|17:15 26/11/2012||Demerger Timetable|
| (extract from RNS):
"The expected timetable of principal events is:
14 December 2012 Last day of dealings in Cookson Shares
14 December 2012 Scheme Court Hearing to sanction the Scheme and to confirm the Cookson Capital Reduction
6.00 p.m. on 14 December 2012 Scheme Record Time
Around 9.00 p.m. on 14 December 2012 Scheme Effective Time: Vesuvius plc becomes the holding company of Cookson
8.00 a.m. on 17 December 2012 Cancellation of listing of Cookson Shares, Vesuvius Admission, crediting of Vesuvius Shares to CREST accounts and dealings in Vesuvius Shares commence on the London Stock Exchange
17 December 2012 Vesuvius Court Hearing to confirm the Vesuvius Capital Reduction
6.00 p.m. on 18 December 2012 Demerger Record Time
Before 8.00 a.m. on 19 December 2012 Demerger Effective Time
8.00 a.m. on 19 December 2012 Alent Admission, crediting of Alent Shares to CREST accounts and dealings in Alent Shares commence on the London Stock Exchange"
nk By nk1999
|18:15 09/11/2012||Re: Broker Rec|
| . By bigmarshie
|9:47 10/10/2012||Broker Rec|
| Cookson Group - Numis - Add - Target: 610 By Hardboy
|10:38 09/10/2012||Don't jump in|
| Will depend on China industry and manufacturing stats. News from all other sources are expecting a big downturn and their new leadership change is due this year. I would rather wait for a while before buying more now. By Bulls_bears
|15:40 08/10/2012||Re: Way OVERSOLD|
| I would be very careful of buying more. their ceramic business is heavily dependent on Chinese steel market and all signs are that china is experiencing a hard landing and these numbers seem to confirm it.
Operationally CKSN is very leveraged and a small drop in sales will drop through to bottom line.
2008/09 were a disaster for the company and it had to do a huge deep rights issue. Also has often hard prior downturns.
I still own but sold most during the summer after the interims when they failed to follow through on the rumoured demerger.
Be patient, it may well go a lot lower before it recovers. China is the key By sondurz
|14:08 08/10/2012||Re: Way OVERSOLD|
| Not heard of profit warnings come in 3's then? By Clarence Beaks
|9:39 08/10/2012||Re: Way OVERSOLD|
| That's what I thought, so I bought another £5k worth.
mim By mimbrit
|9:10 08/10/2012||Way OVERSOLD|
| Strong company with great Balance Sheet...
one profit warning does not warrant such a big drop.
GLA. By Common Sense 2000
|22:44 25/07/2012||Re: Interims - FT|
Solar industry decline drags down Cookson
By Rose Jacobs
Shares in Cookson, the industrial materials manufacturer, fell more than 8 per cent after the group said its division serving the solar power industry had dragged back revenues and profits.
First-half sales at Cookson, which supplies materials for everything from Apples iPhone to steel processing plants, fell 8 per cent to £1.3bn while pre-tax profits declined by a fifth, to £93.5m, including the impact of disposals and currency fluctuations.
The company blamed a halving of revenues at its fused silica business, which makes materials for solar cells and speciality glass products. The marked downturn in the global solar industry which started in mid-2011 ... has proved deeper and more extended than previously anticipated, it said in its interim results statement on Wednesday.
The solar energy sector is suffering from reduced state subsidies and overcapacity. But Nick Salmon, chief executive, said Cookson remained committed to providing materials for the industry, which he believes has good medium-term growth prospects.
We might just have to tread water for a year or two, he said, and pointed out that the company is mitigating the impact by cutting costs, including closing a plant in the Czech Republic.
Interim dividend rose 3 per cent to 7.5p, paid out of earnings per share of 23p (31.6p).
Cookson is in the midst of a strategic review that could result in it demerging the ceramics division, which houses the struggling fused silica business and which delivered nearly 70 per cent of revenues last year, and the division that supplies circuit-board manufacturers.
The two businesses have no operational overlap, and theres a feeling that if you have one business to focus on, you will do better over time, said Mr Salmon, who said he would step aside if the company were broken up.
A decision is expected by the end of the year. Several analysts reduced their full-year earnings forecasts on Wednesday on the back of a cautious outlook from the group.
