Watkin Jones Share Discussion Threads

[dicktrade] 10/12/2021 11:26

Agreed,

There has been some good momentum here recently and a 600,000 plus buy gone thru today. Looking promising .
GLA

Richard

[kadvfn1] 10/12/2021 11:20

Yeah some massive buy going through today. Lets hope we can finished above 260p today

[chrisb1103] 03/12/2021 08:05

Looking like it could break out?

[goodpick] 18/11/2021 11:25

Yup the capital markets day presentation was impressive and expect analysts to upgrade - can see this one really motoring ahead.

Size and scale are expected to double.

[tole] 18/11/2021 11:09

Upgrades coming at Watkin Jones, says BerenbergProspects for construction and development company Watkin Jones (WJG) 'remain excellent', according to broker Berenberg.Analyst Kieran Lee retained his 'buy' recommendation and increased the target price from 280p to 300p on the stock, which was up 2.1%, or 5p, at 240p on Wednesday. After a 'deep dive' into the company, he said 'the prospects remain excellent'. That is thanks to supportive end markets, 'the expanded pipeline' which has room to grow further, a promise that margins will stay higher for longer, and 'the potential to attract ESG-linked fund flows' due to the affordable homes business.'The possibility of further additions to the pipeline and margin outperformance justified a 531p blue-sky valuation and could result in multiple earnings upgrades across our forecast horizon,' said Lee.'Watkin Jones trades at a current-year 2021 price-to-earnings [ratio] of 14.8x and yields 3-4%, growing at 15.9% per annum. Its attractive valuation, strong market fundamentals, 70% return on capital employed, and scalability, make Watkin Jones a top pick in our coverage universe.'

[goodpick] 03/11/2021 10:56

You can see it from here:
hxxps://www.watkinjonesplc.com/results-and-news/reports-presentations-and-publications/2021

Click on the capital markets day line and watch the briefing there.

[swiss paul] 02/11/2021 20:45

Anyone attend the briefing?

[shaker44] 02/11/2021 07:22

Great update in a difficult year. A real credit to the management team

[skinny] 02/11/2021 07:09

.




Launch of ESG targets

Watkin Jones plc (AIM:WJG), the UK's leading developer and manager of residential for rent homes, announces new targets for the Group's ESG strategy. These targets have focused on three key pillars of future people, future places and future planet. Full details of the targets and a discussion on how these targets will be reached will be included in the Group's virtual Capital Markets Day presentation at 2pm today. To register, please contact Buchanan at [e-mail].

Our future people

WJ is focused on creating a workplace underpinned by diversity and inclusion, where health and wellbeing are a priority.

Examples of the Group's ambitions include:

-- Increase employee engagement to 80% by 2025
-- Increase employee volunteering to 5,000 hours by 2025 and 10,000 by 2030
-- Workforce population to better reflect national demographic by 2025
Our future places

WJ is focused on optimising the experience of its customers and client satisfaction by delivering buildings and services that meet their needs and are of the highest quality.

In order to engage with key stakeholders and create positive places to live, we aim to achieve:

-- NPS (customer) +10 by 2025 and +20 by 2030
-- NPS (client) +10 by 2025 and +25 by 2030
-- 100% PBSA BREEAM Excellent by 2025 and 50% outstanding by 2030
-- 100% BtR HQM 4 star rating by 2030
Our future planet

WJ's ambition to is to minimise the Group's environmental footprint by reducing carbon emissions within its supply chain, making workplaces and developments more energy and water efficient, and reducing waste.

In our approach to climate change, examples of WJ's commitments include:

-- Net zero Scope 1 and 2 and a meaningful reduction in Scope 3 emissions by 2030
-- A requirement that all our suppliers have in place an ISO 14001 accredited environmental management system by 2025

-- Installation of heat pumps in all new developments by 2023
Richard Simpson, Chief Executive Officer of Watkin Jones, said: "Reducing the carbon footprint and prioritising WJ's ESG credentials are a key priority and we hope the targets launched today demonstrate the commitment we are making to building a more sustainable future for all of our stakeholders."

For more details, see www.watkinjonesplc.com/ESG .
- Ends -

[skinny] 02/11/2021 07:09

.




FY-2021 Trading Update

Strong operational and financial performance; delivery pipeline enhanced

Watkin Jones plc (AIM:WJG), the UK's leading developer and manager of residential for rent homes, announces the following trading update for the year ended 30 September 2021 (the 'year' or '2021').

