Hydro Intl Share Discussion Threads

[rivaldo] 21/11/2007 15:29

Nice 10k buy at 197p today. In this market with a buyers' strike going on that sort of interest in a small cap like HYD is good to see.

[nhb] 19/11/2007 17:46

Thanks gac100. Forgot about the interims in September.

What do HYD do again? :-))

[gac100] 19/11/2007 14:44

I sold a few in September and will buy them back if the price holds above 190-ish. If it falls through that level then I'll wait and see if it drops to traderabc's 160-ish, which would be ridiculously cheap IMO. I suspect, looking at my other holdings, that companies with exposure to the dollar are being indiscriminately punished whether they hedge their currency risk or not (HYD, as we know, does hedge).

[gac100] 19/11/2007 14:33

Interims for the 6 months to Jun 30 were announced on 4 Sep. Results for the full year due next March.

[traderabc] 19/11/2007 14:31

Some support just under here if that fails then stronger support in the 160 ish area.

[nhb] 19/11/2007 14:23

A bit sickly lately. Should be interims soon shouldn't it?

[cockneyrebel] 15/11/2007 12:55

Fair enough. I know CDE has been a perenial bag of dross since it floated but then again Killingley was heading it - he's been booted (Killigley Softly :-)). A new board and they do pick up another £300K in the current financial year from recent disposal. I just prefer buying stocks everyone is ignoring and selling those that have a lot of expectation in them which is why CDE attracts me.

Good luck here tho.

CR

[rivaldo] 15/11/2007 12:45

Funny you should say that CR...! Comparing apples with pears I think.

HYD is a long-established, highly profitable and fast-growing leader in its sector with global sales. With loads of its own IP. And it has lots of cash, particularly relative to its m/cap.

CDE has gone from disaster to disaster, but is perhaps about to become profitable in a small way, though the (lack of) cash position doesn't look great. It does look good for a turnaround and could be a big winner if the promises made about profitability come off, but it wouldn't take much for CDE to come off the rails.

I can see where you're coming from, but it's a risk-taker's stock at present until the proof comes through - by which time those who've bought big and early enough like yourself may well be rather happy! On the other hand, a "disappointing" update could well see the price slide fast and/or stagnate for a long time. I also got the sense from the narrative that any profit will be small, and not really enough to excite people. So it would be impossible to sell any decent-sized holding for a long, long time.

I'll stick with HYD as a steady riser with potential for big outperformance, but will continue to keep an eye on CDE.

[cockneyrebel] 15/11/2007 12:15

Rivaldo, I've been buying Conder (CDE). Have you compared the valuations?

HYD - Sales £22m per annum aprox - Mkt Cap £29m.

CDE - Sales £12m per annum on continuing operations - Mkt cap £4m. CDE also have £6.5m in past losses to use against tax.

There's been big board changes, directors have been buying and they say they will be back in profit in H1 and the full year, they said that 5 months into H1.

Yep, they need to deliver yet but if they could acheive HYD's margins they are a muli-bagger imo.

Worth doing a comparison and reading through the CDE RNS's over the past year imo.

CR

[rivaldo] 15/11/2007 12:06

I just revisited the forecasts for HYD and note that Peel Hunt have increased their forecasts slightly.

For the year about to end they now go for 11.16p EPS (up from 10.68p) and for 2008 they still go for 12.85p EPS.

What will soon be a current year P/E of 15.7, with £3m of cash on a £29m m/cap, is pretty decent value for a worldwide leader in an ever-expanding market imo.

[rivaldo] 08/11/2007 12:52

And from the HYD web site:



"Hydro Up-Flo Filter Approved For Use By Metropolitan St. Louis Sewer District
07-Nov-2007

Hydro International today announced that the Metropolitan St. Louis Sewer District (MSD) in Missouri has approved Hydro's Up-Flo™ Filter for use in stormwater management applications in the district.

The district approved the Up-Flo's use as a stand-alone water quality Best Management Practice for redevelopment and highway project sites of less than 5 acres. Other conditions include a requirement that each unit provide adequate storage for 75 percent of the water quality volume passing through the filter.

The Up-Flo Filter is a high-rate stormwater filtration technology that removes trash, sediments, nutrients, metals and hydrocarbons from stormwater runoff. As the industry's only fluidized bed upflow filtration technology, the Up-Flo Filter provides a higher level of treatment, a higher rate of filtration, longer life of filter media and a longer maintenance cycle than other filter systems.

The Metropolitan St. Louis Sewer District's 525-square-mile area covers 92 municipalities, including the city of St. Louis, in St. Louis County. It serves 1.4 million people and more than 400,000 total accounts.

