Restore Share Discussion Threads

[hjfe] 06/2/2011 13:45

Looks like DCS is about to get a shiny new website:



Good to see some case studies and testimonials of contracts being presented:



Hopefully a sign that this arm of the business is picking up and that new public sector contracts are being negotiated. They mention a contract to digitise all of Leicester City Council's Social Care records - this is exactly the sort of business activity that is going to grow exponentially over the coming years. Data Protection legislation has made secure data storage a real headache for local and national government, and digitisation of existing hard copy with online retrieval is the way everything will go.

[hjfe] 02/2/2011 21:41

From Sharecrazy:

02/02/11 01:24 PM

Recommended on t1ps.com at 28.5p in Nov. Up to 38p now, but still looks attractive given 2010 EPS forecast of 4p and 2011 6.8p. Has strong cash generation and long-term structural driver of increasing amounts of data being produced.

Steve Moore
t1ps.com, analyst

[hjfe] 26/1/2011 12:54

Folks,

Nothing more to add really. A positive trading update showing that the transformation is on track - good to see Peter Cox recovering nicely for disposal when the time is right. I suspect we will need to see the housing market pick up first.

Best thing for me is that the share price hasn't shot up this morning - the rampers haven't picked up on this. A steady rise for a few days as buyers come in and then consolidation before the final results are announced is much more sustainable for the long term.

We may well get one or two new broker notes too - all we have at the moment is a rather dated buy note from Cenkos, the house broker.

[riggerbeautz] 26/1/2011 11:51

Couple more done the same as you by the look of it Fo77y, think we are a long way off radar, which is nice in many ways, albeit the share price will crawl rather than rocket for now.

Taking Masurenguy's point on DCS, be interesting how much the growth dwarfs the perfomance there. Suspect that 9% figure will drop substancially, to the point of becoming a real bit part of the business itself. Almost wonder if it might be better losing that side, given the ease the other acquisitions and maybe more to come, are already providing comfortable fit's?

[fo77y] 26/1/2011 10:09

I'm pleased with the update, a positive statement without going to overboard.

Glad to see that the two acquisitions seem to have slipped into place without any problems, and have (just for you riggers) "exceeded management expectations" :-)

Bodes well that peter cox is improving all the time, if we do eventually sell it off, then at least we'll get a decent price for it, but as for the moment there is no pressure to do so.

Having the core part of the business doing well, will allow them to focus on improving/cost cutting the DCS part of the business.

All in all, another positive step in the right direction, justifies that we have a completely different company from the days of mavinwood and that 2011 will be interesting. So much so that i decided to add another 10k this morning.

[riggerbeautz] 26/1/2011 08:02

That just about sums up my thoughts, but doubt any move will be made on a sale, if they cannot extract any value out of Peter Cox's brand in the current climate - it is making profit, no harm keeping it. Agree on DCS

[masurenguy] 26/1/2011 07:47

Sounds positive with only the ongoing performance of DCS being a negative at this stage. However, to put the latter into context, it only represents circa 9% of revenues and income.

Physical document storage is obviously making great progress and is the main driver of profit growth. I would like to see Peter Cox sold to both reduce outstanding debt and to enable them to completely focus resources on their core business activities.

[hjfe] 23/1/2011 17:12

There's now a YouTube video demonstrating how Restore Online (launched in December) works - a bit technical for me, but worth a look:

[hjfe] 23/1/2011 16:50

Hi mojogo,

We expect 2010 results in March because that's when they've been reported previously - no reason to think this year will be any different. They could come earlier (or later), of course.

I expect we will get a trading update before then, possibly as part of another announcement, such as a further acquisition. Again, this has been the pattern before.

Anything could happen over the next few weeks - the company is in a dynamic phase of its transformation, with plenty still to come. No one other than the BoD knows for sure what to expect, of course. We could get something this week - who knows!

All I would say is don't worry about the recent slight retrace - this is being kept on a tight leash for now. The longer term trend remains strongly up - this is still in the starting blocks. It is also a stock for the mid-to-long term, and for patient holders. Those that are will be well rewarded in my opinion.

