Ig Design Share Discussion Threads

[battlebus2] 13/4/2015 16:04

Pleased to say i've bought back into these, IGR has been long a favourite of mine so great to see the familiar names still holding. Time seems right for another forward advance :))

[aleman] 13/4/2015 15:26

27%. Net debt was £37m last year and is forecasted to be £36m this time. (I'm hopeful it will be lower as receivables can't keep rising like they did in H1.) They should rerate anyway, even if debt only falls slowly or is flat, because EBITDA/debt is also falling because the EBITDA bit is rising.

The window to buy sub 80p looks to be closing today..

[psolomons] 13/4/2015 14:39

Thnks t2r. £10M would pay off nearly 20% of the debt in one go. That would prompt a serious re rate !

[time 2 retire] 13/4/2015 14:37

I would hope so ps, we bought the place i think in circa 2002 for around about £6.5 million so you'd think the land would be worth in excess of £10 million these days. The next phase of planning is due by next thursday so i'll post anything i hear on here...

[psolomons] 13/4/2015 14:17

I assume the old Hirwaun site will be sold for many millions to the power company which is taking it over.
hxxp://www.hirwaunpower.co.uk/the-project/
A substantial amount of the money raised could pay down debt. Excellent news coming I suspect.

[daz] 10/4/2015 15:04

Yes, I thought so too, I particularly liked the comment on debt coming down quickly, which if true will guarantee outperformance in my view.

Thanks for posting the link DB.

[time 2 retire] 10/4/2015 14:41

Thank you Daz, a very nice read.

[daz] 10/4/2015 14:34

T2R - here's the text, I don't think Trustnet will mind me posting the snippet. BTW the link works for me, the article is on Page 2.

Another small holding which Williams has increased his exposure to recently is International Greetings, a wrapping paper business based in Bedfordshire with several international subsidiaries.

“It’s one of the top three wrapping paper businesses in the world,” he explained. “It’s got a £44m market cap so it’s quite small, yet it does a £220m turnover. When you look under the bonnet, my goodness, it’s actually quite a big business.”

“It’s been racking up serious amounts of capex over the last two years. It’s built two new major printing plants: one in Holland, one in the UK. They’ve got one in the states as well.”

“The debt has gone up for this reason, but it’s now going to get the cash payback. It’s more productive than most of its competitors, so I think debt will fall very hard in the next two years and, as it does so, it will move onto the dividend list.”

Williams and Turner are particularly bullish on small companies which they believe, over time, will provide both growth and income.

“We look forward about 18 months to two years when making investment decisions – beyond that it’s hard to know,” Williams said.

“If you look back over the last two years, we’ve had all sorts of excitement. We’ve had elections, we’ve had QE arrive in Europe. You can’t always predict what’s going to happen.”

[time 2 retire] 10/4/2015 14:19

Am I missing something davebowler/Aleman?

I can't find any mention of IGR in Gervais Williams article.

[aleman] 10/4/2015 13:48

Thanks, db.

Up again. Last chance to buy under 80p?

[davebowler] 10/4/2015 11:28

hxxp://www.trustnet.com/News/593465/the-unknown-micro-caps-gervais-williams-is-tipping-to-surge/2/1/

[psolomons] 08/4/2015 08:50

Thank you for moving the price yesterday Jeff ;)

[jeff h] 07/4/2015 17:23

Less stock = more cash.

Surplus property disposal = more cash.

Might have timed my 5k top-up well depending on the Trading Update.

[lord gnome] 07/4/2015 16:01

Glad to learn that t2r. You seem to be well-connected with the company.
A token final divi would be a good sign that things are on course.

[time 2 retire] 07/4/2015 15:22

IGR had their year end stock take last week and we're set for better than expected figures with less running costs achieved for 14/15. A few coffers left in the war chest.

We should get a year end trading statement in the next fortnight plus an announcement on Hirwaun is expected by 23rd of this month (due to be sold for a power station development).

t 2 r

[aleman] 07/4/2015 14:42

There is a significant fall in debt expected in 2015/16 but I fancy we could see a better than forecasted H2 2014/15 after a large run up in receivables in H1 slowed the reduction. Fingers crossed.



Either way, I'm hoping the better debt outlook, prospect of 11p earnings and a dividend will see us nearer £1 than 80p after the results. I think were in that period where the view will change from being in recovery to being recovered and back on the growth track.

[daz] 07/4/2015 14:09

I think the rating reflects concerns about the level of debt rather than potential earnings, so any further news in that direction will be well received. As the trading statement said the focus is on turning profits to cash, so I'm also expecting a little run up to results.

[aleman] 07/4/2015 13:53

With 9p+ of earnings set for last year after an in-line update, and nearly 11p forecasted for 2015/16. I think we should see these run up a little to the results on July 2nd.

[time 2 retire] 10/2/2015 13:01

New Smurfs licence for IG...

hxxp://www.licensing.biz/news/read/rocket-licensing-appointed-exclusive-uk-and-eire-agent-for-the-smurfs/041534

[daz] 28/1/2015 11:56

Thanks for that Martin, I don't think that had been posted when I logged in. The £6m expected fall in debt next year is very welcome, that alone should add £6m to the market cap, if the company is being valued on enterprise value (mkt cap + debt).
With earnings also set to increase and the insolvency risk declining, it's all set up for a few years of out performance.

[shanklin] 28/1/2015 11:45

Hi Daz

Edison's note today includes:

"By the end of FY16 our model indicates net debt of £30m, 1.7x forecast EBITDA, below the 2.0x target level that management has indicated is needed to consider paying a dividend."

Very interesting comment about the interest rate declining as the debt is paid down.

Cheers, Martin

[daz] 28/1/2015 10:11

Martin,

You're question caught me on the way to work. Edison go for year end net debt of £36m, which they say is close to the 2* leverage level. There is no forecast for 2015/2016 but I would guess at least 2/3 million less than that.

The company said to me in the past at a previous AGM, that they would pay a lower level of interest as debt reduced, although they didn't go on to say how much but that is a very sound business reason for getting debt down as well.

[pugugly] 28/1/2015 09:21

LG & t22. Thanks for thoughts and information - Agreed IF all goes to plan then yes could and should see re-rating but a significant amount of the upside already built in to the share price

The reintroduction of the dividend would (imo) as Lord G comments be a major catalyst.

[time 2 retire] 28/1/2015 09:15

I've just changed it, try this one

hxxp://www.novaloca.com/industrial-unit/for-sale/bargoed/pengam-road/101235?search=true