Phsc Share Discussion Threads

[egoi] 15/10/2007 19:36

Yes battlebus good to have GHF aboard as I know him from other unhyped threads and companies; a shrewd investor!

Fr4dge, there's no doubt profit growth has started to accelerate more rapidly here after years of steadier growth, as the recent T/S showed. The share price will catch up at some stage. I wouldn't be surprised if the next finals see the divvy hit 1p. What made the T/S even better is that historically the second half is stronger, so a good first half will be a real bonus.

[falundafa] 15/10/2007 19:22

you can all be proud of yourselves today

[bustedflush1] 15/10/2007 19:06

I expect a huge discounted fund raising soon which will lead to massive dilution for current holders.

[battlebus] 15/10/2007 18:48

Thanks Bigfella nice to see your keeping these under your radar.Welcome on board GHF ,I was a little surprised your purchases didn't raise the price so i presume that a seller is still out there.We must have broken the record for the number of posts in a day and would you believe it was without the help of Walker,lets hope we'll soon be on the toplists.

[fr4dge] 15/10/2007 17:46

Bigfella,

Yous stated that "Growth has been solid - but not spectacular."

I'd say this was understating their progress quite a bit.

The recent trading statement had earnings for the latest 4 months as 76% up on the same period last year & the latest set of audited results has earnings up by over 50%.

I'd say that was a bit better than solid & certainly worth a higher multiple than they are currently on.

No?

[egoi] 15/10/2007 14:02

Fair points BB, but as long as the core business is producing 4-5p eps for this year, and I forecast closer to 7p+ next, the writing down of goodwill is not really a major issue imho.

I beg to differ on valuation; the company is doing extremely well and growing rapidly organically and by acquisition, while the business area in general is exploding, as the recent T/S demonstrates admirably; I think a p/e in the high teens is not unreasonable; hence by the report for this financial year due next summer I have a price target of 80p and around 130p by the year after.

Ambitious, but once the shares do take off, and get a bit of momentum, not unreasonable imho. Compared with the valuations of some 'rubbish' on AIM, I do not for a moment think the targets unachieveable.

GHF; I don't know who your broker is, but you might try a 'fill or kill' order if you can't buy online - then they can do the leg-work for you on the phone.

[the big fella] 15/10/2007 13:48

egoi

With STT I did buy at a higher level but sold (at a 10% gain during the credit crunch). They have fallen since and I aim sceptical of them right now.

As for PHSC I can't really add to what I have already stated apart from markets have a tendancy for extremes - over bought and over sold). As you know the key to successful investing is getting the timing somewhere near right - this could well be the bottom. However I would have to sell something else to invest in here and I think I prefer my money elsewhere at the moment.

Other points to note just to add a little balance:
I wouldn't say they are in a sector that warrants a fancy PE - so they are not ridiculously cheap as has been suggested.
Growth as been solid but not spectacular.
Last time I looked there was a bit of good will on the balance sheet which will need writing down at some point.

All in all I wouldn't say they are a bad investment - far from it.

[glasshalfull] 15/10/2007 13:33

Thanks egoi. Glad to have joined you.

I like the way PHSC is coming together. I have been tempted before but simply felt there were better opportunities in the market and their overall performance was slightly pedestrian when I would have expected more given their markets and offerings.

With the price slipping back recently, or indeed the fact that it has remained marooned over the last few years despite solid improvement in trading and now the step change showing that prospects have improved considerably is something of an anomaly and the catalyst I was looking for to get in.

Able to get my first tranche on-line (7.5k was the limit) yet unable to deal on-line for the second.
I'll also look to pick up more on weakness.

I'm happy to build a position here given the market cap is a touch over £5m and that they are cash rich, should have approx £1m net cash at the moment following the "In House" acquisition (£1.099M end March 2007), hopefully produce PTB between £700k-£1m for this current year and operate in growing niche markets.

Regards,
GHF

[egoi] 15/10/2007 12:12

GHF well done for investing. Welcome! I am sure that over time you will not be disappointed.

Hopefully the Big Fella's target of sub 40p (I seem to recall you saying similar re STT and aiming for 140p before you bought at a rather higher level) is realised, then I can fill my boots some more, (though there would I am absolutely certain be an unholy race to get in) but frankly such a price would be so utterly unrealistic, overhang or no, I doubt it will happen. The market makers know that to drop it that far would only create an imbalance the other way.

I think BB you might miss your chance to take advantage of the current low price, as the overhang appears from trades to have been virtually mopped up now. For the sake of trying to save a few p, seems a shame really.

This one however, GHF, given its performance hitherto, I think needs a bit of added radar (some might say a wellington in the lumber regions)! -:)

[glasshalfull] 15/10/2007 10:14

Well I was tempted at the present price :-)

Watched for well over 12 months but felt that the acquisition of "In House" enhanced the proposition considerably. Thereafter the bullish trading statement was enough to suggest to me that PHSC will have their time in the sun.
Cash rich and operating in buoyant markets.
I just wish egoi would have refrained from placing this on everyones radar (just yet)

egoi - I share your enthusiasm with this one......also reminds me of Asfare :-)

Couple of delayed buys will no doubt appear later.