[mojogo] 23/1/2011 14:30

This might seem a silly question, why is there no mention of the future results date on the company website? As some of you seem to expect them March, what do you expect sooner?

[masurenguy] 19/1/2011 16:23

Thanks for the feedback guys.

[riggerbeautz] 19/1/2011 15:35

Totally agree, should have added any sale would now be on RST terms, rather than a distressed basis that the old MVW was likely to incur. Personally would like to see it go myself and said so before, but if it's also a profitable misfit, then keep it until the price is right.

[hjfe] 19/1/2011 11:21

Masureguy,

I agree that a disposal of Peter Cox is likely in due course, but I don't thing the BoD are in any hurry to do so. I think they will wait until they can realise its true value, and that is probably some way off. Management has been strenghtened and there is no sign that Restore plc has less interest in it that the other businesses.

Charles Skinner is following the same business model he used to build Brandon Hire - consolidation of small acquisitions to create nationwide reach and a strong brand identity. He will drive costs down with integrated systems and economies of scale.

The other attraction for me is the rapid rate of growth in demand in the sector - Restore plc will be perfectly positioned to become a serious player.

[riggerbeautz] 19/1/2011 10:31

Hi Masureguy, good P.R will tell Shareholder's Peter Cox is a vital part of the business; reality is they would have disposed in the past if they could and suspect they will in the future at some point, but I doubt the company will tell you that from my own experience enquiring.

Despite the turnaround in fortune, given the nature of the business and bad weather affecting anything remotely construction related, it will be interesting how well P.C have progressed since the last results. No point guessing though, as there will not be that long to wait for such news. In any event, bad news may be offset with progress in core division's, which would only confirm perhaps your line of thinking and the obvious.

[masurenguy] 19/1/2011 08:55

I'm doing some initial research and DD here - interesting history and rationalisation of an established business to focus on both hard and soft data storage and to leverage their existing customer base with some small core acquisitions to increase both capacity and geographical reach.

I would assume that they will dispose of Peter Cox in due course. A legacy business that has no relevance or synergy with the core focus of the group and, since it is trading profitably, the proceeds would help strengthen the balance sheet further. I would be interested in any views on this from HJFe or other established shareholders ?

[mojogo] 18/1/2011 13:29

Thank you for the welcome. A small investment for me on taking early retirement. Will not post often. Looking for any other steady growth stocks. Any others either of you would consider for the next year?

[riggerbeautz] 17/1/2011 20:24

Ah nice little walk down going on now, definately must be due news soon mojogo and welcome from me too b.t.w.

On that timescale I too would hope for a double from here, but don't want to make rash predictions, just let the update when it comes prove whether or not we are in good health.

[hjfe] 16/1/2011 11:45

mojogo - welcome! This is a quiet board - no bad manners here! There's only a few of us making occasional comments & observations - and I suspect most are planning to hold for the long haul. Thankfully we haven't attracted the "pump & dump" brigade.

Restore plc is at the early stage of its recovery - 2011 will the year we see real transformation. Like you, I'm waiting for the share price to reach multiples of where it is now. All the best!

[mojogo] 15/1/2011 16:03

Just want to say hello. This board seems quiet friendly and i'm only a small new investor. Was told by a friend to expect news soon here, bought on that basis as a steady growth play. Like the company website and news last few months. Se myself a target of double this price by the end of the year. Please be nice to me or i'll go back and hide!

[hjfe] 14/1/2011 16:00

Fo77y,

Wouldn't be surprised if we get some news next week that could move us on a bit.

[fo77y] 14/1/2011 13:08

Been quite a few sells over last week, but i suppose that's to be expected after a reasonable rise in a short time frame.

I agree, that patience will be rewarded, but if it does drop further, i'll be very tempted to add some more to my portfolio.

[hjfe] 12/1/2011 11:31

Remember - patience will be rewarded............!