Financial highlights

-- Operating profit for the year is anticipated to be in line with expectations.
-- GBP430 million forecast revenue, which is slightly below expectations, but with a stronger gross margin, reflecting the timing of land sales either side of the year end.

-- GBP125 million net cash at the end of the year, c. 50% above expectations.
Operational highlights

BtR and PBSA delivery

-- All 5 BtR schemes (1,041 apartments) and 7 PBSA schemes (3,192 beds) scheduled for delivery in 2021 completed and handed over.

-- Development works on track across 13 sites in build.
-- Despite inflationary pressures, overall build costs are being closely managed and remain in line with our forecasts.

Accommodation management (Fresh)

-- 22,220 student beds and BtR apartments currently under management by Fresh, an increase of 10.1% from last year.

-- Positive customer satisfaction ratings achieved by Fresh during the pandemic, enhancing its brand.

Homes

-- Residential sales of 79 homes in 2021.
-- Affordable homes pilot on track - planning consents secured for 296 homes on sites in Crewe and Llay, Wrexham and forward sales of 182 homes agreed.

Strong institutional demand

Good progress made in securing forward sales:

-- 3 BtR schemes (722 apartments) and 8 PBSA schemes (2,435 beds) forward sold since the start of 2021, with a total revenue value to WJ of c. GBP450 million.

-- The above includes new forward sales achieved since our 6 September trading update, with a total revenue value to WJ of c. GBP227 million:

o 322 BtR apartments in Lewisham, South-East London, for delivery in two phases in 2023 and 2024, sold to L&G.

o 645 PBSA beds across two developments in Edinburgh, for delivery in 2022, sold to Singapore Press Holdings (a Singapore listed media and property group).

o 286 PBSA beds in Colchester, for delivery in 2023, to be built under a development agreement with Moorfield.

-- 551 apartment BtR development in Birmingham and 295 bed PBSA development in Edinburgh in legals for sale.

Continued enhancement of secured BtR and PBSA development pipeline

Since our 6 September trading update WJ has:

-- Secured planning consents for 877 PBSA beds on sites in Birmingham and Nottingham.
-- Added further sites to the pipeline, which now has a future revenue value of GBP1.75 billion:

BtR PBSA
(apartments) (beds)
September 2021 update 3,870 6,750
New sites secured:
Leatherhead (with the benefit 214 -
of planning)
Colchester (development agreement) - 286
---------------- ---------------
4,084 7,036
Design changes (72) 106
---------------- ---------------
Current 4,012 7,142
---------------- ---------------

Future revenue value GBP0.95 billion GBP0.8 billion
---------------- ---------------

BtR pipeline


BtR apartments
---------------------------------------------
Total pipeline 2022 2023 2024 2025
----------------------------------- --------------- ----- ----- ------ ------
Forward sold 609 71 354 184 -
Forward sales in legals 551 - - 272 279
Sites secured with planning 573 - 43 214 316
Sites secured subject to planning 2,279 - - 631 1,648
----------------------------------- --------------- ----- ----- ------ ------
Total secured 4,012 71 397 1,301 2,243
----------------------------------- --------------- ----- ----- ------ ------
Change since H1-2021* +45 - -184 -23 +252
----------------------------------- --------------- ----- ----- ------ ------

PBSA pipeline


PBSA beds
----------------------------------------------------------
Total pipeline 2022 2023 2024 2025
----------------------------------- --------------- ----------------- ------ ------- -----
Forward sold 2,232 1,946 286 - -
Forward sales in legals 567 - 315 252 -
Sites secured with planning 1,582 - 724 858 -
Sites secured subject to planning 2,761 - 350 1,662 749
----------------------------------- --------------- ----------------- ------ ------- -----
Total secured 7,142 1,946 1,675 2,772 749
----------------------------------- --------------- ----------------- ------ ------- -----
Change since H1-2021* +1,825 - -688 +2,099 +414
----------------------------------- --------------- ----------------- ------ ------- -----

*The change since H1-2021 excludes 2021 deliveries.

-- Our pipeline for BtR and PBSA deliveries for 2023 has been reduced as a result of Covid-19 related planning delays. However, with the growth in the 2024 and 2025 pipeline, our forward sale model still ensures multi-year revenue performance through 2022 and 2023.

