Scapa Share Discussion Threads

[cambium] 05/10/2006 15:18

sorry guys time for a new thread

[cambium] 05/10/2006 15:17

Time for a new thread

Scapa Group plc, a global supplier of bonding materials and solutions, is today providing a period end update for the six months ended 30 September 2011.

Group revenue is marginally ahead and operating profits are significantly ahead of the same period last year. Continued progress on margins has been maintained through self help measures of efficiency, cost reduction and focus on higher quality business. Strong cash flow in the period increased net cash to GBP20.8m at the period end.

While remaining cautious in the face of the current negative economic sentiment, the Board is confident about the Group's outlook for the year which is in line with current market expectations.

Scapa Group expects to report its interim results on 29 November 2011.

[martest] 05/10/2006 08:18

GSW. bought in yesterday.Have not any CSLT yet,just watching.SPT have come up trumps at this moment,would appear they are only just starting.That is what i expect in acouple of weeks a sudden RNS from SCPA which will get them on the radar and moving.Forethought and patience,once you know which management to trust.Its similar to a crossword ,if you can get used to the mentality of the compiler it makes life easier in deciphering the cryptic clues.Good luck and welcome aboard again.Will now watch ready to step in again once the share price starts to move and build up a decent holding here as well.

[gswredland] 05/10/2006 07:03

Martest,
Thank you for that. Have alot of respect for what you say.
I did not know Hanoover had bought in here and it certainly seems interesting. I was in ELM and bought SPT about 5 weeks ago and RNO in last week. Hope i am not too late with these! When did you buy in here?
Have you bought CSLT?

Regards.

[martest] 04/10/2006 21:28

GRW.In answer to your question -why have i bought in now.I have been watching SCPA since June when Hanover accumulated 6.6m shares(5%) Then UBS had 17.6m shares(12%).ThenWelcome trust came on with 4.8mshares(3.3%) and another fund apparently has 20%.Then directors re- negotiated with insurers in USA an Asbestos claim of old and they sold a couple of businesses bringing in
£17m.The business is improving and the directors as you see are getting their heads down and clearing the decks,-for what???.The interims will be due middle/end November when we could be in for a little excitement RE; Board stregnthening.It wouldnt surprise me to hear thatHANOVER have increased their holding and are seeking board representation and WILL get it with their track record.This is their way of increasing shareholder value for themselves and US.Take a look at FOUR, ELM or SPT and you will realise this is their MODUS OPPERANDEI.This is why i bought in now.Over the next few weeks many,many more investors will alight here.WHY? even the present board have been buying shares the last week in anticipation.I am only following their lead and my faith in HANOVER DYOR and good luck.sorry its been long winded but its all fact.

[langland] 04/10/2006 17:20

Sorry for the delayed reply. I have no great insight on this I am afraid tho' I have been looking at it quite a bit in the last week or so. Like you, have watched it forever. But I decided to take the plunge today with relatively small amount (25k) since I thought some more Renold lurkers might hit the buy button on this one as well.
As a recovery situation I don't think it is too bad but a purchase around 20 would have been a much better risk/reward trade. Just waiting for LDSG trading statement and/or results. Here's hoping.

[arthur_lame_stocks] 04/10/2006 13:19

yes thanks langland

What´s your interest in Scapa. I´ve watched them for yonks but they look a bit like a pension fund with a business attached.

That said if they can get their European operations sorted and get the same kind of margin as they do on their US ops there could still be some value in there.

[langland] 04/10/2006 13:13

Well yes, Arthur. Been busy with house move and various other things. Want to get more involved with the market... must find the time. You keeping ok?

[arthur_lame_stocks] 04/10/2006 12:56

Hi langland, you´ve been a bit quiet lately.

[langland] 04/10/2006 12:43

I was going to wait a bit before buying these but had to go in now before too many others get in on the act.

[cockneyrebel] 04/10/2006 12:03

Okay Jitters - I've had a small few today - I think it might be time for SCPA to start to re-bloom.

After a new CEO a year ago Hanover buying in there, they have a fantastic record at FOUR and ELM and now RNO.

