Lambert Howarth Share Discussion Threads

[skyship] 02/7/2003 09:35

No, but as yet the volume is pretty non-existent. MMs won't want to be caught short just in case a placing of the Arora brothers' stake is confirmed. Whatever, if the price closes in the 190s today, then pretty basic chart analysis would indicate a good run ahead.

[jmichell] 02/7/2003 09:07

Good to see it moving up. Anyone know why?

[skyship] 27/6/2003 15:37

The vendors of the Orient Division - the two Arora brothers - still each own c.625,000 shares, ie a combined 1.25m shares (5.2%). This stock overhang continues to anchor LMBT, which would otherwise be well north of 200p, most likely in the 225p-250p range.

Hopefully sometime soon the Company will be able to place that stock, then the long awaited breakout can commence......

[wirralowl] 11/3/2003 10:02

Agree, Skyship - great results and an increased dividend (which the cover could easily accomodate) would attract more 'income' investors and assist the share price in turn. You only have to look at MRX today for evidence of this; EPS growth of just 6%, relatively high PE of 9+, but a maintained dividend of 8.4% and the shares go up 8%.

[skyship] 11/3/2003 09:48

Earnings + 18%
Dividend + 12.5%
Gearing down from 32% to 7%
Cashflow 36.2% of Mkt Cap
Cash @ Bank: £5.7m
Shareholder Funds up to 192p / share
PER pre-exceptionals: 6.3 @ 185p

Great set of figures & for the chairman to state cautious optimism almost halfway through the first half year, we are obviously looking at continuing growth; so why be so parsimonious with the dividend?

With interest rates and gearing so low, the company should be thanking shareholders with a far higher distribution. There is no justifiable reason for maintaining 3.3 cover to the dividend.

Won't be selling, but shall certainly be stating my views to the Company.

[skyship] 11/3/2003 00:55

I agree with your comment re the dividend. They were overly cautious at the Interim, so if the business is continuing in good vein they should restore the 11p final, making a total of 14p for a 7.7% yield @ 182p.

A generous, or perhaps I should say a FAIR dividend policy, is one of the very few ways to build up a shareholder following in these bleak market days.

[049balt] 04/3/2003 14:40

Iam glad that i am not the only one interested in lmbt. from what I hear the results will be good, and hopefully move the share price to where it should be. also hope for an increase in the divi.

[skyship] 04/3/2003 13:55

Finals will be announced a week today - Tues. 11th March. After the encouraging Interims, it could well be that the fundamentals will bear out the excellent chart.

[049balt] 11/1/2003 15:13

reported on t1ps.com yesderday that trading has been "incredible", espically at m&s, hope you are wrong cr.

[cockneyrebel] 11/1/2003 13:10

More likely to be a city ramp to allow big investors to get out higher imo.

Clothing and shoes haven't had a good Christmas, the most important period.

Also some vry big sells late yesterday at a discount to the bid. It wouldn't surprise me if there's a big holder trying to dump more and the rumour mongers are out and about trying to get the price up to allow them out at a good level.

CR

[049balt] 11/1/2003 11:58

reports of fantastic trading for lmbt. profits are likely exceed forecasts.

[wirralowl] 28/8/2002 09:11

Interim Results on first glance look good. Marked up 5% odd - so market likes them too :


RNS Number:4341A
Lambert Howarth Group PLC
28 August 2002


28 August 2002


Lambert Howarth Group p.l.c.

Interim Results


Highlights

* Turnover on continuing operations increased by 8.7% to #64.7m (2001:
#59.5m)

* Profit before tax, goodwill and exceptional items increased by 50% to
#3.4m (2001: #2.2m) reflecting the cost reductions instigated last year

* Earnings per share before goodwill and exceptional items increased by
46% to 9.8p (2001: 6.7p)

* Successful integration of Natural Selection International SA into the
Orient division

* Strong pipeline of products and ranges in all three divisions


Commenting on the results, Fred Vinton, Chairman, said:

"Trading conditions during the first half year have been more favourable and
combined with our decision to focus solely on our core areas of footwear,
accessories and homeware, we have been able to significantly increase our
turnover and profitability.

