stutes
30 Oct 2019
Simons Grp [link] Sad news. Even with fewer well established builders in the marketplace can K push its construction margin up?
stutes
30 Oct 2019
General Election The once majority Government, having turned on itself have now opted for a General Election,it causes more uncertainty for the construction sector. What will it mean for K and its turnaround?
Thunderjack
27 Oct 2019
You seem to do a lot of wondering, usually with some kind of negative tone towards Kier. The share price seems to be ignoring you so far. As far as selling the HQ is concerned, I see it as a good thing at this stage. Another HQ can be leased. Makes sense for Kier to free up as much cash as possible.
stutes
25 Oct 2019
Tempsford Hall [link] How can cost economies be achieved or teamwork be maintained? Why wasn’t this done sooner and before extension? Makes me wonder if decision was made by others or Brexit delays?
stutes
23 Oct 2019
Travis Perkins, SIG, Grafton updates The mixed trading updates suggest to me there is a slump in orders with some projects delayed during the Brexit do or die October deadline now possibly January 2020. How will the slump affect K’s turnaround if new work is stalled and once the uncertainty is lifted price inflation?
stutes
19 Oct 2019
Laing O'rourke Can we glean anything from LO’s results as to K’s turnaround - low % margin to turnover, fire provision, overhead closely monitored. It makes me wonder if the Grenfell fire disaster has 0all construction companies could be exposed to an unknown/costly liability. Tier 1 builders should charge a higher % margin to cover risk, need to invest in the business/staff and produce a fair return.
stutes
15 Oct 2019
Woodford Will we see a share overhang on K?
stutes
09 Oct 2019
Kier turnover [link] Surely K needs to reduce turnover in line with fewer staff?
stutes
07 Oct 2019
SIG profit warning [link] The warning shows how Brexit and the lack of HMG’s response is set to hurt the construction industry in terms of falling turnover and profits.
Thunderjack
04 Oct 2019
Kier sold one property in London yesterday and made £25m, enough to reduce group net debt from £167m to £142m, which is very low for a company with current turnover of £4.5bn. Order book is strong with £9.4bn in projects of which 90% are secured and probable. In addition to that, there's a logjam of projects waiting in the wings due to brexit uncertainty (so industry analysts say). Once that gets unclogged, Kier is likely to grow massively. But the firm doesn't need to grow for the share price to perform. It only needs to show debt reducing, and that's being accomplished by asset sales, small and large, and retaining the dividend which has been over £60m a year recently. If anyone here wants to know what Kier is doing in terms of growth and business strategy, all the answers are easy to find. Just take a look at the preliminary results on the investor results page of the company's website and if you want to hear the analysts grilling the CEO, there's a webcast too. Also, Andrew Davies has just put out a youtube video aimed at Kier staff, in which he discusses the direction of the business and the share price. Not hard to find. Dyor.
stutes
04 Oct 2019
Kier asset sale update [link] Once K has sorted its finances how will it grow?
stutes
02 Oct 2019
Kier Grp Construction PMI shows industry set for weak demand- how will K fare?
Thunderjack
02 Oct 2019
The share price is a stone cold bargain. Either it goes to £6 or the firm gets a speculative bid from a buyer. I don't see it staying at £1.20 for much longer. A lot of the promises from government involve infrastructure spending (hospitals, schools) and its record this yr, when business is supposed to be hamstrung by brexit, is that its beating all of the other construction firms and is having a good year. Andrew Davies essentially smashed the results down this year with massive paper writedowns and provisions and the next H1 results will show him as a massive success.
Thunderjack
02 Oct 2019
No. The business has more than enough cash; Kier is using only half of its available credit line; its paying suppliers almost twice as quickly as it was six months ago; and its retaining £60m+ in dividend cash that it would have paid out to shareholders. In terms of 'downsizing' it's only a reduction of about 10% of turnover. Kier Living (the residential housebuilding division) turned over about £400m out of the firm's total £4.5bn turnover last yr. The most amazing thing about all of this is that Kier Living is for sale at around £160m (with four or five 'very engaged buyers') but the total market cap of the whole £4.5bn business as it stands today is about £180m. Kier is hugely undervalued; the major part (the construction firm) is effectively valued at about £25m for a business which is the second largest regional construction business, turns over £4bn+ (yes, billions) with underlying annual profits of £100m+, and has been growing organically this year through winning more contract work by value than any other construction firm. Workforce has grown by over 10% by my reckoning. Last yr was 18,000, this year over 20,000.
stutes
27 Sep 2019
What does the new sized K offer? What does the downsized K with fewer businesses offer in earnings growth or share price in the future? Will they end up tapping shareholders for money to diversify into higher generating profitable businesses?
