Qinetiq Share Discussion Threads

[kb1066] 18/8/2009 07:43

ha ha thanks Jab. I have faith. I have a 12 to 18 month view on these.

[niellyg] 17/8/2009 07:45

QinetiQ Group PLC

Metrix awarded £31m training contract

QinetiQ Group PLC, an international provider of technology-based services, announces that Metrix, a joint venture between QinetiQ and Sodexo, has been awarded a £31m contract by the Ministry of Defence (MOD), as part of the Defence Training Review (DTR) Package 1 PFI Project.

The Early Training Transformation (ETT) contract will see the consortium, the Preferred Bidder for the MOD's DTR Package 1 Project, take the first important steps toward providing key improvements to the UK Armed Forces' technical trade training.

Commenting on the award of the contract Graham Love, QinetiQ CEO said: "We are delighted that Metrix has been awarded the ETT contract. It is a significant vote of confidence from the MOD in the consortium's ability to begin to introduce improvements to training delivery as we continue to move forward to financial close on the overall DTR programme, which remains on track for 2010."

The DTR Package 1 Project aims to transform the way the MOD delivers specialist engineering, communications and information systems training on a Defence-wide basis.

Metrix is a consortium led by QinetiQ, which leads the training delivery arm and Sodexo, an international facilities management group, chosen by the UK MOD to provide training design and development services. It will also build and run the UK MOD's Defence Technical College (DTC) in St Athan, South Wales.
The ETT contract is designed to introduce improvements to key elements of the Armed Forces' specialist training programmes. Metrix will use Raytheon, a principal member of the Metrix consortium and a leading US technology company specialising in defence, homeland security and global training services, as the main sub-contractor to undertake the work which will provide the foundations to enable QinetiQ-led teams to deliver the technical trade training.

Brigadier Tony Harking, the leader of the Integrated Project Team (IPT), the team which manages the DTR Package1 Project, said: "In order to be ready for the move to St Athan in 2014 it is necessary to undertake a degree of Training Transformation early, hence ETT. ETT will provide both parties with greater confidence that the process is successful when applied to British Forces technical training."

END
Contacts:



QinetiQ Investor Relations:



Lucinda Davies: [phone]



QinetiQ Media Relations:



David Bishop Tel: [phone]

[jab118] 16/8/2009 20:33

stockadoole.

songs of praise.... then.. :@)

I don't think there's much more downside here so will be drip feeding here if it drops anymore...

[mw] 16/8/2009 19:37

Need news of a $bn plus contract in US to show that economies of scale from all these acquisitions mean it can play with the big boys,. I think it is listed 37th out of top 100 US defence contractors at the moment.

[stockadoodle] 16/8/2009 19:29

This is the IC negative take on QQ FYI. They list very few non negative things

Bull points:
- Resilience of defence spending
- Sterling strength cutting net debt

Bear points:
- Sensitivity to slowdown in US orders
- Pressure on UK defence budgets
- Confusing business model
- Habitual re-structuring charges

NAV: 91p
Net Debt: 89%

Other bits said: No enticing divi yield (4.3%) / Stuck in a rut / Under-performing sector peers by 20% since start of year / Market loosing interest in QQ / Lots of US acquisitions now make QQ worst balance sheet in defence sector.

I am not a holder but these have been on my watch list for quite some time so have been following the posts on here.

[mw] 16/8/2009 18:29

Key thing shown here is consultancy and support services (which is mainly in-house).
Manufacturing was not allowed when QQ was first floated, because established manufacturers felt (and persuaded the MoD) that it would have an unfair advantage, as it used to advise (in the DERA days) on the merits and de-merits of industries' ideas.

Regarding the IC article, anything connected with defence seems likely to be for review. But, I would submit, the major savings will come from axeing one or two big programmes, not by salami-slicing the hundreds of research and support topics. And QQ knew the research cutbacks were coming (if only through widening of competition) and has positioned itself to be less reliant on the UK market by careful overseas acquisitions.

