Paragon Entertainment Share Discussion Threads

[dontsweatit] 15/2/2018 20:23

Currently uninvestable?

[1savvyinvestor] 13/2/2018 12:31

Things unbelievably quiet at PEL. They are even putting as news on their web site that they are excited to be presenting at museums show in 3 months!! Like watching paint dry!!

[pj 1] 06/2/2018 18:40

I've forgotten who I spoke to some time ago fft, but I remember being told there was almost Nil chance of the interim CFO becoming full time.

Yes disappointing no replacement yet and an orderly hand over, but I suspect it's a position they are not going to rush into after the short stays of the previous two

[fft] 05/2/2018 15:57

Interim cfo departs (3 month contract apparently). Any effort made to keep him ? But, even after 3 months, no sign of a permanent cfo being appointed. Disappointing.

[pj 1] 03/2/2018 21:05

It was an (obviously)very poor attempt at humour :-//

[stiffybristol] 03/2/2018 14:18

IF permission is granted...it may not be.

It is a long way away from construction that is for sure and I would say construction in 2018 is probably not going to happen.

Car Park for 150 cars and associated access would likely be 200K. It would need an acre of land as well. If it is 90,000 square feet. £6M is more likely for the total budget. Traditional building is hard to get under £100 per sq foot.

I still don't know what MELLO is that link went to the song by Donavon.

[pj 1] 02/2/2018 21:07

''If planning permission is granted, it is intended that Paragon would make a start on constructing their building next year, with a view to occupying in 2019.''

''constructing their building''- so it wont be leased. So all eyes on proposed funding. I haven't got a clue... £1million....£2million...? Grants? Cash flow?

So many questions.........

[pj 1] 02/2/2018 20:46

''outline consent with means of access to be considered for the development of a creative, digital and media industries employment park and film studios''

[pj 1] 02/2/2018 20:43

Unsure if this is relevant/ related or not

Planning – Application Summary
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2018/0097/SCN | EIA screening opinion request for (1) full planning permission for the erection of a building for creative digital and media use and associated works, including parking, servicing and access; and permanent change of use of existing buildings to commercial TV and film studios and associated services and activities; and (2) outline consent with means of access to be considered for the development of a creative, digital and media industries employment park and film studios (including A1, A3, D1 and C1 use class buildings) open space, landscaping, car parking and ancillary works | Leeds East Airport Busk Lane Church Fenton Tadcaster North Yorkshire LS24 9SE
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Details
Summary Further Information Contacts Important Dates
Comments (0) Constraints (7) Documents Related Cases (1) Map
Reference
2018/0097/SCN
Alternative Reference
Not Available
Application Received
Mon 29 Jan 2018
Application Validated
Mon 29 Jan 2018
Address
Leeds East Airport Busk Lane Church Fenton Tadcaster North Yorkshire LS24 9SE
Proposal
EIA screening opinion request for (1) full planning permission for the erection of a building for creative digital and media use and associated works, including parking, servicing and access; and permanent change of use of existing buildings to commercial TV and film studios and associated services and activities; and (2) outline consent with means of access to be considered for the development of a creative, digital and media industries employment park and film studios (including A1, A3, D1 and C1 use class buildings) open space, landscaping, car parking and ancillary works
Status
Awaiting decision
Appeal Status
Unknown
Appeal Decision
Not Available
There are 0 cases associated with this application.

[stiffybristol] 02/2/2018 18:01

What is Mello?

[playful] 01/2/2018 22:57

I think they need simply attend Mello and discuss things directly with their shareholders.

If they can’t justify 1.5K on investor relations, we must ask questions.

[stiffybristol] 01/2/2018 22:41

£420,000 b/rates seems very high. You could probably check with the Valuation office. Most b/rates can be found online. I would have thought 100K might be nearer.

[pj 1] 01/2/2018 22:14

from my notes in 2016 they had 60,000 sq ft

The going rate in York for Industrial units seems to be around £7 per sq foot per annum. That can sometimes be doubled by Rates.

So as a very rough guess PEL are paying circa £840k rent and rates per annum plus power/ heat/water etc etc. If correct (it needs confirming) it does seem extremely high.

Just thoughts......

