Pz Cussons Share Discussion Threads

[thepopeofchillitown] 27/1/2009 16:40

Very good results and a cracking day. If we break through 170/180 levels can see this topping 200p.

[thepopeofchillitown] 26/1/2009 16:32

Erm... Up 10p in the last hour and a half of trading with results out tomorrow.

[gateside] 09/12/2008 12:42

TRADING UPDATE

PZ Cussons Plc announces its trading update in respect of the half year to 30 November 2008.

First half trading

PZ Cussons is pleased to confirm that results for the first half of the financial year have been in line with management expectations, with improvements in both sales and profitability compared to the same period last year. The financial position of the Group remains strong with cash generation during the period also in line with expectations.

An update of performance and major projects in the Group's two largest markets of UK and Nigeria is as follows:

Performance

In the UK, the launch of a significant number of new products in the first half of the year has ensured continued good growth, despite a worsening economic environment and increasingly challenging trading conditions. The Sanctuary, purchased in January 2008, also continues to perform well with a product range that represents excellent value in the current climate supported by brand innovation and a loyal consumer base.

In the first half of the year, trading across our Personal Care, Home Care and Electricals categories in Nigeria has been strong. The Nutrition business, which has experienced a significant rise in milk costs during the last twelve months, is anticipated to move into profitability in the second half of the financial year with costs now falling. At a macro level, Nigeria remains relatively less impacted from the effects of the global credit crunch, with the high oil price during the past year allowing the accumulation of significant foreign exchange reserves. In recent weeks, the Nigerian government budget for 2009 has been set at a similar level to actual expenditure in 2008, with both years' budgets based on an oil price of $40 to $50 per barrel.

Major Projects

Construction of the Group's 'Personal Wash Centre of Excellence' in Manchester is on schedule with the new production facility almost complete. Construction of the Research and Development and Fragrance Development Centres is also on schedule and will be completed early in 2009.

The two major investment projects in Nigeria are also on schedule. Firstly, Project Unity, which is the £39m investment in our broader supply chain facilities over the next three years, is well underway. And secondly, completion of the new Nutrition factory is on schedule for commissioning early in 2009.

Full year outlook

The outlook for the full year remains positive and in line with expectations despite the uncertain and volatile wider economic picture both in the UK and globally. The impact of rising raw material costs in the first half is expected to be mitigated by margin improvement initiatives together with lower raw material costs in the second half of the year.

Currencies are also volatile with a benefit to the group from the strengthening of the dollar versus sterling and an oncost from the depreciation of certain Asian and African currencies versus the dollar. The overall net impact will be a benefit to the Group based on these exchange rates continuing for the remainder of the year.

Overall, we remain cautiously optimistic for the full year outturn despite the uncertain global economic picture.

[amla] 19/11/2008 10:13

sp has been falling all year.Beats me!We are now at 2003 level.
If the 100p resistance fails to hold the next one will be 80p.
Can only think that this is out of favour because of the illiquidity of the share.
Would the Zochonis family ever sell?

[amla] 13/11/2008 08:49

Trading update on 9 December.
Interims 27 Jan 2009.
Interim dividend record date 27 Feb 2009..payable in April.
Excellent company that has been around since the 19th century!
As they have weathered so many economic downturns and two world wars and are financially sound I would hope to see them ride this one out.
Nigeria,their main market is fairly resistant to this credit crunch, management stated in Sept.We shall see.,

[jimcocallis] 13/11/2008 00:10

Good to see a director buy. Results due I believe.
Wait and see.
Jim

[amla] 21/10/2008 09:10

next resistance at 120p?
Sad to see the sell off after such excellent results.Easy to short now that share price has fallen through 200 sma.
If it drops too far, company would be vulnerable to takeover IMO.A well run business with a strong balance sheet and further room for expansion especially in Africa.

[gateside] 21/10/2008 00:00

Looking quite oversold now

[weemonkey] 08/7/2008 13:56

soap being thrown out with bathwater? (I am sure that is an old gag on this board- so apologies to all holders )

have never bought but may soon . price looks tempting.

how dull is this stock? - meant as compliment by they way.

buy of sanctuary seems well timed - pampering in times of trouble often goes up. the "lipstick" factor I believe it is is referred to as.

(job bad/things uncertain - I know I will cheer myself up with a new lipstick)

[gateside] 05/6/2008 07:45

TRADING UPDATE

PZ Cussons Plc today issues the following trading update in respect of the year ended 31
May 2008.

Overview

PZ Cussons Plc is pleased to confirm that its results for the year ended 31 May 2008 are
anticipated to be in line with expectations.

The Group is currently offsetting further significant rises in input costs through cost
reduction initiatives and price increases.

Markets

Trading in the Group's largest market, Nigeria, has been strong across all our categories,
namely homecare, personal care, electricals
and nutrition.

