| 10:23 09/01/2012 | Luxury Cars (With Turbochargers) Looking Good |
| CHM's single biggest business is shipping cast (& now machined) impellers to turbochargers for top-end cars. The latest (& yet unregognised) CHM contract win is with a Mercedes joint venture in turbochargers. So this news today bodes v well for CHM into the medium term & beyond ...... "DJ BMW, Audi, Mercedes Bet On Sustained Luxury SUV Sales Surge By Christoph Rauwald and Nico Schmidt Of DOW JONES NEWSWIRES FRANKFURT (Dow Jones)--Demand for luxury sports-utility-vehicles is booming worldwide, defying concerns that rising fuel prices and environmental concerns would inevitably crimp demand in a lucrative segment for top manufacturers like Germany's auto makers. But rapid growth is attracting new entrants to a once niche market, suggesting high profit margins may not hold up indefinitely. For now, Germany's luxury-car specialists can't quite believe their own good fortune as strong SUV demand helped them notch up record sales in 2011. The boom in demand for SUVs is "a big phenomenon for us," BMW Chief Executive Norbert Reithofer said in an interview. BMW's U.S. plant in Spartanburg, which produces the X6, X5 and X3 models, is "running on maximum capacity" and there are "no signs" for a slowdown, Reithofer said. The company has a three-month order backlog for the X3. BMW sold around 380,000 SUVs last year, up 29% from 2010. Audi AG (NSU.XE), Volkswagen AG's (VOW.XE) luxury unit, expects the SUV segment "to grow disproportionally" in coming years, Chief Executive Rupert Stadler said in a recent interview. Sales of SUVs at Daimler AG's (DAI.XE) Mercedes-Benz unit have surged too, up 24% in 2011. Mercedes-Benz SUVs have "regularly posted a new sales record in every month since July 2010," the brand's sales chief Joachim Schmidt said last week. The SUV craze is something of surprise. Rising oil prices, tightening environmental regulations, and the recession didn't bode well for sales of ostentatious, gas-guzzling cars which emit more carbon-dioxide than regular luxury sedans and smaller, cheaper cars. But auto-makers' success in developing increasingly efficient high-performance engines and the SUVs' appeal as spacious, comfortable rides have more than compensated, said Arndt Ellinghorst, an automotive analyst at Credit Suisse. "SUVs don't have to be huge gas guzzlers any more," Ellinghorst said. Thanks in part to modern diesel-engine technology, several smaller SUVs run on six or seven liters of fuel per 100 kilometers, comparable with fuel consumption of compact hatchbacks ten years ago. "I think normal sedans are cars from yesterday -- SUVs are clearly gaining ground," Ellinghorst said. Auto makers like BMW have broadened the category to include a range of vehicle sizes. Sales of compact and small SUVs might grow by around 12% a year until 2015 compared with just 5.6% for the overall auto market, said Felix Kuhnert, the head European automotive research at PriceWaterhouseCoopers. The trend helps explain the luxury sector's improved profitability. Take BMW. As SUV sales have ballooned, its operating-profit margin improved to 12% in the third quarter compared with 8% in 2010. Still, the segment is increasingly crowded, threatening to cannibalize sales of luxury sedans and put downward pressure on sticker prices. Within the Volkswagen group, affiliate Porsche Automobil Holding SE's (PAH3.XE) sportscar unit entered the luxury SUV segment with the Porsche Cayenne in 2002. It was developed with the VW Touareg and Audi's Q7 to reap economies of scale. Audi has since launched compact SUVs of its own, with two new ones in the pipeline, according to CEO Stadler. Porsche has a smaller alternative to the Cayenne, dubbed the Cajun, in the works while Bentley, Volkswagen's super-luxury brand, could develop its first SUV this year. BMW and Daimler are expanding their SUV line-up. So is Jaguar Land Rover, owned by Tata Motors Co.(500570.BY). Maserati, the luxury unit of By Stephen Maturin |
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| 17:20 29/11/2011 | Growth Investor |
