Rhigos
24 Nov 2015
Re: Half Year results WEBCAST SP stil 20% down on Feb 2014 high. In hindsight wish I sold at the earl part of 2014. I hope this is start of a sustained recovery. Things have not gone well ever since they bought that helicopter company. PEG of 0.43 suggests growth. I like progressive dividends, forecast to continue to rise for the next few years.
Komatsu100
24 Nov 2015
Half Year results WEBCAST Half year results for six months ended 30 September 2015 WEBCAST[link]
Komatsu100
11 Nov 2015
Why BAB is trading far too cheaply Why Lloyds Banking Group PLC & Babcock International Group PLC Are Trading Far Too Cheaply[link] services provider Babcock International (LSE: BAB) has also suffered from sinking trader appetite in recent months, and the stock has shed 15% since the start of June. Although prices have recovered some ground since then, I believe the business can still be considered an excellent value pick.As one would expect, a steady flow of capex reductions across the oil and gas industry has dented sentiment towards Babcock for many months. And the London firm added to these concerns in July by advising that it expects "oil and gas revenue to undergo a low double digit decline in the first half of the year" thanks to project delays and cancellations.But the energy industry is responsible for only a small percentage of Babcock's total revenues, as the business provides services across a broad swathe of industries in both the public and private sectors. For one, Babcock supplies military training and infrastructure and equipment support across the UK's three armed forces, and just last month inked a five-year contract with the MoD to supply engineering services to Royal Navy air stations in the south-west of England. The deal is worth around £100m per annum.Backed up by a colossal £20bn order book, the City expects Babcock to punch earnings growth of 10% and 13% for the years to March 2016 and 2017 respectively, producing very cheap P/E ratios of 12.9 times and 11.5 times. Projected dividends of 26.1p and 29p per share for these years may create handy-if-unspectacular yields of 2.7% and 3%, but I expect payments to continue clicking higher along with earnings growth.So if the stocks mentioned above have whetted your appetite for even more FTSE winners, I strongly recommend you check out this totally exclusive report that highlights a broad selection of dividend destroyers set to deliver stunning income flows.
Komatsu100
31 Oct 2015
Re: Telegraph- Questor MCS (Avincis) turnover represents about 12% of BAB's £4bn turnover in last financial year.Oil & Gas was about 20% of that 12%. Therefore about 2.5%. Without doubt that 2.5% will be under threat. So how bad can it be?As a long standing shareholder of 14yrs and more via a previous acquisition, Babcock have an outstanding track record on growth and even better on profit growth.Joe Brent at Liberum historically would have you taking anti-depressants about future Babcock results, almost to the extent of aiding any "mug" wishing to "short" BAB.So has the sale of BAB shares been overdone? Yes I believe it has. Only by reporting a reduction in profits of say 30% can it be justified.But we will find out on November 24th. The refinancing of Avincis debt will save £35m, so I believe it will be increased turnover and profits as usual.
schovald
24 Oct 2015
Re: Telegraph- Questor The Liberum research is also reported in this week's Investors Chronicle - BAB and GFS being the worst two companies in the FTSE100, each collecting 5 "red flags" for questionable accounting practices and lack independents on the board etc. Oh dear ...
nk1999
21 Oct 2015
Telegraph- Questor "The Questor Column:Sell Babcock as oil downturn worsen: Babcock International is showing too many warning signs for investors to buy into the engineering and support services group, according to broker Liberum. The FTSE 100-listed company largely relies on long-term contracts to refit and maintain Royal Navy ships and Army vehicles. However, it is the management’s judgment over when to book profits on these contracts that has given Liberum cause for concern. The defence work the company bids for requires security clearance, and Babcock has an excellent track record on delivering these services, retaining 90% of its customers. Babcock’s annual results showed pretax profits up 43% to £313.1 million on revenues 20% higher at £4 billion. The jump in profits was largely due to the purchase of Avincis, which runs Bond helicopters in the U.K., in a £1.6 billion deal. The helicopter business, now renamed Mission Critical Services (MCS), should be well supported by fire and rescue service deals in Europe. However, about a third of Avincis’s revenue comes from the oil and gas sector, and the slump in activity in the North Sea will have been painful. The support services unit is the fastest growing area, as the Government looks to cut costs and spending increases on U.K. nuclear projects. However, the Avincis deal increased risks to equity holders, as net debts rose to £1.33 billion at the end of March, against net assets of £2.2 billion. Babcock has proven to be a solid operator but the deal to buy helicopter firm Avincis last year will be under pressure from the falling oil price. Babcock at 971p +5p. Questor says “Sell”."
rogerjc
18 Oct 2015
Re: Hinckley The Cavendish Boccard joint venture is the nominated contractor for the Pipework contract only. The reactor and all instrumentation & controls is coming from France and turbines from Alsthom. Edf, being French, has encouraged British companies to form joint ventures with French companies to undertake contracts hence the involvement of Boccard. Another example is Crawley and Glasgow based Doosan Babcock (no longer any connection) who are in a joint venture to supply the £200m HVAC system.It appears that just about every main contract, even those considered less technical like the civil engineering, has a French input!
Lion Rock
17 Oct 2015
Downtrend Anyone any thoughts as to the reason for the downtrend from Jan 2014 to now, its dropped from 1300p to the current 970. Is it the sizeable overdraft that is causing the problem?
Bronko
10 Oct 2015
Re: reminder please April 2014 from my records.
Ripley94
10 Oct 2015
reminder please was there a rights issue recently.
pasak
23 Sep 2015
Re: Hinckley I think this project has been pretty much awarded to Cavendish/ Boccard. May be a relief rally upon confirmation. Chairman's recent purchases indicative of this perhaps. As for the Chinese, I suppose they might get a look in on other projects, or is that just a tempter from Osborne during his recent trip?
pasak
23 Sep 2015
Re: Chairman Buys Stock Make that chairman plus minnow. Bought today 872. Been waiting for this.pasak
gamesinvestor
22 Sep 2015
Hinckley How much wil Babcock (Cavendish) stand to benefit, now that this big big project looks set to go ahead, or will all the work go to the Chinee?Games
gamesinvestor
05 Aug 2015
Chairman Buys Stock 31-Jul-15 Babcock International Group BAB Turner,Mike 10,000 @ 9.80p £98,000.00 31-Jul-15 Babcock International Group BAB Lee,Myles 2,000 @ 9.70p £19,400.00 Games
sharegardener
18 May 2015
Full Year results look good Consistent levels of organic growth (10%), strong bid pipeline of 20Bn and new contract win rate over 40% with divi up 10% and pension deficit falling by 100M. Avincis (now Mission Critical Services MCS) integrated well and adding to geographical spread.Now the uncertainties of the election are gone and direction of 'outsourcing' likely to continue on its current path, it looks like BAB are well placed for solid growth across all their core areas. Some uncertainties around nuclear contracts here and in Canada and they did lose a bid for Australian helicopter medical services.Detail is in the slides and playback of the analyst presentation from this morning. Peter Rogers as simple & straight talking as ever. He reckons there is plenty scope to roll out the UK Babcock model to other countries.Ive held Bab for a while now and although sp still below the rights issue level I'm happy to carry on holding for the long term and add more on dips.SG
