Coral Products Share Discussion Threads

[clocktower] 01/3/2023 13:20

Maybe JG should put in place a buy back again after results but this time for cancelation rather than re-issue for another tack on acquisition.

[clocktower] 01/3/2023 09:01

No personal agenda base7 - I just say it the way I see it. Currently the share price seems to agree with me I suggest.

If the share price drops to my target (getting nearer) I will I expect invest once again but the upside is at best back to 18/20p and a mishmash of small businesses, that need personal management. If JG was not around what value then?

[base7] 28/2/2023 11:47

Assuming no unexpected profit warnings our share price is unlikely to multi bag but as the new strategy evolves is proven (& not too many new shares are issued)our share price could re rate to 20p + my view is that in uncertain times we have become a niche player in a fragmented industry paying a very decent (& rising ) dividend & (one day) JG will want an exit with view to his being in his mid 70s -which may result in a capital event.
I am hoping that since our new strategy began to evolve that CRU has become a boring high yielder with some capital growth-which sits comfortably alongside some of my much high risk positions.
Clock may have a personal agenda here-why comment if not invested ?

[hatfullofsky] 27/2/2023 13:37

Thanks for posting timbo003

[hatfullofsky] 27/2/2023 13:35

Clocktower, why are you bashing CRU ? I just read your post and the earlier one on ACRL ?

"Nothing exciting to look forward to in 2023/2024 and who knows after that. JG quickly skirted over the big drop in profit margin I noticed."

JG only had 10 minutes to present CRU. He was absolutely clear the gross margin decline was due to the mix of acquisitions and that the underlying businesses actually improved gross margins.

He was very clear the full benefits of the £2.5m investment in new tooling and products will come through in H2-24.

He also mentioned there are significant benefits from the acquisitions still to come through (ecodecks only purchased in October). I expect those to impact H2-23 and H1-24.

He mentioned that ecodecks are very well positioned for the legislation that Sustainable drainage systems to become mandatory in 2024 (in EU and UK) and that they are going very well.

GOP have a new 100% recyclable lotion pump that is 95% there, which could become "a superb product and a world beater"

New tooling for a new product in food packaging has been installed and will be in production in the middle of the calendar year.

Energy costs are fixed until 2025

Cash will be >£4m at year end.

All together I find the very positive, it would be unusual not to be positive at such a presentation.

Trading update will be published in April and they will report revenue of >£36m

Target 20p - when we get the trading update

[clocktower] 22/2/2023 10:39

Nothing exciting to look forward to in 2023/2024 and who knows after that. JG quickly skirted over the big drop in profit margin I noticed.

The share price is on the way down again and will the next set of figures improve the companies value - I doubt it but DYOR.

My view is that JG has overkilled once again. If margins fall and expenses rise, it could get bumpy.

Target 14p

[timbo003] 08/2/2023 15:44

Cenkos Virtual Growth & Innovation Forum – February 7th 2023

[deadly] 17/1/2023 22:49

Down 8% today??

[baddogrex1] 13/1/2023 13:43

Just found a Simply Wall Street article generated by Bots Garbage in Garbage out
It warns that it’s not intended as investment advice
Too right it isn’t
Normal service will be restored shortly

[charo] 13/1/2023 10:51

Shakedown.

[baddogrex1] 13/1/2023 10:39

MD buys 50,000 shares at 18.4p
Mr market hacks down the offer to 15.2
What is going on ?

[clocktower] 09/1/2023 14:23

Will the changes about single use plastics impact CRU at all?



The one use paper product supplied by ACRL looks like a better investment than CRU right now imo.
DYOR

[charo] 16/12/2022 11:33

Interim div 0.5 p paid today.

[base7] 14/12/2022 16:19

Meeting as expected-concise presentation, to the point, no speculative BS,all on track for decent FY23 & beyond,looking at acquisitions constantly & I am sure if bolt ons become available at decent prices they will be bought.I hadnt fully appreciated some of the synergies behins some acquisitins + opportunities for subsidiaries to sell to each other within The Group

[charo] 14/12/2022 16:14

Did you attend investor meeting very clear exposition from FD and chair.

[jimmywilson612] 14/12/2022 15:59

Sorry Clock, I'm not as smart as you, what do you mean?

I've asked a simple question. What Net Debt do people believe CRU holds. I'm using the figure giving in the Net Debt movement but wanted to see if others might be using other metrics.

[hatfullofsky] 14/12/2022 12:11

JimmyWilson61213 Dec '22 - 10:53 - 3291 of 3295

Closing Cash 3.8
Current Borrowings (6.30)
Non Current Borrrowings (1.13)
(Net Debt) / Cash (3.67)

Reported (inc lease and invoice financing)(6.10)








(3.67)
(6.10)

[clocktower] 14/12/2022 11:30

I have to admit he looks pretty good for his age and it looks like he spends time in the sun or on a sun bed unless my eyes were deceiving me, he looked well tanned for a man of his age. thanks for your feedback parsons4.

[parsons4] 14/12/2022 11:22

I was impressed with JG, he is old school. I have been an accountant in business for over 50 years and saw too many businesses go wrong because of a few people at the top who thought they knew it all. JG lets the management teams in the individual business's run things and then give regular information to the holding company. He also prefers to invest in equipment rather than Rolls Royce's. He is probably getting on age wise but I for one am happy with him at the helm. GLA

[clocktower] 14/12/2022 11:09

So folks what do you make of the presentation today?

[clocktower] 13/12/2022 16:38

Jimmy - If your looking for an accountant ask them what 2 + 2 = if they say 4 then go elsewhere until you find one that tells you what you want to hear.

[jimmywilson612] 13/12/2022 10:53

Hi Hat,

Thanks but doesn't the Net Debt Movements part of the Interim report cover this? (Page 18). It covers Discounting Facilities & Leases.

[hatfullofsky] 13/12/2022 10:22

Jimmy - take the cash and minus the current and non-current borrowings (for my calculations I included the discount invoice facility as I also see that as part or net debt)You will get a different figure to the Net Debt figure reported as that includes leases etc.

[jimmywilson612] 13/12/2022 09:47

For a novice investor like myself - How much debt do CRU have? I've read through the report and it appears that it now holds circa £6M of Net Debt.

Looking at the Cashflow Statement - Decrease of Cash for the period from £7.5M to £3.8M. However, £4.7M of cash left the business to investments. £864K already paid into the talked about £2.5M Capex investment.

However - if removing Investments - it would have been circa £1M in free cashflow for the 6 month period. So realistically could be generating £2M per annum in cash.

That seems reasonable to the Debt they've taken on. The big unknown is how will alot of acquisitions will in a short period of time effect the business.