Each of our three business divisions have strong new products and attractive
ranges. In order to remain competitive, operational efficiency continues to be a
priority and we are confident of making further progress during the second
half."

For further information:

Lambert Howarth Group p.l.c 020 7258 9988
Garry Hogarth, Chief Executive
John Gibson, Group Finance Director

Financial Dynamics 020 7831 3113
Charlie Armitstead


LAMBERT HOWARTH GROUP p.l.c

Chairman's Statement

The results for the first half year ended 30 June 2002 reflect the benefits of
our decision last year to focus solely on our main areas of activity, footwear,
accessories and homeware, and a more buoyant retail market place.

Turnover on continuing operations at #64.7 million was #5.2 million higher than
for the comparable period last year as a result of the stronger demand for our
products. Operating profit on continuing activities, before goodwill, was #3.8
million, an increase of 41% over last year.

Profit on ordinary activities before tax, goodwill and exceptional items
increased by 50% to #3.4 million from #2.2 million in 2001, which reflects the
benefits of the cost reductions instigated last year.

Earnings per share at 9.8p calculated before goodwill and exceptional items
increased by 46% from 6.7p last year.

Your board has declared an interim dividend prudently maintained at 3.0p. The
dividend will be paid on 6 December 2002 to shareholders on the register at the
close of business on 15 November 2002.


Operations

Trading conditions during the first half year have been more favourable in
consumer markets. Market competition is acute however and margin pressure is
ever present. We continue to focus on increasing the efficiency of our
operations to assure our competitiveness.


Marks & Spencer division

The division has achieved increased sales in both its footwear and accessory
businesses in the first half year compared with the corresponding period last
year. Demand for our products has been high, particularly ladies footwear, with
the ranges we have created proving to be especially attractive to the customer.

Our business priority with Marks & Spencer is to offer improved products, a
faster market response and at a lower cost, on which our resources and
management are directed to meet our customer's expectations.


Brands division

Our Brands division enjoyed a successful launch of its products in Spring with
strong interest shown in both the French Connection and Lulu Guinness ranges of
shoes. Each of the brands has a strong following in its own premium fashion
market and the ranges are now available in the stores for the Autumn season.

We are currently developing new products and ranges for 2003 when we will
benefit from supplying the market over a full year.


Orient division

Our Orient division with its new Spanish subsidiary achieved increased sales
over the corresponding period last year. The range has been expanded into
nursery textiles and bedding and early indications are that the products have
been well received.

We have experienced pressure on margins with keen competition. Our strategy is
to offer products that are differentiated from our competitors and we have
invested in strengthening our design capability.

We have successfully integrated our new Spanish company, Natural Selection,
which we acquired in December 2001 into our management structure and the
business is exceeding our expectations. The introduction of new products and an
extension of the ranges is expected to increase our future sales opportunities
and growth prospects.


Board

We are delighted to welcome Bobby Arora to the board, as announced on 10 May
2002. Bobby who with Simon Arora established Orient as a successful homeware
business is now engaged with his brother in further building the operation as
part of our group.


Stockbrokers

The board has decided it is timely to engage new stockbrokers who will assist us
in the next stage of the group's development and Collins Stewart has been
appointed to replace Cazenove & Co. in this role.


Outlook

I believe there are opportunities for the group to build on the half year
performance and the board is confident of achieving further progress for the
remainder of 2002.


Alfred M Vinton
Chairman

28 August 2002



Lambert Howarth Group p.l.c
Group Profit and Loss Account
for the six months to 30 June 2002

Unaudited Unaudited Audited
Half Year Half Year Year
30 June 30 June 31 December
2002 2001 2001
Notes #'000 #'000 #'000

Turnover (including share of joint ventures)
Continuing operations 64,666 59,481 130,618
Discontinued operations 447 6,776 22,807



Less share of turnover of joint ventures (896) (692) (1,512)

_________ __________ ____________
Turnover 2 64,217 65,565 151,913
_________ __________ ____________

Operating profit
Continuing operations before goodwill 3,770 2,679 9,285
amortisation
Goodwill amortisation (1,748) (1,828) (3,440)

