Panmure Gordon Share Discussion Threads

[salpara111] 24/9/2014 13:18

Interesting commentary in the papers today.
I have said it before and I will say it again "What are Quinvest doing with their stake" Panmure are always saying how they are a "strategic partner" but I fail to see any leverage they gain from the relationship however the big question now is.....What are they going to do with their substantial stake now the business is back on a level footing again.
43% is an effective controlling stake which can be both good and bad.
I only took 5K worth yesterday morning and am interested to see what happens over the next few months.

[isis] 24/9/2014 10:43

Unless the markets have a complete sustained blowout they should be pretty sure on the next set of results as we are already 3 months into them.
Stockbroking is very much a cash business and you know what you've earned from day to day on commissions and corporate.
The IPO market would have to stop dead and it hasn't.

[isis] 24/9/2014 10:10

Panmure Gordon
Net income £16.2m
Panmure Gordon finally has jettisoned the legacy of its disastrous foray into America. More than two years after offloading the loss-making ThinkEquity to local management for $1, the stockbroker has called time on exceptional charges and legal fees.
Although the sums involved were relatively small — only £100,000 this time last year, for example — it was enough to leave a mark on a business. ThinkEquity never went into the black during the five years that Panmure owned it.
There were plenty of other reasons for cheer yesterday, as the broker reported a strong increase in income from dealing commissions and share trading and a jump in revenues from work carried out for corporate clients.
Pre-tax profits, at £1.9 million, were more than sixfold higher and Panmure said that if business continued to come in at the same pace during the second half, it would pay its first dividend in seven years — a promise that sent the shares leaping by 10.3 per cent to 155p.
Panmure is not alone in enjoying the market’s buoyancy, of course, but it is a respected brand in the City. The main question is what QInvest, the Qatari investment bank that owns a 43 per cent stake, will do, and when. Cheap, but not without risks.
My advice Speculative “buy”
Why A possible mergers and acquisitions play

[cyberbub] 24/9/2014 10:07

Bit of resistance around the 160p mark... hopefully will be exhausted soon...

[srtoothpaste] 24/9/2014 09:46

Tempus in The Times has it as a Speculative Buy!
srt

[isis] 24/9/2014 08:09

If you can afford to Mr. Wonky! ;-))

[willywonky] 24/9/2014 07:50

Twenty smokes a day helps isis work rest and pay.

[isis] 24/9/2014 07:06

City A.M says pipeline as strong or stronger last year! :-))

Panmure back to profit growth after long slump
Tweet Share Share Share
by Tim Wallace September 24, 2014, 1:48am

Phillip Wale has worked on turning Panmure Gordon around since he joined in mid-2012
PANMURE Gordon’s shares soared yesterday as the stockbroker and investment bank reported its first strong set of profits after a major turnaround.

Pre-tax profits came in at £1.9m for the first half of the year, up from just £335,000 in the same period of 2013.

The firm has been blighted for years by the ill-fated takeover of Think­Equity in 2007. Panmure sold the firm again in 2012, but overall lost around £80m over the course of the deal.

Commission and trading revenues climbed 25.7 per cent on the year to £5.4m, while expenses in the division slid 20.5 per cent to £758,000.

Meanwhile corporate finance and related income jumped 22 per cent to £11.5m – aided by the surge in flotations and other equity capital markets activity this year.

Panmure’s boss Phillip Wale hopes a more sustained recovery will help the business’ fortunes in the coming years.

“Business has perked up in 2014, but trading volumes are still one-third of what they were before the crisis, and were very low over the summer,” Wale told City A.M.

The corporate finance business has been in a better place in terms of deal activity.

“We have been getting a lot of secondary deals, which shows clients coming back to us for more,” he said.

“The pipeline going forward into the first quarter of 2015 looks equally or even more exciting than at this time last year.”

Panmure Gordon’s shares rose by 10.3 per cent on the day to close at a two-month high of 155p.

[isis] 23/9/2014 23:36

I remember when there were around 250/300 Stockbrokers across the Country, now there are less than 50.
Of course you didn't have online then.

I see Cenkos have paid ALL there staff a bonus of £40k each across the board.

[speedsgh] 23/9/2014 22:07

FT article seems to rule out any M&A activity in the near term...

Mr Wale said he is surprised there hasn’t been more consolidation among the small and mid-cap brokers. “It’s still a hugely overbroked, fiercely competitive environment. On pure economics one would argue that there are too many players and not enough business in anything other than very strong markets,” he said.

