Pennant Share Discussion Threads

[interceptor2] 21/8/2018 07:17

Even though the RNS is non regulatory the 10 year South East Asia contract in particular does sound a little more significant. I agree there should be plenty of newsflow with contract confirmations expected and interim results.

[hastings] 21/8/2018 07:04

More good news from PEN today, particularly with another new customer signed up.Confirmation in due course of the recent major contracts would further drive the share price momentum.

[aishah] 14/8/2018 10:47

Good to see more coverage.

[spmc] 09/8/2018 13:11

Great write up on UK Investor:

[aishah] 09/8/2018 09:22

Techinvest added them to their portfolio last month citing a contracted order book of £30m already. I have added this morning. Mkt cap only £35m.

[interceptor2] 09/8/2018 09:15

Thank you cfro for highlighting today's RNS earlier, which prompted me to buy an initial position here and have now just finished updating my notes.

There is exciting potential here with today's major contract news likely to be confirmed this year as well as the Middle East contract valued at £10m. I also thought that last month's trading update looked very healthy with impressive revenue, PBT and net cash numbers supplied, but understand that H1 number were highlighted as being stronger due to adoption of IFRS 15.

Promising that directors were buyers of share in March this year.

[cfro] 09/8/2018 09:05

Good to see you already here hastings...

Ive bought in this morning. Very large provisional contract win announced over three years is very significant imo providing they secure it of course which looks likely.

[leading] 09/8/2018 08:29

Pennant is developing a niche for itself in the provision of training solutions for engineering suppliers.

They are looking to partner with major engineering customers to provide the training element of large OEM contracts, so the OEM supplier can subcontract this peripheral specialist activity. I would not be surprised if this new project has come from that route. Seems a very promising route to market to me.

The contracts will always be lumpy, but if they last for three years then they will be smoothed out over time as well as by growth.

All looking good at Pennant at the moment. Well done to management.

[hastings] 09/8/2018 06:56

Potentially excellent news for PEN which would provide for further visibility and an upgrade.One would expect confirmation of the contract in due course along with the Middle East prospect previously mentioned. Looks to be in a decent spot to provide for growth on a number of fronts.

[hastings] 11/6/2018 09:35

Added a few more of these on the back of recent weakness.Last year saw a TU in July, so looking for further confirmation of the recent positive momentum building further.PER of below 8, forecast net cash of £3.1m and the likelihood of a dividend reinstatement this year positives.With luck the more diverse spreading of business should help further iron out the lumpiness.

[davidosh] 25/5/2018 10:26

Just to remind you that PEN will have a stand and be presenting at our MelloSouth event in Hever,Kent on 14th June and all shareholders and potential investors are welcome to attend

PEN have never presented at our Mello events before and we are very pleased to welcome them so this is an ideal opportunity to meet the management and hear about their strategy.

Do come and join us at this quality event and there will be at least 25 other companies to meet plus some fabulous keynote speakers and a large number of fund managers presenting and on panel sessions.

[wilmdav] 06/4/2018 13:14

There is a note on page 4 of the annual report that is not present in the prelim RNS:

"Cash at bank (£1.5m) reflects timing of contracts with significant cash inflows received during Q1 of 2018"

Hopefully this will alleviate to some extent the concern raised by topvest in post 843.

[davidosh] 21/2/2018 12:49

It has gone very quiet on here but just to mention that Pennant will be at our Mello2018 event in April and doing a presentation on the Friday. They will also show investors how their parachute training simulator works so why not join us..

[topvest] 11/9/2017 10:08

Debtors are now in excess of £10m and exceed H1 revenue. Burning cash. Still one to avoid for me. Are new management trustworthy?

[hastings] 11/9/2017 09:22

Broker downgrading EPS for this year to 6.3p from 7.1p an obvious factor on sentiment.

[gengulphus] 11/9/2017 08:36

One other aspect is that we've now got a completed classical "head and shoulders" chart pattern over the last 8 months or so. I'm a long-term investor and not a chartist myself, so I don't intend to sell on that basis. But I do expect there to be holders who are more interested in chart-based trading, and they are quite likely to be adding to selling pressure at the moment...

Gengulphus

[boadicea] 11/9/2017 08:26

The cash position is more than accounted for by the balance of creditors and debtors,
i.e. receivables up by approx £2.8m and payables down by £0.8m. The UK contract delay is a likely cause (imo) and the wording implies that the comapany hopes to negotiate a release of some of this before year end.
Otherwise, the market was possibly upset by the failure to declare an interim div with an explanation that indicates a final div is also in doubt.
I see no other obvious underlying causes for concern and a typical market over-reaction is sometimes a good buying opp.

[spreadsheetsteve] 11/9/2017 08:02

Yes, big fall in share price. Cash generation, or lack of, might also be an issue.

[gengulphus] 11/9/2017 07:11

Agreed, apart from the delay to revenues from the "UK Contract" and the consequential "broadly in line with current market expectations" guidance about profits for this year. And judging by what's happening to the share price, those seem to be the aspects the market is picking up on... :-(

Gengulphus

[spreadsheetsteve] 11/9/2017 06:55

Interim results look good

[varies] 12/8/2017 18:28

On looking again at the 10 July statement I see that results for "the year as a whole" should meet expectations.
This suggests that the half year figures due in September may be a little disappointing. Let us hope that prospects for the second half justify a restoration of the dividend.
Like several others here I am a long term holder but I did reduce my holding in Jan & Feb this year which now looks prudent.

[topvest] 02/8/2017 20:54

I held these a few year's back when Chris Powell was in charge. Think him leaving has also probably increased the risk. He was a safe pair of hands in my view.

[battlebus2] 02/8/2017 20:22

Indeed the Middle East seem to have there own payment terms.