Rws Share Discussion Threads

[alotto] 12/12/2024 10:16

I don't know the reason behind the dispose of PatBase, I don't think RWS said much about it tbh. I dount it was to raise the £30mln cash. You may know more than I do about this

[indiestu] 12/12/2024 09:22

Would you sell your old jewellery when the gold price is low?

Probably not unless you needed the money.

[alotto] 12/12/2024 09:17

I agree on borrowing to pay dividends, buyback should be funded by retained profits. However, being the dividend payment so generous, it makes sense to pay interest on debt rather than dividends.
Why do you think the disposal of asset was not a sensible business decision?

[indiestu] 12/12/2024 08:39

That's not my point, the cash would not be on the balance sheet, it would have been spent to operate. During the year they had to make a distressed disposal and borrow money to pay operating costs and the dividend. The debt is now incurring interest payments, this could have been avoided had the money not been spent on the buyback. Cash generation going forward is not in question.

[alotto] 12/12/2024 08:31

Cash on balance sheet won't earn more than the 7% the stock yields.
I don't see cash being a problem, having made £60mln pbt or £100mln on an adjusted basis I doubt we will be cash strapped in the near future.

[wad collector] 12/12/2024 08:25

Well , the dividend is worth having but there is not a lot of cover on it . The numbers are perhaps not as bad as expected, but in today's result-critical market who knows what the share price will do after the initial little flurry?

[indiestu] 12/12/2024 08:13

I would have kept the cash on the balance sheet as I would know have known I was going through a difficult trading period. It would now be a a net cash position. Cash is king in a difficult economy. The share buyback was vanity and an attempt to prevent the share price decline. It was extremely amateur and called the managements integrity into question.

[alotto] 12/12/2024 08:07

What would you have done with the cash instead? There was no debt to repay.
At the time of the buyback the share price was considered low enough for the BB to make sense
In hindsight it would have been better to wait for the current valuation, but there was no way to tell last year.

[indiestu] 12/12/2024 08:07

Slightly disappointing open but taken a long spread bet for fun.

[alotto] 12/12/2024 08:05

Sometimes you can't reinvest everything in the business, there is a limit how much cash the business needs to grow.
Excess cash is a nice problem to have

[toffeeman] 12/12/2024 08:03

I see share buy backs as telling investors that management can't use funds to grow the business.

[alotto] 12/12/2024 07:47

I can't tell about today but the stock is potentially 50% undervalued. AI has to get on a stable foot to clear concerns on RWS competitiveness in something that has never been RWS core business. It did pretty well so far.

[toffeeman] 12/12/2024 07:37

Or we'll get smacked for failing to grow!

[indiestu] 12/12/2024 07:36

Trailing PE of 12.5. Nearly 8% dividend. Should be at least a 20% rise today.

[alotto] 12/12/2024 07:06

Nothing new under the sun this morning.

[orange1] 28/11/2024 12:12

Also known as a resumé.

[jeffian] 28/11/2024 12:06

"Ben has more than 25 years' experience in digital transformation and leadership across the technology and media sectors, creating and leading international teams in sales, partnership development and marketing. Ben will bring significant expertise in transforming businesses through the use of technology and driving profitable organic growth.

After eight years at AOL, culminating in the role of managing director for France, Ben joined Alphabet in 2008 where he launched the monetisation of YouTube across Europe. He then took a series of leadership roles for Google in the EMEA region before becoming managing director of Google Cloud for Southern Europe and Emerging Markets. In 2021, Ben joined Webhelp, a leading customer experience management company, as UK CEO and, following their merger with Concentrix, he led the transformation and technology team at Concentrix in his most recent role."

[jeffian] 28/11/2024 12:04

Oh for goodness' sake!

[alotto] 28/11/2024 11:46

What is "the CV"?

[phillis] 28/11/2024 11:00

Yes- the CV

[phillis] 26/11/2024 13:05

Like the CV

[alotto] 26/11/2024 10:42

Was it bad?