Me Share Discussion Threads

[masurenguy] 24/7/2024 17:40

MEGP don't have a monopoly on photo-booths in the UK. There are at least 3 competitors that I'm aware of but they all have a very small market share. Where Timpson is concerned they have 260 PB's instore and within some supermarkets compared to Photo-Me who have circa 3500 around the country.

[hopeful holder] 24/7/2024 09:40

Taken away for an upgrade?

[masurenguy] 24/7/2024 08:23

Where you have noticed that the Photo-Me Booth has been removed within a Sainsbury store, has it been replaced by a Max Spielman Booth or is there no Booth at all?

[masurenguy] 19/7/2024 09:22

Getting close to the ATH of 190p in November 2017.

[shagsinatra] 19/7/2024 08:57

Hi Melody, I’m not at all aware of a sale but it would certainly make some some sense in certain ways, particularly if Serge’s family are able to retain an interest and ensure an assured lengthy hangover, however, a take out price would certainly be at a very large premium when taking into consideration the progress this company has made over recent years & it’s currently sunny outlook.

[melody9999] 18/7/2024 12:15

Listened to the presentation and a question on a site in Grenoble that ME are selling. As a quite new investor here, have I missed something? Is this significant?

[shagsinatra] 18/7/2024 07:56

Thanks masuren, personally, I believe that’s very conservative, as previously mentioned this has not some good legs north of £2

[gswredland] 16/7/2024 09:23

Thanks Masuren

[masurenguy] 16/7/2024 07:13

‘Buy’ ME Group, says Berenberg
ME Group (MEGP) shares are cheap given the positive snapshot provided of the business in the first half, says Berenberg.

Analyst Eleanor Spencer retained her ‘buy’ recommendation and target price of 200p on the vending machine operator, which inched up 0.2% to 182.2p on Monday and is up 47% this year. The group delivered ‘attractive profitability’ in its first-half 2024 results, which were in line with trading updates from early June, with the top line growing 5% year-on-year. "The robust performance was delivered in spite of significant [foreign exchange] headwinds, with the value of the Japanese yen and the euro against the UK pound declining by 15% and 2% year-on-year, respectively. We think investors should look past any FX impacts and instead focus on ME Group’s increasing track record of underlying performance delivery. Trading on just 8.1 times full-year 2025 enterprise value to [pre-tax earnings], we think its shares look cheap." said Spencer

[martinmc123] 15/7/2024 16:46

hxxps://wealthoracle.co.uk/detailed-result-full/MEGP/836

[martinmc123] 15/7/2024 16:46

Me Group International plc posted solid H1 24 Interims for the period ended 30 April this morning. Revenue increased by 4.6% to £150.4m, EBITDA increased by 11.1% to £51.2 with statutory profit up 10.8% to £22.6m or excluding FX impacts it was up 15.7% to £22.6m. The business remains very cash generative with cash from operations up 13.3% to £41.7 million. The balance sheet remains strong with net cash of £21.7m and this after funding a 16.2% increase in the interim dividend. Guidance was in-line, i.e. high single digit at least topline and bottom line growth. Valuation remains attractive with forward PE ratio at 12.1x. The share price also has longer run positive momentum and looks set to move up to new record highs. There is a lot to like here, continued solid financial performance and outlook, strong balance sheet, decent valuation, healthy and growing dividend and, last but not least, some positive share price momentum. BUY...

...from WealthOracle

wealthoracle.co.uk/detailed-result-full/MEGP/836

[disc0dave46] 15/7/2024 14:11

Agree, but as 2m points out they are starting to hedge fx to minimise the currency hit.

[solarno lopez] 15/7/2024 10:07

But a very solid and dependable company

[2magpies] 15/7/2024 10:06

Yep, the workhorse is still working away.

Good results, but now we have just a little bit of caution:

"However, as the Group earns a large share of its revenue in foreign currencies, its consolidated results will be impacted by exchange rate fluctuations to some extent."

[masurenguy] 15/7/2024 09:36

Cheers shagsinatra - if the eps in the 2nd half increases by circa 11.5% then we would see eps for the year at circa 15p, which would give a current year PER of just circa 12 @182p. With the added benefit of the 28% photbooth cost saving, the eps could be even be higher. I think that we could anticipte the shares breaching 200p in H2, sans any broad market downturn, with a yield approaching 5% - plus any potential special dividend that might also be added at the year end.

[shagsinatra] 15/7/2024 09:25

Many thanks for your update Masurenguy, much appreciated. I particularly like the R&D developments yielding significant cost reductions & potential new products. For me, this is a relatively underrated stock as the market can surely see the progress made over the medium term. A fair price ? £2.30 all day long 👌 & that’s conservative!