_________ __________ ____________
Continuing operations 2,022 851 5,845

Discontinued operations 61 214 58

_________ __________ ____________
Operating profit 2 2,083 1,065 5,903


Share of operating profit in joint ventures 41 6 119


_________ __________ ____________
Total operating profit: group and share of 2,124 1,071 6,022
joint ventures

Profit on disposal of surplus properties 3 99 830 851

Cost of termination of discontinued operations 3 58 (6,446) (8,559)

Interest receivable 79 101 179

Amounts written off investments - - (106)

Interest payable (586) (763) (1,523)


_________ __________ ____________
Profit/(loss) on ordinary activities before
taxation

- before goodwill 3,522 2,114 5,797


- goodwill amortisation (1,748) (1,828) (3,440)

- goodwill write-off on discontinuance - (5,493) (5,493)
of businesses

_________ __________ ____________
Profit/(loss) or ordinary activities before 1,774 (5,207) (3,136)
taxation

Tax on profit/(loss) on ordinary activities 4 (1,127) (571) (1,626)


_________ __________ ____________
Profit/(loss) for the financial period 647 (5,778) (4,762)


Dividends 5 (734) (681) (1,816)


_________ __________ ____________
Retained loss (87) (6,459) (6,578)

_________ __________ ____________

Earnings/(loss) per share (pence)
Basic 6 2.8 (25.5) (21.0)

Goodwill amortisation and write-off 7.6 32.3 39.4

Exceptional items (including amounts written (0.6) (0.1) 6.6
off investments)
_________ __________ ____________
Basic before goodwill amortisation and
write-off and exceptional items 9.8 6.7 25.0


_________ __________ ____________
Diluted 6 2.8 (24.7) (19.4)

_________ __________ ____________


Lambert Howarth Group p.l.c
Group Balance Sheet
as at 30 June 2002
Unaudited Unaudited Audited
Half Year Half Year Year
30 June 30 June 31 December
2002 2001 2001
Notes #'000 #'000 #'000

Fixed assets
Intangible Assets 28,041 32,992 29,791
Tangible Assets 9,552 11,386 10,810
Investments 352 335 302

_________ __________ ____________
37,945 44,713 40,903
_________ __________ ____________


Stocks 29,431 27,075 22,921
Debtors 12,137 13,260 13,326
Cash at bank and in hand 2,814 3,395 3,915

Bank overdrafts (8,262) (82) (2,377)

Creditors falling due within one year 7 (22,971) (27,457) (23,592)
_________ __________ ____________
Net current assets 13,149 16,191 14,193
_________ __________ ____________

Total assets less current liabilities 51,094 60,904 55,096

Creditors falling due after more than one 7 (5,355) (14,348) (9,182)
year
Provisions for liabilities and charges (168) (171) (168)

_________ __________ ____________
Net assets 45,571 46,385 45,746
_________ __________ ____________




Capital and reserves
Share capital 9 2,448 2,269 2,269
Deferred shares - 2,500 2,500
Contingent shares 250 750 250
Share premium 498 685 685
Merger and other reserves 22,545 20,224 20,224
Profit and loss account 19,830 19,957 19,818
_________ __________ ____________
Equity shareholders' funds 8 45,571 46,385 45,746
_________ __________ ____________


Lambert Howarth Group p.l.c
Group Cash Flow
for the six months to 30 June 2002

Unaudited Unaudited Audited
Half Year Half Year Year
30 June 30 June 31 December
2002 2001 2001
#'000 #'000 #'000

Net cash (outflow)/inflow from operating (1,693) 323 7,163
activities

Returns on investments and servicing of finance
Interest received 79 101 179
Interest paid (731) (220) (1,549)
___________ _____________ _____________


(652) (119) (1,370)

Taxation (1,319) (1,488) (4,410)


Capital expenditure and financial investment 965 2,070 1,817


Acquisitions and disposals
Investment in associate - (113) -

Purchase of subsidiary undertakings - (447) (1,611)

