Connect Share Discussion Threads

[envirovision] 23/4/2015 11:40

Is this going to double bottom at £1.40 over the summer ?

[18bt] 22/4/2015 10:17

Standard practice these days to adjust previous year's dividend for the bonus element of a right's issue. So those taking up the rights issue would have seen the increase.

[aleman] 22/4/2015 08:35

I think dividend forecasts were reduced slightly after the dilution for the acquisition. 2.9p doesn't look bad as it suggests we are headed for 9.3-9.4p compared to about 9.1p in the forecasts. Of course, that is down slightly on last year's dividend before the dilution.

[skinny] 22/4/2015 08:33

"The acquisition of Tuffnells was part funded by a rights issue and as a result of this, it is necessary to rebase the prior year comparatives by the rights issue bonus factor adjustment of 0.9015, which reflects the extra shares in issue. The impact is that 2014 Basic EPS is rebased from 10.1p to 9.1p, and last year's interim dividend per share is rebased from 3.1p to 2.8p."

[dixies] 22/4/2015 08:32

Yes, the interim dividend last year was 3.1p so it has been rebased downwards.

[rcturner2] 22/4/2015 08:22

Actually you are right, there is something odd there, I wonder if they will need to issue a corrected RNS, as the dividend figure seems off?!

[micos] 22/4/2015 08:20

When was the dividend debased to 2.9p?

[lord gnome] 22/4/2015 08:09

It's just a pity that the market doesn't seem to agree with us :-((

[rcturner2] 22/4/2015 07:52

Happy with that. Making profits, good cash generation and an increase in the dividend above inflation.

[18bt] 22/4/2015 07:15

Fairly happy with these numbers. There's a lot going on and whilst it is difficult to see the level of "investment" in new services and exactly how Tuffnells affects seasonality, very pleased with free cashflow performance.

[skinny] 22/4/2015 07:01

Highlights:

· Underlying revenue up 1.2% and underlying operating profit up 3.3%
· Results include the successful acquisition of Tuffnells from 19 December 2014
· Strong free cash flow generating £16.0m, up 34.2%
· Underlying rebased EPS of 8.6p, down 5.5% as a result of the phasing of post-acquisition profits from the Tuffnells acquisition and rights issue shares
· Rebased DPS of 2.9p up 3.6%, reflecting confidence in the Tuffnells acquisition and ongoing Group prospects

· News & Media:
o Continued resilience of newspaper and magazine markets
o Developing the Pass my Parcel offer with Amazon and accelerating investment
· Books:
o Stabilised performance and assessing longer term opportunities
o Wordery continuing impressive growth
· Education & Care:
o Growth in core categories with strength in Primary and Early Years
o Investments being made to enhance customer proposition
· Parcel Freight:
o Continued strong sales and profit growth in post-acquisition period
o Integration and synergies on target

[rcturner2] 15/4/2015 10:44

Some buys going in ahead of the results next week.

[skinny] 19/3/2015 11:58

A close above 160 would be positive - reasonable volume so far today.

[skinny] 18/3/2015 07:09

Connect Group, a leading specialist distributor operating in four divisions; News & Media, Books, Education & Care and Parcel Freight, will be announcing its Interim results for the six months ended 28 February 2015 on Wednesday 22 April 2015.

A meeting for analysts will be held at 9.00am at the offices of Buchanan, 107 Cheapside, London EC2V 6DN on Wednesday 22 April 2015, with an audio webcast of the results presentation available thereafter.

[beazer2] 24/2/2015 18:08

Good to have you on board Gostevie63. It is true that the delivery of printed matter is a declining industry but the company is becoming a more general delivery business and its tie -up with Amazon, the acquisition of Tuffnells and the demise of Citylink have given me confidence that the board are turning the company into a growth business underpinned by the strong cashflow thrown off by the print delivery side the decline of which is very gradual and is supported by long-term contracts.

[gostevie63] 23/2/2015 14:13

Having looked at these for a while now, I finally bought some CNCT this afternoon at 154p.

I still have my concerns that the company is operating in a declining industry but on any normal sort of fundamentals the shares look cheap at the current price.

[edmundshaw] 18/2/2015 10:53

Welcome your lordship

[lord gnome] 18/2/2015 09:45

Completed my buying this morning at 153/154p. Had to split into a couple of small lots as I couldn't get a quote for a single larger amount. Does make me slightly nervous that these are a bit thinly traded in case I need to get out in a hurry. Happy at 154, less than the rump placing price. These will move higher once the rights issue stock has moved through.

[beazer2] 13/2/2015 18:15

My share of the year has finally moved today hitting 158p the price at which the 5% rump of the recent rights issue was placed. The recent rns shows a company concentrating on quality rather than quantity of turnover and with the acquisition of Tufnells, the link with Amazon and other innovative distribution initiatives, and a commitment to a progressive dividend policy, the interim results due on 22nd April should prove the catalyst for a substantial uplift towards my target price of 220p at which price the shares would still be yielding 4% ( currently 6%).DYOR

[micos] 06/2/2015 07:07

Pay day today.

[chizgreen68] 28/1/2015 00:05

Thanks fenner

[fenners66] 27/1/2015 22:30

Well I have been watching and I did come back and comment coincidently just the night before last results statement, saying something along the line of I was looking for signs of stronger growth from the acquisitions. It did bounce but I was looking for the yield to get back to 7%, having previously held from 75p up to 205p.
So am I convinced to get back in?
Looking purely at the chart it could go a bit lower. However I will try and keep an eye on it this time.