Hyperproject
20 Oct 2017
Re: 120p resistance ready to break Your chart reminds me of The Grand Canyon....just over a mile deep!
shugg1e
19 Oct 2017
Re: 120p resistance ready to break What a fantastic short this was see my earlier post
Uncle Doug
19 Oct 2017
Re: Anyone Else? "Am I the only one buying today? (at 55p). "Not for me thanks. I prefer to hold on to my money. Maybe the CEO's husband will buy a few though.
cooperboy
19 Oct 2017
Re: Anyone Else? ps just waiting to hear that Neil Woodford is a major investor- he seems to have the kiss of death on most shares!
cooperboy
19 Oct 2017
Re: Anyone Else? hyperproject-i was in this at £1.90 and fortunately sold on the first vague news when it dipped to 75p but then partially recovered to £1.15 at which point in true news of the world style i made my excuses and left. normally i am a big fan of bounce backs and have bought just heavily into convatec who have loads of orders but manufacturing problems which hopefully will be sorted. i am wary of this as a bounce back as my worst all time loss was on a similar company called ROK who went bust and i lost the total investment. IRV may do better but if you get a short term profit mate i would take it-and good luck!
Uncle Doug
19 Oct 2017
Re: Trading Update/major profit warning Ouch! Monthly profit warnings from these guys? Whatever next? Two months ago broker Numis said BUY and TP of 395. Just goes to show - do not believe brokers. Lots of posters on these BBs seem to think broker recs are important - so let this be a warning. I'll say it again - do not believe brokers. Luckily I ignored Numis and sold at 100p exactly one month ago as I was annoyed by the statements from IRV. Seems from this latest profit warning another lie was previously told - remember that they told us majority of revenue was to be weighted to 2nd half of the year? Well op profit for 2nd half has officially just been cut by 50%. A month ago debt was under control , now it seems it is not. In my opinion get out - this company is worth SFA and is going down. Maybe somebody will rescue it for 1p but that's about it. On the other hand, I notice Liberum raised their TP from 180p to 240p yesterday. Hmm...
Hyperproject
19 Oct 2017
Anyone Else? Am I the only one buying today? (at 55p). It’s lonely out hear and raining in Cheltenham!
numberbiter
19 Oct 2017
Re: Trading Update/major profit warning Last Monday, when the shares were trading at 111.5p I advised why I agreed with Shugg1e that this share had to be a 'strong sell'. the end of that day the shares were down to 99p. It was pretty obvious that this share is another Carillion. Why did not anyone take notice?Following the update it is now clear that this company is in deep trouble; it is by no means certain that it will even survive. Even the current 63.5p is probably an over-valuation. Buying in the hope of a bounce is irrational. If it happens sell quickly before the market wakes up.
farmerdave
19 Oct 2017
Re: Just triggered an alert Just triggered 2 more alertsWith an extra 35m of cash going out looks like they will have to do something with creditors. With net debt at close to 600m with restructuring etc I think the creditors will want to see the company succeed as the only real asset here is goodwill/business which would quickly go to 0 - would ask the equity holders for a cash injection if I was a creditor - and then give them time to recover.However think we will have to wait and see who asks for what etc before I can say whether it is over or undervalued at presentFD
cooperboy
19 Oct 2017
bounce And before we hear the usual chorus of 'oversold'! i would think this will only bounce as and when they get the bankers to agree to new loan arrangements-all imho
cooperboy
19 Oct 2017
shame this used to be a great stable company with an excellent dividend-ideal for small PI to invest in. Looks as if somehow the management has made a hash of every single division probably on the basis of grabbing short term business at the expense of overall strategy.going to be a lot of job losses if it survives at all
Blanketstacker
19 Oct 2017
Re: Trading Update/major profit warning The mention of covenants has sent investors running for the hills. The minimum fall in share price to be expected is a third. We are now beyond that, so this might be a buy to await the bounce. However the battle cry of the 1st Bn The Queen's Own Innocent Bystanders is now 'Remember Carrillion!'
Hyperproject
19 Oct 2017
Re: Trading Update/major profit warning Perfect .....time to buy.
idontwanttolose
19 Oct 2017
Trading Update/major profit warning Disastrous trading update IMOInterserve, the international support services and construction group, provides an update on current trading, progress on its Energy from Waste contracts and net debt position.Further to our 14th September trading update, our trading in the third quarter has seen a slowdown from that reported in the first half. In UK support services, this was driven by the continued employment cost pressures in the business, the cost of contract mobilisations, margin deterioration driven by a cost base which has not been flexible enough and contract performance in the justice business. Our UK construction business has seen further deterioration in operating profit as challenging market conditions and cost pressures as well as operational delivery issues have continued to impact performance. Our equipment services business is performing well and as anticipated, the international support services business has started to improve versus the first half performance and in international construction we have maintained a stable performance.We now expect operating profit for the overall group in the second half to be approximately half the level of that which was reported in the second half of last year.Additionally, further progress has been made on the Energy from Waste contracts in the quarter, but we have seen a slippage in the anticipated completion date for some of the contracts and we now anticipate, in addition to the £160m provided in 2016, an additional £35m provision is required and significant uncertainty remains on the timing of commissioning. Based on this provision, our additional net cash outflow for the rest of the programme is expected to be £35m. The attached schedule provides more clarity on the scope of our exited Energy from Waste business.Taking all of these factors into account, we now believe there is a realistic prospect that we will not meet the net debt to EBITDA test contained in our financial covenants for 31st December 2017. As previously announced, we are engaged in constructive and ongoing discussions with our lenders. We have engaged a financial advisor to assist us in these discussions, as well as looking at options to maximise the short and medium term cash generation from the business.The company is launching a group wide performance improvement plan, Fit for Growth, aimed at improving margin performance to industry norms. As part of this, we have initiated a series of work streams to address our operating model and the cost base of our operations, as well as ensuring that we are operating in market segments which are both profitable and offer opportunity for growth. We have also initiated a comprehensive contract review across both the support services and construction businesses.Work winning in the quarter has been strong with the order book standing at £7.4bn. Recent contract wins include: Department of Work and Pensions, Magnox, Department for Transport, Ministry of Justice, Durham University, Dandara and Liwa Plastics (Oman). Retention also remains strong providing a stable platform for 2018.Debbie White, Chief Executive, said, "Despite our challenges, Interserve has a strong client base and many strengths as an organisation and I believe there is considerable potential for business improvement across the company. My team will focus on improving our margin performance in UK support services and ensuring good contract selection in UK construction, while reducing our cost base across the company".
numberbiter
16 Oct 2017
Re: 120p resistance ready to break Shugg1e, I am with you all the way. There is something wrong here, debtors are up despite there being no growth, which means debtor days are up. This means either there are problems with the contracts (Carillion type problem) or they are taking sales early. Why had net debt increased so much? Couple this with profit warnings and stories that the banks are concerned and you have a potential collapse on the way.
