Domestic & General Share Discussion Threads

[tole] 30/5/2006 09:45

Loking good to break highs.

Domestic & General posts record FY profit; 'confident of continued progress'

LONDON (AFX) - Domestic & General Group PLC reported record full year profit
and said it is "confident of continued progress" in the current year.
The insurance group, which specialises in extended warranties for household
appliances, reported pretax profit up 19.5 pct to a record 35.0 mln stg for the
year to March, on 14.5 pct higher revenue at 277 mln. UK warranty revenue was up
11.2 pct to 277 mln. The dividend for the year was raised 20.3 pct to 32.5 pence
per share.
"All this has been achieved at a time of weak consumer spending in the High
Street creating difficult trading conditions for some of our trade partners,"
chairman Nicholas Rochez said.
"Our business model, which seeks new business from several years of
customers' appliance purchase data, coupled with our ability to maintain a
strong renewal book, helps insulate the group against any short term lack of
consumer demand for appliances," he added.
"We are confident of continued progress in the group as the benefit of the
developments in the last few years continues to be realised."


See KBC have upped target to 1125p

"In view of these positive results and statement it is likely that existing KBCPH forecasts for 2006/7 of £37.5m pre-tax and earnings per share of 73.8p are a little low. On the assumption of 75p of earnings on a 15 multiple(justified in terms of growth) the shares would be worth 1125p."

[tole] 23/5/2006 14:08

Been very resilient in these market conditions.

[tole] 15/5/2006 19:50

See HSBC Inv issued a holding announcement today for over 10% - not seen them holding before.

[tole] 09/5/2006 17:02

Late run back up - 2x120k buys reported in the auction at 950p bodes well for tomorrow.

[tole] 26/4/2006 14:29

I see it got some coverage recently -
Anyone got the commentary or a summary of what was said on Motley Fool C.S.

Champion Shares editor Maynard Paton, also writes commentary on other interesting shares. Recently he's written about GCap Media (LSE: GCAP), Domestic & General (LSE: DGG), Domino Printing Sciences (LSE: DNO) and Chariot (LSE: CRT) amongst others.

[tole] 04/4/2006 15:15

AD - You mean why it happenned? Have a read of the below regards takeover rumours.

Domestic & General unveils higher FY profits, quashes takeover rumours UPDATE

31/05/2005 10:24
LONDON (AFX)

Household appliance insurer Domestic & General Group PLC delivered stronger full-year profits, and quashed rumours of a takeover approach which fuelled a surge in the group's share price last month.

The company, which provides warranties on some 5.7 mln domestic appliances in the UK and mainland Europe, said pretax profits before goodwill and exceptionals for the year to March 31 2005 came in at 29.0 mln stg, a 26.1 pct increase on the previous year.

The group's pretax profits after goodwill, at 29.7 mln stg, were 22 pct ahead of a forecast from analysts at Altium Securities, who upgraded the shares to 'buy' from 'reduce'.

The profits uplift partly reflected a jump in investment income, which rose to 11.1 mln stg from 10.9 mln stg a year earlier, fuelled by higher interest rates and stronger equity markets. Domestic & General also benefited from steady growth in warranty revenues and subdued claims expenses, which boosted warranty profits to 191 mln stg, a 38 pct increase on the previous year.

Chairman Nicholas Rochez said in a statement that Domestic & General had received "no indication of any interest from any third party," scotching rumours of a takeover approach which caused a sharp rise in the group's share price last month. He blamed speculative trading through contracts for difference (CFDs), and said stock market rules should be changed so as to oblige investors who hold CFDs in a company to disclose their interest.

"It is essential that companies are able to readily identify their shareholders. What is not acceptable, in a regime that demands transparency, is the unaccountability and, at best, opacity of such trading instruments," Rochez said.

Domestic & General shares, which stood 1.23 pct higher at 740 pence by about 9.40 am on Tuesday, had briefly spiked above 900 pence as the takeover rumours emerged in late March and early April.

The company said the new financial year had started well, adding that it expected to make further progress despite signs of a contraction in consumer spending.

Chief executive John Pearmund said the group's strong focus on warranty renewals would enable it to weather any decline in purchases of new appliances as consumers tighten their belts.

"We're perhaps not as affected as other businesses might be," he told AFX News.

Pearmund added that the claims ratio -- claims expenses expressed as a proportion of premium income -- had fallen to 45-50 pct from 47-55 pct last year as the group stepped up its focus on electrical goods, which are less prone to breaking down. He said he expected claims to remain within the lower band for the rest of the current year.

Domestic & General set a final dividend of 18.5 pence per share, taking the total payout to 27 pence, a 15 pct increase on the previous year.

[artful dodger] 04/4/2006 14:58

spike, 2005,? anyone? please!?

[tole] 03/4/2006 09:51

Numis has has increased its rating for Domestic & General to add from hold raising target to £10.50 from 975p.

[scumdog] 31/3/2006 17:57

Missed buying this today but there's always Monday!

[tole] 31/3/2006 17:52

Domestic & General predicts high profits
Fri 31 Mar 2006

DGG - Domestic and General
Domestic and General 938.50p +1.57%

LONDON (SHARECAST) - Extended warranty supplier Domestic & General said today that profits for the year should be at the upper end of forecasts.

The group said it expects profits before tax for the twelve months to March to be at or above the upper end of market expectations.

"In the second half, the business has seen strong revenue growth and the claims ratio continuing at low levels. In respect of investments, the equity portfolio has significantly outperformed the benchmark 7% long-term rate of return," said D&G

[tole] 31/3/2006 10:19

Insigner de Baufort has a trading buy for DGG
Numis has increased its rating for DGG to add from hold

[thamestrader] 31/3/2006 09:45

This has to be one of the most boring shares I own.
Week after week, up, up and more up.
Ho hum.

[Abuse team] 17/3/2006 22:11

Post removed by ADVFN

[artful dodger] 17/3/2006 08:34

I've had these from 800p

could anyone explain the rather intersting spike up to and down from 925p in spring 2005?
takeover rumours?
trader finger?

[cockneyrebel] 16/3/2006 15:07

Trading statement on March 31 last year.

bring it on.

CR

[Abuse team] 15/3/2006 16:10

Post removed by ADVFN

[cockneyrebel] 15/3/2006 16:09

Going up to test the old high - look jolly cheap to me.

CR

[thamestrader] 22/2/2006 12:46

Yeah, kinda boring isn't it?

I've owned these since 6 january (817p), and since then they've gone down three days, flat four days, and up on all the others.

I wish I had a few more equally boring shares in my portfolio;-)

[saucepan] 22/2/2006 12:22

Chart continuing to look great, as 900p level is surpassed.

[cockneyrebel] 27/1/2006 11:50

Look at the chart, look at the forward PE (12 or lees?).

Look at the H1 earnings, look what they say about H2 trading and outlook.

30p divi this year, 34p divi next year, probably more.


Chart looks like it's set to continue like this for a year or more imo.

I bet the PE is less than 12 in reality, get the final divi and next years divi and that stripped out makes the buying forward PE 11 or less imo.

Chart has made a breakout, company upbeaat about prospect, retailers had a better Christmas than expected.


All looks very nice to me, and ISAable.

CR

[wiganer] 19/1/2006 12:35

Even Free that tip looks overpriced.

[Abuse team] 19/1/2006 12:34

Post removed by ADVFN

[liarspoker] 19/1/2006 12:34

Looks like a Slater stock.

[cockneyrebel] 19/1/2006 12:23

Breakout today after stock cleared yesterday.

CR

[saucepan] 19/1/2006 10:30

I agree, DGG is looking great on both fundamental and technical grounds.