In the UK, the Group's second largest market, sales have also been strong, although the
group remains conscious of the difficult
consumer environment.

In our other markets, trading overall has been in line with expectations.

Major initiatives

Performance of The Sanctuary, acquired in January this year, has also been in line with
expectations, with both the products business
and the spa performing well.

Production has now commenced at our new UK manufacturing facility in Agecroft, Manchester,
with transfer of the remaining production
capacity expected to be completed on schedule by the end of the calendar year. Construction of
the new Innovation Centre, located on the
same site, has also now begun.

In September 2007, the Group concluded the first part of a major two stage review of its
Nigerian manufacturing facilities and announced
an £18m investment programme. The Group has now concluded the second part of the review and
today announces a further £21m investment to
upgrade the soaps and detergents production facilities with expenditure to be incurred over
the next three years.

Preliminary Results

Preliminary results for the year to 31 May 2008 will be announced on Tuesday 29 July 2008.

[3800] 09/4/2008 09:01

for a company that hardly ever gets traded there as come serious trades going through late yesterday. anyone know anything about it?

[zeppo] 08/4/2008 17:04

Only a few of these but I am sticking with it.

No soft soap.

z

[gateside] 08/4/2008 08:01

Interim Management Statement

PZ Cussons Plc today issues the following interim management statement which
covers the period 30th January 2008 to 7th April 2008.

Financial performance and position

PZ Cussons Plc is pleased to announce that results for the period have been in
line with management expectations.

In particular, revenue and profitability growth in the Group's key markets, the
UK and Nigeria, continues to be strong.

Trading in Indonesia was in line with plan. In Australia, despite a continuing
competitive market, cost reduction initiatives are contributing to improvement
in results in the second half of the year.

The financial position of the Company remains strong with cash generation during
the period in line with expectations.

Major initiatives

The Sanctuary, acquired at the end of January 2008, has continued to perform
well under the Group's ownership and is in line with plan.

Construction of the new UK personal wash manufacturing facility is also on
schedule.

Outlook

The outlook for the full year remains positive and in line with expectations
despite continued significant increases in commodity costs. The Group is
currently able to mitigate these additional costs by increasing selling prices
and margin improvement initiatives.

A further trading update will be made on 5th June 2008 after the close of the
financial year, ahead of preliminary results to be announced on 29th July 2008.

[gateside] 05/3/2008 13:52

Looks like the 200sma is acting a good support level

[gateside] 29/1/2008 22:04

PZ Cussons
195½p+2¾p
Questor says: Buy

IT'S a long way - both geographically and culturally - from the poor streets of Sierra Leone to the elegance of Covent Garden.

Yet that's the journey just completed by PZ Cussons. The company, best known for its Imperial Leather soaps, had its origins in a African trading post set up by George Paterson and George Zochonis in 1879. After more than a century of acquisitions, most recently of the Charles Worthington haircare brand, it has now bought The Sanctuary.

The high profile, women-only spa attracts 64,000 visitors a year, but the majority of the money - some 70pc - is made from the product range, skillfully expanded by private equity owners Hg Capital over the past few years.

Nevertheless, the brand is ripe for further expansion in the US and Far East, and demand at this premium end of the market is expected to hold up well.

The acquisition at this time may raise eyebrows, given the current slowdown in consumer spending that the company itself said it was noting, but The Sanctuary was still able to boast an 11pc increase in sales in the four months to the end of the year.

The acquisition was announced alongside PZ Cussons' interim results, which were largely in line with expectations. Growth in its other key markets of Africa and Asia continues apace.

The stock has been a solid performer over the medium term, but on a price earnings ratio of around 17.5 times, investors must pay for it.

Nevertheless, they remain cheaper than larger rivals like Reckitt Benkiser and worth a closer look.

[gateside] 29/1/2008 08:13

PZ Cussons profit up

PZ Cussons today reported a higher first-half pretax profit on a good trading performance.

The company also said it has acquired The Sanctuary Spa Holdings Ltd for £75m in cash.

The consumer products group posted pre-exceptional pretax profit of £32.5m for the six months to November 30th, compared with £30.2m a year before, on revenues of £299.5m, up from £279.8m.

PZ Cussons hiked its interim dividend by 7.5% to 1.075p per share from 1p in 2006.

The company said its full-year outlook remains positive, despite rising raw material costs and the weak dollar. 'Overall performance since the half-year end has been in line with management expectations,' said PZ Cussons' chairman Anthony Green.

[cambium] 07/1/2008 08:33

Gateside, Can you put the financials in the header pls.

TIA

[gateside] 07/12/2007 08:16

PZ Cussons

Our view: Hold

Current price: 211p

For such a well-known household name, the soap maker PZ Cussons is a funny old stock – although it features regularly on the mid-cap movers board, not much ever changes hands. But for those lucky enough to own some, returns have been impressive in the past four years.