Regards,
GHF

[the big fella] 15/10/2007 09:58

battlebus - 13 Oct'07 - 11:54 - 185 of 191
Big Fella do you actually own shares in PHSC?

No I used to have quite a few of these but got frustrated with the underperformance of the share price. I sold them back to the company in the mid 50's (so made a tidy profit on them as I had held from OFEX days c42p from memory).
It's a good company in a fragmented industry so should be well placed to capitalise. However there is a share overhang and my money is working well for me elsewhere at present. However I will certainly be tempted if these fell below 40p.

[walker10] 14/10/2007 21:04

Just to back that up egoi although the market is blissfully unaware:

Here is list of hospitals In House deal with :

Hospitals
University Hospital Aintree
Christies Hospital NHS Trust
Five Boroughs Partnership NHS Trust - Hollins Park
Merseycare NHS Trust
North Cheshire Hospitals NHS Trust - Warrington General Hospital
West Suffolk Hospital NHS Trust
Wiltshire Shared Services
Shelton Hospital, Shrewsbury
Royal Liverpool Children's NHS Trust
Whittington Hospital

and what they say:

"In House are able to pick up on things that people don't always think about, like door handles and storage of equipment. Because In House are on site, the simple exercise of cleaning and retesting if problems are found carries the message across instantly. For instance one of the biggest problems in any hospital is of equipment returning from the wards without being dried properly, but the In House tests showed that by simply inverting the containers contamination can be reduced! It is good to be able to show our catering staff that what they are doing is right, and they get to see for themselves when In House visit!"

[bustedflush1] 13/10/2007 20:30

I notice you didn't reply to my post about shareholder dilution on the Harrier thread.

Did you not know that reverse deals always lead to dilution (sometimes massive) when the vendor owners are issued new shares ?

[egoi] 13/10/2007 19:27

Sorry about this geezer, all, Mike Langdon follows me around like a lost puppy, talking the same twaddle about anything I post on. Perhaps i should take it as a compliment. -:)

He's well known on advfn for the in-depth quality of his analysis such as the above. -:)

He has many aliases, mattyCrowall, megastore, busted flush1, lightning etc etc............

Filter? ;)

[battlebus] 13/10/2007 17:29

Sad to see the news that Peter Webb has resigned from the Board of Eaglet one of the larger shareholders in PHSC.QVT fund managers who hold a large stake in Eaglet want three new directors appointed as they think the shares have under performed and they want to shake up the portfolio.Webb has dismissed them as short term traders who fail to support the long term unique investment strategies of a smaller co's trust.I doubt if QVT gets it's way that they would back the likes of PHSC the way Webb has done.During his 14 years in charge Eaglet has played a major role in the development of many growth co's some of which i have profited very nicely, what a shame for small businesses when money grabbing scoundrels like QVT exist.Patience is the key to most small business like that of PHSC.

[battlebus] 13/10/2007 11:54

Big Fella do you actually own shares in PHSC?

[walker10] 13/10/2007 00:21

Do we have to remind Big of the trading statement made a tad over a month ago:

Stephen King, managing director of PHSC, said: "The board is delighted with trading performance in the year to date. Our decision to dispose of a loss-making subsidiary toward the end of the last financial year has had a positive impact on profits, but the majority of the increase arises from improvement in revenues and margins elsewhere in the Group. The proposed addition of In House The Hygiene Management Company Limited, announced last week, will serve to further enhance profitability in the second half of this year."

I do agree we need some PR or some drum banging!!!

[egoi] 12/10/2007 21:20

Not really an issue for me Big Fella. Until recently no-one gave a monkey's about Asfare (now ASTO) when it was 70p for years. Built a nice stake there, and happily it doubled before I sold any and trebled before I banked more profits. :)

When the frenzy in oil stocks, miners and some rubbish (even old Corpora has nearly doubled in recent weeks a sure sign the market is nearing its crescendo!) dies down, PHSC will have its day.

[the big fella] 12/10/2007 20:47

Trouble is no-one has been looking ever since it listed on AIM!

[egoi] 12/10/2007 13:28

That's me up to 20,000 now. My target is 25k ultimately, but not paid for the last lot yet!

Walker's quote from Hackitt shows this is a quite simply massive growth area and as far as I can see PHSC is just in a fantastic position to benefit.

Could get no improvement on the 'touch' price, which might be a positive sign. Deifinitely one to tuck away while no-one is looking!

[battlebus] 10/10/2007 19:22

No problem Walker we'll look back and laugh at the stress this share caused when it finally hits £1.Now where are my tablets?

[egoi] 10/10/2007 10:35

Sorry about your bad day, Walker - had a few of them myself recently!

Thanks for the very interesting update. -:)