Silverdell Share Discussion Threads

[alter ego] 20/6/2013 09:54

good point cestnous, fine line to be trodden between keeping shareholders happy and avoiding making life awkward when tendering for new work

[cestnous] 20/6/2013 09:26

I would have thought that announcing that they have gained these contracts at fat margin increases would put their customers noses out of joint and made them more
intransigent in future contract negotiations.

[shanklin] 20/6/2013 09:17

rivaldo

AIUI the directors acknowledge that poor communication was a significant factor in the share price being down by 30%+ over 4 months. Hence I would have thought they would be doing everything in their power to provide a consistently positive message going forward.

Rather then just making some mealy-mouthed statement about margins being OK, they could surely have re-stated that "expectations for the year are unchanged" or, perhaps said something even more positive on that front?

As it is we don't know how these £12m of wins compare with SID's expectation for this part of the sales pipeline - are these wins ahead, consistent with or less than their prior expectations?

[cestnous] 20/6/2013 09:07

"These contract awards not only highlight our strong competitive advantage, but are also at margin levels consistent with achieving our expectations for the full year."
They've been stressing this sort of thing for weeks, ever since the Eddison debacle.
Bought back in this am.

[rivaldo] 20/6/2013 08:44

Shanklin, SID said only 15 days ago:

"With £66m of work scheduled to fall in the second half as at the period end and a record pipeline of opportunities, the outlook remains positive and our expectations for the full year are unchanged."

How many times per month do SID need to confirm they're meeting expectations? :o))

[shanklin] 20/6/2013 08:34

Obviously not a great day to release contract news but I thought the sentence about margin levels being consistent with achieving expectations could have been phrased considerably more positively.

I wish they had felt able to say that the scale of the sales pipeline together with these contract wins and the margin levels being achieved were consistent with achieving expectations. I really don't want to hear in a few month's time that while margins are fine, they are not winning enough contracts to meet expectations.

[rivaldo] 20/6/2013 07:33

That's more like it - the contract in Canada is particularly good news as no material capital requirements, prime contractor status and further work in that country following the Hydro contract win.

SID should be back to 20p in no time imho with a little investor interest.

[deanowls1] 20/6/2013 07:14

12 million of additional contracts.

[speedsgh] 14/6/2013 15:09

Nothing of any note in the IC article. Just a small update on the back of recent interims. They retain as a buy despite being underwater on their original buy tip.

[rivaldo] 14/6/2013 13:36

Cheers tom. Got any details?

[tom.muir] 14/6/2013 12:32

Tipped as a buy in todays Investors Chronic.

[rivaldo] 14/6/2013 10:27

A tick up - immaculate timing Martin :o))

[shanklin] 14/6/2013 09:32

Started buying back my SID position for about the 6th time. Lets hope its actually put in a bottom this time and management will both walk-the-walk and talk-the-talk from now on.

Cheers, Martin

[gleach23] 13/6/2013 21:55

drewz - have you been holding that view for the past 8 months?

[rivaldo] 13/6/2013 16:17

Hmmmm. Drewz really should have come to Monday's meeting to ascertain the global possibilities now open to SID post-EDS over the next few years.

[drewz] 13/6/2013 16:08

You cannot help but be bearish in this market as the industrialised west (and Japan) drowns in debt. Sadly.

[rivaldo] 13/6/2013 16:05

:o))

You're always such a bringer of joy drewz!

[drewz] 13/6/2013 16:03

Why buy now at 14p when you will be able to buy at 10p before the summer doldrums are over?

Thin trade, low volumes and it dribbles away down. Support at 10p.

[dangreen86] 13/6/2013 15:54

Have been waiting for an entry point here for a long time and went in today at 13.94p. Thanks to all who wrote notes following the Silverdell presentation, very informative.

[rivaldo] 12/6/2013 23:01

FYI Dinocras has written a superb summary of Monday's meeting with SID on T.M.F:



In a later post he notes that he's now bought some at 14.07p.

[rivaldo] 12/6/2013 09:22

If I told you I'd have to kill you owenski :o))

No idea I'm afraid. SID obviously weren't going to sit there and tell us.

However, judging by the number - and size - of opportunities coming their way I'd be disappointed if we don't see contract win announcements at some point given what I've outlined above per the meeting.

[owenski] 11/6/2013 15:24

Any new contracts likely to be announced soon Riv

[rivaldo] 11/6/2013 14:12

Further notes I made from the meeting in no particular order (excuse any errors):

- SID are now regularly speaking to Babcok and Costain re their projects (the CEO is meeting Costain this week re nuclear work)
- the EDS acquisition has been "much better than anticipated"
- SID are "most comfortable" with Finncap's numbers, i.e 2.1p EPS this year
- SID are "adequately financed" for 15% growth, and are operating well within resources at present
- SID are seasonally biased to H2 due to the long Xmas break
- the Magnox project was originally budgeted at £2m per annum for 10 years, but has now been revised to £5m per annum
- there's scope for further synergies re EDS, with the UK business being restructured into just one entity
- the total projects/workload SID are aware of is approaching £750m, with:
(a) £239m order book
(b) £300m+ of pipeline opportunities
(c) £200m+ of projects "on the radar"
- overall "win rate" is 25% of projects tendered, but for contracts worth £10m+ and for overseas work the win rate rises to 50%
- the CEO has recently been to Dubai, Singapore and Malaysia and SID now have the likes of Shell, Total and Exxon as clients and more leads to Chevron etc via their work at Exxon's Adelaide facility, the first ever Aussie refinery to be decommissioned
- re the Hydro-Quebec contract win, SID are currently aware of another 20 similar opportunities available globally, and more will of course present themselves over time

[rivaldo] 11/6/2013 08:07

The meeting yesterday with SID went really well imho. Management were confident and perfectly clear that prospects were extremely good - with NO financing required for the flagged 15% growth.

I'll post more later, but there's also a brief summary on T.M.F by wizard9999:

[phoenix1234] 06/6/2013 17:55

Buy Silverdell at 14.5p with a 25p target
 hxxp://www.shareprophets.com/analysis/584/buy-silverdell-at-145p-with-a-25p-target