● FT Comment
Cooksons shares come cheap at the moment. The company commands a 60 per cent share of some of its markets such as equipment for plants making steel rolls and boasts Apple as a customer of its electronics division. But its debt and equity trade at just over five times 2013 ebitda, a significant discount to both the industrial and electronics sector averages. The thinking goes that a demerger would focus both managers and investors minds. Indeed, British manufacturers tend to perform better as small specialists just witness the break-up of ICI. Peel Hunt analysts recently forecast both parts of the business would re-rate upward following a split, with the ceramics divisions enterprise value rising to seven times 2013 ebitda and the electronics units to 7.4 times. That equates to a combined share price of 945p a tempting premium on Wednesdays close of 550p.
By I Wish I Knew The Answer
|17:58 25/07/2012||Re: Interims|
| Market reaction seems very harsh to me, as H1 and accompanying statement are not too bad (although not great).
SP down 8% ~ 547p and P/E of less than 8 (I think) look cheap IMHO.
nk By nk1999
| Not great but the BOD seem confident of achieving their 2013 targets, so there is reason for optimism; and improving margin is good to see in difficult times. By Hardboy
|22:43 20/07/2012||IC View|
| on the Engg sector...
"Earnings risk for engineers
In the three weeks since we wrote that engineers were in bargain territory the sector has risen as much as 7 per cent. That's a solid performance, but US peers have made some uncomfortable noises in their earnings reports and industrial data has been poor, both here and overseas. Nervous analysts have trimmed forecasts, too, and with the second-quarter results season almost upon us, further downgrades look highly likely.
American engine maker Cummins and Swedish industrial bellwether SKF have already reined in expectations, largely due to slower growth in China and Europe. A US manufacturing sector contracting for the first time in three years is worrying, too. Citigroup acknowledges pressure on 2012 earnings estimates, but believes the need for "a reset of expectations for 2013" is the real issue. Its already cut forecasts by 3 per cent for this year and 8 per cent for next, and expects others to follow suit. So does Bank of America Merrill Lynch. The broker is rattled by the sector forward PE ratio, which is nudging 11 compared with nine when last year's eurozone crisis was in full swing and under seven at the trough in 2008. Of course, industrials are far stronger now, having repaired balance sheets and bolstered margins. And, according to Citi, reduced growth is already priced in. But year-on-year declines are not, and any earnings miss this results season will raise doubts about the sustainability of so-called 'peak margins'. "In nearly all cases, any margin expansion from here is, similar to top-line growth rates, likely to be slower than in the past," says Citi. A weak euro is no help to our exporters, either.
So, who's at risk? Cookson looks vulnerable, but its break-up story should offset weak steel markets. Weir has had a rough ride and its fracking pumps business is under the microscope, although the shares are cheap and its minerals division promising. European exposure could injure Bodycote and Morgan Crucible , yet aerospace engineer Senior , which supplies Cummins, looks oversold to us, and Fenner too. Elsewhere, margin gains will help IMI , but Rotork and Renishaw must impress to justify their premium ratings.
Ours is not blind faith, although most engineers are undeniably cheap. True, some may get cheaper in the short term, but this highly cyclical bunch will bounce back when lead indicators turn, especially with secular growth themes such as civil aerospace and power at play. "
nk By nk1999
|9:53 19/07/2012||Re: Pension Insurance|
"And it seems they did not have to pay any extra money for this, as £320m was met from exisitng assets of the scheme?"
True but if the scheme has shelled out £320m, presumably that means there is a £320m short fall in the funds somewhere. By Hardboy
|9:48 19/07/2012||Re: Pension Insurance|
| Completely agree Hardboy.
And it seems they did not have to pay any extra money for this, as £320m was met from exisitng assets of the scheme?
nk By nk1999
|8:34 19/07/2012||Pension Insurance|
| This sounds like good news. In a static world it probably means Cookson will be paying more to the pension fund; but -
"De-risking the UK plan in this way, by removing the inflation, longevity and interest rate risks for the insured liabilities, will significantly reduce the level of volatility to which Cookson is exposed in future pension funding costs through its sponsorship of the UK Plan."
So it removes uncertainty & investors hate uncertainty (so do BODs of course) so this has to be good news By Hardboy