Empresaria Share Discussion Threads

[santangello] 08/9/2010 20:46

Definate strong support in the price here.

Web site has provisional results date as tomorrow???

[jeff h] 04/9/2010 12:30

Looking forward to next weeks results...suspect India will produce a very
strong performace as well as Germany all be it from a much lower base.

[santangello] 31/8/2010 18:53

The quiet Shredies are already in (wink)........

[battlebus] 31/8/2010 16:50

And very few trades aswell.

[glasshalfull] 31/8/2010 16:33

I love the fact that EMR broke out of its trading range today.... up over 15% and not a single post ;-)

Regards,
GHF

[glasshalfull] 27/8/2010 08:08

Duplicate Post

[glasshalfull] 27/8/2010 08:06

Thanks for the head up Jeff.
Topped up my holding at the open ;-)

Regards,
GHF

[jeff h] 26/8/2010 14:40

Just had a final pre-results top up.

Was in Munich home of subsid Headway recently and a German guy I was out socialising with told me he had 4 vacancies he could not fill...no candidates.

Not surprising then that the recent German economic growth figures were far stronger than expected....and it wont be surprising if Headway which comprises the vast majority of the European business also comes in with much stronger than expected profits.

Level 2 shows SING on 47p for 2,500 then its WINS,KBC on 50p, so likely to move up quickly on any further buying.

[rockafella2] 27/7/2010 13:14

Edison update: "Empresaria gets categorised and valued - understandably - alongside the smaller UK recruitment stocks. However, the UK only represented 35% of its net fee income in 2009. The group has some very interesting opportunities, particularly in Germany and in Asia, which are not simply based on traditional temporary and permanent staffing operations and which may significantly improve the quality of earnings over the next few years".

[glasshalfull] 04/6/2010 16:58

Edison note out.

Figures upgraded to £5.4m PTP & 5.9p EPS for 2010
2011 showing £6.0m & 6.5p EPS.

Looks cheap to me with strong cashflow anticipated to bring net debt down to £6m at end of 2010 & down to £4m for 2011.

Edison slightly miserly with price forecast of 49p.
I'd have thought a price target of mid 50's fair at present time.


Snippets:-

"The positive AGM statement shows the benefits both of easing trading conditions and the kicker given to the recruitment sector by its operational gearing. We have therefore increased our 2010 net fee income figure by 7%, which results in an upgrade to pre-tax profits of 25%. Encouragingly, the improvements are broadly based by territory, with UK, Germany and the Asian activities all mentioned. The discount for the smaller sector companies is overdone....

....Sector ratings are inevitably linked to size and liquidity, with the larger companies valued at around 31x current year, 19x 2011. Companies capitalised below £200m have far more modest valuations: 10.6x 2010 coming in to 7.6x 2011. Empresaria's discount has narrowed with yesterday's share price bounce, with par equivalent to a share price of 49p."

Regards,
GHF

[glasshalfull] 04/6/2010 07:51

Also pleasing to see the Finance Director buying yesterday.



15,000 @ 45.5p - although initially released as a buy at 54.5p....now that would have been a real vote of confidence ;-)

Regards
GHF

[carterdl] 03/6/2010 18:49

I'm optimistic too that EMR is well placed to move significantly higher over the year. The main risk is a double dip recession, but the exposure to higher growth markets offsets that risk somewhat. As has been noted on here, EMR trades at a big discount to its peers. For such a well run company, despite it's highish debt, that is unwarranted.

[jeff h] 03/6/2010 12:10

"FinnCap initiates coverage of Empresaria with a buy"

So another broker to add to Edison and Singer covering the stock and spreading the word.

Be interesting to see the new forecasts. £4.5m pre-tax for 2010 which itself was only recent is now history...I'd guess they'd move to £5.0m - £5.2m for this year even though they are "materially ahead"...caution still applies.

Sounds like £5.2m pre tax will be the minimum they will be making this year.

I still think the share price will be over £1.00 next year!

[lew stules] 03/6/2010 08:52

Excellent results and update but hardly a comment here, seems like great potential for the future!

[glasshalfull] 03/6/2010 07:57

AGM statement out......and it's rather good ;-)

Forecasts will be upgraded on the back of "...expects full year profits to be materially ahead of current market expectations."



All 3 reported regions showing year on year growth
NFI 24% ahead of same stage last year.

Statement ticks all the boxes and extremely bullish on full year forecasts being "materially ahead" with only 5 months of year completed.

