Quarto Share Discussion Threads

[battlebus] 30/6/2010 15:36

Hi Foodcritic yet another great statement which has been overlooked by the market. This is my all time favourite share which i,ve held for atleast 10 years and intend keeping as the dividend is substansial infact i think i,ve trebled my investment on dividends alone. Someday the value will out.

[foodcritic] 30/6/2010 15:16

THE QUARTO GROUP, INC - ANNUAL MEETING STATEMENT

"performance running ahead of expectations"

"Quarto's performance in 2010 is running ahead of expectations. Revenues are up, inventory is down, cash generation is stronger than forecast," reported Laurence F Orbach, chairman and chief executive of Quarto, at the company's annual meeting today. "Improved focus of working capital management, and materially lower interest costs underline our robust performance.

"Much of the credit for this is attributable to our strategy and publishing programs, which take advantage of the global reach of Quarto's effective international sales operations, and our rigid determination not to be dependant on the performance of individual best-selling titles. It's the spread of our title offerings, and of our geographical markets, that underpin our success.

"In our major markets, particularly the US and the UK, traditional business remains subdued, while Australasia continues to outperform. Quarto's imprints are not much affected by the fever surrounding e-books, which continue to generate more heat than light. Our new titles continue to be licensed and ordered, and we reprint regularly to meet demand. We have strong lists of new titles, having decided to maintain our investment in new titles during the recession.

"Today's annual meeting approved all the resolutions on the ballot, including the final dividend, which will be mailed to shareholders shortly."

Enquiries:



The Quarto Group, Inc. 020-7700 9004

Laurence Orbach (Chairman and CEO)

Mick Mousley (CFO)

[battlebus] 23/3/2010 07:56

Pretty good results given the economy.profits down only 10% and dividend held at 7.15p or 8.5%. First time the chairman Laurence Orbach has had a little rant which probably shows his frustration at the shareprice.

[huttonr] 21/9/2009 16:58

Quarto is a niche business, providing beautiful products for customers who know what they want. The company is not immune to recession, but it is more defensive than many and its shares are undervalued. Buy, says the Mail on Sunday.

[balcony] 21/9/2009 09:57

Moving up fast this morning

[battlebus] 21/8/2008 10:03

Steady interims in the face of a slowdown. Holding tight to these.

[huttonr] 01/5/2008 17:36

Mostly due to MBI purchase - but, as usual, keeping steady.

[battlebus] 24/4/2008 14:42

Excellent trading in statement today. Q1 figures are quite impressive .

[battlebus] 22/2/2008 18:20

ANOTHER DECENT AQUISTION COULD PUSH THIS ALONG AT ANY MOMENT.

[huttonr] 22/2/2008 16:43

Well - respectable results, and I suppose that the share price is not too bad considering the general market turmoil - but it would be nice to see it back up to the 180/190 area - not until 2010, I guess.

[battlebus] 20/2/2008 18:58

impressed with results and increased divi during difficult times in the USA.

[das9] 20/2/2008 10:49

With acknowledgements to Huttonr:

We seem to be having a very depressed share price at the moment: anything happening or do I just sit back and suffer?

[ddahj] 20/2/2008 10:04

Great company on very low PE around 7 and good yield

[battlebus] 09/1/2008 17:32

Ennismore now at 10%.

[battlebus] 10/10/2007 19:18

Sit back and enjoy.ENNISMORE adding again and some big trades a few days ago might mean the aquistion is paying.One of the best run companies on the stock market.

[huttonr] 10/10/2007 09:43

We do seem to be having a very good rise in share price at the moment - is there anything happening or do I just sit back and enjoy?

[battlebus] 11/8/2007 16:20

Interims out soon,expecting sales to be slightly lower and maybe news of aquisitions.

[drectly] 08/5/2007 09:05

many thanks for posting, JL normally gets it right, patience required. Still not bought, just need a take over to redirect funds to Quatro, but it may be QTR first.

[cwa1] 08/5/2007 08:47

John Lee: Everything is processing nicely
By John Lee

Published: May 4 2007 14:24 | Last updated: May 4 2007 14:24

I find that my portfolio is developing into an interesting mix of both "personal" and "process". In a way the "personal" has always been there – discovering a hidden jewel, researching, and over the years developing a close relationship with the chairman or chief executive – they almost become part of one's extended family. For me all this represents the fun and fascination of the stock market – pleasure, interest and satisfaction – plus, hopefully, financial gain!

