Tandem Share Discussion Threads

[graham1ty] 10/2/2020 13:02

I am not quite sure why Mervyn crows about the share price. If you take the share price before an enterprising group of shareholders took out Jupiter, you get closer to 175p. So, from 110p when he was appointed, almost exactly ten years ago, it has risen about 60%

Over ten years. Allowing for compounding, that is about 4.8% per annum growth.

Not really something to crow about ?

[davidosh] 10/2/2020 11:33

That is a shocking rant by Mervyn at a time when he should be praising everyone including loyal shareholders for their continued support.

It says more about Mervyn than it does about the company.

If the BOD had engaged more with shareholders by doing presentations over the years then they would not have all the discussion that inevitably concentrates attention and frustration on BBs. Our only opportunity to engage was at the Agm whereas 90% of listed companies do results presentations at least once and often twice a year. In this technological age they could have done a results conference call or webcast if they really did not want to leave the Tandem HQ...

Mervyn says....

When I was appointed Non-Executive Chairman the share price was 110.5p. Today as I announce my intention to step down the price is 205p per share. Despite this, it is disappointing that internet posters, who often hide behind absurd pseudonyms, continue to type inaccurate statements and offensive remarks. There are an irritating few of these keyboard warriors who have no commercial experience but think that they could run the Group better.


So....

1. Interesting that he prefers to select the share price at the point where he became chairman and not the point where he became a director !!?

2. The internet posters are not hiding. At least 70% of us are generally at the Agms and he is aware of the names behind many of the pseudonyms and has asked me personally for the real names of others.

3. Mervyn reads Advfn all the time. I would not be at all surprised if he has not posted here himself and certainly does not use his own name.

4. In my experience those companies so concerned about postings by shareholders on BBs have a reason for being concerned. The previous shareholder attack by Greengiant was extinguished with the use of shareholder funds in order to maintain the status quo.

[simso] 10/2/2020 10:12

The childish rant by the Chairman did rather distract from what were outstanding numbers, and well ahead of my expectation. We have not been given the Gross Margin %...but if one assumes the second half 2019 19 GM% matched the equivalent period in 2018 of 32.8% (hopefully that is prudent as GM% has been on an improving trajectory), then I estimate FY19 underlying PBT of £3.4m (EPS 55p). If that proves to be the case , then we are on a P/e of little more than 3.

While I am sure I am one of the "irritating keyboard warriors with little commercial experience" (a badge of honour, indeed!), I would also point out like 18BT above that I have worked for 30 years and been a Director of businesses whose Market Cap was more than 100 times TND level. I know several posters on here personally, and this is a board with some serious and very astute Investors.

With regards to the Pension, and the promise made to the Trustee on Dividend Policy, that may have reflected the weaker Covenant back in 2016. I believe they will have made c£7m of PAT in total over the last 3 years, and the Balance Sheet at 2019 will be consequently much stronger than 2016. A much stronger Covenant should remove the need for a similar promise on Dividend Policy at the current Tri Annual Valuation.

I believe 2019 was a fantastic year for Tandem, with underlying PBT up >50% on LY, and to the highest level in their History by far. A matter for rejoicing..and I am sure 99.9% of other Chairmen's Statements after such a stellar year would have been full of the joys of Spring..and wasting no time in highlighting these records. It is a shame the Chairman chose instead to rant and rail, stamp his feet and take his bat home.

[cwa1] 10/2/2020 09:09

No, they did that with GG

[my retirement fund] 10/2/2020 09:07

That was an interesting dig at the small shareholders wasn't it. Of course if you manage to buy enough Tandem shares then the board may always raid the petty cash tin and buy them off you at a premium, wasn't that what they did to Green Giant or was that some other company?

[velocytongo] 10/2/2020 08:39

It read like a rambling essay

[tongostl] 10/2/2020 07:52

Wow those "keyboard warriors" really have got under the skin of the BoD's. What a truly pathetic update that is.