[pj 1] 01/2/2018 21:49

I did miss a point though, they did state they were looking to reduce property costs in relation to new premises, so possible I'm looking too negatively. It's still at least a very challenging project, and not without risk.

''We continue to pursue the re-location of Paragon to a single site so as to improve efficiencies and reduce property costs and we are making sound progress in this regard''

[stiffybristol] 01/2/2018 21:19

Paragon don't do anything in respect of the planning application. It is the landowner. Paragon can only act if and when he gets permission.

They are still making a profit. They missed their target because a couple of jobs went into the next trading year. Sometimes you have no control on jobs and times, the customer may cause the delay often. They have stated they are still expanding and they are still recruiting staff.

I might have a miles wrong but I still see this company at the top of their game and getting better and not in a desperate situation. The share price of course reflects a tale of woe, but if it was I don't think a director would have bought £35Ks worth.

AIM and the lower tier markets often march to different beats.

[pj 1] 01/2/2018 20:09

Whilst I accept we have almost nil information on the new Premises concerning funding and any possible savings, I do find it unnerving that a Company that has just issued a (another) profit warning, has cost over-runs and has reduced other overheads is considering such a major project. Isn't it a risk that these premises could become a fixed overhead that could strangle the Company in any further down turn? I would have thought it more prudent to cut costs across the board, and reduce the square footage in use, not increase it, especially as they seem to have some sort of easy in/out with the units where they are, although I accept these are not ideal.

Such a major project must incur one off costs (where is this cash going to come from?) and also quite a reparation bill on the existing units I would have thought? (although again I assume they will sell the unit they partly own with the Bank)

A purpose built unit on an old airfield would leave little room for sub-letting, if the need arose from any further down turn?

Following the profit warning and disappointing estimated EBITDA I would much prefer the BoD to be focussing on generating growth and increased profitability way above that of a low margin Construction Company which is where we seem to be now, reflected in the decreasing share price. They can ill afford any further distractions.

When I faced a Salary reduction, increasing household bills and unforeseen expenses the last thing I would have considered would be to move to a larger house. In fact the opposite.

[stiffybristol] 01/2/2018 18:15

Mainly buys today.The drop was re the 409,000 sale yesterday I think.

Selby DC have registered the planning application Jan 29th. I think nearly all of 2018 will be taken with the planning process and detailed pricing.

[phowdo] 01/2/2018 11:23

£400 quid sell knocks 6% off the shareprice.
The market makers really dont want shares when there is a dearth of buyers.

[pj 1] 24/1/2018 08:15

Especially as MT's comments are the first up on the 2014 Promo video!!!!

Until more info is available I am concerned that this Business move could be done at the expense of short term growth. I hope that is not the case.

[cockerhoop] 24/1/2018 08:09

Actually using Mello as a reference point is quite revealing. The core business revenue has close to doubled since 2014, gross margins improved, they're profitable now rather than loss making, there was a breach of bank covenants in 2014. Management has been strengthened since then. Their global reach has been extended.

The share price though is at lower levels today!

I'd certainly like to see them present in Derby.

[playful] 23/1/2018 23:35

I would like to see them exhibit at MELLO in April and showcase their business once again.

They certainly have merit but must communicate a clear and transparent message to retail investors.

[stiffybristol] 23/1/2018 20:11

The way I see it is far more rosey. They are still advertising for staff (so they still have plenty of work). A director bought shares at 2.5p (25% more than todays exit price) he probably knows more about the company than anyone, he would buy if he considers them good value/cheap.

With only 3 weeks gone of the new trading year they will probably only know about how the next 4-6 months are going, ie they will know the forward order book and enquiry level....I can't see a 12 month forecast being much more than a guess.

Given the market treatment of saying £15.7M and it being a £15M turnover and the other news they are probably fed right up with AIM. The shares are virtually at an all time low whilst the company is on an all time high.

They would not be looking at expanding premises if they did not thing turnover and profits were going to be better and said so in the trading statement.

For a company capped at £4M with a turnover 4 times the market cap, currently making a profit and likely profits of £1M shortly and possibly £2M by 2020 it was enough for me to dive in today with 4 separate purchases today.

[pj 1] 22/1/2018 11:20

They will have the ideal opportunity in April to showcase their Plans. Will they take it?