Net cash required with subsidiary undertaking - - 223

Disposal of subsidiary undertakings - 1,100 1,420
___________ _____________ _____________


- 540 32

Equity dividends paid (1,135) (2,493) (3,174)


___________ _____________ _____________
Net cash (outflow)/inflow before financing (3,834) (1,167 ) 58


Financing

Issue of ordinary share capital 4 56 56

Expenses of share issue (156) - -

Loan note deposit made (3,000) (3,000) (6,000)
___________ _____________ _____________



(3,152) (2,944) (5,944)
___________ _____________ _____________
Decrease in cash in the period (6,986) (4,111) (5,886)

___________ _____________ _____________


Reconciliation of net cash outflow to movement
in net debt

Decrease in cash in the period (6,986) (4,111) (5,886)

Loan note deposit made 3,000 3,000 6,000

Contingent consideration for acquisition - - 1,000
___________ _____________ _____________

Movement in net debt in the period (3,986) (1,111) 1,114

Net debt at the beginning of the period (14,512) (15,626) (15,626)
___________ _____________ _____________

Net debt at the end of the period (18,498) (16,737) (14,512)
___________ _____________ _____________


Analysis of group net debt
Cash at bank
2,814 3,395 3,915
Bank overdrafts
(8,262) (82) (2,377)
Loan notes
(11,800) (17,800) (14,800)
Contingent consideration
(1,250) (2,250) (1,250)
___________ _____________ _____________
Net debt
(18,498) (16,737) (14,512)
___________ _____________ _____________


Reconciliation of operating profit to net cash
(outflow)/inflow from operating activities
Operating profit
2,083 1,065 5,903
Amortisation of goodwill
1,748 1,828 3,440
Depreciation charges
389 416 1,022
Loss on disposal of fixed asset
7 47 45
Deferred income - grants
(40) (44) (95)
Movement in stocks
(6,510) (6,190) (2,132)
Movement in debtors
1,189 556 705
Movement in creditors
(501) 2,645 (661)
Exceptional items
(58) - (1,064)
___________ _____________ _____________
Net cash (outflow)/inflow from operating
activities (1,693) 323 7,163

___________ _____________ _____________


LAMBERT HOWARTH GROUP p.l.c.

NOTES TO THE INTERIM REPORT

1) Basis of preparation

The interim financial information for the six months ended 30 June 2002 has
not been audited and does not constitute statutory accounts within the
meaning of Section 240 of the Companies Act 1985. It has been prepared on
the basis of the accounting policies set out in the Group's 2001 statutory
accounts as modified by the introduction of FRS 19 Deferred tax.

The financial information relating to the year ended 31 December 2001 is
abridged from the Group's published accounts for that period which have
been filed with the Registrar of Companies and on which the company's
auditors gave an unqualified report under Section 235 of the Companies Act
1985 which did not contain a statement under Section 237(2) or (3) of the
Act.

The interim report for the six months to 30 June 2001 was published on 29
August 2001 and the accounts for the year to 31 December 2001 were
published on 12 March 2002.

2) Class of business analysis

The group is engaged in design, resourcing and distribution of consumer
products to major retailers. In reporting our activities, the directors
consider that the business constitutes a single class.

3) Exceptional items

(a) Profit on disposal of surplus properties

A surplus property has been disposed of during the period generating
an exceptional profit on disposal of #99,000.

The anticipated tax payable on this exceptional item is #nil.

(b) Cost of termination of discontinued operations

A reassessment of closure provisions during the period to 30 June 2002
has resulted in a release of #58,000 of provisions established in
2001.

The anticipated tax payable on this exceptional item is #17,000.

4) Taxation

Taxation for the half year to 30 June 2002 has been provided at the average
rate estimated to be applicable for the full year of 32%.

5) Dividends

An interim dividend of 3.0p per share (2001: 3.0p) which will absorb
#734,493 (2001: #680,815) has been declared and will be paid on 6 December
2002 to members on the register at the close of business on 15 November
2002.

6) Earnings per share

The earnings per share has been calculated by dividing the profit for the
period by the average number of shares in issue during the period of
22,822,928 shares (2001: 22,690,830 shares).

