Dx (group) Share Discussion Threads

[qs99] 15/11/2022 12:07

I do hope the Board are buying up shares to avoid using too much cash in the future when shares are double IMO/DYOR and to help vs that option dilution they talked about.....now is the time guys, pile in and use that cash wisely!! DYOR

[qs99] 15/11/2022 10:59

2 X 2023 EBITDA is ridiculous as you say, why not 4-5X?

[stemis] 15/11/2022 09:31

Liberum - compelling valuation

Hard to disagree. Valuation at 27.5p is just 2.1 x FinCap forecast 2023 ebitda (after what appears to be a 0.6p interim dividend), with Q1 in line with management expectations (which will at least be market forecasts).

[qs99] 15/11/2022 09:15

57p TP, nice one thanks someuwin.....looks like the squeeze is nearly on, bought some more and much tighter to the Offer now....DYOR and GLA

[someuwin] 15/11/2022 08:07

finnCap

DX (DX): CORP Investment driving high service levels and growth DX has reported a strong set of FY 2022 results, driven by sales up +12% (improving during the year with H1: +11%, H2: +13%), operating margins rising from 4.4% to 5.9% and adj. EPS rising +42%. The investment in infrastructure, systems and staff is paying off, supporting high service levels and market share gains. Management has reiterated the Group is well positioned to achieve its growth objectives despite current economic headwinds, the target operating margin remains 7.5-10% (FY 2022 5.9%) and the target FY 2023 dividend is 1.5p (marking a return to the dividend list). With net cash of £27m, a FY 2023 free cash flow yield of 12.6% and dividend yield of 6.0%, we reiterate our target price of 57p (+128% upside).

[rimau1] 15/11/2022 08:03

Gatemore got what they wanted with Series removed and Hammond appointed, bodes well.

[wallywoo] 15/11/2022 08:02

Flying on open. Will it make 30p today??+

[qs99] 15/11/2022 07:48

totally agree molatovkid

[molatovkid] 15/11/2022 07:46

QS, my point was simply that a great company like this, should never have been in the situation it was, so management negligence for me.

[croasdalelfc] 15/11/2022 07:34

Sparkling results - Q1 in line - outlook in line - looking forward to getting back to 30p on the path to 50p.

[qs99] 15/11/2022 07:31

Indeed nigelpm (another PM? haha)

new Exec Chair now appointed....look forward to bagging and more with this now this is behind us....DYOR

[nigelpm] 15/11/2022 07:25

Hopefully that draws a line under this sorry mess and we can focus on growth and cash generation. Great set of numbers.

[qs99] 15/11/2022 07:23

molatovkid: you will see that I agree with you through number of posts. Series had to go and has, great. Not sure what your point is mate?

Company now with new Chairman can show a clean pair of heels IMO to 40, 50 and at least 60p....DYOR!

[sbb1x] 15/11/2022 07:12

Mkt cap 143mCash in bank 27m

[molatovkid] 15/11/2022 07:09

When you see such great results as this, it borders on gross negligence the mess the company was in. Series had to go.

[qs99] 15/11/2022 07:08

Cracking results IMO

£27 cash, £50 EBITDA EV/EBITDA around 2

Cheap as chips & chairman gone diplomatically hurrah on all DYOR

cheers
QS99

[stemis] 14/11/2022 16:07

hxxps://www.blackthornfocus.com/blackthorn-event/apply/1071-fad0c7d64f346887a7ea526ff12c9b10c7c7e6f8

On Tuesday, November 15th, DX Group will announce full year results for the year ending July 2022.

News to me...

Ahead of that it's worth reminding ourselves of the expectation. Trading statement on 7 July - revenue for the financial year is expected to be approximately £425m, 11% ahead of last year (2021: £382.1m)..... Net cash as at 2 July 2022 is up by 61% year-on-year at £27.0 million (2021: £16.8m)

FinnCap (6 October) forecast for adj profit before tax is £20.0m (2021: £12.0m) and adjusted EPS of 2.8p (2021: 2.0p).

Fingers crossed for a good outlook.

Possibly expecting the results to come with a resignation of Ron Series as Chairman.

[hillock1] 13/11/2022 15:04

So if DX not holding a EGM, Gatemore can hold one if I understand correctly..

An Extraordinary General Meeting (EGM) is any meeting other than an Annual General Meeting (AGM). The directors may call general meetings when they wish (CA 2006, sec302) andmust call a meeting of members holding one-tenth of the voting shares or one-tenth of the voting rights request one (sec303 - sec304). If the directors do not call a meeting when so required, the members can call one themselves (sec305). If all else fails, the court can call a meeting (sec306

[stemis] 13/11/2022 13:00

Just to remind that DX have until Wednesday to call the GM otherwise it's back over to Gatemore. I seriously can't believe they want to let Gatemore effectively have control over the process.

[stemis] 12/11/2022 14:12

At the risk of seeming pedantic, the company wasn't accused of 'bribery to win a contract'; it was accused of obtaining confidential competitor information over a period of time and making an isolated offer of payment (of de minimis financial amount) for such information. There's no indication who those employees were so we don't know if Dunn was involved or knew that it was taking place.

[wallywoo] 12/11/2022 12:41

No!! Lloyd Dunn was CEO when the company was accused of bribery to win a contract. If the company want to move on they must distance themselves from it.Ofcourse, we all know it goes on but if you are caught then "heads role". With any luck this is the last we hear of it. It adds to the liklihood of a takeover too imho. Since it will distance them even more.

[hillock1] 11/11/2022 19:18

Do you guys think there's a chance that Llyod Dunn will return back after the EGM? I mean after all, Llyod Dunn was appointed by Gatemore Capital back then and he was credit to the turnaround of the operation..

I hope the EGM will clear the uncertainty of the top management structure asap...and the company can focus on the operations...