Panmure held talks 18 months ago with Oriel Securities, which was later bought by US brokerage Stifel Financial Corp this year. Evolution Group had looked to acquire Panmure in 2010 but decided not to pursue a formal bid.

Deals are often difficult because of the cost of redundancy payouts, said Mr Wale. “We remain looking but there is no obvious match and no talks going on at the moment.”

[topvest] 23/9/2014 21:42

Well the interim results were reasonably encouraging. As expected they are suggesting a final dividend. Looks reasonably positive if H2 is strong. I agree that their comments on a challenging market are a bit too downbeat. It's the best IPO market for many many years.

[topvest] 23/9/2014 21:41

Well the interim results were reasonably encouraging. As expected they are suggesting a final dividend. Looks reasonably positive if H2 is strong. I agree that their comments on a challenging market are a bit too downbeat. It's the best IPO market for many many years.

[mrx9000] 23/9/2014 19:33

Thanks chaps. Does seem to of gone under the radar and a very odd article in The Times telling people to sell these.

[battlebus2] 23/9/2014 18:15

Good article in the F.T.

[battlebus2] 23/9/2014 18:11

Condensed consolidated interim statement of cash flows (unaudited)


GBP'000 6 months 6 months 12 months
30 June 30 June 31 December
2014 2013 2013
Cash flows from operating
activities
Profit after tax 1,554 145 205
Net 5 5 (15)
financial expense/(income)
Depreciation and 170 127 295
amortisation
Net loss on available - 7 39
for sale investments
(Profit)/loss on disposal (29) 141 -
of subsidiary
Movement in securities (1,631) (2,920) (3,527)
held for trading
Increase in amounts owed 1,105 (1,948) (3,286)
by market counterparties
Decrease/(increase) (168) (1,046) (408)
in trade
and other receivables
(Decrease) in trade (826) (1,656) (668)
payables
and provisions
IFRS 2 share-based 274 229 349
payments
and related charges
Income tax expense 401 49 335
Net cash flow from 855 (6,867) (6,681)
operating
activities
Cash flows from investing
activities
Financial income received - - 34
Acquisition of plant (177) (452) (623)
and equipment
Proceeds from disposal 27 125
of investments
and dividends
Net cash from investing (177) (425) (464)
activities
Cash flows from financing
activities
Proceeds from the issue - - 35
of share capital
Purchase of own (197) (352) (532)
shares for EBT
Financial expense (5) (5) (19)
Repayment of EBT loan 10 24 128
Net cash from financing (192) (333) (388)
activities
Net increase in cash 486 (7,625) (7,533)
and cash equivalents
Cash and cash equivalents 6,058 13,591 13,591
at 1 January
Cash and cash equivalents 6,544 5,966 6,058
at 30 June / 31 December

[isis] 23/9/2014 18:07

Cashflow??

They have no debt and loads in the Bank - not really a priority unlike some firms who live on the line.
Commission is generated cash when the deals are done - Stockbroking does not have bills to wait for like retail etc.

Deals are settled as they are done in realtime for the most part.

[mrx9000] 23/9/2014 17:52

Interceptor/Sailing John: a very unloved stock indeed. well done for the early trades. My sharescope figures are quite out of date on this, in SS it has some quite bad cashflow figures.

[fizzypop] 23/9/2014 16:45

Bad Robot filtered

[bad robot] 23/9/2014 15:24

This manure still rising. Will have a big short taken on this pile of manure.

[isis] 23/9/2014 13:48

How are people arriving at the NAV?

[cyberbub] 23/9/2014 13:47

Sorry meant net working capital! (Slaps self on wrist)

[cyberbub] 23/9/2014 13:41

Er, is everyone forgetting the massive net working cash position also??200p minimum short term, 250p by xmas, 300-350p by Spring if it seems that profitability is continuing to grow (or even stay the same!).No advice intended

[isis] 23/9/2014 13:32

Market nearly always has a big wobble Sept/October - nice to see the rise here.

They should be at £2- just on the Half Year results and nearer 300p on the full.

[battlebus2] 23/9/2014 13:29

Isis I'm not trying to talk the company down, I fully expect a £2.50 share price at some point if trading continues at these levels, I just don't expect it in a few weeks but then again I hope your right.

[isis] 23/9/2014 13:16

FTSE down a ton so can't grumble too much.

Seller seems to have gone?

I hope they are not in charge of someone elses Pension.