Robinson Share Discussion Threads

[castleford tiger] 22/1/2024 08:37

I am sure the idea is to become slimmer and slicker so that the company can make profits every year.

Selling off assets ,such as old sites is pretty normal and removing debt from the business a game changer.
Its been a difficult few years but if we get a good CEO this company could go places.

tiger

[ardee] 19/1/2024 17:04

I wish I could agree. The company is slowly selling off the “family silver “ that will be used to pay down debt and for capital equipment and dividends. The company needs to up its revenue and margins so that it can generate enough cash to support the business.

[baner] 18/1/2024 14:49

tiger - total agreement - there will be a really strong cash flow in Robinson going forward. together with property sales this will turn the company into an increasing net cash position - room for a good increase also in the dividend. NAV probably 150p+ once real estate is sold - EPS should reach 20p+ in 2024/25.

[castleford tiger] 18/1/2024 11:23

i think thats all looking pretty good.

I can see the shares moving up a fair bit this year

tiger

[charo] 12/12/2023 09:58

We had a trading statement on year end at this time last year.

[castleford tiger] 25/10/2023 15:59

They are lucky to have cover. We are next to the Aire and we peaked just 6 cm from an all time high.
We cannot get flood cover from the river.

They will struggle getting cover going forward.

tiger

[charo] 25/10/2023 12:05

Never mind flooding what about trading.

[1tx] 24/10/2023 17:30

Re;Flooding in Chesterfield.Has the development land around Walton Mill been affected by flooding in addition to the HQ & Paper Box factory?

[ardee] 17/8/2023 19:22

Charo
This is all about management. While other packaging companies have been able to maintain and increase profits Robinson who are quite specialised have not followed that trend.
As I have said before they need to be much more aggressive on costs, revenue and prices. If not the company will just drift away.

[charo] 17/8/2023 10:36

Difficult no major player needs their capacity nor Isuspect their margins.
Not really a reverse opportunity for private company a float would be cheaper.
Very few uk quoted competitors who might bid.
Family group will milk for dividend though a cash offer at a realistic level would ,with likely remaining high interest rates,secure their income.
But could business be turned round.
The fate of Molton Brown and Whittards bodes ill .

[baner] 17/8/2023 09:22

Ardee - i believe you are spot on. They really need to get some volumes through their well invested plants - if not……230;they will most likely be bid for by an opportunistic bidder. I guess many R relatives are getting tired with this now……..and will accept a rather low offer.

[ardee] 17/8/2023 09:15

Charo - this is not a stock for institutions. The half year does not make good reading. If volumes margins and costs cannot be improved the Board should consider seeking a buyer before the assets are dissipated through more years of poor trading.

[charo] 17/8/2023 07:24

Operating loss £500k.Ardee few institutional investors will invest in companies with defined benefit schemes .
The company continues to repeat this 6/8% earni gs target,5/6 years now.
This year on 50million of sales will again lose money.
Property sales funding dividends and reducing debt meanwhile business sadly going nowhere.

[ardee] 16/8/2023 17:55

The pension fund was in substantial surplus and so would not have been a brake on the share price. It does tidy up the balance sheet, passing it on to an insurance company.The company very much needs to improve volumes and margins to produce decent profits.

[charo] 16/8/2023 11:54

What will profits be from operations.The cleaning up of pension fund is great news and when sold off removes a big brake on shares.

[baner] 16/8/2023 10:02

I assume they need to do some clean up on the site and that is what cause the very high expenses.

[castleford tiger] 15/8/2023 05:48

I will ask the question re the 400 k.
There must be a reason ( clearance etc ) the price per acre looked high too.
I will get an answer today from the FD
Tigee

[ardee] 14/8/2023 17:31

The expenses at £400K ie almost 30% of sale proceeds seem unduly high. I would hope that the management would not fritter away all of the property assets. They do need to have a more focussed sales and pricing policy.

[baner] 14/8/2023 14:03

tiger

i totally agree with you. they are doing a good job cleaning this up and reducing debts to a very comfy level.

[castleford tiger] 14/8/2023 09:12

Looking much cleaner now.
Just need the business to pick up and make some cash now. Still think 150p is fair value
Tiger

[value hound] 14/8/2023 07:46

The escrow funds and properties some of which are to be sold "in the next 12 months" come to 64pps.

Interims on Thurs but surely H1 will be bad as stated on 22 June; "Profits are substantially below the first five months in 2022" but at that time they still expected "to deliver full year adjusted operating profit in line with current expectations" - so weighted to H2 due to better trading and cost saving measures?

[18bt] 14/8/2023 07:28

So pension escrow now released. Net debt at 31/12/22 was £9.2m. Since then £0.7m realised on 31/5 from property sale. This should take debt down to £5.3m with a further £1.1m to come if planning achieved.

Nothing on current trading, so must assume in line with the £1m operating profit they did in H1 last year. Net debt now highly supportable from trading.

[charo] 04/8/2023 21:54

So discarded production director now at multi national competitor.

[1tx] 31/7/2023 11:27

The £3.2m which is in the pension escrow account that is to be returned to RBN was never part of the pension fund;it was monies paid into an account by RBN which would be put into the pension fund if at some future date when the pension fund was wound up & it was found the liabilities exceeded assets.However it seems the actual pension fund is in surplus after transfer of its liabilities.RBN will not benefit from actual pension fund surplus as I understand it is being used to enhance benefits to members above the contracted level.

The £3.2m being returned from the escrow account are a provision made by RBN now no longer required & I don't think it is taxable as it was made from net funds so will not appear in p & l accounts when it becomes available to RBN.

[charo] 26/7/2023 09:35

All three,If so what does this say about board !!!