Tandem Group – 135p

22 June 2017 – AGM statement

At its AGM today, the group will report that revenues have risen by 5.5% in the 24 week period to 16 June with the sports, leisure and toys businesses all reporting growth.  Although revenue from the group’s bicycles and mobility businesses was lower than the comparable period last year, the bicycle business has now moved back into profit following the restructuring in the last quarter of last year.  The group believes it will be able to maintain profitability for the full year helped by the launch of new ranges.  Although the group is only cautiously optimistic over prospects for the second half due to currency concerns, the order book is 35% higher than this time last year.  This is a typically cautious statement from the company and we continue to rate the shares as a BUY.

Bonmarche Holdings – 99p

19 June 2017 – final results

The woman’s value retailer has announced its annual results to 1 April which have shown that adjusted pre-tax profits have come in slightly higher than expected at £6.3m (2016: £10.6m) on revenues which were very slightly higher at £190m (2016: £188m).  Underlying earnings per share were 10.1p (2016: 18.3p).  The dividend for the year was maintained at 7.14p.  Clearly these are disappointing results although this is largely reflected in the share price.  The group is looking to improve the way it operates and continues to believe it is well placed to serve the over 50s value clothing market which it believes is not fully provided for.  With net cash at the year end of £5.5m the shares do have RECOVERY POTENTIAL.

Filtronic – 12.5p

19 June 2017 – trading update

The group has issued a trading update covering the year to 31 May and now expects revenues for the year to be £35.4m (2016: £13.6m) and operating profit before amortisation of intangibles of £1.7m (2016: operating loss of £6.8m).  Net cash at the year end was £2.6m (2016: net debt of £0.3m).  Final results are due to be announced on 1 August and we continue to believe the shares are ATTRACTIVE.

Avanti Communications – 9.75p

19 June 2017 – new contract

The group has announced another new contract worth $4.5m over two years to a new customer which should further help the group’s recovery.  SPECULATIVE BUY.

Caretech Holdings – 440p

19 June 2017 – interim results/acquisition

The provider of specialist social care services has announced its interim results covering the six months to 31 March and these have shown further growth with revenues rising by over 11% to £78.8m and underlying pre-tax profits increasing by 13.9% to £13.1m.  Diluted earnings per share on the same basis were 11% higher at 16.37p and the interim dividend was raised by 10% to 3.3p.  At the end of the period net debt was £122.5m down from £156.4m a year earlier helped by a share placing in March which raised £37m.  These are clearly good results and the group has also announced that it is paying £16.9m to acquire Selborne Care Ltd, a business based in Droitwich in Worcestershire.  The latter provides specialist residential care and other services and will strengthen the group’s operations in the Midlands and South West.  Although prospects for further growth look good the strong run in the share price means that we reduce our recommendation to HOLD.

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