Marston's Share Discussion Threads

[billy_liar] 16/5/2013 08:29

What's so solid about the following?

· Underlying operating profit - £66.6 million (2012: £67.6 million).

· Underlying PBT - £27.6 million (2012: £33.5 million), reflecting higher finance costs.

· Underlying earnings per share - 3.8 pence per share (2012: 4.7 pence per share).

[fangorn2] 16/5/2013 08:29

Agree Leeson, nice solid figures from a quality well run company.

[leeson31] 16/5/2013 07:36

nice, solid figures...


thx Skinny.

[skinny] 16/5/2013 07:05

Marston's PLC is pleased to announce that Roger Devlin will be appointed as Chairman with effect from 1st September 2013, when David Thompson steps down.

[skinny] 16/5/2013 07:04

FINANCIAL HIGHLIGHTS

· Group revenue - £358.1 million (2012: £342.1 million).

· Underlying operating profit - £66.6 million (2012: £67.6 million).

· Underlying PBT - £27.6 million (2012: £33.5 million), reflecting higher finance costs.

· Underlying earnings per share - 3.8 pence per share (2012: 4.7 pence per share).

· Innovative £101 million long-term financing - extends maturity of Group debt.

· Interim dividend - up 4.5% to 2.3 pence per share (2012: 2.2 pence per share).

· Current trading - good start to H2, which will benefit from £12 million profit initiatives.


STRATEGY AND OPERATING HIGHLIGHTS

· Destination and Premium

- Operating profit up 10%

- Like-for-like food sales up 2%, food mix up 2% to 52%

- Expect at least 20 new-builds to complete this financial year

- 2013 new-builds ahead of internal target

· Taverns

- Pressures on tenanted pubs continue

- 600 pubs now franchised

- Franchise like-for-like profits up 10%

· Brewing

- Ale volumes up 8%, strong growth in off-trade

· Chairman

- Roger Devlin appointed with effect from 1 September 2013


CURRENT TRADING - 6 WEEKS TO 11 MAY

· Destination and Premium - lfl sales up 6%: lfl food sales up 9%, lfl wet sales up 3%.

· Taverns and Leased - lfl profits ahead of last year.

· Brewing - in line with expectations.

[restern] 15/5/2013 16:52

stick to spitfire Farage does

[leeson31] 15/5/2013 09:20

lol yes, i was in a pub the other night and saw 'marstons' on offer, i didnt have one, but not seen one in the isle of man before!

:-)

[skinny] 15/5/2013 09:15

The beer is pretty good as well!

[leeson31] 15/5/2013 09:11

i hope theyre good, as we are breaking out nicely, so far, dont want to be scuppered by any bad bits of news, but its looking good id say Skinny. :-)

[skinny] 15/5/2013 09:07

New high @152p

Half year results 16th May 2013.

[gswredland] 13/5/2013 17:38

jumping ahead of thursday's update?

[skinny] 13/5/2013 17:06

Closed at 4 year high @150.30p

[redartbmud] 26/4/2013 07:55

rmii

I'm a sad case - Accountant!

red

[rmillaree] 26/4/2013 00:29

With regard to the impairment figure quoted this is a nonsensical accounting requirement and means nowt without quoting the associated the unrealised revaluation surplus which wipes out the vast majority of the figure you quote - I struggle to think of any more illogical accounting rule than is at play here - ho hum that's accountants for you I guess.

[rmillaree] 25/4/2013 23:58

Hello redartmud - simples if you don't like or are uncomfortable with the debt sell up and use funds elsewhere.
If profits tank shareholders are or may be goosed.
Personally I look at Mars likea owning a BTL property they borrow funds - invest - get good cash flow from money invested that enables them to pay debt own. The Amount of debt is very long term at agreed rates so not an issue at current profit levels.
They have invested heavily in the new wetherspoons type mega outlets - these are returning great bang for the bucks invested. However all the cash flow is spent up front explaining the lack of debt decrease.
Current forecasts (not a great believer in the hype but I have no specific reason to believe there is any reason for them to be hyped) are for 95 mill pre tax this year and 100 mill next year - that's pretty decent expected increases.

[redartbmud] 25/4/2013 21:58

I am still uncomfortable about debt:

2008 2009 2010 2011 2012
Borrowings 1328.2m 1194.9 1198.7 1177.4 1181.9

Profit bef Tax 76.2m 81.4 52.5 80.8 79.6*
* Before impairment £215.1m = Loss £135.5m

Net Finance cost 80.7m 89.0 79.9 70.8 78.3

I just don't see any real improvement in 5 years I'm afraid.

red

[gbb483] 23/4/2013 11:37

I guess the threatened interference of an overseer has been seen as a positive influence on the bu5inesses!

[skinny] 18/4/2013 08:35

JP Morgan Cazenove Overweight 133.20p 150.00p 150.00p Reiteration

[skinny] 17/4/2013 15:01

SMP raised £80m last Autumn via a 6.25% bond - not a bad investment as it transpires.

[trytotakeiteasy] 17/4/2013 13:45

I wonder what Goldman Sachs' conviction sell argument is????

JakNife - couldn't Marston's launch a retail bond...

Broadly with interest cover improving over the last three years to 2.3X in the year to Sept 12 versus 2.1X the year before the group must be reducing its risk profile somewhat...

Debt increased 1.8% in the year to Sept 12 to £1.12bn but that is on expanding new pubs....

So not sure of the bear argument here although post xmas trading will be tough on the weak weather...

[skinny] 17/4/2013 13:18

Numis Buy 135.55 145.00 160.00 Upgrades

Shore Capital Buy 135.55 - - Reiterates

Liberum Capital Hold 135.55 - - Reiterates

Goldman Sachs Conviction Sell 0.00 132.40 - 113.00 Retains

[redartbmud] 17/4/2013 09:37

jeff

Agreed, but it is a ticking time bomb.

red