[masurenguy] 15/7/2024 07:17

Looking good - sales, profit and cash all up plus a 16.2% increase in the dividend.

Interim Results for the six months ended 30 April 2024
Further positive financial and strategic progress in H1 and on track to deliver another year of record performance

H1 HIGHLIGHTS

. Reported revenue up 4.6% to £150.4 million, EBITDA1 up 11.1% to £51.2 million and profit before tax up 10.3% to £30.0 million, driven by growth in core laundry and photobooth operations, despite foreign currency rate impacts. Revenue was up 8.6% excluding the impact of foreign currency rate changes.

· Strong performance from Wash.ME laundry operations, which is the fastest-growing business area and a key growth driver for the Group, with revenue up 16.7% to £44.1 million. Revolution laundry units in operation grew by 18.0% and represented 12.4% of total Group vending estate, driven by strong demand and record machine installations of 420 Revolution machines in H1.

· The Group continues to expand across its established partnerships in high footfall locations, such as supermarkets and petrol forecourts, and its installation pipeline indicates that it is on track to deploy a record number of Revolution machines during FY 2024.

· The number of Photo.ME machines increased by 12.6% to 30,708 (H1 2023: 27,275). Photo.ME vending revenue1 was up 2.4% to £85.9 million (up 7.5% excluding FX impact), reflecting quieter volumes in Q1 followed by a strong performance from Q2 to June 2024 with increased activity across almost all territories, particularly Continental Europe and Asia Pacific.

· Highly cash generative, with cash generated from operations up 13.3% to £41.7 million, supporting the Group's investment in its growth strategy and returns to shareholders.

· The Group has a strong balance sheet, with £82.7 million of gross cash and a net cash balance of £21.7 million at the period end, excluding investments in convertible bonds of £3.7 million.

· Diluted earnings per ordinary share up 11.8% to 5.97 pence, reflecting the continued focus on delivering meaningful profitable growth returns for all shareholders.

· Interim dividend up 16.2% to 3.45 pence per Ordinary Share, which will be paid at the end of November, will return £13.0 million to shareholders. The Group's policy is to pay annual dividends in excess of 55% of annual profits, subject to market and capital requirements.

OUTLOOK

· The Group will continue to capitalise on significant market opportunities for photobooth and laundry services.

· Strong Revolution laundry machine installation pipeline, targeting 80-90 per month, and on track to deliver a record number of installations in H2 2024.

· Rollout of next-generation multi-service photobooths with plans to install 2,000 to 2,500 machines by the end of FY 2024.

. H2 2024 has started strongly and the Group continues to see positive trading momentum across its operations. As a result, the Board remains confident that it will deliver another year of record profitability in FY 2024, in line with current market expectations.

Serge Crasnianski, CEO & Deputy Chairman, commented:"We are pleased to report positive trading momentum throughout H1 2024, which has continued into H2 2024, and reflects further strategic progress from the Group's core automated photobooth and laundry operations which are both exceptionally profitable and highly cash generative. The Group continues to focus on profitability, returns and cash generation, with these metrics being the key performance indicators for the Group. The Group is on track to deliver another record year across these financial metrics, including the number of machines deployed. Through our continued focus on R&D and technological innovation, the Group remains focused on prudently exploring new and exciting opportunities within the automated self-service instant machine category to further diversify our portfolio, including the planned launch of new machines offering a broader range of services for our consumers. Additionally, the Group's R&D team has devised new production techniques to reduce the cost of the next-generation photobooths by 28% (effective immediately) and the Revolution laundry machine by 13% (effective FY 2025). A new generation solar panel, which delivers twice the power generation of the current model, is also in development and will be utilised by the Group's Revolution machines."

[masurenguy] 14/7/2024 19:34

There was a 175k share purchase reported at the close worth £317k. Looks like someone is quite bullish about tomorrows interims.

[2magpies] 12/7/2024 12:40

free stock charts from uk.advfn.com

[johndoe23] 04/7/2024 14:41

Still a valuation anomaly here, ex of cash forward PE is around 8.

[masurenguy] 26/6/2024 07:58

Interims for the six months ended 30 April 2024 due on Monday 15 July 2024.

[masurenguy] 24/6/2024 08:30

"Vending machine and photo booth operator ME Group, has revealed robust results for the six months to April, with revenue up by 8.6% and pre-tax profit climbing 13.6%. The Wash.Me laundrette business saw the fastest growth. The company hopes to deliver another record profit this year. With a near-5% dividend yield and earnings expected to expand, the group’s shares remain attractive. Hold (163p)." Shares Magazine, 20 June.