Maybe , but they might still have a few pipes to throw in... |
Have we reached full 'kitchen sink'? |
FY results today are probably as bad as expected, but some positive views on the outlook. |
Bring tidied up for a sale? Korea gone, family member left? |
 Just noticed this in Dec
As part of its year-end audit process, the Board has reviewed the current inventory balance, applying the Group's inventory valuation policy which makes provision for slow-moving and obsolete inventory. During the Covid pandemic, under previous leadership, the business ordered a significant amount of excess inventory to counteract extended supply lead times. Whilst heightened purchasing activity was justifiable during the global supply chain crisis, the Group believes that it is now necessary to address and recalibrate the purchasing strategy. Accordingly, on further review and considering the decline in trading conditions and performance expectations over the past year, the Group expects to make a one-off, non-cash inventory write off, of approximately £1.3m in its results for FY24. The Group continues to believe that it will potentially be able to utilise and realise value from this inventory, particularly when trading activity recovers, but it considers it appropriate and prudent to write-off this slower moving inventory. This write-off is expected to be treated as an exceptional item in the FY24 results but is still subject to audit. |
This looks deeply stuck in the doldrums, perhaps a reflection not just of difficult conditions in the UK building sector but also of the deep uncertainty over the exit from Korea. There are better prospects to be had elsewhere. Against the likelihood that the family members will be sellers (to replace lost salaries and dividends) in numbers that the new board will not want to soak up personally, there is too much stock overhanging the market. Time to leave, so goodbye. |
3 maiden director buys totalling 192K on Wednesday is a vote of confidence. |
A few years ago Korea was the jewel in the paper hat of Titon, disappointing to see how it has failed. I never quite understood the logic of joining together two manufacturing businesses 10,000 miles apart with nothing inbetween. Severing that bleeding limb makes sense even at that loss I suppose.
Not sure that it will revalue to 100p though.
Also hidden in that announcement was a TU
Current trading
Revenue in the UK and Europe has been in line with previously reported expectations and has achieved a slightly better operating loss than forecast. The Group results are yet to be finalised as we await the results from Korea. The Group intends to publish its final results for the year to 30 September 2024 on 23 January 2025 |
Didn't Titon Korea once bring in £0.5m a year in dividends? Ouch.
At least Carpenter seems to be able to get hold of things now.
Multi site issue next? |
Good move by TITON albeit at a book cost. This company is now likely to be taken over in a not too distans future - it has no future as a plc. 100p+ a likely price. |
Exiting Korea - Hit to book costs but the cauterisation of a running sore.
"in aggregate, Titon Korea and BTS made a negative contribution of £645,000 to the Group's loss before tax for the year to 30 September 2023, and in the Group's balance sheet as at 31 March 2024, Titon Korea and BTS had aggregate net assets of £2.1m". |
In the latest episode of the Desert Island Investor we are kindly joined by good friend and investing legend David Barry who talks us through his varied and colourful story.
David is a Significant Shareholder ( above 3% ) in several UK listed businesses including Titon Holdings.
Watch on You Tube |
I still expect this to be bought out at some stage by the likes of Alumasc. Plenty of synergies and cost cutting along with dropping it into their sales channels. |
But also a profit warning. With hope for the future. Down 10p so far ,suspect there is further to slip.
That 10p is a bit vague , trades this am have been sells at 65p and buys at 73p. So a savage 12% spread that discourages trading. |
Changes at the top! |
Amoung the many questions will be whether they can rescue something from Titon Korea/BTS. The language seems to be hinting at some big kitchen-sinking to come, but it did pay some handsome divis in the past. |
Quite liked the presentation on Investor Meet this morning. At least the new team is honest about the issues, which (if he understood them) were always obfuscated by ex-Chairman Ritchie. Let’s hope the ‘family’ now steps back and that there is no repeat of the attempt by the Ritchie side at the GM to vote their cousin off the board. If Tyson Anderson is not up to the job, the new CEO will tell him soon enough. The business needs stability, not spiteful voting by shareholders who have propped up the duff family leadership for far too long. |
Not looked at the company before, but anyone know why financial income is 0, considering they are sitting on £2.2M?
Also if they own the Haverhill site ("...Haverhill site which had a fair value of £5.4 million in September 2022...") why in the Assets do they only have £2.9M listed against property? |
Was waiting and watching but with such poor prospects it is only likely to drift lower. Come back in 12 months, things could have changed by then possibly, but looks difficult. |
Oh dear, the 6 month results are not good. This has now become a loss making company. No dividend, sales down substantially with some optimistic noises and usual management speak about changes planned. Even the expectations of a return to profitability in 2024 only applies to the UK business.
On the positive side the US part is making some dollars, and there is no net debt. Looks like 2024 is not going to be the year of share price recovery... |
Lordy! That really is a full dose of sanctimony with a cherry and sprinkles. |
And there we have the nub, you believe the two family and business, are separate.
They are not.
And it is becomming more than coincidental that 'family' schisms and poor company performance are going hand in hand, especially when you yourself choose to speak publicly about the schism at the AGM itself!!
It was the choice of the 'family' alone to take public money and have to mingle with the great unwashed of shareholders with their annoying awkward questions, so moaning about the consequences is quite frankly silly. |
Ooh, just a tiny bit patronising there, so I think I’ll leave you to your own musings once again. I will just say that it is very easy to be right all the time when you actually know what you are talking about, ie my own family, rather than just making things up. As I have said before, I am perfectly happy to correct any inaccuracies about the family members, particularly when they are libellous or offensive, but the business side I will leave to others. |
Ah yes, you're right. That was the time of the Great Leap Forward in company communications.
I must of missed it at the time, I was still in shock you see, at the loss of the 3rd CEO in... oh hang on, you're always right... how many months? |
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