Tclarke Share Discussion Threads

[cc2014] 05/7/2019 13:15

Accounts show they spent 0.3m on interest last year in the year that they went to no bank debt at year end. The interest on undrawn balances on the RCF is £0.1m so they can't go below that so it would seem likely they can get the interest bill down to something much closer to £0.1m.

I agree with your point EC, at least £100k savings on interest, possibly £200k. More importantly for me throwing off all this cash allows them to invest their working capital in technologies/data centres were the margins are much better and at the same time reward shareholders with an uplift in dividends.

[effortless cool] 05/7/2019 12:51

CC2014,

I know they had no debt at the end of the period, but they normally go into debt during each period and actually paid £0.2m of bank interest in 2018 H2. More cash will eliminate the costs of these in-period fluctuations.

[tuscan4] 05/7/2019 12:34

My money's on a 1p interim, partly to rebalance, but as this is a 130year anniversary how about a special of say, 1.3p?

[cc2014] 05/7/2019 11:45

2018 dividend was 0.66p first half, 3.34p second half. Total 4.0p

It is currently weighted 16.5% to 83.5% which is very unusual.

It's unbalanced as a few years ago they cut the first half dividend by 0.5p.

I am hoping they will rebalance it by raising the first half dividend disproportionately.


I think it not unreasonable to move the first half to 1p and then second half 3.4p if we are talking consensus. If the second half of the year is still going well and the order book looks good they can do more than 3.4p of course. With a consensus EPS of 17.5p I'd be hopeful they can do more than 3.4p.



Sad to say there won't be any cost savings from eliminating loans EC. They don't have any. CTO had £12.4m net cash at year end and no debt.

[effortless cool] 05/7/2019 11:13

Consensus for 2019 is 4.40p. I expect this to be split 0.75p interim, 3.65p final.

I don't anticipate them moving materially higher than consensus based on historical cash flow volatility, the potential cost savings from eliminating loans and the continuing need to reduce the pension deficit.

[lasmo] 05/7/2019 10:52

Any suggestions on what the interim dividend might / should be. My view is we’ll see 0.75p although I believe it should be more like 1p if forecast is met.

[rivaldo] 03/7/2019 13:56

Great news CC2014, cheers. And it's already bearing fruit given the last paragraph:

"we’ve already won our first two with North Tyneside Council"

[cc2014] 03/7/2019 08:39

I like frameworks as there is some certainty of work regardless of what's going on in the economy.

[igoe104] 01/7/2019 18:21

I'm sure they will do a better job with data centres, than Csf Group.

Me and Rivaldo both had out pants pulled down with that share.

in fact that was my biggest ever loss, 32k worth.

[cc2014] 01/7/2019 12:55

Share price has hardly moved for the last 10 days despite nearly every trade being a buy indicating a big seller in the background.

Hopefully those big trades and the bid and offer moving up indicates the big seller is finished. I expect we will see a large delayed trade coming through sooner or later.

[lasmo] 01/7/2019 10:02

Agreed rivaldo. I read this that they have won (or are close to winning) an European data center contract and want the trading statement to coincide with that announcement. Or maybe that’s just wishful thinking on my part. By the way I was doing some research on data centres in the USA. Like Europe there is a massive build program over the next 5 years. Clients are very keen on offsite pre-fab assembly, which fits with Tclarke’s strategy.

[rivaldo] 01/7/2019 09:39

CTO announce the H1 results will be out on 1st August - a week earlier than prior years, and an incredibly quick turnaround from the 30/6 results date.

Extremely impressive. Plus no note that trading is in any way changed from the "positive" trading outlined at the AGM:

[smartmoney100] 27/6/2019 01:37

You dont need to even bother with the http , just copy links to before that and your browser will do the rest.

[edmundshaw] 26/6/2019 22:15

The CEO made some reference to this in the rpesentation. Yes, it does add to the appeal of this business, as does the unwillingness of CTO management to risk overstretching themselves in this sector.

[effortless cool] 26/6/2019 20:34

It's advfn stupidity.

Put a capital somewhere in the https (e.g. hTTps) and it will work.

[lasmo] 26/6/2019 20:02

Don't know why but to get the link to load you have to replace the xx for tt's

[lasmo] 26/6/2019 20:00

hxxps://data-economy.com/exclusive-googles-global-head-talks-to-data-economy-frontline-on-cloud-data-centre-expansion-and-the-sectors-biggest-challenge-right-now/

Video from the Vice President of Google, responsible for data centres, who is attending the COMMS INFRA Summit this week. The piece at the end where he says that a lack of talent in the sector is the main challenge for the industry is very telling. The fact that TClarke has track record with Google is really exciting.

[cheshire man] 24/6/2019 08:37

Midas strikes again :-)

[edmundshaw] 24/6/2019 08:21

This was covered in the mello presentation, rivaldo - did you see that?

Yes, this is good coverage; I am overweight here and no plans to go on a diet! :))

[rivaldo] 23/6/2019 22:59

Excellent. I'm particularly liking the part about data centres:

"T Clarke supplies these huge sites with the cables and wires that make them tick and there is so much demand for the firm's services that Lawrence is opening up in Europe.

The firm intends to help customers to build data centres in Finland, Spain and the Netherlands"

[cc2014] 23/6/2019 10:48

That should give it a nice tick up on Monday

[is7] 18/6/2019 17:12

After London, Manchester & Liverpool have the most construction projects in 2019

[squarepeg86] 17/6/2019 15:44

It's alright for some ? Unfortunately for me I'm stuck in work either way and I can't help but keep an eye on movements. I'm my own worst enemy at times...