John Laing Share Discussion Threads

[huntie2] 20/9/2017 15:47

this share does NOT want to go up at the moment...!

[jonwig] 30/8/2017 06:00

Citywire, today:

Berenberg has upped its target price on John Laing (JLG) after last week’s half-year results from the infrastructure group.

Analyst Olivia Peters raised her target price to 350p from 340p and retained her ‘buy’ rating on the shares, which fell 3.3% to 294.3p yesterday.

She said the results showed the group was ‘well placed’ to meet full-year targets despite the impact of writing down its Manchester waste contract, adding that the shares appeared cheaper than those of peers.

‘John Laing is trading at a 6.4% premium to NAV, while listed infrastructure peers are trading at a 1% average premium and real estate peers at a 10% average premium,’ she said.

‘We believe that the stock is trading at an unjustified discount to its peers. We see scope for a re-rating supported by low bond yields and continued delivery on targeted investments and disposals.’

[topvest] 25/8/2017 12:38

It's a good company this. Happy to hold and possibly add more if opportunities arise.

[jonwig] 24/8/2017 15:07

Lol - it's exactly the 7p I mentioned earlier. Took them a while to work it out!

[jonwig] 24/8/2017 14:21

Peel Hunt reiterates BUY but reduces target from 384p to 377p.

[steeplejack] 24/8/2017 10:47

A pleasantly 'sober' market reaction to today's news.Stripping out the 'funnies',FX and write downs,it all looks very sound.

[jonwig] 24/8/2017 08:10

So the profit reduction is partly MWPs and the rest is forex, which I missed:

Britain’s long suffering taxpayers and commuters, if asked what they wanted this week, would probably have said: “Infrastructure”. And when do they want it? “Now!”. And how do they want it paid for? “Er, ideally through some form of arrangement where the private sector takes all the risk and we don’t have to pay anything.”

In today’s half-year results, infrastructure group John Laing suggested that demands like these remain strong - in all parts of the world.

Chief executive Olivier Brousse said the group would “continue to see strong opportunities for attractive growth in our business by scaling up our model in our three core regions: North America, Asia Pacific and Europe." He noted that, in the second half, “our teams continue to bring forward a steady stream of new investments, while the asset management teams are actively managing projects through the construction phase.”

John Laing reported growth in its half year net asset value, after taking into account the reduction in value on its two Manchester waste investments. And its disposals of projects are on track to meet full-year targets.

But statutory profit before tax fell sharply, from £108m to £37m, primarily because of that reduction in value on its Manchester waste investments - of £25m - and last year’s boost from foreign exchange - worth £49m - as a result of the EU referendum.

Laing’s investment portfolio was valued at £1.1bn at the half-year stage. After adjusting for realisations, cash yield and new investments made in the period, that was an increase of £53m, or 5 per cent. However, in absolute terms, the portfolio reduced by £57m reflecting the realisations completed in the first half.

[FT Opening Quote, by email.]

[felix99] 24/8/2017 07:37

ah ok thanks

[steeplejack] 24/8/2017 06:49

Our NAV increased from GBP1,016.8 million at 31 December 2016 to GBP1,040.4 million at 30 June 2017. This represents growth of 2.3% and is net of a GBP25.5 million reduction in the value of the Group's two Manchester Waste investments. After adding back last year's final dividend of GBP23.1 million paid in May 2017, growth in NAV was 4.6%. In line with our dividend policy, we are declaring an interim dividend for 2017 of 1.91p per share, a 3.2% increase versus 2016.Net of write down

[felix99] 24/8/2017 06:46

is the write down to come from Manchester included in the NAV calc or not - I think perhaps not. Can't see any mention other than to say the effect compared to the 30 June valuation of Manchester so one assumes not? So is adjusted less your per share figure ?

Either way Premium to NAV looks a little heady but who knows how Mr Market views it all

[jonwig] 24/8/2017 06:28

I'm pleased they've apparently sorted the MWPs, at a £25.5m hit: about 7p/sh of NAV. If they'd pursued the contract in the courts, it would have been a pyrrhic victory at best.

Even that impact doesn't explain the big drop in eps. I'll find it eventually.

[skinny] 24/8/2017 06:14

John Laing Group plc (John Laing or the Company or the Group) announces its unaudited results for the six months ended 30 June 2017.

