Hayward Tyl Share Discussion Threads

[red_shed2000] 14/5/2015 07:41

The reason for the RNS will be mainly to inform the attendees of the exhibition they are attending about the new contract win in that area. It's just a bit of PR which seems a good idea to me. Also, I don't mind hearing what's going on!

Good luck all...

[shanklin] 14/5/2015 07:05

The RNSing of these small contract wins is getting a bit concerning. Are they not winning anything any bigger than this? All IMHO.

P.S. No position here at least until the company clarifies "tightening market conditions"

[jeanesy2] 13/5/2015 19:52

Two very big buys today and yet we are down?

[cerrito] 11/5/2015 08:14

Reading the AGM statement below today from Spirax-Sarco this put into context HAYT's March 30th comment on tightening market conditions.

quote
Growth in industrial production and the global economy generally has further eased, continuing the slow down in growth through the second half of 2014, in both developed and especially emerging markets. Our markets in Europe, Middle East and Africa (EMEA) look to have stabilised, albeit at low levels of industrial production growth. Markets in Asia Pacific have shown a further slowing of industrial production growth, particularly in China, Korea and Australasia. In the Americas, industrial production growth has weakened in North America and remains negative in South America.

[sheikh al utrati] 08/5/2015 16:20

Totally oblivious to wider market moves....

[jeanesy2] 06/5/2015 19:41

I was away yesterday and missed the RNS. I dont understand why the market has not reacted favourably to the news ? On another matter i did email the company and asked for why there had been no mention of tightening conditions in the recent trading statement when it had been mentioned a few weeks earler. I have yet to have a reply!

[rivaldo] 06/5/2015 09:31

New interview with the CEO here:

http ://www.proactiveinvestors.co.uk/companies/stocktube/3731/hayward-tyler-ceo-says-more-opportunities-after-fmc-deal-3731.html

- there will be more opportunities on the back of the company’s production alliance agreement with FMC Technologies, the big player in the sub-sea systems

- O&G was less than 10% of the business in the last year, but O&G could be a "gamechanger" for the company. HAYT's products increase efficiencies etc

- funding is now fully in place for the plant expansion, with no more needed

[rivaldo] 05/5/2015 15:41

Brief broker comment included here - I assume the 113p price target hasn't changed:

http ://www.proactiveinvestors.co.uk/companies/news/79977/update-hayward-tyler-signs-alliance-agreement-with-fmc-technologies-79977.html

"Hayward Tyler’s house broker successfully predicted the market would react positively to the announcements, as the shares rose to just under 80p, up from last night’s close of 74p, before ebbing to around 77p.

It still believes that on a price/earnings ratio of 10.4, based on its forecasts for the year just ended, and 9.4 projected for the current year, it is still undervalued relative to its peers."

[rogerrail] 05/5/2015 11:03

Very positive indeed. I don't know about oil and gas , but in automotive on a new product launch the OEM will either amortise the cost of "tooling" for the new model in the selling price or get a one off payment to cover the capital investment - I would think this deal with FMC is along the same lines. The good news is it ties them into HAYT probably for many years to come.

[red_shed2000] 05/5/2015 09:47

Rivaldo

Indeed they are! Well they must see something interesting in HAYT's tech...

Like I have said, this is extremely positive.

[rivaldo] 05/5/2015 09:36

FMC are massive - this is a huge opportunity for HAYT. Take a look at these two recent subsea contract awards for starters:



FMC Technologies Awarded $393 Million Subsea Systems Contract for Eni's Block 15/06 East Hub Project Offshore Angola
Dec 18, 2014

FMC Technologies Awarded $268 Million Subsea Systems Contract for Chevron's Agbami Phase 3 Project
Dec 17, 2014

[red_shed2000] 05/5/2015 08:43

Shanklin

You also have a fair point. I am sure the nature of the partnership will become clearer over time. From my point of view its only positive though.

[brambuz80] 05/5/2015 08:14

Luton Expansion Programme:- GBP3.5 million Regional Growth Fund grant +- GBP3.0 million secure loan programme +- GBP 2.0 million FMC investmentPhased investment

[shanklin] 05/5/2015 07:59

red_shed2000

Fair comment. I just think HAYT should have at least alluded to the quid pro quo associated with the investment by FMC.

[brambuz80] 05/5/2015 07:52

Could this partnership represent the first step on the take over road? HAYT offers a highly complementary product (specialty motors) that FMC uses in their final assembled products.Other cross-selling opportunities for HAYT may mayerialize?

[rivaldo] 05/5/2015 07:29

Good news - integration of HAYT's products into FMC's should be a big boost for a £34m m/cap company like HAYT. FMC "has more than 20,000 employees and operates 24 production facilities in 14 countries", and "is the global market leader in subsea systems":



Rather good of FMC to contribute $2m to HAYT for the expansion of the new production centre too.

Plus we have another $1.25m subsea order by Eureka for Malaysia.

[shanklin] 05/5/2015 07:24

So, is HAYT struggling to finance its expansion. Presumably this $2m is not a donation, so what is the other side of this deal?

[meijiman] 01/5/2015 16:08

Yes, that was the thing which spooked investors. Bizarre comment without explanation. It's almost like teeing you up for a profits warning on the next RNS. Who are the PR company here?

[shanklin] 01/5/2015 16:00

The CEO gives lots of interviews so perhaps he could use 1 minute of one of them to explain what he meant by "tightening market conditions".

[sheikh al utrati] 01/5/2015 15:25

Fair points rivaldo... There is lot to like about this company. I particulary like the fact CEO his skin in the game, half of the revenue comes from aftercare.... It's a good company

In terms of rating I am bit more conservative though - even with significant EPS growth projected for this year the valuation is not that much lower than industry median. Small hicup in earnings and suddenly we are on average multiples..

Interesting you say 'considering the huge amount of profit warnings other companies have been issuing...' I am not sure I would use that as a yardstick.. I see it from diferent angle: HAYT lagged behind FTSE-allshare index over the last 14 months or so.. That's not exactly short time in my books.. Yes, patience is a virtue, however if one sees better place to park his money, then why not...

Anyway - lets see if if swings the way we all want. Good luck

[rivaldo] 01/5/2015 14:00

I'm happy to hold...

- this week's year end trading update was good
- the outlook was rather bullish regarding HAYT's remaining "confident in the short to medium term prospects for the business", suggesting possible news flow coming soon
- considering the huge amount of profit warnings other companies have been issuing I'm happy to leave this portion of my portfolio in a steady performer which has a chance of large upside
- the currently low rating reduces the downside in the event of problems

Patience is the greatest virtue an investor can have.

[sheikh al utrati] 01/5/2015 13:05

Agree petewy.. I'll try to trim down my position as well if an opportunity arises..

[petewy] 01/5/2015 12:58

Sheik... Me too. fed up with waiting out and may come back in before results or expected slide in Dow in June.