"We are thrilled with the news that the Up-Flo Filter has received approval for use in the St. Louis MSD," said Ed Izzo, President of Hydro International's U.S. Operations. "We're confident the Up-Flo's advanced treatment capabilities will meet the district's rigorous requirements to preserve water quality in the region."

Hydro representatives will discuss the benefits of the Up-Flo Filter and other leading technologies at the StormCon Workshops St. Louis conference Nov. 29. Hydro will exhibit at the conference at the Renaissance St. Louis Hotel."

[rivaldo] 07/11/2007 19:18

Good news from the USA (St Louis) today:



"Hydro International's Up-Flo Filter Approved For Use By Metropolitan St. Louis Sewer District
2007-11-07 16:43:00 -
www.hydro-international.biz/us/index_us.php - For Hydro International PAN Communications Mike O'Connell, 978-474-1900 [e-mail]

Hydro International, a leading provider of environmentally sustainable products and innovative solutions that control and treat stormwater, wastewater and combined sewer overflows, today announced that the Metropolitan St. Louis Sewer District (MSD) in Missouri has approved Hydro's Up-Flo(TM) Filter for use in stormwater management applications in the district.

The district approved the Up-Flo's use as a stand-alone water quality Best Management Practice for redevelopment and highway project sites of less than 5 acres. Other conditions include a requirement that each unit provide adequate storage for 75 percent of the water quality volume passing through the filter.

The Up-Flo Filter is a high-rate stormwater filtration technology that removes trash, sediments, nutrients, metals and hydrocarbons from stormwater runoff. As the industry's only fluidized bed upflow filtration technology, the Up-Flo Filter provides a higher level of treatment, a higher rate of filtration, longer life of filter media and a longer maintenance cycle than other filter systems.

The Metropolitan St. Louis Sewer District's 525-square-mile area covers 92 municipalities, including the city of St. Louis, in St. Louis County. It serves 1.4 million people and more than 400,000 total accounts.

"We are thrilled with the news that the Up-Flo Filter has received approval for use in the St. Louis MSD," said Ed Izzo, President of Hydro International's U.S. Operations. "We're confident the Up-Flo's advanced treatment capabilities will meet the district's rigorous requirements to preserve water quality in the region."

Hydro representatives will discuss the benefits of the Up-Flo Filter and other leading technologies at the StormCon Workshops St. Louis conference Nov. 29. Hydro will exhibit at the conference at the Renaissance St. Louis Hotel."

[rivaldo] 02/11/2007 09:31

Hi chaps - it's actually a feature article on the water sector with a few related company recommendations.

Here's the article, with the rec for HYD - I find it crazy that HYD is bracketed as merely a "Speculative Buy", the same as Modern Water which is capitalised at £60m compared to HYD's £30m and has only investments in a few start-ups, whereas HYD is highly profitable, pays a divi and has just as much of its own IP!!



"Blue Gold Opportunities
Created: 30 October 2007 Written by: Graeme Davies
Amid the clamour about climate change and concerns about carbon emissions, a potentially far greater threat to our future survival and prosperity is looming. Water is the lifeblood of the planet, but woeful underinvestment and wasteful practices in developed countries, rising pollution and growing demand in the developing world are likely to make water one of the most vital commodities of the 21st century. This will thrust investment in water-related companies into the limelight and has already led to water being dubbed the 'blue gold' of the future.

The World Water Council predicts that demand for water will grow by 40 per cent by 2020 and that 17 per cent more water than is actually available will be needed to grow enough food for the world. The United Nations has warned that two-thirds of the global population will be living in 'water stressed' areas - those lacking an adequate water supply - by the year 2025.

More erratic weather patterns are causing severe strain on water supplies in many parts of the world and, coupled with outdated and underfunded water infrastructure and growing demand for access to clean water in the developing world, a crunch is upon us.

Some scientists dispute the fact global warming is happening (or the causes of it) but there is little dispute on the issue of water. Many areas of the globe are witnessing water shortages and vast regions of the US, Africa, the Middle East, central Asia and Australia are suffering from desertification. A prolonged drought in Australia has already caused it to warn of a 0.75 per cent fall in gross domestic product this year.

For all its mind-boggling growth China could also find itself constrained by a lack of clean water supply due to an increase in pollution, coupled with desertification. Simon Littlewood, chief executive of China-focused investment house London Asia Capital, travels and invests extensively in China. He said: "Chronic water shortages across all of China are causing economic problems. The harvest this year has been a disaster; China is importing food. They are not interested in saving the planet, but they are interested in saving themselves."

