Dx (group) Share Discussion Threads

[ls24] 20/11/2021 14:25

One thing these boys don’t do is over promise, 30% growth would be my punt

[nw99] 20/11/2021 14:05

Good day on Monday

[stemis] 19/11/2021 13:13

Well we got a trading update at the last AGM and the next one is 25 November. By then we'll be nearly 5 months into the new year. FinCorp forecast for 2021/2 is earnings growth of 15%. I don't think that's particularly ambitious so plenty of room for future upgrades...

[nw99] 19/11/2021 12:50

Solid buying

[nw99] 19/11/2021 12:50

Sold buying

[croasdalelfc] 19/11/2021 09:31

Royal Mail results bode well for DX

[brummy_git] 18/11/2021 14:47

DX Group (starts 21:20) was talked about positively here by Jamie Constable of Singers.


www.youtube.com/watch?v=KknJ6I5U_5g&t=3s

[nw99] 18/11/2021 06:52

Tipped shares Magazine

[my retirement fund] 17/11/2021 23:34

I see 25p before xmas

[nw99] 16/11/2021 06:54

Some big prints

[chris moja] 10/11/2021 15:36

With such a positive review in MasterInvestor, I have purchased quite a few more!

[stemis] 09/11/2021 12:33

I don't even know what that means...

[my retirement fund] 08/11/2021 20:13

Lots of rose tinted glasses here imo. The BB seems to have lost track of reality. This is a post brexit basket case UK facing company with zero foreign income. If investors are trying to raise a glass of bubbly, I suggest you change that tipple to cherry coke or Tizer if your as old and wise as me, because you've got many many years ahead trying to swim upstream to make any measurable headway.

[stemis] 08/11/2021 12:25

Express comprises two 'bits'; Exchange and Mail, which saw sales decline £7.9m (from £48.2m to £40.3M)- impacted by coronavirus and long term decline in secure document exchange, and Parcels, which saw sales increase from £112.1m to £118.8m, despite the loss of the HMPO contract. Forecasts for the division are pretty modest; 7% growth over the next two years, so if they can really get things moving there should be upside to market expectations

[ls24] 08/11/2021 12:10

Express had been neglected due to immediate opportunities in Freight. The change in fleet mix, new depots and investment in IT (2 hour window was a basic must have) will open up massive growth potential in the next few years - it should be seeing 30% annual growth imo despite a shrinking Doc Exchange that will continue to do so. The opportunity for Express is far greater than Freight, but the players in that market are far more

[stemis] 08/11/2021 11:59

Very good results, marginally ahead of Finn Cap of 19 July. It's worth remembering that DX. is 2 divisions; a growing freight and a declining express. The strategy is to grow freight (sales up 32% yoy) and stop decline in express (sales down 1% yoy). They do note that freight was "significantly impacted by coronavirus restrictions, which affected our Legal and High-street activities in particular, although the division's Parcels operations grew significantly.".

This is now a growth play so not sure why people keep banging on about the dividend. You'll get your return from increased share price and eventual takeover not a 2-3% yield.

Good to see their ambition for the company is undiminished with another 15 depots planned and reinvestment of £20-25m cash in the depot network, parcel-handling equipment, and IT infrastructure. That's real nuts and bolts stuff as you'd expect from guys who actually know how to run a delivery business. With net £10m in the bank and a strong cashflow, they have the fire power to do it.

It's also interesting that they have put down a strong marker in terms of increasing margin from current 4.4% to 7.5-10%. If, in the next few years, they can get sales to £500m, a 10% margin would give £50m operating profit and an EPS (even on a fully taxed basis) of 6p and a balance sheet stuffed full of cash. Who'd bet against a share price of at least £1 then. Of course, maybe you'd just rather have a few 1p dividends instead...

[marktime1231] 08/11/2021 11:10

Easily pleased? The £10M investment programme complete, DX is profitable as planned, at which point they might start handing out some of the positive free cash flow ... no, let's expand our investment programme even further. No prospect of a dividend for another couple of years, because we have replaced our turning around plan with an ambitious growth plan. No prospect of shareholder returns in the forseeable future. At least they have had the guts to say so this time.

[my retirement fund] 08/11/2021 11:09

Looks like the turnaround plan has concluded with a big tick, I assume the board will all be getting good bonuses for this. Now things are on an even footing and the EPS should manage 2 pence sustainably, I guess the only way of sustaining the present share price is going to be evidence of growth in turnover. Given the bumper few years of deliveries due to work from home/stay at home rules, I have to say turnover growth looks especially underwhelming. I can see the share price falling back to test recent lows.

[abergele] 08/11/2021 10:47

Company OK,
I believe it's peoples attitude to cash against shares at the present time...
gl a lth's

[molatovkid] 08/11/2021 08:43

Disappointing reaction....on those results we should be flying.

[kaffee] 08/11/2021 08:28

Daft question... been delayed because of Grant Thornton issue and still results say unaudited ?

[cheshire man] 08/11/2021 07:58

Excellent results :-0))

[molatovkid] 08/11/2021 07:50

At this rate, might we be on the takeover radar of a competitor I ask myself?

[everton448] 08/11/2021 07:17

Yes - very pleasing