Speedy Hire Share Discussion Threads

[slinkychris] 29/11/2013 10:18

Opened at ~50p and now at ~55p. Last time we saw these price was early Sept this year, so not that long ago. I'm holding for now...

[dell1234] 29/11/2013 10:08

Investec does not upgrade, it withdraws - Shares mag story has all the details on forecast changes, etc

[bertie bee2] 29/11/2013 10:06

Agree with hvs. There must be a good chance of a double dip.

[rumbers2] 29/11/2013 10:06

is it actually an upgrade? £1 target was given earlier this month. Says here that it is under review due to latest developments.

[bigboots] 29/11/2013 09:59

Investec upgrade to BUY £1.00

[mreasygoing] 29/11/2013 09:56

Shape of things to come for the market in general.

[rumbers2] 29/11/2013 09:26

Panmure cuts to sell from hold. Target price 52p from 75p

[hvs] 29/11/2013 09:16

Problems come in threes so be very careul here.

CEO would not resign if there were not other issues.

Covenents being breached is it ?

[yuka] 29/11/2013 09:13

Trouble is these problems are rarely isolated to one division. It tends to be a cultural issue across the company and it's a case of waiting for the next hammer to drop.

[rumbers2] 29/11/2013 08:50

good point bigboots

[rumbers2] 29/11/2013 08:45

Anyone know the form of Mark Rogerson who might step into the helm?

[inntolife] 29/11/2013 08:21

Oooooopppps

[salpara111] 29/11/2013 08:19

Rather confused as to why the CEO chose to walk the plank, there are many CEOs who I would like to see walk the plank but in this case I think this was uncalled for and leaves a bigger question.

[boonboon] 29/11/2013 08:12

not quite as bad a fall as I suspected so I'll hold off from buying more.

I still believe it's a blip and over the mid to long term won't have much impact.

[stevi111] 29/11/2013 07:57

Ouch ! Sympathies for all holders here.

Time to pick up a bargain once the dust has settled. Wont be today though.

[bertie bee2] 29/11/2013 07:49

Eerie feeling rather than smugness having sold my holdings in Speedy and Taylor Wimpey two days ago...Got out of SDY because it was drifting.

Ashtead revisited. Resignation of CEO bound to take the share back into the 40s in my view. Punters will take a different view now of the international expansion element where margins were higher and growth appeared to be coming from. They will see Kazakhstan, a dodgy jurisdiction by any standards, in a different light too. Will take a long time to recover.

[knigel] 28/11/2013 23:08

Yes you are probably right - I recall how bad the CEO leaving TLY was received by the market. Still feel a good buying opportunity might materialise tomorrow on any sharp fall gla

[geoff21] 28/11/2013 23:02

I think the chief exec leaving is more significant at this stage.

[maurillac] 28/11/2013 22:56

well i dont think it is the end of the world but markets do overreact. happy to be proved wrong tomorrow though !
m

[knigel] 28/11/2013 22:48

Other thread suggests drop in profits for the year from £20 million to £17 million - not the end of the world. If the share price falls more than 10% it will be an over reaction imo

[knigel] 28/11/2013 22:34

Also the profits reduction is less than 1p off the share price... so any sharp fall tomorrow will be an over-reaction and a great opportunity to buy in/average down (presuming this is the only profits warning)

[priteshpatel9] 28/11/2013 22:08

International Division which accounts for 5% of group revenue.

[rumbers2] 28/11/2013 21:52

DAILY TELEGRAPH

Speedy Hire boss quits after discovery of £5m accounting black hole
Rental group in talks with banks as international wing found to have "repeatedly and deliberately circumvented" central controls

The chief executive of Speedy Hire quit on Thursday night after 26 years at the tool rental group following the discovery of £4.5m-£5m of dubious accounting at its Dubai-based international division.

Steve Corcoran, who had worked his way through the ranks to become chief executive in 2005, fell on his sword after the group said controls appeared to have been "repeatedly and deliberately circumvented". He earned a basic £355,000 last year and is not expected to get a pay-off.

The discovery, announced after the market closed, forced the group into what it termed "a constructive dialogue with its lenders".

It said it remained "in compliance" with financial covenants but noted "these circumstances have resulted in a breach of certain other terms".

The accounting irregularities were discovered just weeks after the arrival of a new boss for the international arm, Andy Wright, who took up his post on November 12.

The division's finance director has now been suspended, while other senior divisional management are under investigation. Addleshaw Goddard has been hired "to conduct an independent legal investigation", while forensic accountants will shortly be appointed.

The group said: "The information currently available suggests that certain control processes within the international division have been repeatedly and deliberately circumvented."

The shares will come under pressure on Friday after Speedy Hire said consensus full-year profits forecasts of £20.9m were likely to be hit by £3m, with earlier accounts also re-stated.

The group said the "accounting mis-statements are isolated to the international division and are not expected to have a material impact on cash".

Last month the group said Mark Rogerson would be joining as chief operating officer, taking up his post on Monday.

He is now in the running for the chief executives job. Mr Corcoran will remain "with the business for a period to allow for continuity with customers, suppliers and employees", Speedy Hire said.

The shares had closed down 0.25 at 64.5p.