A classic example of this would be Air Partner, the world's leading air charter broker, which I first "discovered" in 1999, initially buying at £2 per share. I met chairman and major shareholder Tony Mack and chief executive David Savile, visited the company's Gatwick headquarters and attended the AGMs. Over the years the company has grown – with 10 per cent dividend increases annually, 21 offices worldwide, a £12.50 share price, loads of favourable publicity and a heady price/earnings (p/e) multiple of 27. I confess to actually selling a few from my Pep at £11.40, hoping to buy them back on a bad day – but from experience this rarely works!

The "process" part of my investment life essentially involves building a portfolio of quality established small cap stocks, staying aboard, and allowing corporate developments to take their course – with approximately 45 holdings something is usually happening. Thus I have just received the cash proceeds of two recent takeouts – insurance broker Windsor and the minerals specialist UCM – and consumer finance group Hitachi, only bought a few months ago, has just agreed a cash takeover by its controlling parent, the Hitachi Corporation of Japan; while housebuilder Ben Bailey and soft drinks group Nichols are in takeover talks. This "process" – almost a production line – brings a steady cash flow and shows no signs of abating.

To this liquidity must be added two recent short-term successes somewhat outside my favourite small cap sector – aerospace/engineering group GKN bought at an overlooked 282p last December and sold fully valued in April at 390p; and Alfred McAlpine, bought on what I considered an excessive fall after disclosure of its slate quarry fraud at 444p and 465p, and sold very recently at 490p after full-year figures. My not unpleasant dilemma is what to do with this rising liquidity given that I am not seeing new "value" opportunities. I resolved to add to two existing holdings, Delcam and Quarto, but retain higher liquidity until new situations arise, perhaps via a fall in the market.

I first wrote about Aim-quoted Delcam in February following a visit to its Birmingham home. I drew attention to the quality and international nature of its clients and business – supplying software for manufacturing processes, particularly of complex shapes – its massive research and development expenditure relative to turnover, its eight times dividend cover, and a p/e ratio of around 10. Though the shares are a tight market, given the size of directors'/employees' shareholdings, I bought more after my visit, then more still at 420p after Renishaw agreed to subscribe £6m for 20 per cent of Delcam's equity at 400p, and then more still at 415p. This followed a buoyant trading statement at the end of April pointing to sales increases with particularly strong growth of maintenance income.

Overlooked international book publisher Quarto has been a disappointment – its share price never reflecting the value of its titles from which it generates significant annual licensing income.

I have been buying its shares since mid-2005, averaging around 195p. The unexpected default of a US customer knocked the shares but I regarded this as an unfortunate "one-off" and took the opportunity to pick up more at 163p. I recently had a very enjoyable lunch with conservative founder Laurence Orbach, 30 years at the helm, at the HQ close to Moorfields Eye Hospital. We shared the table with piles of new quality publications – 500 each years and hopefully of an enduring nature – including Biblica, a magnificent coloured atlas of the Bible which will retail at approximately £75 and a range of practical books with imprimaturs: The Art of Flower and Garden Photography, RHS; Outdoor Fix It, Black & Decker; Landscaping and Lawn Care, John Deere; and Sewing Guide, Singer.

Quarto is capitalised at only £36m, with a yield of nearly 4 per cent and a single figure p/e ratio – well below its peers: I confidently expect my "process" to ultimately deliver.

[drectly] 08/5/2007 08:25

can someone post the John Lee article, cannot see it in the FT US version
or give the jist of it
thanks drectly

[battlebus] 08/5/2007 08:21

John Lee adding a little to the price this morning.

[finbarr] 06/5/2007 12:09

Hybrasil,

Having a look at this one,having read John Lee yesterday. I see CWA1 is here as well!!

[battlebus] 04/5/2007 21:48

Welcome CWA1 hope your purchase proves profitable.The way i see it this co is greatly undervalued but the possibility of a major aquistion could change all that.There is potential for the market value to double overnight and imho this will happen before july and we will have a major rerating so nice timing.Oh and the divi's a bonus if your a long term holder like me.

[cwa1] 04/5/2007 15:38

Afteroon Everyone

Just grabbed a few this afternoon. Best of luck to all holders :-)