Pz Cussons Share Discussion Threads

[spoole5] 22/9/2021 06:56

I don't think the family would accept a low ball bid. In the meantime balance sheet looks excellent, could well afford a buyback next year. Collect the dividends and wait for the bid!

[pugugly] 22/9/2021 06:51

spool5- Agreed - But re bid PZC is a perpetual bridesmaid but never the bride - She needs a new dress the old is becoming worn out.
Message received form announcements - We are trying hard to refresh our brands and get rid of surplus fat, but (imo) they have much further to travel before we can see if the new strategy will ultimately deliver the results shareholders expect - If not could well be picked off by a vulture with a low ball bid.

[spoole5] 22/9/2021 06:41

Will be some weakness early on i think. Will look ever more vulnerable to a bid.

[cfro] 22/9/2021 06:39

Final results all as indicated.
We must not forget that it has been a year of disruptions, across the globe, with lock-downs, supply-chain issues and then cost pressures on top.

Nice to see an increase of 5% in the divi and debt brought down.

We also have a trading update for Q1 which is much more of a mixed bag but again we must except the various disruptions and the cost pressures as fact. Very strong comparisons against Q1 last year, so it is right to give two-year figures. Carex, for instance, up 40% on a two-year comparison.

The next three quarters should show better growth and they have already indicated single digit revenue growth for the year.

[spoole5] 22/9/2021 06:11

Net debt dowm to 23m. Could well be in a net cash position in 12 months

[essentialinvestor] 22/9/2021 06:10

Looks more than OK on a very quick read through.

[philanderer] 21/9/2021 23:16

PZ Cussons results due


On the UK corporate front, meanwhile, full-year results are due from Imperial Leather maker PZ Cussons.

Russ Mould, investment director at AJ Bell, said that after an 18-month period blighted by a global viral outbreak it would seem sensible to expect a maker of hand gels and soaps to be doing well.

"That is the case, at least up to a point, at PZ Cussons, the owner of Carex hand gels, Imperial Leather soaps and St Tropez tanning products, as the shares are up by 50% from their March 2020 lows.

"However, troubles in an important market, Nigeria, a period of underinvestment and uninspired marketing have cost these names some lustre and the company’s net profit (before exceptional items) slumped from a peak of £85m in the year to May 2014 to £47m in the 12 months to May 2020."

Mould noted that management is looking to improve performance in Nigeria, where a complex business structure has exacerbated the problems presented by oil price volatility, recession and devaluations of the local currency, the naira.

"Self-help will be the order of the day as PZ Cussons again focuses on core brands, in this case Premier Joy, Morning Fresh and Cussons Baby," he said.

"July’s trading update suggested the plan was at least off to a good start as Mr Myers revealed: Annual sales growth of 7% on a constant currency basis as all regions and each of Hygiene, Baby and Beauty showed higher revenues. On a stated basis analysts are expecting full-year revenues of £612m, up from £587m last year.

"Adjusted pre-tax profit would exceed the prevailing consensus of £63m to £64m and the £62m earned in the year to May 2020.

"Analysts will look to those numbers and also any guidance that PZ Cussons feels able to give for the year to May 2022. At the moment, the consensus analysts’ forecasts are looking for a 1% increase in stated sales to £619m and a 5% increase in underlying pre-tax profit to around £67m.

"The combination of the robust balance sheet and double-digit operating margins should mean PZ Cussons can once more pay a final dividend."



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[spoole5] 21/9/2021 14:03

Pretty unjustified given the progress made. We will see tomorrow

[philanderer] 21/9/2021 13:46

My thoughts exactly, just 4p above the low for 2021 at the moment.

[spoole5] 21/9/2021 13:31

Certainly some low expectations judging by the sp

[philanderer] 21/9/2021 13:19

Thanks spoole. Fingers crossed ;-)

[spoole5] 21/9/2021 13:19

Results are tomorrow

[pugugly] 21/9/2021 12:58

Problem (imo) Is Nigeria - Corruption - insurgency - pollution - etc etc -

[philanderer] 21/9/2021 12:56

cfro , anything to do with this thursday's results ?

[cfro] 21/9/2021 12:30

No it isn't philanderer, i suggest it's just algo's and HFT's messing about with the price.

[philanderer] 21/9/2021 09:23

Stock specific today.

[spoole5] 21/9/2021 09:14

Back to 12 month lows, despite the new management's efforts seems like a struggle to make progress with the share price A lot of the 250 being taken out, this must be starting to look attractive to a predator.

[essentialinvestor] 21/9/2021 08:56

Issue is margin guidance on increasing costs.

[spoole5] 21/9/2021 07:03

Not much confidence ahead of results here.

[cfro] 20/9/2021 12:14

Yes, wider global malaise , nothing stock specific here.

Chinese listed Evergrande in trouble which "could" have much wider implications if not kept in check. S&P futures off 1.61%.

[philanderer] 20/9/2021 10:37

22/30 red in my lot today.

[essentialinvestor] 20/9/2021 08:23

Wider markets not looking great tbf!.

[spoole5] 20/9/2021 08:10

Chart not looking great here now

[spoole5] 16/9/2021 22:07

I'm sure it would make sense at 400

[toffeeman] 16/9/2021 17:16

HAve a look at CAY as to what can happen with a large family holding - it's about the price