Dignity Share Discussion Threads

[lefrene] 11/11/2019 10:31

Where does all that debt come from?

[misca2] 11/11/2019 10:19

Peel Hunt Sell 500.00 - Reiterates

[misca2] 11/11/2019 09:37

Outlook

The Board's expectations for 2019 remain unchanged from the time of the interim results in July. Operating performance in 2020 will rely heavily on the number of deaths, which may or may not revert to higher levels witnessed in previous years compared to the 576,000 seen in the last twelve months to September 2019. In addition, following the appointment of Clive Whiley as Chairman, the Board is also reviewing its current strategy in the context of the current challenges within the industry.

Mike McCollum, Chief Executive of Dignity, commented:

"I am pleased with the Group's progress so far this year. Although deaths are lower, market share remains robust, the Transformation Plan remains on track and our journey to build a more modern technologically enabled business that offers clients a high-quality service at a variety of price points remains firmly intact."

[hatfullofsky] 11/11/2019 08:50

Not much volume

[taylor6288] 11/11/2019 08:46

The tolerance is 2 fold. 1 not all businesses are within the debt service group. If they were it would give another boost to headroom and 2 Q3 should mark the bottom of operating performance. Of course the CMA could bring an abrupt stop to all recoveries. That is the main risk and nothing else.

[taylor6288] 11/11/2019 08:44

Also so far in Q4 deaths are up 3% and pricing is up 2% year over year. This means operating performance will be better in Q4 YoY which could mark the start of the turnaround. The only real risk here is the CMA

[taylor6288] 11/11/2019 08:43

So what do you think of the £1bn of trust assets the company has for pre-sold funerals? I estimate that has gone up in value by £100m this year. That's its best year ever... to judge the whole business, you need to consider the whole business

[primarch1] 11/11/2019 08:03

Still heading the wrong way they need to clear that debt down and with falling profits I can see the only option is tapping the market makes sense at this point

[hatfullofsky] 11/11/2019 07:54

1.52 ratio is the returning excess. The main ratio has to be >1.5 currently at 2.04 (FY18 2.88) so not great but within current tolerance.

[hatfullofsky] 11/11/2019 07:36

I don't like the crematorium news, ceasing new build until CMA

[primarch1] 11/11/2019 07:17

So there debt ratio is now at 1.52 compared with 2.29 this time last year has to remain above 1.4 to avoid breaching covenants.if they don't have a strong finish to the year there barely be above it

[jonc] 11/11/2019 07:15

They need to raise cash and pay some debt down while the equity has value.The debt covenants are getting tighter.

[hatfullofsky] 08/11/2019 12:48

Back in at 510, let's see what Monday brings

[primarch1] 06/11/2019 12:31

Yep probably the only sensible option for them now can't sustain that debt burden on falling profits

[bookbroker] 06/11/2019 11:34

In a rights issue!

[primarch1] 06/11/2019 09:28

5 pound a share have you read there last report? Barely above breaching there debt covenant removed the dividend cma investigation hmr investigation profits down death rate down please do tell me were the value is

[jamie48] 06/11/2019 09:25

No, wait till the CMA report is finalised, it'll plunge further then.

[saltaire111] 06/11/2019 09:11

Anyone buying? Could be a steal longer term at £5.00 a share.

Salty

[primarch1] 01/11/2019 08:55

Be a interesting update if they did 36500 funerals at the half year and the following three months the figures for total death is 120k with dignity market share being roughly 11% that means at a push they only did 50000 funerals meaning there 5000 down on last year.factor in the cma investigation on prices and I can see only more negativity on the 11th dyor

[sophia1982] 31/10/2019 22:03

Any news which explains this fall today?

[primarch1] 26/9/2019 15:18

See the figures for uk death rate for August fell by over a thousand on last year more bad news for dignity overall the death rate for year is well down on last year

[primarch1] 24/9/2019 12:55

Mm probably trying to hit shorts

[pottsypotts] 24/9/2019 12:04

Anyone know why there is such a rise today?

[primarch1] 18/8/2019 13:52

There debt ratio is increasing wonder how long before they breach there covenants especially with falling profits and the outcome of the regulation still not certain such a shame how management have let this get in such a financial mess.