Kin And Carta Share Discussion Threads

[she-ra] 15/3/2019 09:07

waveneygnome - So no company should ever take over any other company.

Yes your rant makes sense now.

[waveneygnome] 15/3/2019 07:52

The strategy is wrong.......was wrong from the start: you can't build a business buying up lots of little players. They have paid over the odds for buying the little players. The original owners (who built the businesses up from nothing and worked long hours, shed blood sweat and tears to do it) are not now going to work as hard, sweat as much, pull an all nighter.....as they have sold out at a cracking price.....and now have no skin in the game. In addition....SIV (pre K&C) sold off the original assets too cheap (compared to the ones they were buying): sold of legacy businesses at 2 or 3 or 4 times earnings............bought new businesses at 10, 15, 20 times earnings.

May I remaind shareholders....the legacy businesses were sold off as they were deemed to have low/no growth prospects, yet they were all still profitable (agreed some more than others). Here we are 3 years later with........no growth....just a bunch of overpriced vaguely media related businesses....little cross over/synergy/cross selling.

Sorry rant over.

[she-ra] 14/3/2019 12:16

Probably a target for a bigger player now such as Accenture or WPP.

I think it is now vulnerable to a predator. I don't think we will see this company grow revenues to $1 billion as a listed company now; it will fall prey to bigger players. I wonder if S4 Capital are running the slide rule over this.

[salchow] 14/3/2019 09:55

Well you should only hold this share if you want to back the management. As I said in my post of 15.02.19 I am prepared to give them 3 years. Otherwise you should sell and move on. There are shorts around so maybe it could go lower.

[albert zog] 14/3/2019 09:51

US has shown healthy growth in H1; UK has fallen materially. All in the accounts today. UK is 55% of the group, as it stands. Near term prospects here very bleak indeed

[edmundshaw] 14/3/2019 09:40

Opened offices in NY and Chicago. Seems more jam tomorrow though at the moment... this year is "in line" with mgt expectations - whatever they are - and who knows about next year...

[bookbroker] 14/3/2019 09:38

Where is the growth from the US side, they bought Solstice, and I am not sure what the contribution has been, this is a very UK centric business still, unless I am mistaken!

[salchow] 15/2/2019 08:16

I made a lot of money on the old St Ives print business some years ago buying low simply for the dividend but then being able to sell unexpectedly high. Thereafter, I watched it collapse and thought about buying back at below 50p but didn't. Eventually having read about the people now involved I bought back in around 90p on the opinion that it could become an incredibly exciting story! I shall no doubt find out if I am right in about 3 years time but at the moment remain confident.

[edmundshaw] 14/2/2019 12:31

Yes, wait and see time still, for me. We'll have a better idea of the alcoholic content of the pudding in the eating of it... so to speak. I retain a reduced holding.

[bookbroker] 14/2/2019 10:13

I may be sceptical, but have heard him speak, and he seems to know where he wants the business to be positioned, away from low margin, better quality earnings and totally digital, so at least he is being progressive. I think the company will rate higher when we see the fruits of his progress, most probably twelve months down the line, on the basis the global economy does not go pear-shaped!

[miti 1000] 14/2/2019 10:02

bookbroker, edmundshaw ,

I think the net debt figure is fine. Tab had a loan note of 6.8 million which was exercisable after January so the net debt is in line with forecasts imo.

There remains a final 2 million liability for y/e 2020 and that's it. TAB and Solstice have turned SIV around that is very good news going forward .

I think with the transformation of the balance sheet and with profits going forward of around £20 million plus , the future is looking very good.

I also think KCT will do a US accretive acquisition(approx £50million) in early 2020 and I expect the market will look very favourably on that.

J Schwan and his team are doing a good job imo.

[edmundshaw] 14/2/2019 09:13

Thanks. That accounts for a debt rise of 16.5m, whereas net debt actually rose 14.2. And there is £2m earmarked for IT improvements which might have flowed out(?). So it seems there is underlying positive cashflow. The aim was debt/ebitda under 1x for 2020, so I guess that is easily doable now. Though there is £2m more to go on DAB...

A bit of explanation in these statements might help!

[bookbroker] 14/2/2019 08:57

See the end of year results regarding legacy payments to acquisitions!

[edmundshaw] 14/2/2019 08:41

The TAB payment??

[bookbroker] 14/2/2019 07:49

Miti - in line with last year, no growth!

[bookbroker] 14/2/2019 07:49

Miti - in line with last year, no growth!

[bookbroker] 14/2/2019 07:48

Looks like the TAB payment subsequent to previous year end driven up net debt! Maybe!

[miti 1000] 14/2/2019 07:47

That is not a poor statement...what on earth are you talking about ?

[bookbroker] 14/2/2019 07:42

Poor statement, net debt rising again, sale of warehouse positive as held on books for a few million less when last referred to, but is Schwan up to the job!

[bookbroker] 08/2/2019 15:30

Time we had a trading statement, that’s if J.Schwan still in the land of the living, he is good at promoting his business interests, so let’s have some news!

[miti 1000] 29/11/2018 18:10

Worth listening to the new ceo. FY2019 presentation.

[bookbroker] 20/11/2018 08:47

Digital media play, the way forward, Amazon a client bodes well!

[irenekent] 20/11/2018 08:42

Would this be a target for Sorrel's new venture?

[bookbroker] 26/10/2018 11:48

Nice timing by non-execs in share purchases, ok narrow window, but the fall here is ridiculous, above poster too bearish, worth reading but why slate the company for reducing risk by selling low margin businesses which are non-core. Past disappointment should be seen as a result of changing face of direct media!