In the Middle East, the World Bank has estimated that per capita water availability in the region will plummet by a half by 2050 through a combination of population growth and overuse.

This crunch between supply and demand means heavy investment is now required in water supply, security and treatment globally. Some shrewd investors are dubbing water 'blue gold' and looking to increase their investment exposure to the sector. UK investment opportunities in water are varied; from utility companies in a highly regulated environment to investment funds - which are increasingly specialising in water investment - and technology companies working on vital water-saving gadgets and desalination technology.

Bruce Jenkyn-Jones, director of investments at environmental investment specialist Impax Group, has around a third of his funds invested in water or water-related companies. He said: "The energy, waste and water sectors are all changing and there are opportunities. The utility opportunity comes as regulators realise the importance of water and let them spend more money. There is also corporate activity with a number of takeovers."

Mr Jenkyn-Jones thinks investing in water makes sense: "There is absolutely no question about it. There has been underinvestment in water in every country - there is a huge amount of catching up to be done."

Investment money has been pouring into companies in the water sector from infrastructure funds, pension funds and private equity all looking for solid long-term returns. Standard & Poor's research shows that infrastructure funds raised £75bn in 2006 and much of this money is yet to find a home.

UK investors have done well out of their shares in listed water utilities - consolidation and mergers and acquisition speculation, as well as the relative predictability of the regulated environments in which they operate, has helped to send share prices soaring. However this also makes finding value in the sector tougher and means investors may have to think laterally to find companies that can plug into the blue gold story.

Water companies have thinned down their operations in recent years to maximise returns and this has spawned an array of outsource service providers to the water industry, from the traditional environmental consultancy-type operations to businesses which provide the muscle required to dig new pipes and read meters.

Altium infrastructure analyst Andrew Nussey believes investing in outsourcing and consultancy businesses is a good way of playing the UK water game, especially as we move into the 2010-15 water spending regime. He said: "In the next regulatory period, more attention will be paid to the maintenance side and a number of companies play in that area...they are all pretty busy at the moment. There is an awful lot to go for and a number of companies will benefit."

Mr Nussey feels the next spending round will have a different focus: "There is a definite desire by the regulator to move away from large capital projects to more maintenance. We've gone through decades of underinvestment and there is a need for more efficient delivery."

This search for efficiency and the desire to use water more sparingly and to capture and recycle more waste water has attracted the interest of technology companies specialising in water valves and filtration, waste water treatment, desalination and even smart metering. Such companies include Amiad Filtration Systems, Halma, Hydro International, Modern Water, Qonnectis and Virotec and engineers such as Rotork and Porvair provide valves and other widgets vital to the water industry.

Another option for investors is to sit back and allow the professionals to do the hard work by investing in a water-focused fund. The Impax Environmental Markets fund is one-third invested in water-related stocks. Barclays Global Investors offers water investment exposure through the iShares S&P Global Water exchange-traded fund (ETF), which is listed in London. Other options include infrastructure funds, such as 3i Infrastructure, which aims to invest in water assets and includes AWG, formerly Anglian Water, in its portfolio.

'Blue Gold' opportunities:

Hydro International

Smaller in market-cap terms than many of our other highlighted stocks Hydro is more of a pure water technology play. It has developed a range of products aimed at dealing with, collecting and treating stormwater, improving rain-water collection and managing sewage overflow and municipal waste water.

Hydro is establishing itself in the US and, in recent times, has won business in Qatar, Egypt and Korea. It also has distribution deals in Australasia. In the UK, its waste water business has been hit by a slower-than-expected pick-up in spending by the water industry as part of the latest Ofwat-agreed spending round. However this is expected to improve in the next 12 months and Hydro could also benefit from the shock of the recent flooding in England as well as ongoing campaigns to conserve more rain water. Impending EU legislation on water quality and building regulations in the UK which require rain water collection systems should also drive its markets.

In 2006, Hydro grew its turnover and profits and paid out an increased dividend. And, with a good range of products protected by patents and growing international interest it appears well-placed. Speculative buy."

[coolblnx] 02/11/2007 07:52

They like HYD & its prospects.

[2020hindsight] 02/11/2007 07:51

Hi Coolbinx, What was their rationale for buying ? Cheers.

[rivaldo] 30/10/2007 22:20

More evidence of HYD's IP strength producing commercial products:



"News Release

New Hydro-Brake(R) chamber guide demonstrates drop-in water flow control (21 September 2007)

The new literature and users' guide for the Hydro-Brake(R) Chamber showcases the even more convenient format for the Hydro-Brake(R) Flow Control developed by Hydro International with partner CPM Group. Designed specifically for the busy contractor and developer, the Hydro-Brake(R) Chamber saves time and money by minimising on-site fitting and installation work.

