Tandem Dividends - TND

Tandem Dividends - TND

Best deals to access real time data!
Level 2 Basic
Monthly Subscription
for only
Monthly Subscription
for only
UK/US Silver
Monthly Subscription
for only
VAT not included
Stock Name Stock Symbol Market Stock Type Stock ISIN Stock Description
Tandem Group Plc TND London Ordinary Share GB00B460T373 ORD 25P
  Price Change Price Change % Stock Price High Price Low Price Open Price Close Price Last Trade
  0.00 0.0% 225.00 225.00 225.00 225.00 225.00 07:40:22
more quote information »
Industry Sector

Tandem TND Dividends History

Announcement Date Type Currency Dividend Amount Period Start Period End Ex Date Record Date Payment Date Total Dividend Amount

Top Dividend Posts

davidosh: Frazboy......I think Jupiter were the only institutional holder and they notified on Friday as follows.... The Company has received notification that Jupiter Asset Management Limited no longer has a notifiable interest in the Company. That means all the shares are now either held by individual investors or the directors of the company and maybe some employees. I am sure that reading through the messages on here you can get a very good feel for what the vast majority of investors would like to see happening. The directors are all notifiable in the accounts at about 15% in total.... M P J Keene 250,000 250,000 250,000 S J Grant 250,000 250,000 250,000 J C Shears 170,000 170,000 170,000 P Ratcliffe 91,732 91,732 91,732 J S T Morris 15,000 15,000 15,000 Lots of new investors are taking an interest in the company and a few of us have been here for years. All are welcome and I think we simply want to see a successful company with a strong balance sheet able to continue growing turnover and profitability. At the same time it really would be nice to see the board delivering a much higher dividend in line with most listed companies. The share price is likely to follow upwards if that became the norm. So a good company with income and growth potential is probably what new investors are seeing here.
amt: It's a significant risk for Directors dealing with pension fund deficits. Remember there is a government backed scheme to bail out pension fund deficits in cases where companies are unable to do so. However this depends on companies dealing with deficits. They have to show there is a plan in place to eliminate the deficit over a period of time. They have to balance the interest of the pension fund and shareholders. They are in the best place to do this. With the share price starting to rise again and perhaps some good results on the way I think we may be rewarded with further significant capital gain here. Each shareholder will have their own priorities. Personally I am invested for capital gains and am not interested in Dividends which are taxable income. If my other investments were half as good as this one has been I would be more than happy.
davidosh: Graham1TY......Remuneration is clearly an issue. How would you deal with it? The directors have 13% of the shares in issue so my view is that they should have lower remuneration but more bonus related and take a higher return via much higher dividend payments. That way management and shareholders are more aligned. Tandem could afford to pay 20p in dividends having repaid the mortgage on the freehold That 20p would be an additional £50k a year for the directors so not losing out but merely gaining from a larger cake. The share price should also appreciate if the yield is much greater so their holdings would be worth considerably more. They seem to prefer to not let investors have any of the cake or at least restrict to very small slices even though we have provided the capital in the first place.
simso: Castleford said in post 3640 above "I am seeing t/o close to the 40m mark at @30% giving Gross P of £12m, I am off track here?" My forecasts have the simple (and hopefully prudent!)assumption H2 2019 will match H2 2018 Sales, Margin and Costs. That would mean FY 19 Sales of £36m, Underlying PBT £2.7m, Underlying EPS 46p. I forecast Closing Net Cash of £6m, and Closing Net Assets of £14m. With a current market cap of £9m, my forecasts would imply an Enterprise Value of just £3m, and current year Cash adj P/e Rating of 1.4 times. It is hard to imagine there is another share on the whole stock market where decent fundamentals are given such a lowly rating. The Directors' attitude towards shareholders is clearly a significant factor, much discussed on this board. The most likely trigger for re-rating would be a change to the dividend policy. To start with some context, Stockopedia highlights that the average UK Stock is on a P/e of 13 and pays a 3.5% yield....so is paying around half its earnings out as dividend. I would argue the average UK stock does not operate with a Balance Sheet as strong as Tandem, and see no obvious reason why TND cannot pay out (at least) half their earnings. I am sure a dividend of around 23-25p would see the share price re-rate to £3+ in very short order, and perhaps towards a more realistic £4. I attended the AGM this year, where holders questioned the miserly dividend. Mervyn Keene (Chairman) explained it was a legal requirement from the Pension Regulator (TPR) that Dividend Payments must be lower than Deficit Recovery payments. I have managed and dealt with Pension Schemes over decades, and had never heard of this requirement from TPR. I note that Norcross have a deficit of £49.3m from their 2018 Tri Annual Valuation..and have agreed a Revovery Plan starting at £3.25m pa. The cost of last year's Dividend was £6.4m, expected to increase +7.7%. Renew Holdings paid £5.7m cash into their Scheme (which I assume covers more costs than just Deficit Recovery) yet paid out £6.3m in Dividends. I think a change of Dividend Policy is the most obvious trigger for re-rating, and the disdainful attitude of the current Board towards Shareholders and what they would like is the largest obstacle to achieving that.