For diluted earnings per share, the weighted average number of ordinary
shares in issue is adjusted to assume conversion of all dilutive potential
ordinary shares. The group has only one category of dilutive potential
ordinary shares: those share options granted to employees where the
exercise price is less than the average market price of the company's
ordinary shares during the period.

7) Creditors

Creditors falling due within one year include loan notes #6.8million (June
2001: #6million, December 2001: #6.8million)

Creditors falling due after more than one year include loan notes #5million
(June 2001: #11.8million, December 2001: #8million)

8) Reconciliation of movements in equity shareholders' funds


#'000
Profit for the period
647
Dividends (734)
New shares issued including share premium
4
Expenses of share issue charged to share premium account (192)
Exchange difference arising on consolidation
100
________

Net movement in equity shareholders' funds (175)


Equity shareholders' funds at 1 January 2002 45,746
________


Equity shareholders' funds at 30 June 2002 45,571
________

9) Issue of shares

On 18 June 2002 1,785,715 ordinary shares were issued as part of the
consideration for the acquisition of Orient Sourcing Services Limited.
These shares were described as deferred shares on the group balance sheet
at 31 December 2001 and 30 June 2001. Expenses relating to this share issue
amounted to #192,000.

10) This report has been sent to all shareholders. Further copies will be
available to shareholders and members of the public from the Company's
registered office at 26 Manchester Square, London W1U 3PZ. Telephone
number 020 7258 9988.


This information is provided by RNS
The company news service from the London Stock Exchange

[cockneyrebel] 19/8/2002 13:29

Is everyone sleeping on this or what?

Have held in my ISA for a few weeks, added another 2K today.

The company has said last year was tough but this year has started better. Trading on a PE around 6 and a 5%+ yield.

Director buying at the end of H1 in May at this level too.

Restructuring has started to show benefits according to the company whic is now far more focussed.

Results on 28th of August should be pretty good going on the above as a guide.

CR

[cwa1] 08/8/2002 10:54

Interims 28/8

[wirralowl] 24/7/2002 13:05

Bought a few of these @ £1.47 on the recent dip, but was hoping they would be dragged down by the wider market, and I'd be able to double up in the 130's. Alas, they are up again today, as they were yesterday - so doubt I'll get my price now. Impressive show of strength in the context of the wider market; though I do find the price movments relative to the trades baffling, even for an illiquid stock.

[skyship] 25/6/2002 10:57

Zak Mir (chart guru on watshot & t1ps sites) read this one to perfection. When they were at 170 he set a 160p stop loss, expecting a retracement to the 140p support level. Well, they dropped vertically to that line & are now bouncing back up - just missed averaging @ 144/145, now looking for the Offer as I expect these still to run through £2 level by the year end.

[dave46] 20/6/2002 09:03

tipped in shares mag this month

Dave

[skyship] 10/6/2002 10:27

A precis would be a good assets and earnings play; with the technical position supported by recent Director purchases and declared (though not in %age terms) interests by Nigel Wray and Mark Slater. On the charts this could well run quite quickly to 200p. I would resist the temptation to cash in.

[cwa1] 10/6/2002 09:14

Thanks all for the info....any chance of posting precis of reasoning?? :-)

[marathonmike] 10/6/2002 08:45

CWA1 They featured on T1Ps last night. Tom gives them an in depth tipping. Target price of 240p

[cwa1] 10/6/2002 08:27

Hmmmmmmmmmmmmm....20+ trades in the first half hour....must have been a tip somewhere.

Lucky to be 20 trades in a week sometimes :-)

[cwa1] 15/5/2002 11:41

Not much interest or thoughts....but I'll plug away for a bit regardless...

Director Vinton buys 50,000 at 155p...a fairly decent sized by in such a relatively small company...

[cwa1] 10/5/2002 00:20

Hi

Thought I'd start a fresh thread to see if there was any interest in LMBT.
Bought a few on the strength of these results...




which looked interesting to me.Possible turnaround situation.

Any holders/thoughts?