Tp Share Discussion Threads

[pavey ark] 09/7/2016 22:44

Yes Cougar, not a game changer but very significant.
Thanks for the info and the timing of the tender probably means that it went in as TPG Maritime but it does now seem likely that we have the start of Managed Solutions.
Without getting ahead of things ,I have, since the Simon Kings presentation, thought that this this new unit was the focus for the company.

It's worth noting that TPG is sitting on a very large pile of cash and the market is giving them absolutely no credit for it.
I remember the previous CFO mentioned ,after the results in April 2015, a possible " transformational acquisition"but this hasn't come about and I suspect they are going down a different road.

NB: all guess work on my part !!

[cougar99] 09/7/2016 22:06

Don't suppose they;ll have any site visit days for Portsmouth :-) but submarine museum is just across the water in Gosport .... it brings back memories of when I used to stay in Rowner about 50 years ago .... Also brings back memories of the Ton Class minesweepers built down the road in Southampton - they don't make them like this anymore:

[value king] 09/7/2016 21:50

They have a trading update in 3 weeks time Cougar99 so you will probably hear more then.

[pavey ark] 09/7/2016 21:12

I found the links a couple of days ago through the TPG website but still not sure what to make of things.

I take it that the contract that was renewed (announced) in late March this year ( to run for one year) was just a stop gap while the new administration got settled in at the MoD.

This contract was for one year and was worth £1.5m if we look at the most recent results from April we see that newly setup Managed Solutions unit had a turnover of £1.5m and a margin of 13%.
It looks to me that although the MoD contract is to TPG Maritime it could be the first contract for the new Managed Solution unit.
This may look like an piece of internal admin by TPG but I think (hope) it is the start of something rather significant.
If the MoD is prepared to give a long term contract worth £28m then it certainly looks good when you are out chasing future business.

[cougar99] 09/7/2016 18:45

.... and here is your probably profit margin .....



.... just under 9%

[cougar99] 09/7/2016 18:17

Well he (DC) is not likely to ask the population for a referendum on Trident :-)

Just digging on internet and came across this from a couple of years ago:



(as we know then TPG Maritime Limited were formerly Atmosphere Control International)

[azalea] 09/7/2016 17:25

Nice to know that Cameron is asking Parliament permission to grease the wheels for going to war; a procedure that Tony Blair seems to have forgotten to do before he secretly joined the leader of a foreign power in an illegal invasion of a sovereign nation.

[cougar99] 09/7/2016 14:42

.... and perhaps to avoid budget overruns then some details from previous classes will be incorporated ....



.... up periscope chaps & chapesses ....

[cougar99] 09/7/2016 14:25

Indeed, the report is on the BBC - so it must be true :-) with vote reported to be on Monday 18th .....



MPs will vote on 18 July on renewing the UK's Trident nuclear weapons system, PM David Cameron has said.

[septblues] 09/7/2016 14:19

David Cameron has apparently said from his NATO meeting in Warsaw that he's going to ask parliament on Thursday to vote for building the 4 new Trident nuclear submarines.

Given that TPG is sole supplier, does anyone know how much this consultancy, design and new build could be per submarine? Timescales may now accelerate from the 2031 in service date of this £31bn (+£10bn contingency) program.

[arf dysg] 08/7/2016 12:28

zcaprd7 (886): Corbyn said he'd keep the subs, just without the missiles!


Yes, the submarines will fire strongly-worded memos at anyone who gets aggressive.



Sorry, I forgot I was dealing with the Labour Party. I mean that the submarines will fire long, rambling essays at anyone who gets aggressive.

[pavey ark] 06/7/2016 13:00

The recent MoD contract has further ramifications for TPG in that it shows a very close relationship being strengthened further and makes the new Managed Solutions division look like being a significant part of the business.
Ever since the Simon Kings presentation in February I have thought that the Managed Solutions side of things looked very promising and this contract means that the MoD are very happy to deal with TPG so I'm making the not unreasonable assumption that they would be happy to award contracts to the Managed Solutions division.
On the matter of directors dealings (insider?)I take the points made by Baton, Paulgo and others but it does look like this was an announcement made by the MoD and not in the same league as say an order from a submarine builder that the company had been negotiating for months and expected a positive outcome in the near future.

So where do we stand now?
The company has £7m/£8m cash and a market cap of c.£20m
This contract shows that it has great forward visability and long term maintenance contracts together with being the sole provider of vital defence equipment to a very large number of countries.
The more traditional engineering part of the business may be facing headwinds but they are fairly light on their feet and the falling value of sterling should help.
TPG is involved in the EU Cryohub programme but it remains to be seen how these things will work out but not a large part of the business.
All in all this is not a bad place to be in these turbulent times.

Edit: strange that there's no comment from Phil Cartmell as he has commented on all previous major contract wins.
The MoD granted a one year extension to a previous contract (23/3/16) and that was worth £1.5m this recent announcement appears to replace this for seven years at £4m /year.
There is obviously more to this new contract so why no comment ?
There can't be any "closed period" concerns as the previous comment on the earlier MoD contract was only weeks before the final results.

[bullster] 06/7/2016 11:07

TOP/BOTTOM...S.P./VOL.

[dice1950] 06/7/2016 04:40

TP Group A breath of fresh air
6th July 2016

TP Group has announced that the MoD has issued a notice detailing its intention to award an extension and expansion of the availability contract for Submarine Air Purification systems on ...

[timojelly] 05/7/2016 12:36

Trident http://dailym.ai/29egWjG

[value king] 05/7/2016 11:55

I have been buying these since the year end results and now they are coming good.

What most have missed is in those results were two things:

1) "Timing of large defence contracts weighted into 2016". Note the word is plural so more large contracts coming. That is what the company said in the final results.

2) They made a pre-tax loss of £2.218m for the year after losing £2.610m in 1H so they actually made £392k pre-tax 'profit' in 2H.

That could possibly equate to £1m pbt or more much this year. Possibly £1m pbt in H1 this year and a 2H improvement of £2.5m over 1H if you look at the run-rate.

[bullster] 05/7/2016 08:22

Although the contract has not yet been awarded, i am quite confident that it will be.

The MoD will now expect TPG Maritimes to adopt it's strict personnel and systems vetting, in line with upholding national security policy.

When this sole source contract is officially awarded to TPG Maritime,maybe this will cause another but higher spike in the share price, i'm expecting the usual pullback.

[timojelly] 05/7/2016 07:39

Hey, I may even see my long-term average again... 34p LOL!