Public Recruitment Share Discussion Threads

[njp] 24/3/2006 08:15

Dunno, amber, but I'm invested because I think that when the debt is sorted / restructured, people will cotton on to the value here. I guess that goes for a few others too. The eventual rewards should be worth the wait.

[empirestate] 23/3/2006 17:00

purely lack of buyers depressing the stock, which is quite illiquid with only a couple of MM's working it. rightly so cloudy, once lines are renewed it should give a welcome boost

[kimboy2] 23/3/2006 16:59

The company is obviously suffering from the bad press that the Health Service is getting at the moment. One or two things occur to me;

1. Health will be less than 25% this year and the other divisions are doing well. Health is as well if you listen to the comapny.

2. The financial problems will force them to use the NHS Framework Agreement which will be strongly to PRG's advantage.

3. Gordon will bale the NHS out because he is scared fartless about bad publicity regarding a key area.

It will help when they have cleared up this financial situation with the shares and the broker gets out some updates.

[cloudfall] 23/3/2006 15:42

2,000 people being laid off is hardly a "disaster scenario" for health care recruitment sector. I'll grant you it isn't good but not a reason for one of the better performing companies in this sector to drop 20% in a week. Additionally PRG provides doctors in to the NHS - not support staff where a lot of the cuts are being made.

[david77] 23/3/2006 15:30

Hospitals have laid off 2,000 staff in the last couple of days - not promising for a recruitment company in the health sector.

[cloudfall] 23/3/2006 10:32

I have an email from the company stating that they are hoping to having the funding in place by the middle of April. If that happens, at this level - this has to be a fill yer boots price.

[cloudfall] 22/3/2006 14:08

Is there something going on that the "public" should know about?

[Abuse team] 21/3/2006 17:01

Post removed by ADVFN

[rivaldo] 21/3/2006 16:49

Just the usual ups and downs imo cloudfall. You'd expect volatility prior to the funding conclusion, and the MM's will be trying to provoke some selling to get some cheap shares in stock.

[cloudfall] 21/3/2006 08:57

Looks like it's going to be one of those weeks! I wonder if PRG are close to sorting out this funding and whether if announced or not it will make much difference to the price. Just WTF is going on with this?

[kimboy2] 14/3/2006 11:08

Allied Healthcare International is an interesting comparison with PRG. They are in the health side of the business and have struggled with the NHS. There is also an interesting write up of them with Peel Hunt. I don't think they are as good an investment as PRG but give a backdrop as to the problems, and solutions, in the market at the moment.

[pictureframe] 13/3/2006 09:48

move up, all T trader are prob out now

[njp] 12/3/2006 23:47

Good posts, all. Agree that the big push will come when the funding is sorted out, but that in turn depends on strong earnings as, given the latter, why should there be any doubt about the former.

In that context, those who care to read between the lines will see a robust AGM statement as 'green for go'.

[glasshalfull] 12/3/2006 16:16

Hi

Just wanted to say thanks to all contributors who have made this a very informative thread.

I took a position on the announcement of results - which I felt were excellent in the circumstances - and added a few more on Friday. I'll await the announcement of new banking facilities/ earn out arrangements before committing further funds.

It does seem that the fall has been overdone but until the funding situation is clarified I don't see too much upside in the short term although the website comment on trading certainly augurs well.

Not much to add that hasn't been said before except to reiterate my thanks for the informative posts which assisted my research here and suggests that I'm in good company.


Regards
GHF

[rivaldo] 12/3/2006 15:49

That's a great find kimboy2!



The statement "Trading in the current year is ahead of budget, margins are robust and demand in education, health and social care is strong" is much more definitive and specific than the outlook in the final results. Sounds extremely encouraging.

When's the AGM? Last year's was on 3rd May, so not long to wait for an update, which on the basis of the above should be excellent. Hopefully that'll be combined as a double whammy with a conclusion on the loan finance.

[kimboy2] 12/3/2006 13:53

I couldn't find it in the finals either. There were hints but not such a strong statement as that.

I think it is a new addition and the latest results have been added. I can't think it applies to the last year as that was behind budget, there was a profit warning after all.

Seems a peculiar way to make an announcement.

[mjcrockett] 12/3/2006 12:35

Kimboy, Is the comment on the website re trading new? I cannot remember seeing these words in the results or other RNS.

MJ

[kimboy2] 11/3/2006 23:33

"Trading in the current year is ahead of budget, margins are robust and demand in education, health and social care is strong."

So says the website. Not bad for a P/E of 4.

[sleepy] 10/3/2006 16:40

Possibly - I've got used to shares that only go in one direction. A quick look showed substantial earn-out liabilities and I would really like to see them quantified. Have sent you an email

Sleepy

[sleepy] 10/3/2006 14:24

Thank for that Kimboy.

Anyone know how much, if anything, they have to pay out after July?

Sleepy

[cloudfall] 10/3/2006 14:12

. Sorry I nodded off there! Too much excitement over last few days ;-)

Kimboy2 - I've not done the maths myself, but if what you're saying is true, all sounds great. I wonder if PRG have a PR company that actively helps to raise their exposure, anyone know?

[pictureframe] 07/3/2006 09:41

thanks for your calcs. appreciated

[kimboy2] 07/3/2006 09:33

The earn out they have to pay is £2m by the end of April and a further £2.8m by the end of July.

At the 31/12/05 they had £2.1m in cash but they have since paid £0.5m to JCJ as part of their earn out already. This would leave £1.6m in cash.

There is also a positive cash flow which perhaps is £300k per month which will add £2.1m to coffers by the end of July.

So it would seem to me that they maybe don't need to borrow that much and whatever happens the dilution is going to be considerably less than first appeared back in the autumn.