Volex Share Discussion Threads

[sooty snipes] 23/6/2020 11:11

I had no problem. Only registered ten minutes before the meeting got straight in.

[imastu pidgitaswell] 23/6/2020 10:43

I did - the link is giving me the above. Anyway, it is recorded, so will try after close. Thanks anyway :-)

[ali47fish] 23/6/2020 10:40

register through meetcompany it is easy imastu

[imastu pidgitaswell] 23/6/2020 10:39

Well I can't get into their AGM - system 'running system check', whichever browser I try. Ah well.

[acefromspace] 23/6/2020 08:00

Got to love director buying way above your entrance price :-)

[owenski] 23/6/2020 07:25

Old Nat keeps buying, 24% of the company now.

[igoe104] 23/6/2020 07:13

Another director buy, I get the impression that todays presentation will be interesting today.

[ygor705] 22/6/2020 21:11

Some really chunky buying here over the past two working days. Surprised that the price hasn't moved up as Volex is usually a very volatile beast. Let's see what tomorrow's presentation brings to the table.

[epicsurf] 22/6/2020 18:49

Volex plc (AIM:VLX) was notified on Friday 19 June 2020 that Non-Executive Director Jeffrey Jackson purchased 10,000 ordinary shares of 25 pence in the Company at a price of 156 pence per share on 18 June.

Following this purchase, Mr Jackson holds 10,000 ordinary shares in total, representing 0.0066% of the ordinary issued share capital of the Company.

[igoe104] 19/6/2020 11:34

Further to add, Investorchampion

The potential of the EV market, could be enormous for VLX, ( cables / connections for electric cars )and they they have a decent cash pot.

[owenski] 19/6/2020 09:43

imastu

Excellent summation, thanks.

[imastu pidgitaswell] 19/6/2020 09:35

So they have done well and continue to do well. But for me, I think they are quite highly priced given a number of issues, including the obvious ones they mention. But some less obvious points include:

Their accounting benefit (to Earnings per Share in particular) from deferred tax – previous losses allow them to reduce their tax charge in their consolidated numbers from an accounting perspective. But they still have to pay in cash the tax on their local profits in each country . So cash costs are not being accounted for - this is seen in their cashflow statement, which also benefits hugely from a one-time working capital movement.

Exceptional items continue. They never seem to cease. This time - and in future if they continue to be successful – they are share based payments. I really don’t see how these are exceptional – they are part of the senior management remuneration and a cost to shareholders as their equity is diluted.

Goodwill costs are added back – I agree these are non-cash, and should be shown separately. But they are indicative of their acquisition strategy, which they open about and for me that is not necessarily a good route to go down – there is the continuing need for additional funding whether debt or equity and the risk that at some point they will buy a pup. Most businesses that are acquired are susceptible to the owners who benefit from the sale moving on once their earn-outs have completed; maybe even restarting as a competitor. I just don’t like the route to growth they have mapped out -it may well work, and has worked out well so far given where they were, but I think it is risky.

And their valuation basically – their earnings were 9.9 cents, or 8p. which puts them on a multiple of close to 20. Not that cheap, considering how earnings are uncertain from here. And without overegging the negatives, they (as many manufacturing suppliers are) are vulnerable to bad debts from their customers – I’m not saying they will suffer, but the risk in the current climate is high, a lot higher than a year ago, and will remain high.

Anyway, just my thoughts. At 100, I would be a buyer. At 200 I would be a seller. Here, not that interested.

[igoe104] 18/6/2020 10:46

I'm registered for next week also, also asked a question.

[igoe104] 18/6/2020 10:40

NEW Note - from N+1 singer


Here is the summary.

The Group has delivered an FY2020 adjusted operating profit performance that is modestly ahead of our expectation and strong cash generation, with net cash of $32m, excluding $10.9m of IFRS16 lease liabilities. The business has benefited from its diverse customer base, products and operating geographies, and exposure to medical devices, EV charge cables and high speed datacentre products. Good progress has also been made with operational efficiencies, lowering product costs and with selective acquisitions. Whilst revenues in the 4 months to May 2020 are up 4% to $126.2m on the comparable period, the Group is seeing weakness, primarily in medical equipment installations and delays in the EV sector. With a broader range of potential outturns in FY2021E, the Group has withdrawn financial guidance. We have recast our forecasts to reflect an expectation of broadly flat revenues with a recovery into FY2022E as customer stock levels normalise and impacts from Covid-19 diminish

[imastu pidgitaswell] 18/6/2020 10:20

Yes, just got the email - many thanks

[shanklin] 18/6/2020 10:17

The meeting is now showing

[igoe104] 18/6/2020 10:14

It's on the 23rd of June at 10.30. So register then.

[phar lap] 18/6/2020 10:14

Presentation is on Tuesday 23rd June

[imastu pidgitaswell] 18/6/2020 09:51

Not currently a holder (but was for many of The Dark Ages) - but if just for old times sake would like to access this investor presentation thing at 10.30. Having registered, I can't see how to actually access it. Anyone any ideas?

[3rd eye] 18/6/2020 08:16

VLX Volex, amazing performance given its earlier trading statement and problems in China beginning of the year.

Volex plc ('Volex'), a global provider of integrated manufacturing services
and power products, today announces its preliminary results for the 53 weeks
ended 5 April 2020 ('FY2020').



Financial Highlights 53 weeks to Year on year change 52 weeks to

5 April 2020 31 March 2019
Revenue $391.4m 5.2% $372.1m
Underlying* operating profit $31.6m 46.3% $21.6m
Statutory operating profit $17.1m 31.5% $13.0m
Underlying* profit before tax $30.4m 50.5% $20.2m
Statutory profit before tax $15.9m 37.1% $11.6m
Statutory profit after tax $14.7m 59.8% $9.2m
Basic earnings per share 9.9c 43.5% 6.9c
Underlying diluted earnings per share 17.3c 36.2% 12.7c
Net cash (before lease liabilities) $31.6m 53.4% $20.6m
Net cash $21.2m 2.9% $20.6m

[ygor705] 18/6/2020 08:10

Big rise at the opening. Thoroughly justified in my view. The only negative that I've spotted thus far is that they can't get there kit into hospitals fast enough because of Covid!

[igoe104] 18/6/2020 07:51

Get that stock market open......

[zipstuck] 18/6/2020 07:47

If revenue stays at around $30m a month for 2021 then baseline revenue is around £360m

A lot will depend on the recovery in the electric auto market.