Section Items

The comments on this page are some of the thoughts that I had when considering this company and not a recommendation to take an action or to refrain from taking an action.

As you know we have no information about your circumstances, understanding of your investment goals or the level of risk that is acceptable to you. So it would be completely unreasonable to read these commentaries as recommendations.
Is This Just Pump And Dump?
I may or may not own the shares which have commentaries on this site.

Commentaries tend to be created when I look at a share and decide if it is one that I want to buy either now or when I next have an unallocated pot.
As companies often report numbers in slightly different ways there are a number of entries to cover this and as these are rough notes there will usually be empty items.

The debt columns are shown as positive values if there is any debt, all other negative values are shown within parenthesis and without a sign.

Commentary On Kier Group plc

Title: Kier – Too Much Pessimism Or Are The Doubter Right.
Company: KIE - Kier Group plc
Share Price Then: 427p
Author: Ian Smith
Date: Mon 11 Mar 2019
Comments: Kier popped up on the radar today with the announcement of an extra £50million of debt taking it up from £130million to £180million.

For a company who have just done a £250million rights issue (Dec 2018) which had only a 38% take-up and operating in a similar market to Carillion and Interserve this sounds disastrous.

Prior to this confidence seemed to be returning to Kier as about 3% their shares are currently shorted down from a peak of about 14% in Nov 2018.

Yet I am currently looking at a 13% drop in the share price and maybe surprisingly I am asking why?

This is because this is not new information but the movement of items in the balance sheet, £40million of this debt is assets marked as up for sale and about a half of that has already been sold or almost sold since the accounts were prepared.

It really does seem to be an accounting issue rather than anything else, yes the headline number is large, but by the middle of the year it will have disappeared

Just to stress again it was not new information.
ItemCurrent PeriodPrevious Period
YearN/A N/A
Adjusted Earnings
Adjusted EBITDA
Statutory Profit
Adjusted Profit
Total Debt
Net Debt
Read Count: 142

Commentary History