[dave4545] 10/2/2020 07:51

You upsetting the board CT :-))

Well done with Bill btw !

[effortless cool] 10/2/2020 07:21

The agreement made on the pension is simply an indication of weak management.

[18bt] 10/2/2020 07:19

A good start to the statement, but then come the Board changes and the rant from Mervyn Keene.

I hope I haven't been one of the "irritating few of these keyboard warriors who have no commercial experience", because I remain on the Board of 4 companies all bigger than TND, but I do intend to vote against the changes. The Board desparately needs some new thinking - I'm not a huge fan of tick box corporate governance, but in my experience Boards get stale when they have the same people around the table and the best performing businesses welcome new thinking.

It is good that the Board read these bulletin Boards and that is a useful clarification on the agreement with the Pensions Regulator, albeit one which should't be repeated this time if at all possible. Like others, I haven't seen that commitment given by a company that is not in obvious trouble.

Over to you other keyboard warriors those with commercial expertise and those without who are just expecting the Board to run the company in their interests.

[effortless cool] 10/2/2020 07:12

If I was a shareholder here, I'd be fuming at this morning's announcement!

[me55y] 07/2/2020 21:30

Thanks CT, i was looking to be out in 12months time with this reaching approx 400p, you still think this achievable?

[castleford tiger] 07/2/2020 19:39

Me55
False market in my opinion
It’s the time to buy but MM are useless with this.
It might jump 100 p in results giving you no chance to buy
Even based on last years eps it’s far too cheap
They made 32 p a share so pe is 6
This year first half profit replaced a loss.
I expect 40/50 p a share
Be patient

[frazboy] 07/2/2020 16:52

Dunno. The last outlook statement was pretty upbeat although maybe not as upbeat as the statement at YE 2018. Perhaps a bit of negative read across from the Character Group trading update a few weeks back has knocked sentiment?

That pension deficit really isn’t that significant when you look at the total assets/liabilities of the problem fund - it’s unlikely to get materially worse. Not sure the cash position/net tangible assets are quite as good as other posters have noted since the trade receivables are balanced by creditor notes (I forget the precise nuance to describe them in the accounts, but it’s under ‘other liabilities’) as well as trade payables.

Overall, v cheap on paper, but unless there’s corporate action/hiked dividend then is not obvious what would cause the desired/expected rerate. Still hold a few, kinda tempted to add as it’s a good Benjamin Graham stock.

[me55y] 07/2/2020 16:34

Not doing to well here... paid 265p, and has been on the descent since. Is the decrease largely linked to corna and supply, or is there something else here?

[castleford tiger] 05/2/2020 18:53

They are not

[davidosh] 05/2/2020 13:36

Are you sure all our imported goods are from China?

[velocytongo] 05/2/2020 13:22

CT, why don't Tandem buy you VT

[my retirement fund] 05/2/2020 13:16

The market is currently deeply discounting the likely impact of this virus. Tandem are in a position to easily ride it out, many other larger companies are not

[castleford tiger] 05/2/2020 12:17

I guess different areas .......when you say all you manufacturing has been delayed do you mean producing it?

We bring in Garden furniture and associated products ( parasols etc) and fireworks.

As I said its all been on shut down due to new year but no problems at the Ports.

I can see where you are coming from.

Most of the early season stuff is produced ( for Tandem ) so its now logistics getting it here.

tiger

[my retirement fund] 04/2/2020 22:17

Worlds largest car plant located in Korea forced to shut up shop today as out of critical parts. USA followed by almost every other western country telling its public and private citizens to leave China and leave NOW, including UK today and you you think normality will return in 2 weeks. Really? I mean REALLY!!!!

[castleford tiger] 04/2/2020 20:15

Nothing been happening due to new year there. Goods will flow again this next 14 days
I think second half was strong. At 220 they are way undervalued.
Update will not give u a chance they will just jump
In my opinion
Tiger