Yesterday's pre-close trading statement was cautiously optimistic, forecasting first-half results to be in line with market forecasts, which despite being few and far between would indicate pre-tax profits of £76.2m on the back of revenues of £627m, according to Goldman Sachs estimates.

Cussons manufactures a range of personal cleaning goods, including the eponymous soap, Carex hand and shower gels, and Charles Worthington hair and skincare products. The shares are tightly held – the free float makes up only about 25 per cent of the stock, hence the lack of liquidity.

The completion of a £26m "personal washing centre of excellence" in Manchester is due for the second half of next year, which will combine manufacturing and research facilities. It is being built on the site of a former colliery, perhaps a good place to start thinking about hand washing.

Any new investor should be aware that the founding family still controls most of the stock, and institutional sellers are few and far between. A share split two years ago vastly improved liquidity, but the fact that sellers are always reluctant is a good sign.

Cussons has strong positions in several markets, and demand for its products in several key emerging markets – it does nearly 70 per cent of its business in Nigeria, Indonesia and India – puts the company in a strong position. Its culture is changing from a family-held cash cow to a more expansive company with a modern approach to management.

However, the stock trades on a fairly pricey 18.5 times forecast 2008 earnings, and although its defensive qualities and lack of sellers should support the valuation, the upside could be limited from here. Hold.

[gateside] 06/12/2007 08:41

TRADING UPDATE


PZ Cussons Plc announces its trading update in respect of the half year to 30
November 2007.


First half trading


PZ Cussons is pleased to confirm that results for the first half of the
financial year have been in line with management expectations, with improvements
in both sales and profitability compared to the same period last year.


Update on key projects


Construction of the group's 'Personal Wash Centre of Excellence' in Manchester
is on schedule with production expected to commence during the spring of 2008
followed by completion of the Research and Development and Fragrance Development
Centres by the end of 2008.


Expansion of the manufacturing facilities of the nutrition joint venture in
Nigeria is also on schedule. Additional capacity for the current factory will be
completed by the end of this calendar year with production from the second
factory expected to commence by the end of 2008.


Full year outlook


The outlook for the full year remains positive and in line with expectations,
with additional margin improvement initiatives being actioned to counter the
ongoing impact of rising raw material costs and the further weakening of the
dollar.


Non-executive directors


Mr Mike Smith will retire from the board on 31 May 2008. As announced last
month, Mr Simon Heale will join the board as non-executive director with effect
from 1 January 2008. Simon has held a number of senior management positions both
in the UK and overseas and is currently Chief Executive of 'China Now.'


Interim Announcement


Interim results for the half year to 30 November 2007 will be announced on
Tuesday 29th January 2008.


An analysts' presentation will be given at 9:30am on that day at the offices of
JP Morgan Cazenove, 20 Moorgate, London, EC2R 6DA.

[midass] 30/11/2007 11:35

Up 9% today but not sure why.Any news anybody.Tipsheet perhaps?

[pugugly] 29/10/2007 08:50

New all time high Over £2.00 (£20 pre split) - Up 5% in very light trading. It must have been tipped inthe weekend press - Anyone know where?

Gateside:> Glad to see you are still keeping this thread up to date. At least (I think) we can all sleep reasonably comfortably.

[gateside] 24/9/2007 07:27

PZ Cussons says cash position strong

PZ Cussons, the soap and detergents group, said its first half performance to date has been in line with management expectations.

The company said its financial position 'remains strong' with cash generation during the period also in line with expectations.

In Nigeria, its main market, Cussons said it has concluded the first part of a major two stage review of its Nigerian manufacturing facilities, resulting in the approval of an £18m investment programme.

The programme plans to relocate and modernise the production facilities for Cussons' health and beauty business and also provide additional logistical and distribution facilities to meet the growing demands of the electrical goods business, which is operated in conjunction with Cussons' Chinese partner, Haier.

Cussons said its milk and nutrition joint venture with Glanbia continues to make 'steady progress' and, whilst milk costs have continued to rise, selling price increases have been achieved in the quarter

The group said the performance of the UK business continues to be strong across the portfolio of the Imperial Leather, Original Source, Carex, Charles Worthington and Morning Fresh brands.

[gateside] 22/8/2007 08:12

PZC has gone Ex-Dividend this moring.

[gateside] 01/8/2007 07:28

FT Comment

● PZ Cussons is transforming itself from a paternalistic Greek family-owned business into an international meritocracy. However, in spite of far greater efforts to make itself available to the City, the company is still not fully understood. Partly that is a result of the overbearing weight of the Zochonis family's 60 per cent stake. But it also operates a completely different model to its main rivals, such as Procter & Gamble and Unilever. Rather than target global markets, PZ Cussons tailors its products to local markets. On forecast profits this year of £75m, the prospective multiple is 14, a discount to the sector that looks undeserved on this performance.