amt: "What is wrong" is that the outlook for the sector and retail in general is very uncertain. A good Brexit outcome should make a difference, although even then we are not going to know the impact of Brexit for a long time. In these circumstances it's difficult to see the uncertainty being entirely removed so the effect could drag on for a year or two. The market hates uncertainty so its not entirely surprising there is pressure on the share price, just as there is for the sector in general. Having said that if the market could see through all these issues over consumer confidence the share is an absolute bargain.
castleford tiger: Self promotion was touched on at the AGM and David offered. There was no interest. The danger is someone offers 250 and a tender offer could quickly have 25% The share price should start with a 3 at the very least. Net cash and trades under NAV Thank you
castleford tiger: So with results due in 2 weeks what do we think? Last year we made a loss of approx 350k but ended the year making 2.2m So we made 2.5m in the second half. Am i being reasonable to expect a pbt of £1 m as a minimum in the first half? Tiger PS the share price looks likely to bounce if the results are good
davidosh: If there is to be an increased dividend it would only be flagged as the 'intention to pay' and so the first time any extra payout would happen is in the interim results. Last year the announced dividend was... ...'We are declaring an interim dividend of 1.42p per share (2017 - 1.35p per share) payable on or about 12 November 2018 in line with our progressive dividend policy. The ex-dividend date will be 11 October 2018 and the record date 12 October 2018'. So this year if it was tripled it would still only be 4.3p and that is hardly going to be a distress to the balance sheet. Additionally by November there would be more info on Brexit and the other issues you are concerned about so they can adjust the final dividend accordingly next year when the final results are announced but all things being equal if the dividend looks like being close to 15p overall then the share price will not remain where it is and income seekers will spot the undervaluation even if nobody else does ! Anyway three times covered is standard for many companies and they all face similar uncertainties. We also have the freehold asset so outgoings are reasonably predictable.
simso: I think that is a good summary davidosh. I have known Tandem for more than a decade, and been invested over most of that time..though more materially in the last year. My impression of the Directors is that they treat shareholders as an irritation...rather than respecting that they own the business. In terms of lack of shareholder engagement, they are in a league of their own, in comparison to any share I have ever owned. They have no interest in engaging with them whatsoever. They have pursued a "buy and build" strategy, and as you say an acquisition spend in your table of c£13m (or nearer £25m if you go back 24 years) has resulted in NTAV of £6.5m, and the market's judgement is that business is worth less than £10m. Value destruction. The repayment profile of their senior loan require a final "Bullet" payment of £1.2m next year. I had a scintilla of sympathy with the modest dividend policy to date...as they clearly need to be comfortable that net cash at its weakest point in the cycle can afford that bullet payment, meet Pension Fund obligations etc. However, with the improved trading and increasingly strong balance sheet..I believe they should be paying at least half of EPS as dividend. I believe they could deliver 50-60p EPS this year if the improved trading from H2 2018 continues through 2019. If they paid a dividend of 25p - 30p...then I am sure the share price would be closer to £4 than the £2 it sits at today.
davidosh: I have been a shareholder since 2004 and the current management have been there all the time I have been a shareholder....additionally the chairman has been involved in all these purchase deals done over the last twenty years... 1999 Pot Black £900,000 1999 Two wheel trading £900,000 2001 Dawes £500,000 2002 Ben Sayers £1.1m 2003 MV Sports £4.3m 2013 bought freehold £2.6m 2014 ProRider £2.5m 2015 ESC £2.1m Total acquisitions.....£14.9m Net Tangible assets are now less than half of that and it includes a freehold property. The value added by this management team is clearly viewed by the market as negative with the market cap still only £10m even after the recent rise. Where has all the value creation and any profits gone ? Total Board remuneration over last ten years has been nearly £7m and if you include options granted is nearly £1m per year. In the AR. the individual directors salaries are not listed but total board costs in 2017 were £1062 and in 2018 a bit lower at £960k. The average net profit for the whole company over the last five years has been £1.35m per year. There will not be many boards who then award themselves nice option packages on top of such generous remuneration. The non executives have been in place for ten years and are the remuneration committee and must feel this is appropriate. Along with many shareholders I disagree and will be at the Agm to put forward my case. I urge all shareholders to attend the Agm this year and put your case to the board as well. We have seen an increase in the share price but that does not mean it is the wrong time to consider change and I feel two new non executive board members are needed in accordance with good corporate governance and QCA guidelines. I also feel further acquisitions should not be considered due to the awful track record of growing the business.....Revenues are actually flat over the last five years despite two acquisitions costing nearly five million pounds in that time. Where is the proof that shareholder funds are being spent well? Finally I think that the dividend cover does not need to be more than twice and the dividend should be incresed to at least 15p to give shareholders an appropriate return on their investment. Any of you happy to add your thoughts ?
Your Recent History
Register now to watch these stocks streaming on the ADVFN Monitor.

Monitor lets you view up to 110 of your favourite stocks at once and is completely free to use.

By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions

P: V: D:20200129 16:53:19