The company looks like it has renegotiated the asbestos costs, to save £0.5m. The move to aim saves them a bi more and the recent disposal looks like it saves as much in interest as they were making from the business and they boost their cash by £16m selling the business for £10m over book. Dreadful pension deficit but that will have to be sorted one way or another - the pension fund will have to compromise much like with WGB, IAG, JQV etc.

Directors were buying shares 2 months before the rsults in November too so perhaps a happier story to tell.

Nice to see the bb for SCPA is absolutely dead - a good indicator of zero hype in the stock.

I bought a small few this morning - let's see - these look like Hanover and the other funds that have moved in recently will be forcing the action soon imo.

CR

[pbracken] 16/3/2006 13:43

Well, not all are dumping - an institution has just picked up 4.2m at 20p.

[jotoha1] 03/3/2006 10:31

so why are all the insti dumping this stock?

[meijiman] 25/1/2006 11:05

Above SF should be £38m.

[meijiman] 25/1/2006 11:03

maybe todays rise will prompt someone to join me. Scapa has most of the bits in place for a recovery. I dont really know alot about the global industrial tapes market. however we have new highly incentivised management-an improving profits trend albeit from a low base. The benefits of lots of rationalisation/cost cutting are still to come. On the negative raw materials price rises and some ongoing litigation.
The new ceo ran the Industrial Polymers business of British Vita before it was taken over.A much bigger business than this .They have undertaken a big review of the Group of how to improve financial performance.Debt is not high £11.6m against SF of 338m in the last accounts.Buying around 20/22p should prove to be rewarding.

[meijiman] 06/1/2006 14:25

starting to have a look at these. Plenty of pluses and minuses as usual. One thing that stands out is the strength of the Board for a co of this size-Hopkins,O'connor and Perry are sharp operators with a track record.In some respects a bit too much for a co with this mkt cap. nice to see this one almost completely off the radar so to speak. Back to those numbers.

[ptgint] 14/12/2005 16:09

Judging by Institutional selling of their holdings, their not as confident of the future as mgpp. I only wish I was confident but it seems like its going to be a long haul with little short term gain. Anyone disagree ?

[mgpp] 01/12/2005 15:49

There are a number of good things starting to happen at Scapa and the market has reacted to the latest set of figures by highlighting the slip into losses and emphasising the caution contained in the outlook statment.

Let us be positive:-

We have a new man in charge and his action to raise prices has stemmed the bleeding and produced a marked improvement in results in the first half of this year compared with the final half of last year.

The losses have arisen because action has been taken to rationalise the company and the cost of this is set against current profits. Market commentators conveniently ignore this when looking for a sllck headline!

The asbestos claims have been dragging down the company and part of the reason for the low share price is the potential threat from claimants. The news now is that most of the actions against the company have been dismissed. Bad news is headlines while the good news gets lost in the small print!

Cash which has been held in escrow has been released and is available to reduced debt and interest charges. Good news!

The new management is carrying out a financial review to see how profitability can be improved. Just what is needed!

Finally the directors are showing some faith in the company by using their own money to buy shares.

[pbracken] 07/11/2005 07:48

I think the new IFRS reporting will dent the tax break on losses that SCPA was set to enjoy.

[tony14] 01/11/2005 17:30

Bit of a drop lately, any views?

[harry punter] 11/7/2005 11:52

thanks hybrasil --i will take my lead from you and look to pay about 15p :o)

[hybrasil] 24/6/2005 17:22

beginning to drop but in my book they have some good way to fall before I will buy. I made money in these some years ago buying at Ithink 15p and when they fall to there I will consider again. In fact the outlook when I bought at 15p then two years ago was much more favourable than it is now.
Edit just read the accounts again the picture is not very pretty. The pension deficit of £44 million is just going to eat up cash. They put in 3million last year. That is over 10% of current capitalisation. The costs of the long ongoing asbestos litigation continue to mount. It seems surprising that these are not covered by insurance and unlike the uk in America the succesful defendant cannot recover costs.

[hybrasil] 23/6/2005 07:31

well Harry Nothing changes my view. I think they would make an ideal short now.
In my book the bad news is not yet fully reflected in the price.