Section Items

Clarification
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.
Financials
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 - Popped Up Again With More Bad News.
Company: KIE - Kier Group plc
Share Price Then: 108p
Author: Ian Smith
Date: Tue 18 Jun 2019
Comments: The headlines for Kier todays were 1,200 jobs to go, property construction business to be sold and no dividends for 2019 and 2020.

However the job cuts were mostly already known about, 650 by the end of this month and the rest by the end of 2020.

Despite the recent unloved share issue an announcement on the 3rd June had a drop of £25m in operating profit, debt creeping up again and the resurrecting costs were recently reported as being £15m higher than expected.

Pulling out of residential housing (Kier Living) and more general property (Kier Property) would see a drop in revenue and operating profit of about 20%-30% but would free up a significant amount of capital.

Selling the property business may reduce debt but I would be worried that this is the last chance for the company.

There seemed to be a belief that the worst was behind it, the share price at the end of last year was around 800p, compared to today’s 108p.

The dividend cancellation would normally mean that those who hold the shares for the dividend will sell, but will they as it would crystallising a big capital loss?

I could easily see 50p which would be a p/e of around 1 but there are now about 6% of the shares shorted and I will be looking to see if this reduces over the next few weeks.
Financials:
ItemCurrent YearPrevious Year
YearN/A N/A
Revenue
Earnings
Adjusted Earnings
EBITDA
Adjusted EBITDA
Statutory Profit
Adjusted Profit
Total Debt
Net Debt
Read Count: 84

Commentary History