Richard Simpson, Chief Executive Officer of Watkin Jones, said: "It's been a year of good progress for Watkin Jones. Our end-to-end development capability, combined with favourable market dynamics and our capital light business model, has enabled us to deliver a strong operational and financial performance. During the year, we continued to enhance the future value of our BtR and PBSA pipeline and reinforce our reputation with institutional investors as the UK's leading residential for rent developer. This, together with the ongoing re-focusing of our homes business into the affordable housing market, provides a robust platform for sustained earnings growth."

Capital Markets Day

A virtual Capital Markets Day will be held today between 2pm and 4pm. CEO Richard Simpson will be joined by newly appointed Chairman Alan Giddins, incoming CFO Sarah Sergeant and members of the Executive Management team to provide an update on the Group's markets, its sustainability strategy and the ongoing re-focusing of its existing residential division on the affordable homes market.

A recording of the event will be available via the Group's investor relations website: www.watkinjonesplc.com .

To coincide with the Capital Markets Day, the Group has today updated its sustainability strategy and targets across the three themes of people, places and planet. For more details, see www.watkinjonesplc.com/ESG .

- Ends -

[1ultimate] 05/10/2021 17:10

Nice big UT at 230, looks like we are back on our way to 250

[1ultimate] 03/10/2021 10:24

Excellent news, expect a good rebound tomorrow…

[1ultimate] 28/9/2021 11:30

General market weakness imho

A good time to top-up in my opinion, will be back over £2.50 within the next few days

All imho DYOR

[clausentum] 28/9/2021 11:18

Why the sudden drop? Is someone offloading a large block of shares?

[its the oxman] 17/9/2021 11:40

Looking ready to break 250p.

[swiss paul] 09/9/2021 12:50

Listening to 'you and yours' on R4 and stating about the shortage of student accommodation.

[clausentum] 07/9/2021 17:09

Citywire:

Berenberg: Watkin Jones on the way to 400p
Construction and development company Watkin Jones (WJG) is a top pick for Berenberg as the broker forecasts a huge step-up in earnings growth.

Analyst Kieran Lee retained his ‘buy’ recommendation and target price of 280p but said the group was on the ‘pathway to a 400p price target’. The shares closed up 4%, or 9.5p, at 249p on Monday.

Lee said there were three areas where Watkin Jones could outperform over the medium term.

‘If it does so, it could increase earnings per share by 34% versus our base-case assumptions, improving liquidity in the shares, and justify a 400p valuation,’ he said.

Those three areas are the expansion of the company’s development pipeline in build-to-rent, building out the affordable housing business into another core segment, and continued margin outperformance versus management guidance.

‘With earnings forecast to grow at a compound annual growth rate of 15.9% to financial year 2023, the shares trading at a current-year 2021 price-to-earnings [ratio] of 14.5x and yielding 3.5%, Watkin Jones remains a top pick in the sector,’ said Lee.

[its the oxman] 06/9/2021 09:02

Today's positive update should drive us through 250p this week or next. Things are going well for wjg.

[clausentum] 04/9/2021 09:05

Gulston was only recommending WJG as an AIM income share with a secure future dividend. IMO the share price is likely to reach 280p again in the near future, that 16% gain will pale into insignificance the 3.1% yield at the moment.

[goodpick] 04/9/2021 07:35

Mr Gulston also pointed to property developer Watkin Jones, whose shares yield 3.1pc, arguing that the company’s ability to accurately forecast turnover meant its future dividends looked secure. “Watkin Jones has three to four years of sales visibility once the funding for a project is secured,” he said.

( TIPPED IN THE TELEGRAPH )

[its the oxman] 03/9/2021 22:59

Closed above 240p again. At last ready to push higher perhaps.

[goodpick] 03/9/2021 13:36

Coausentum - really valid point it’s a good question. The question is also to what degree WJ have been able to pass those costs on to institutional buyers.

I am still curious as to why the astute Monaco based OUTGOING chairman has spent £200k of his money into WJ. He is not likely to be a mug and knows something we don’t.

The share price seems to have hit a floor of 238p and is breaking above the 240p level. All other things being equal potential for this to £2.80

[clausentum] 02/9/2021 15:27

From the DT:
"Prices for construction materials jumped 4.5pc in July compared to the previous month and were up 20pc year-on-year, according to the business department. The construction materials price index is at the highest point since comparable records began in 1996."

How much will this hit WJG profit? Are greatly increased material costs acknowledged in the share price yet?