Gama Aviation Share Discussion Threads

[rivaldo] 23/7/2018 09:14

More new contract wins:



"17th Jul 2018

Gama Aviation wins Bombardier Global 5000 and Gulfstream G650ER contracts

Gama Aviation leverages global team to win new aircraft management contracts

Farnborough, 17rd July 2018 – Gama Aviation, the global business aviation services company, is pleased to announce it has secured two new aircraft management contracts after the completion of competitive tenders for both. The first, a three-year contract, will see the company oversee the delivery and subsequent management of a Bombardier Global. The aircraft, once delivered from Bombardier, will fly extensively within the US, Europe and Asia.

Mark Gascoigne, European Managing Director commented: “Our client will use the aircraft intensively for time sensitive missions. On understanding the mission requirements and logistics, we determined how we could reduce single point failures via our global network to minimise schedule risk and downtime during each flight. Our passion to simplify and de-risk an otherwise complex logistical exercise was the primary reason for our selection, something that no-one else, in the view of our client, could achieve.”

The second contract awarded this month, sees the addition of a new type to the fast-growing Asia fleet. The Gulfstream G650ER will join the fleet on delivery, making it the second Gulfstream to join the Asia fleet in the first six months of this year.

Sergio Silva, General Manager commented: “We are extremely pleased to add another tail to the fleet in Asia. We are seeing an increasing trend amongst knowledgeable owners in Asia, towards companies that have the capability to support the full capabilities of their aircraft, whether at its home base or down route in say, Las Vegas. This simplifies the mission for the pilot, the owner representative, the EA and the owner, as they understand they’ll receive end-to-end support from us locally and via our comprehensive global network.”

[aimingupward2] 19/7/2018 12:33

The company says this morning that "we continue to evaluate several potential acquisitions .......and are in advanced discussions on a number of these."

Vague, as one would expect, but sort of fascinating. 'Several', to me, implies 2-5 or 6. 'A number', in this context, has to be less than several, so perhaps 2-3 or 4. We shall see. Whatever, it should be more than two!

[rivaldo] 19/7/2018 11:34

Good to see you buying here GHF - apologies, my post crossed with yours.

Looking forward to one of your all-consuming write-ups :o))

[pireric] 19/7/2018 11:17

G Luck GHF :0). It's rarely a truly bad share if you're here! I just have an uneasy feeling whenever I look at this, and not absolutely sure why, but few red flags that deter me quite quickly

[rivaldo] 19/7/2018 11:16

GMAA are very cheap purely based on 26.4c EPS this year alone. Even if next year's forecast was downgraded to say 32c EPS then GMAA would still be very, very cheap.

And of course, we're hopefully soon going to get acquisition news which could increase those forecasts substantially.

[glasshalfull] 19/7/2018 11:14

Contrary views...that’s what makes a market. Fully understand Eric’s position. GMAA have it all to prove.

Since my brief foray into GMAA...and back out again on the lacklustre AGM statement I’ve spent time looking at the business. Don’t have time at the moment but will prepare a write-up in due course as I believe it an excellent risk/reward proposition.

The US Air & Ground is performing v well & I believe the Far East will also perform strongly in due course. Europe & Middle East have been poor but today’s statement provides cause for optimism that each should perform better in H2.

All in they are on a PER 10 for the current year with 50% earnings growth estimated for 2019. As Eric says, they’ve got it all to prove.

With litigation now out the way they look v good value to me & I’m a buyer.

Kind regards,
GHF

[pireric] 19/7/2018 10:23

I have little confidence in them meeting that 39.8c target. I.e. expect downward revisions at some point

[aimingupward2] 19/7/2018 09:39

39.8c eps for next year, with the pound steadily falling against the dollar, would mean 30 pence - putting the share on a forward p/e of less than 7. This will be seen, in due course, to absurdly cheap.

[corrientes] 19/7/2018 09:26

I just hope you're right, and we don't see another negative coming in from left field.
Still, law of averages says they've got to get a confluence of good news at some point.

[rivaldo] 19/7/2018 09:08

WH Ireland have reiterated their 360p fair value here.

They've also retained their forecasts of 26.4c EPS this year and 39.8c EPS next year.

The early MM markdown was ridiculous, but predictable, on first reading of the flat H1 which we knew already. You just have to read the narrative to see that Europe is improving and expectations are unchanged.

Buying has since begun to come in. As investors actually digest the RNS we should now see a decent bounce from here on what is now an extremely low rating.

[corrientes] 19/7/2018 08:35

Sorry, but these type of statements from you guys sound like a repeating gramophone record.Clear out of the mainland European operations as, like the EU as a whole, a disaster case.IMO.

[igoe104] 19/7/2018 07:44

Good to hear we are course to meet expectations, and acquisitions are around the corner. and now the court case is settled in a favourable manner, these should start moving back up to the £2.50 mark again.

[rivaldo] 19/7/2018 07:33

An encouraging H1 trading update today. We already knew that year on year was flat, but GMAA have now confirmed that they're trading in line with expectations for the full year of 19,67p EPS (with 29.66p EPS forecast for next year):



The USA remains very strong, whilst Europe is now picking up steam. There are lots of strategic moves taking shape which will come to fruition this and next year.

And "a number of acquisitions" are now in "advanced discussions", so hopefully we'll have news soon.

[igoe104] 18/7/2018 16:54

Aviation firm moving facilities to Bournemouth Airport.

[rivaldo] 27/6/2018 10:43

Note that (1) before today's share option issuance there were very few share options in existence, and (2) the new options are only exercisable at 205.5p. Which rather aligns the option holders' interests with ours.

A refreshing change from all those companies who still issue nil cost options.

[corrientes] 27/6/2018 10:25

On the other side of the fence ; xugger the shareholders to hell.

[rivaldo] 24/6/2018 18:44

New article about the ADS-B work which should provide a nice additional income stream for GMAA given the need for regulatory compliance:



"Gama Aviation Concerned That ADS-B Deadline Is Being Ignored
Jun 22, 2018

Britain’s Gama Aviation is the latest company to add its voice to the growing chorus of concern that the business aviation community is flirting with disaster if operators continue to ignore the Jan. 1, 2020, deadline for equipping their aircraft with ADS-B technology. Duncan Daines, the chief marketing officer for Gama’s Oxford Airport-based London ground MRO unit, warns that operators face increased costs or having their jets grounded if they do not get the work scheduled soon. ..."

[corrientes] 20/6/2018 15:33

You'd think that, but seems to me it'll take some sterling results to get this one out of the doldrums where it has been for quite a long time now, like for two years now as far as PI's are concerned.

Come on press (apart from the Dryden supporter that is) ; lets have some bells and whistles.

[rivaldo] 19/6/2018 15:02

Great news in itself, which also validates the integrity of the Board in its prior statements.

Onwards and upwards from here. And there's lots of potential "upwards" :o))

[aimingupward2] 19/6/2018 13:29

With litigation out of the way, this now looks particularly good value and a safe reliable investment.

[igoe104] 19/6/2018 12:51

Reading between the lines, the payment is probably around £850,000 for Gama. looking like its (part cash, part assets.)


Because its states this in the statement (supports the Board's previously announced expectation) The expectation was 850k

[napoleon 14th] 19/6/2018 12:51

Good result eliminates any potential liability;
" the Dryden Parties undertake to withdraw their various damages claims against the Company, and to transfer value to the Company by a cash payment and transfer of certain assets; and the Company undertakes to withdraw its debt recovery claims against the Dryden Parties."

Share price down anyway!
LTBH.
GLA.

[corbeta] 19/6/2018 12:36

What a shame they won't say how much.