The Hydro-Brake® Flow Control has become the industry standard for minimal maintenance, power-free stormwater attenuation. It is now available pre-fitted in the specially designed, reinforced precast concrete Hydro-Brake® Chamber and sized to match flow requirements. The Chamber is delivered to site ready to be placed in the hole and connected to inlet and outlet pipes, without additional work.

The 12 page brochure contains comprehensive information about how the Chamber is tailored to meet site requirements, including precoring and forming to fit the specified inlet pipes, complete with preformed internal benching, and with step irons if requested. This greatly reduces the time normally taken in completing the installation, while all internal work is completed to the highest possible standard.

The dimensions and installation details are all included, with comprehensive data on the benefits of flow control with the Hydro-Brake® Flow Control Device.

As well as the standard Hydro-Brake® Chamber models, the guide demonstrates the other configurations available to meet a variety of site conditions, including penstocks, weir wall overflows, and parallel Hydro-Brake® installations for complex, staged discharge requirements."

[rivaldo] 28/10/2007 10:04

An honour for HYD in the USA - should be great PR:



"Hydro International`s Andoh to Deliver Keynote Address at WWEMA Annual Conference November 9
24-Oct-2007

Hydro International's Andoh to Deliver
Keynote Address at WWEMA Annual Conference November 9

Hydro International today announced that Hydro Director of Innovation Robert Y.G. Andoh will deliver the keynote at the annual conference of the Water and Wastewater Equipment Manufacturers Association (WWEMA) on Nov. 9 at Ponte Vedra Beach, Fla.

Dr. Andoh will deliver a talk entitled "Innovations in the Water and Wastewater Industry: Mega Shifts, Trends and the Need for Paradigm Shifts." He will discuss challenges to achieving sustainable development in an increasingly urbanizing world.

"Conventional approaches and solutions may no longer be relevant: Paradigm shifts are required to meet the demands of the 21st Century and beyond," Andoh said. "Without innovation and changes in current paradigms, some of the looming local and global-scale challenges appear insurmountable."

WWEMA is a non-profit trade organization founded in 1908 to represent the interests of companies that manufacture products sold to the potable water and wastewater treatment industries. The Nov. 8-10 conference is the group's 99th annual meeting.

Andoh has more than 25 years of experience in the water industry. He has authored and presented a significant volume of technical papers relating to urban flooding, collection systems and wastewater treatment processes. He has contributed extensively, on both a national and international basis, at communication events in the field of urban water management. He has lectured at a number of post-graduate institutions, and currently serves as a visiting professor of Liverpool's John Moores University and as a member of the Technical Advisory Board for the University of New Hampshire Stormwater Center.

Andoh also has played active roles in a wide variety of corporate and civic initiatives such as involvement on policy issues through chairing the Skills and Innovation Task Force of the UK Water Sector Advisory Group, conducting innovative industry research into the use of computational fluid dynamics; and participating in a decade-long management turnaround at Hydro that has resulted in a six-fold revenue increase and a return to steady profitability. He is the inaugural winner of the "Outstanding Individual" category of the IWEX Awards in recognition of his contributions to the water industry.

About WWEMA
The Water and Wastewater Equipment Manufacturers Association has safeguarded and promoted the interests of its members since 1908. Headquartered in the nation's capital, WWEMA works closely with Congress and other regulatory agencies, providing leadership on issues affecting the future of companies, large, medium and small, throughout the water and wastewater industry. The organization monitors legislative actions, testify before congressional committees, and advocate adequate funding to meet environmental goals, serving as a vital link between its members and governmental and private trade organizations, banking systems and utilities worldwide."

[rivaldo] 26/10/2007 16:19

Could be gac100, they raised another £100m in September. Another 25k sell just gone through at well above the bid (216.5p), but the price is solid as a rock (touch wood!).

[gac100] 26/10/2007 14:56

Have Impax got money to spend yet? And will they be buying more HYD?

[rivaldo] 26/10/2007 14:11

:o))

Definitely something up here. I can only buy 1k online - at the full offer - but I can sell plenty at 217p. The two large sells of 57k shares today haven't budged the price at all. Very promising.

[philjeans] 25/10/2007 09:47

Warming up on the bench; another dash for stardom beckons.......

[greek islander] 25/10/2007 09:24

Riv

Just going to ask the same question.