As I've said elsewhere "Difficulty with MoD research is that it has limited margins. Essentially it's one on one (one person - one product), you can't sell the same research again and again, unlike a manufactured product. When it comes to exploitation, you've got to look overseas for deeper pockets."

[jab118] 16/8/2009 16:38

wm ,..... whats this all about then Scotch Mist ?

[zeppo] 16/8/2009 15:51

I have not read it yet but I believe Investors Chronicle advised: Sell
on Friday 14th Aug.

Unless someone can give us the gist of their reasoning I will have a look in the library next week.
I no longer buy IC. I would have been better off if I had never started to look at it some twenty years ago. I followed some of their tips into disasterous smaller and mid-cap companies.

As a complete novice I would have been far better off sticking with 'Blue Chip' Top 100 companies.

Whatever IC say I am content to stick with it.



z

[mw] 16/8/2009 14:03

jab118

Where are the UK factories?
When I last visited it was offices and labs.

[jab118] 16/8/2009 12:53

Oh yes they do !

[mw] 16/8/2009 12:45

jab118

QQ does not engage in significant manufacturing for MoD, so no supply chain issues, I would have thought.

[jab118] 16/8/2009 12:20

Hi wad.

I would have thought, the market had wind of this article on Friday,
hence the down trend, which I found totally unprecedented at the time, as QQ was clearly and evidently in a bullish mode..

[wad collector] 15/8/2009 23:02

One day this share price will make me smile.Not this year it seems.

[jab118] 14/8/2009 15:11

Oh blimey ! might get another chance, go on mr mm do us a favour !

[zeppo] 14/8/2009 12:01

Interims 25th November 2009

(Financials see header at top of each company thread.

z

[itsonlyme2] 14/8/2009 11:33

Hi All
This ones popped up on my system as the perfect BUY

Its a resistance breakout
Macd just turn positive
Stochastic just turned positive and is at 20%

Going to buy some has there been any bad news lately or is there interim due out

[mackie] 13/8/2009 22:48

zeppo - Interesting stuff, Thanks

[mackie] 13/8/2009 15:52

Had not heard that story but I'm sure the MoD are impressed with QQ, after all they spawned it. But also equally sure that their political masters will decide their future stratagy.

[jab118] 13/8/2009 15:38

captain Mackie...

I thought the MOD.. was impressed with the robustness of QQ's bomb defusing robot, after It was accidently drove into a wet road side trench, but still worked afterwards.

[jab118] 13/8/2009 14:32

kb..

looking more of a promising bargain now, with you entry point of 133.

best of luck

[mackie] 13/8/2009 12:02

I think this is a really sound company with a great future but struggle to understand why the share price is where it is. Is it possible that that the sale of the Mod shares which was announced last year,(i think in the region of 176m) is still ongoing and in effect holding the price down because there are still large numbers to be mopped up. I would be grateful for any views or knowledge on this subject.

[zeppo] 13/8/2009 10:20

deanroberthunt

Click on 'Financials' at the top of any company thread on ADVFN and you get full details including the current share price.

EG from 'Qinetiq Company Financial Information' :


'Price Price Change [%] Bid Offer Open High Low Volume
136.20 1.5 [1.11] 136.20 136.50 134.40 137.50 134.40 428,085
Market Cap. [m] Shares In Issue [m] Beta EPS DPS PE Ratio Yield 52-Wks-Range
899.57 660.48 0.73 14.30 4.75 9.52 3.49 235.25 - 123.00

Qinetiq Key Figures
(at previous day's close)
Market Cap. 899.57 m
Shares In Issue 660.48 m
Prev. Close 134.70
PE Ratio 9.52
Dividend Yield 3.49 %
EPS - basic 14.30 p
Dividend PS 4.75 p
Dividend Cover 3.01 '

I find it a comfort that the divi is covered three times.

Perhaps others can comment on whether this helps with continuing divi increases or just helps to make sure we get the next divi even in difficult times.


z

[dynamic2005] 13/8/2009 08:54

....and also paid 4.75p dividend in 2009 (3.25p final Ex-Div 5/8 & 1.5p Ex-Div 21/1).....So around 3.4% yield at 140p.