Pinewood Technologies Share Discussion Threads

[the shuffle man] 06/6/2025 11:15:57

I think they are issuing the shares to Lithia as consideration for the purchase so there will not be a fund raise like last time.

[c_k] 06/6/2025 11:12:37

Found the documents - an approval meeting is needed to approve, so panic over.

[c_k] 06/6/2025 11:03:51

After a quick scan I understand that they are issuing new shares. I haven't found yet the document relating to this - are they being issued to existing shareholders. If I remember correctly last time this happened we had only a few hours to subscribe. Has anyone seen the details?

[the shuffle man] 06/6/2025 08:50:38

Not sure what the market cap will be following this deal, but ARR and EBITDA will be growing rapidly and the shares still look good value. Looking forward to seeing the new forecasts !

[zho] 06/6/2025 08:14:07

PINE to acquire Lithia's 51% of their US JV for $76.5m, to be satisfied by issuing new shares.

Lithia to sign 5 year contract with PINE – expected to generate $40m in ARR, increasing to $60m on completion of further US-specific apps.

[the shuffle man] 01/5/2025 15:50:49

EBITDA in range of mid £30m predicted for 2027 which was before the latest Japanese announcement but dont know if any of this was factored into the forecast. The rating looks cheap at current levels for a company that is rapidly expanding.

[nfs] 29/4/2025 08:04:53

Market cap around £320 with management lifting EBITDA to mid to high 30s £m . Deals being signed to align with that. 8-9* EBITDA for 2027 . Seems decent value

[doobz] 29/4/2025 07:33:59

Al 350 locations across Japan! That’s a lot of business

[the shuffle man] 29/4/2025 07:22:56

Another excellent contract win ?

[zho] 02/4/2025 09:51:01

Paul Scott has made yesterday's report (which includes a section on PINE) free to view:

[the shuffle man] 01/4/2025 17:47:27

Growth from recent deals is going to come through with a jump in profits.

Formerly Pendragon, the London-listed automotive retail software provider upped its guidance for underlying EBITDA for 2027 in its latest accounts from £30m to “mid to high £30 millions”, having previously raised expectations from £27m in its half-year trading update.

Would be on a PE of around 10x for 2027.

[jaknife] 01/4/2025 17:45:49

The forward PE, based on 2026 EPS of 15.7p is 21x.

That includes a forecast revenue increase of c. 36% for 2026.

Although an element of that revenue growth is from acquisition.

Revenue shown in today's accounts has increased 15.1% from £27.1m to £31.2m, albeit they are for 11 month periods to aid the comparison.

To the extent that revenue may look as if it's down that could be because:

A. They sold a chunk of the business last year
B. The last actual accounts were produced for 13 months to the end of January 2024 to assist with the sale whereas these accounts have been produced to the end of December 2024 to get the company back onto a December year-end.

The comment about "Revenue including intercompany revenue" is there to highlight that in the prior year the business that is now "Pinewood Technologies Group PLC" sold software to the Pendragon motor business, which was disposed of last year.

JakNife

[smithie6] 01/4/2025 17:18:32

Is the p/e here >50 ...despite the turnover falling ?

!!

.....so much blah blah blah in the accounts about adjusted this, fiddled that.....

Trying to find the non-adjusted profit data is quite a grind.

Too much 'adjusted' promotion/spin for me.

And revenue between different parts of the group is counted as revenue whereas I thought accounting regs do "not" count that as revenue
...that revenue is reqd to be for products/services by parts of a group "to the outside world".

=======

There was an accounting fraud at Pescanova which was part of the Spanish IBEX 30 index....where it moved stock between subsidiaries & counted it as sales. Boosting the accounts. It was an attempt to try to defend the co. against an attempted takeover that the boss did not want to go thru. (I guess he would lose his high salary, benefits & lifestyle).
Instead it went to court & he was guilty !

[zho] 01/4/2025 10:00:15

We were told that UK competitors of PDG were reluctant to use PDG/PINE software, presenting a big opportunity when PINE split from PDG, so it puzzled me that there was no mention of possible resistance to the Lithia/PINE JV selling to Lithia's competitors in the US.

In today's presentation I think there was some discussion about the possibility of PINE buying out Lithia's stake in their JV but my internet connection cut out at the vital moment. Something to watch out for in the recording, at c. 15 minutes in.

Edit: Yes - this is from the slides accompanying today's presentation:

"Progressing negotiations with Lithia for Pinewood to potentially assume majority control of JV to increase its total addressable market"

[lennonsalive] 01/4/2025 09:07:30

From 380 to 322

[zho] 01/4/2025 09:06:09

Results presentation taking place now at

[zho] 01/4/2025 08:18:56

2024 results out for 11 months to 12/24

Underlying OP £8.4m, a touch ahead of £8.3m forecast in 14/2/25 TU

"The Board remains confident in the prospects for the Group and expects underlying profit before tax for the full year [i.e. 2025] to be in line with current market expectations."

"Previous guidance of £30m of underlying EBITDA in FY27 increased to 'mid to high £30 millions'"

[p1nkfish] 28/3/2025 18:10:17

Why doesn't he just do £60K when the price is attractive?

[bushbat] 28/3/2025 17:31:35

Must have conferdence:
Dietmar Exler, Non-Executive Director of Pinewood, has notified the Pinewood Board of Directors of his intention to purchase Pinewood ordinary shares on a regular monthly basis and has entered into a binding commitment with the Company to that effect. Under the terms of that commitment, Mr Exler has confirmed that he has irrevocably committed to purchase the equivalent of £5,000 in Pinewood ordinary shares in the open market on the 25th of every month

[jaknife] 21/2/2025 17:52:48

elysiumgold,

"How can this offer be legal? Less than two hours to see the offer, read it, decide and act. Now the holding is diluted and retail investors weren’t given a fair chance to respond."

Because at the last AGM shareholders voted to

(a) permit the company to issue new shares, subject to a maximum, and

(b) disapply pre-emption rights, hence meaning that a placing (rather than a rights issue) could be done

see:

JakNife

[elysiumgold] 21/2/2025 17:21:52

How can this offer be legal? Less than two hours to see the offer, read it, decide and act. Now the holding is diluted and retail investors weren’t given a fair chance to respond.

[the shuffle man] 21/2/2025 09:23:38

Looks like a great deal

Zeus said it would update its forecasts once the deal has been completed next month, but suggested it expects around a 15% uplift in Pinewood’s FY25 revenue and no change to underlying EBITDA, while FY26 revenue will be around 25% higher and underlying EBITDA to be lifted by around 21%.

[allstar_07] 20/2/2025 21:33:04

Yep, just saw the news and email from II. Already closed, annoying.

[c_k] 20/2/2025 20:21:30

That was the fastest investment round I have ever seen. 2 hours to see the offer and toInvest