Pressure Technologies Share Discussion Threads

[cockerhoop] 17/12/2014 15:59

The fact that they've halved the PTP from the cylinders division for next indicates they are being prudent with their forecasts for 2015 IMO.I guess though 2016 harder to predict!

[deucetoace] 17/12/2014 15:41

Investorschampion
Thanks for the expected breakdown for the current year of profits. Halving of the profits for cylinders compared to last year is no surprise. Greenlane looks like it might get very interesting in 2016 but no doubt has various issues to sort out this year. The engineering companies seem to be expanding capacity to cope which is positive and of course the acquisitions will mean higher overall figures this year.

Any view on the likelihood of the US loan to GTM being written off in full or them taking up their option to buy another 40%?

[shanklin] 17/12/2014 15:02

I think we will have to agree to agree :-)

I presume the drop in the PoO is going to cause a major hiatus in orders in parts of their business. If the PoO stays at current levels for a protracted period, it could be more than a hiatus!!

Knowing the size of their order book might make it easier to take a view on how well they will be able to withstand said lack of orders.

As you write, the position at the next interims will also give us an indication on this.

[rcturner2] 17/12/2014 14:58

I agree with you, but of course we know what revenue last year's order book turned into, so an order book that is 14% bigger can only be a good thing. Of far more relevance will be the position at the next interims.

[shanklin] 17/12/2014 14:50

Hi RCT2, Yes but we have no idea of its magnitude. It would be helpful to know whether its (say) two years' sales or two months' sales

[rcturner2] 17/12/2014 14:03

"New financial year began with order book 14% higher than the prior year"

[rcturner2] 17/12/2014 13:52

The order book has increased by 14%, as stated in the results.

[pyemckay] 17/12/2014 13:51

good point shanklin,
The order book may have decreased so they dont want to spook the market. Like you say, its a wait and see situation as there is no real driver for the price currently, only possible detractors from the price imo.


I wouldnt short pres but now look at as an possible investment for the future if a profit warning does come out in time.

[shanklin] 17/12/2014 07:51

Until they divulge the size of their order book rather than keeping it a secret, I can only view PRES as uninvestable. I have no clue why management won't share this information with shareholders.

All IMHO DYOR.

[james188] 16/12/2014 21:25

No-one has a crystal ball, but I believe that management is very well aware of the turmoil caused by the decimation in the PoO. At the presentation last week, this was flagged as a significant buying opportunity. The company is run conservatively and the dividend paid is evidence of that. It is a bit painful at the moment, but mid to long term should be fine.

[pyemckay] 16/12/2014 20:53

these results are now history. The market looks forward, not backwards and there are now considerable headwinds and no doubt slowing of orders. I fancy come march/april there will be a profit warning.

[zoolook] 16/12/2014 20:17

Management could be forgiven for being exasperated at the market reaction following an amazing set of results - I would be. They have expanded and transformed the business and increased profits without stretching the balance sheet and sought to diversify away from exposure to O&G. The speed and amount of oil price drop caught most by surprise ie the experts but they have been prudent and so are well placed to ride out all the most devastating decline in orders but are right to highlight the uncertainty on how it will effect them. To give precise forward guidance in such circumstances would be derisory. Maybe the share price was too high before I thought so)but conversely are they really worth nearly only half what they were last week on the basis of the finals ? Good value at the moment even if it may turn out to be even better value tomorrow IMO.

[pyemckay] 16/12/2014 17:52

i cant see them making anywhere near the forecast eps.

there will be a big drop in the workload so i would suggest hanging off too. I might have a nibble if it went sub 300 but even then would it just be a toe in the water.

[pugugly] 16/12/2014 17:38

Anyone tempted to buy suggest you relook at

PUGUGLY
9 Dec'14 - 15:26 - 1035 of 1094

Engineering also heavily exposed to POO.

Decrease revenue overall normally = reduced margins = significanly lower eps and possiby restructuring charges.

Still very much on the side for a possible re-purchase - also thankful I sold out at significatly higher prices.

[cerrito] 16/12/2014 15:58

and one my add a very good balance sheet with only £60k of Finance Costs in the last FY

[cockerhoop] 16/12/2014 15:33

Many thanks Investors Champion

[shanklin] 16/12/2014 14:46

Why is that prudent?

[topvest] 16/12/2014 12:14

This is getting ridiculous...anyone would think they had delivered a profit warning instead of record results!

[zoolook] 16/12/2014 12:06

Well I didn't expect to average down quite so quickly...

[cockerhoop] 16/12/2014 11:51

Investors Champion/Energetic Backer

Are you able to give the Revenue breakdown for 2015 by division?

[ottrott] 16/12/2014 11:50

Yes, six hour round trip a bit too far. Would have liked to have toured the workshops.

[cockerhoop] 16/12/2014 11:47

Hi Ottrott,

Hope you are well, we had a good day up at PEL yesterday. I'm guessing the long winter drive put you off?