Highlights

· Net asset value (NAV) of £1,040.4 million at 30 June 2017

- 2.3% increase since 31 December 2016

- 4.6% increase including dividend paid in May 2017

· NAV per share at 30 June 2017 of 284p (31 December 2016 - 277p)1

· £111.3 million in investment commitments (six months ended 30 June 2016 - £76.0 million)2

· Realisations of £151.3 million from the sale of investments in project companies (six months ended 30 June 2016 - £57.7 million)

· Profit before tax of £36.6 million (six months ended 30 June 2016 - £108.3 million) and earnings per share (EPS) of 10.2p (six months ended 30 June 2016 - 29.1p)3

· 7.4% increase in external Assets under Management to £1,582 million4 since 31 December 2016

· Interim dividend of 1.91p per share payable in October 2017 (six months ended 30 June 2016 - 1.85p per share)

· New Royal Adelaide Hospital operational; agreement reached on Manchester Waste

· Strong pipeline, including 11 shortlisted PPP positions

· 2017 guidance for investment commitments and realisations maintained



Olivier Brousse, John Laing's Chief Executive Officer, commented:

"It has been an active year so far and I am pleased to report growth in NAV, after taking into account the reduction in value on our two Manchester Waste investments. We have made good progress on investment commitments and disposals and are on track to achieve our full year guidance on both fronts. As regards our portfolio, the New Royal Adelaide Hospital reached a key milestone with its commercial acceptance by the Government of South Australia in June, and our team was instrumental in getting to this stage. Looking to the second half and beyond, our teams continue to bring forward a steady stream of new investments, while the asset management teams are actively managing projects through the construction phase. We continue to see strong opportunities for attractive growth in our business by scaling up our model in our three core regions: North America, Asia Pacific and Europe."

Notes:
(1) Calculated as NAV at 30 June 2017 of £1,040.4 million (31 December 2016 - £1,016.8 million) divided by number of shares in issue at 30 June 2017 of 366.96 million (31 December 2016 - 366.92 million)
(2) Based on new investment commitments secured in the six months ended 30 June 2017; for further details see the Primary Investment section of the Business Review
(3) Basic EPS; see note 7 to the Condensed Group Financial Statements
(4) Based on published portfolio values of JLIF and JLEN at 31 March 2017
A presentation for analysts and investors will be held at 9:00am (London time) today at The Lincoln Centre, 18 Lincoln's Inn Fields, London WC2A 3ED. A webcast of the presentation and a conference call facility will be accessible using the details below.

[jonwig] 28/7/2017 07:42

The NAV is a key metric, and was 277p at 31/12. A 12% premium is already up with safer infra funds. I'd find 350p hard to justify.

[igoe104] 28/7/2017 06:44

Hopefully JLG, is breaking out, and will be visiting £3.50 by the year end.

[igoe104] 13/7/2017 10:54

Tipped here.

[jonwig] 12/7/2017 19:21

Thanks. Texas is pretty windy and wind energy now forms over 20% of generation, at the expense of coal. They're also looking at developing a national grid with a texas hub.
(Wind 1, Trump 0.)

[igoe104] 12/7/2017 06:38

UK's John Laing enters Texas wind sector with 100MW Buckthorn

UK-based infrastructure group John Laing will enter the Texas wind sector by acquiring a 90.5% stake in the 100MW Buckthorn wind farm.
The project is John Laing’s first in the renewable energy sector in Texas, and its second US wind investment.
Buckthorn will use 26 Vestas V126-3.45MW turbines with an 87-metre hub height and three V117-3.6MW turbines with a 91.5-metre hub height.
The project is expected to become operational in the fourth quarter of 2017

[jonwig] 30/6/2017 06:16

Pre-close update:



Looks generally satisfactory. The Royal Adelaide Hospital might have been a problem but has been transferred to the secondary portfolio and could well be disposed of before long.

The Manchester Waste projects are still in ongoing talks, and the company remains tight-lipped. I wouldn't be surprised if it was further written-down.

The pension deficit has fallen quite steeply, and could become a distant memory with rising interest rates.

H1 results on 24 August.

[igoe104] 28/6/2017 14:53

John Laing Group PLC (JLG) Receives GBX 341.80 Average Price Target from Analysts.

[igoe104] 15/6/2017 07:04

New highs now, hopefully kick on now.

[robbiereliable] 24/5/2017 13:53

Damn had my account set to auto reinvest! Okay for this share, but would rather have had the cash on a few others

[chilly_ho] 22/5/2017 14:16

Ah..Barclay's marketmaster says I need to wait upto 6 working days before it clears, jeez..

[chilly_ho] 22/5/2017 14:11

Thanks Skinny. I haven't received mine yet so just trying to figure out why!