Tandem Share Discussion Threads

[castleford tiger] 28/6/2018 09:38

Graham

I cannot this year.
Started buying again just over 120.
Have to declare very soon
Tiger

[amt] 28/6/2018 08:53

Not sure you can blame them for collapse of ToysRUS or collapse in consumer confidence post Brexit vote.

[graham1ty] 28/6/2018 08:34

Tiger, are you going to the AGM ? From the accounts, £172,000 was paid last year in bonuses. Paid when ? Will it be paid back ? Give them hell

[castleford tiger] 28/6/2018 08:12

ended last year 5% down.

Anyway I am in for what I can get.
Shares 105 to sell.
I will have what's there up to 120p

tiger

[amt] 28/6/2018 07:58

That's presumably why they had a good second half last year.

[castleford tiger] 28/6/2018 07:52

In addition, our forward order book is currently over 35% ahead of this time last year.

FROM LAST YEARS agm?

WHAT HAPPENED THERE?

still think they are talking it down.

See what market thinks.
Tiger

[amt] 28/6/2018 07:33

Seems worse than expected on the sales line although we were warned it had been a tough start to the year so not entirely unexpected. However gross margins up and perhaps with better weather in the last few weeks things will turn around soon. Those Disney licenses look good.
The UK consumer seems not to be spending. Even John Lewis are having a tough time. Perhaps when Brexit uncertainty ends there will be pent up demand to be released.
Payment of large dividend shows confidence in the future.

[graham1ty] 28/6/2018 07:10

TND always capable of lurching from good news to bad news.

"Trading in the first part of the year has been difficult, with revenue for the 25 week period to 24 June approximately 30% behind the prior year period for a number of reasons.”

Perhaps at the AGM someone could ask if they are worth £787,000 in remuneration?

[castleford tiger] 27/6/2018 11:12

hxxps://cyclingindustry.news/bikezaar-to-launch-with-ibd-facing-tandem-group-cycles-partnership-in-place/

Thanks go to a fellow shareholder for sharing this.
Tiger

[castleford tiger] 31/5/2018 22:53

Bid moved up

[graham1ty] 03/5/2018 19:17

The Board was paid £787,000 last year, which I think is a record even for them !

Another 10% of the Company ( your Company) paid away.

Oh, by the way, that compares with dividends paid out of £196,000. They have been accused in the past of growing the dividend too slowly, but have replied they like to be prudent. Prudent with dividends......but not with salaries

[simso] 03/5/2018 18:28

David, It would be good to meet them. From what little I know of them so far, they earn huge salaries for the size of business but do not seem shareholder friendly!

[graham1ty] 03/5/2018 13:12

Good luck David !!!

[castleford tiger] 03/5/2018 13:07

100% behind you

Tiger

[davidosh] 03/5/2018 12:53

Would any of you guys like the company to do a presentation ?

I doubt that the directors have done one or been round the City for at least five years so I think the time is right personally...

[castleford tiger] 27/4/2018 22:49

Got a 2500 today at 154

[arthur_lame_stocks] 19/4/2018 20:02

I think i'd be wary of buying after a particularly good year as i'm not sure it will be repeated this year. THe outlook statement doesn't sound altogether optimistic.

"We are cautious about the outlook for the year ahead, but we remain confident that we have the resources and personnel to deliver profitability to our shareholders."

So I guess if this year marks a step change in performance they're a bargain, but if profits fall back to the kind of levels they've made over the last 5 years or so then they're probably pretty fairly priced.

[davidosh] 19/4/2018 19:52

With a good broker you can get well inside that spread. I have an order in. I picked up 5000 on Tuesday at £1.51

[simso] 19/4/2018 15:58

I was in this for about a decade, and sold 2-3 years ago. I am now re-acquainting myself with it again. I know all the history and frustration around Directors taking disproportionate rewards. Having made Underlying £2.2m PBT in 2017, I see some grounds for optimism for 2018, particularly around the Margin %.

1. After the damage to margins in 2H 16, I see they have increased selling prices and renegotiated / re-sourced with their suppliers. Its notable that the second half 17 gross margin was actually 31%...and if that same rate rolls through to FY 2018 (FY 17 was 29.6%) it would be worth another £0.5m profit.

2. Further Currency benefit: The average Rate in 2h17 was $1.32, and is now over $1.40. The total Direct "Cost of Goods Sold" is c £27m...and the question is How Much of this cost is dollar denominated? The 2016 annual report describes the dollar element as "Significant". If (say) a quarter of the COGS was in dollars, and the rate remains at c$1.40...that would be worth another c£0.4m - £0.5m of PBT IF everything else remained equal and they don't pass the benefit back to customers in cheaper prices!

3. Net Debt...now down to just over £1m....so one would hope the £0.2m Interest Cost should reduce considerably. However, I note they moved the date of the final bullet payment back to 2020...which I don't quite understand.

The risk in the opposite direction might be Sales, and in March they highlighted that Sales + Order Book was below last year. If (say) 2018 Sales were 5% lower than 2017 it would cost us c £500k if all else equal.

I am tempted to buy some again as the valuation does look compelling, and a (very crude) view of 2018 indicates potential for further profit growth driven by margins even if sales disappoint. That 20p spread is also putting me off while I consider it!

[castleford tiger] 12/4/2018 09:02

my point dave4545

[dave4545] 12/4/2018 08:58

ALS

I thought the results were stunning. But due to wide spread and illiquidity it's just not worth playing imo.

[castleford tiger] 12/4/2018 08:53

Again after a quick look.
NAV 221P.

Last year 550k on finance costs should be less than 50k this year.
That's a further 500k to bottom line.
We were paying 400 k a year property loan, that's finished.
That adds a further 900k in current year.

The biggest problem is buying the shares.
Its 140p-165.

That's not a Market.
The MM need to push it to 180/200p and flush out some sellers.
They make money on a trade but not doing any.

I want more but they are impossible to buy.

Tiger

[amt] 12/4/2018 06:19

If they can turn in another performance like this one in 2018 and if pound stays about the same vs USD the GM should improve further adding perhaps another 500k to profits. Debt will have been eliminated.
Perhaps the relaunch of pro rider will work out well. Demographics point to this being a growing market so seems a good area to be in to me.
Bikes is the problem area due to extreme competition but it is now a profitable business with potential to do well and is no longer a drag on the very successful toys business.

[arthur_lame_stocks] 11/4/2018 23:06

I was just taking a closer look at these and in the first three years since acquisition for £2.5m Pro Rider has made a total contribution towards profits of £24k. The accounts for this year are not available yet so I don't know if things have improved.

over the five years to 2016 the cycle business made a total loss of £1.088m.

over the same period the uk arm of MV Sports has made a total profit of £3.654m

It doesn't seem possible to get figures for the HK part of MV Sports but it seems to turnover about £10m. I make the cumulative profit of the other three over the last five years to be about £2.6m and the cumulative profit of the group as a whole to be about £4.9m it must be reasonable to assume it's fairly profitable.

Personally I think they never should have bought Pro Rider, they would have £2.5m more cash now and they should have got rid of the bycicles business years ago.

MV Sports seems like the only part of the business that is worth anything much.

I don't know if ESC was worth buying because there are no real figures for the period of TND's ownership.

My figures are a bit rough so feel free to criticise.

Having taken a bit of a better look though I won't be buying at this price. I guess they're pretty cheap but not stonkingly so.

[arthur_lame_stocks] 11/4/2018 21:41

Great results this year but the outlook is uncertain and the five year record of profitability not that great. I think anyone thinking of buying these would be wise to wait rather than think that this years results are the norm.