Regards,
GHF

[glasshalfull] 28/5/2010 17:12

Impressive volumes today which suggests a few others have noticed the value.

There is clearly a seller holding this back.....buys amounting to 100k shares in this (normally) infrequently traded share have been matched by a 25k sale on 26/5 and 75k sale later on today following consistent buying.

While I'm unable to determine when EMR will move out of the current trading range it is worth noting that the support services sector trades on a PER 14 while EMR is on a PER 7.5 . EPS is forecast to rise 50% over 2009.

I would also expect that margins which have been under pressure during 2008 & 2009 will stabilise and with cost cutting measures taken to mitigate the anticipated downturn in markets over the last few years, providing EMR with the opportunity to take advantage of any upturn in their UK and German markets to augment the positive performance of ROW (excluding Japan).

No B/S worries either with cash generation forecast over the next few years to reduce net debt from £8m to £3.6m (Dec 2012).

Offers good value in my book.

Regards,
GHF

[jeff h] 28/5/2010 10:31

Thanks for your input and Singer info GHF - hopefully next Thursday's AGM will bring good news on the trading front.

[glasshalfull] 28/5/2010 08:19

Jeff - Singer have definately moved their forecasts upward between March and April......EPS forecasts raised a further 6% for this year and 5.5% for 2011.
Single digit PER of 8 and 6 respectively.

Director buying at 39p after results and positive outlook mentioned.

I've also availed myself of a few extra. The share price hasn't moved since results and AGM statement may be the catalyst ;-)

Regards,
GHF

[glasshalfull] 27/5/2010 18:45

Ta Jeff

As you say, looks like forecasts tweaked upwards for next year via Singer.
I may be able to pass you a note (I think) if you drop me an email.

[e-mail]

Regards
GHF

[jeff h] 27/5/2010 14:21

I just added another 20k, AGM next week which usually has a Trading Update.

I note Edison recently moved their forecasts up on the basis (I think) of the Netherlands disposal. Their forecasts now (per 17/5/10):-

Y/E 31/12/10 Pre Tax £4.5m EPS 4.7p Div 0.35p

Y/E 31/12/11 Pre Tax £5.5m EPS 5.6p Div 0.35p

I suspect they'll be publishing an update after the AGM.

GHF ta for the above, their Singer forecasts may be out of date as I have
got them as (14/4/10):-

2010 £4.4m & 4.8p and 2011 £5.6m & 5.9p

[glasshalfull] 17/4/2010 15:05

This email popped in via the t1ps stable.
Special Recruiment Sector Report by James Faulkner which highlights EMR as a buy.

Empresaria* (EMR)

For international exposure, small cap investors need look no farther than Empresaria. In its recent full year results, the firm said it was "encouraged by the progress now being made by operations in emerging markets, particularly in Asia, which are expected to generate a significantly greater contribution to Group profits in 2010." The firm's international weighting has seen it perform more resiliently than many of its peers, with pre-tax profits having halved in 2009 (the year when earnings troughed for recruitment firms). Moreover, the second half of the year saw a strong rebound in trading, as the group was only at breakeven at the half year stage. With Temporary placement taking up the slack from Permanent in the UK and Germany in particular, Empresaria should be ready to experience much improved trading in the next couple of years. Forecasts were recently revised to take account of a lower tax charge, moving PBT in 2010E and 2011E from GBP4.2 million and GBP4.8 million, to GBP4.25 million and GBP5.3 million respectively, and taking EPS from 4.3p and 4.8p, to 4.5p and 5.6p. Broker Singer also cites the possibility of further upgrades later in the year "if current trading patterns persisted" . With the worst now behind the company, I don't believe a current rating of 8.1 falling to 6.5 accurately reflects the potential on offer. Buy , at 37p.

Regards
GHF

[jeff h] 09/4/2010 17:25

Hi GHF, I think we'll be really disappointed not to get a good result with this one.

[glasshalfull] 09/4/2010 17:11

You're certainly not alone Jeff.
I was away when results announced so bid my time, hoping opportunity would arise to get in slightly lower down.
Took advantage today. Didn't take much to improve both bid and offer.

I particularly like the growth potential of EMRs emerging market businesses. Debt reduction, low PER and recovery in UK & European markets should propel these significantly higher.

Regards
GHF

[jeff h] 25/3/2010 19:09

Seems that I'm not alone then...a few other posters buying and a couple of guys called Hunt and Kilpatrick also buying...oh they are a couple of the Directors!

Miles Hunt Bought 25,000 @ 39p

Stuart Kilpatrick Bought 20,000 @ 39p