the group will focus investment."

Looking forward the company intends to continue to improve its operational performance and pursue the growth opportunities that exist, particularly within non-NATO markets where defence spending is expected to increase.

It will also reshape and strengthen its portfolio of businesses through the disposal of non-core activities and technology investment in those businesses that can achieve sustainable growth and margin improvement, it said.

The board's expectations for the current financial remain unchanged.

[kiwihope] 23/1/2014 08:52

Reassuring results I thought. I like the way the company is progressing, consolidation after many years of acquisitions paid by taking on debt. They have a good core business with market-leading positions. The market seems relieved about covenants and the fact a final dividend was paid at all, albeit reduced. Sure trading is poor but the reasons are well-known. Over time that will recover. Overall I'm comfortable with my holding which is now modestly back into profit.

[lateralam] 23/1/2014 08:33

Who is buying after that update??

[broadwood] 22/1/2014 17:23

Tomorrow - 7am.

Tin hats or blue skies?

[andrewhbruce] 20/1/2014 16:13

Another 1.3m sold by Invesco, whose the buyer chaps??

They still have 38.4m!!

[fangorn2] 17/1/2014 18:54

Guess the decks are being cleared at Invesco for when Neil woodford moves on. Too much porty concentration for the new FM's liking perhaps. Wonder how low they'll take their stake.

[andrewhbruce] 17/1/2014 17:15

Results next Thursday

[andrewhbruce] 17/1/2014 17:15

So Invesco have sold over 9 million shares since 10th December,
during which time the shares have risen from 208 to 232.

Answers on postcard please!

[broadwood] 03/1/2014 14:43

hvs - hiding?

[broadwood] 02/1/2014 15:32

Onwards and upwards.

[broadwood] 30/12/2013 16:39

So, up around 20% since recent low.

Results likely to show disposals of peripherals which will continue to send the shares higher.

[broadwood] 30/12/2013 12:45

Climbing away nicely from its nadir.

Results up and coming.

[broadwood] 30/12/2013 08:07

Yep, benefitting from that tip.

Strong takeover candidate.

[michaelmouse] 29/12/2013 20:50

Tips for 2014 in the Sunday Telegraph:-

hxxp://michae1mouse.blogspot.co.uk/2013/12/share-tips-for-2014.html

Michael.

[erdingtonian] 15/12/2013 15:14

It would be interesting to see what Melrose would do with a company like this.
The sales volume is still good it just doesn't make money.

[broadwood] 01/12/2013 22:53

Very positive.

[fangorn2] 26/11/2013 15:58

Beats me.....

25% threshold crossed

Stake crosses 25% threshold to 25.4%, yet holding seemingly falls from 51m direct odd to 49m indirect...

Presumably one needs to reference a prior holding RNS to make sense of it?