LK Hyman
21 Nov 2016
Re: Trading Update - Disappointing Mickey,"I found the recent RNS almost incomprehensible."I reread the RNS in the light of your comment and did find a contradiction between this sentence about 2016"There will be no further exceptional costs related to these capital investment projects."and this para about 2017 and thereafter:"There will be additional costs and capital expenditure associated with the improvement project. Given the nature and scale of the planned actions, these costs will be charged as exceptional items, of which approximately £3 million is expected to be incurred in the final quarter of 2016."If £3 million is to be incurred in the final quarter of 2016 how can there be no further exceptional costs [in 2016]?LKH on the flybridge
smilingmickey1
21 Nov 2016
Re: Trading Update - Disappointing I have recently disposed on my holding in Devro, and taken a loss.It seems that the substantial investment programs in the far east and In the USA to secure cost reductions and quality improvements has yet to deliver its promises.I found the recent RNS almost incomprehensible. A new program (not previously announced to shareholders is mentioned) as being the new saviour. Whether this will happen I've no idea but investors need to be wary about Companies that spend a lot of cash on kit and then announce that despite this the profits are not meeting expectations. I fell there are less risky places to put one's hard earned cash.SM
LK Hyman
21 Nov 2016
Re: Trading Update - Disappointing Devro will not have been helped today by a Small Business article in the FT today which compared DVO unfavourably with Cranswick and suggested that only a takeover might pull DVO's bacon out of the fire.LKH on the flybridge
paulcynric
21 Nov 2016
Re: Trading Update - Disappointing Indeed they do say these come in threes, I'll sit tight for now though
Boring Bernie
20 Nov 2016
Re: Trading Update - Disappointing Hmmm, I missed this update the other week and am only just catching up on stuff.An anticipated 10% drop in sales is likely to hit profitability quite hard, looks like my timing here was pretty poor ! Hopefully we won't get any further profit warnings.
The buzz
11 Nov 2016
Re: Tad overdone The 'forward projections' is a rather nebulous description as far as I can make out. What were the projections for 2017?? I had a quick look on the web site and have not found a value. There might be projections from brokers - but that is not necessarily what DVO were previously anticipating. For all we know DVO was anticipating monster profits in 2017, but now think that they will be a bit more modest. Then there is the word 'lower'. What materially lower value of 'lower' for PROFIT (not turnover) are we expecting?? With my devil's advocate hat on, what sort of profit are we to expect for 2018 with the lower costs? What are the consequences on debt of an additional £3m outlay and lower profit in 2017?. I would presume that there is not an issue, but some re-assuring words there would have been welcome. 'Me' thinks that it might be prudent to cut back the dividend in the short term just to get over this period? Medium term wise the company will be re-invigorated with cutting edge technology and equipment in most of their factories, so it should do well but for now the jury will be half out and vultures will be watching.The B
tonkatruck
11 Nov 2016
Re: Tad overdone It's been a while but I'm back in as well @£1.78. Don't like trying to catch these on the way down but this looks good value to me now, notwithstanding the forward projections for 2017.
paulcynric
10 Nov 2016
Re: Tad overdone Agreed nicely overdone like a crispy sausage on a BBQ, I'm in on these 181p thank you.
The buzz
10 Nov 2016
Falling Demand? Now we know what the sausage demand problem is![link] B
The buzz
10 Nov 2016
Re: Tad overdone Yes I agree. I would also have bought in as well had I not already had a significant holding. If one can believe the managements' expectations, then 2018 should see a big improvement - again it's jam tomorrow:-"This improvement project will deliver a fundamentally more competitive position. The benefits will offset the effects of the lower volumes, partially in 2017 and fully in 2018."I must admit that after posting a few days ago (saying that a trading update was due soon) I was a bit puzzled why we were not given an advance warning like we were last year - and whether that meant that there was some uncomforable news to come. Do we now have to hope that the next US president will normalise the relationship with Russia (who used to be a major market for DVO many years go) to help out?The B
Ripley94
10 Nov 2016
Re: brought See top of table first thing down 20%.
T-D
10 Nov 2016
Tad overdone Fall in sp is a bit harsh. Forecast down 10% yet sp down 20%+Picked up some at 180 this morning, long term hold.GLA
LK Hyman
10 Nov 2016
Re: Trading Update - Disappointing Games,"Oh dear, my worst investment this year."I also have Circassia .....LKH on the flybridge
gamesinvestor
10 Nov 2016
Re: Trading Update - Disappointing Oh dear, my worst investment this year.Games -- well and truly stuffed up like a sausage and then skinned alive!!
The buzz
10 Nov 2016
Trading Update - Disappointing Oh dear. Reduced volumes and a profit warning. After going to auction went to 168-168.75p, now 172-180p. Disappoining is a bit of an understatement. I once held DVO many years ago and they fell back, but they eventually came good. 176.25-180p. Looks like 180p seems to be where they are heading.The B
