Meanbugger
23 Feb 2017
Re: Robust Robust figures yet again. A profit shortfall on the manufacturing side despite the improvement in Labels margins and a higher tax charge take some of the gloss off a respectable set of results. The lack of organic growth in Distribution clearly signals that they will need to continue making acquisitions to maintain the growth in profits and earnings at the current rate.As expected the pension deficit worsened due to the change in the discount rate.
winningstreak
23 Feb 2017
Pension fund deficit RNS today: Good Results, respectable EPS growth (7%), but unpleasant£3m increase in Pension Fund Deficit - equating to 50% of Net Profit.ws
Meanbugger
19 Feb 2017
Re: Robust Nice bit of strength ahead of the results announcement which should still be robust. The key to dealing with the pension deficit is to continue growing the business with more turnover, enhanced margins and higher profits. I'm hoping for very positive news on the manufacturing side with sharply improved profitability.
winningstreak
27 Jan 2017
Re: Robust Company's performance is good and likely to continue to be good enough,Fly in the ointment is the pension fund deficit. Hopefully no further increasein that one at next Results (23 Feb.)ws
Meanbugger
22 Nov 2016
Re: Robust I was quietly adding to my holding around the 54p level after the shares had drifted back. What I like about MACF is its steady progress and strategy of growing by acquisition. Although profits will be well ahead of last year there may be slower progress at the eps level due to the increased number of shares in issue. Nevertheless this a solid share to tuck away and collect those dividends.
winningstreak
22 Nov 2016
Robust Robust trading statement today (see RNS).Makes the shares look cheap. An uplift from current level (54p) to above 60p now looks on the cards, IMHO.ws
winningstreak
25 Aug 2016
Re: Interim Results The prnsion fund deficit rose from £11.5m to £12.6m despite a reduction-contributiionby the Companty of £1.4m. In total that amounts to £2.5m, which eceeds pre-tax profit of £2m by£0.5m. That is the bit I feel uncomfortable with. ws
Meanbugger
25 Aug 2016
Re: Interim Results My recollection is that paper and plastic raw materials are generally priced in dollars so rising raw material costs were inevitable after Brexit and these get passed on to the customer. With falling bond yields the pension deficit was also likely to go up. Nothing here was unexpected.The story remains sound and I think institutions, particularly those needing income, will be very happy to hold and looking to add on the next placing opportunity.
winningstreak
25 Aug 2016
Re: Interim Results Not so sure. I had thought the fall in Pound Sterling to be beneficial, but theopposite seems to be the case, it raises costs of materials, which has to be followed by raised prices for MACF products.Also the Pension Deficit has grown despite a very chunky contribution bythe Company. IMHO,ws
Meanbugger
25 Aug 2016
Interim Results The interim results look absolutely fine. The business is more second-half weighted now as customers buy packaging for Christmas deliveries. Also acquisitions like Nelsons will make a big contribution to the profits line although at the earnings level this will be cancelled out because of the extra shares in issue. In Manufacturing I am encouraged by the large jump in gross margin. OK this time the costs have also risen but once those costs are under control there will be a significant improvement in profitability.All in all the growth by acquisition strategy is working well. I see no reason to even trim my holding and I'm already looking forward to the next small bolt-on deal.
winningstreak
26 Jul 2016
Re: Acquisition and Placing Meanbugger - Thanks for your correction, you clearly read the statement better read than I. ws
Meanbugger
26 Jul 2016
Re: Acquisition and Placing Not sure about that ws. They say it will be earnings enhancing in the first FULL year of ownership i.e. next year. No doubt there will be some restructuring costs as Nelsons is absorbed into the group and some of the goodwill on acquisition will get written off to reduce future amortisation. Nevertheless it looks good and the placing was oversubscribed hopefully forcing the unsatisfied buyers into the market to top up.
winningstreak
26 Jul 2016
Re: Acquisition and Placing A sensible acquisition at a sensible price. Expected to be earnings enhancing right away this year. ws
Meanbugger
26 Jul 2016
Acquisition and Placing Another good quality acquisition has been announced this morning. As it is rather larger than normal they are placing up to 10 million shares at a minimum of 58p through Arden to help pay for it. Roughly speaking, following the deal, the annual pre-tax profits will rise by 10% but there will be 10% more shares in issue (including those issued direct to the business vendors) so earnings forecasts will be unchanged. The benefit of the acquisition will come from cross-selling as there is very little overlap with MACF's existing customers.MACF is a great little long-term investment especially for those people who like dividend income. I had been thinking about top-slicing into any strength but as long as it continues its buy and build strategy I think MACF will retain the interest of institutions.Incidentally, I am not sure MACF is a significant beneficiary of lower sterling. Most packaging is produced in the UK for UK customers although the raw materials such as paper and plastics would tend to rise in price if sterling fell. In my view it is best not to think of it as a sterling play although some exporting customers will be big beneficiaries. The story here is consolidation of a fragmented industry leading to rising earnings per share over the long-term.
winningstreak
18 Jul 2016
Re: AGM Statement Rising steadily. Still very good value at below 60p, IMHO.Topped up at IQE a few days ago, share price in my view low and yet to begin to reflect company's potential lucrative gain from low £ versus high $. But as always DOYR.Cheers,ws