| Chamberlin BUY 29/11/2011 Miles Nolan http://www.growthcompany.co.uk/recommendations/1676253/chamberlin.thtml Strong demand for its products has helped specialist castings and engineering firm Chamberlin (CMH) report a near five-fold increase in interim pre-tax profits. Spurred by operational improvements, in the period to September, sales leapt 25% to £23m, as pre-tax profits soared to £797,000 (2010: £163,000). The utilisation of past tax losses has helped to lower its tax charge, but this situation is likely to be exhausted from next year. Chamberlin has also slashed its debt pile by £900,000 to £2m, thanks to the proceeds of a share placing and solid cash generation. The three foundries it owns, in Walsall, Scunthorpe and Leicester, continue to make up the largest chunk of the business. Here, sales jumped 25% to £18.9m, buoyed by improving orders - particulary in the area of turbo-chargers. A long standing relationship with Borg Warner for turbo-charger components continues apace, and Chamberlin has also started to pick up new work in the truck market. Chief executive Tim Hair says 'with increased shifts we could boost our capacity by a further £20m' so there is clearly scope to deliver any additional business. Chamberlin is the market leader in emergency exit door hardware, a business it supplemented following the acquisition of door closer outfit Jebron. The deal has already paid for itself, but the ambitious management team are still keen to seek out further deals. Indeed, it got close to buying another foundry but the target fell foul during due diligence. Broker finnCap predicts 2012 pre-tax profits of £1.6m, delivering EPS of 14.9p and a 3p dividend. We highlighted the attractions of Chamberlin in May at 113.5p, and with current trading good we see no reason to change our view. Buy. Tags: Acquisitions, AIM market, Growth company, Jebron, Turbo-chargers Sector: Industrial Engineering Companies: Chamberlin Market cap: £9.2mPE Forecast: 7.9 Share price: 118p By SpikeyDT |
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| 7:56 21/10/2011 | Elite T1ps Smaller Companies Fund |
| This influential fund (run by Tom Winfrith - the small cap guru) has bought significantly into CMH. This is what they are saying in their latest newsletter (it's very positive) .......... "News from the Front Line by James Faulkner Industrial facing companies have taken a beating as a result of reduced global demand over the last two years but given that Chamberlin, the specialist casting and engineering group, has diversified its revenue streams away from just one market the impact has not been as devastating as others in its wider peer group. The company operates across five locations, all in the UK, and has two main operational divisions. The foundry business specialises in technically demanding castings comprising complex shapes and specialist metallurgies which allows Chamberlin to stand out from the lower quality imported products. Work is allocated across three specialist sites based on size and metallurgy. The light castings foundry, located in Walsall, specialises in smaller castings of up to circa 30kg. These small, complex components require a high level of expertise and are predominantly supplied to the automotive and hydraulics industries. The medium casting foundry, housed in Leicester, produces iron castings in the 30kg to 100kg range, with complex metallurgy designed to deliver high strength, corrosion and wear resistance, or low temperature capabilities. The end product out of the companys Leicester operation is used across a wide spectrum of sectors, notably; mining, power generation, construction and other heavy industries. Finally the companys heavy casting foundry, located in Scunthorpe, provides low volume, high spec, castings for a wide variety of iron types from 100kg to 7,000kg, mainly for use in industrial applications such as construction, and steel production. On the other side of the fence the company operates its engineering business, supplying products to regulated markets, from two sites in the West Midlands. Exidor, which is located in Cannock, Staffordshire, is a supplier of; a market leading, high quality emergency exit product range, builders hardware products, and architectural ironmongery. Secondly, Petrel, which is based to the East of Birmingham, specialises in the development and production of certified lighting and control systems for use in hazardous environments, for example the petrochemical industry. The operation was recently looking to hire a new sales person to hit the North of the country. Revenues are diversified across the group, but of increasing performance is the companys activities in the automotive industry, specifically the provision of turbocharger castings. This is becoming a high growth area. Currently turbocharger casting sales represent 21% of total group business, and as one of only four specialist foundries in Europe with the technical knowhow to supply such castings, the company is in a good position to benefit from the increasing trend of car manufacturers applying turbochargers to petrol engines. The trend itself is being driven by the requirement to comply with EU and wider emissions regulations. In 2010, circa 10% of petrol engines were turbocharged, however it is expected that by 2015 80 to 90% of petrol engines will use this efficiency component. With car builders such as Renault and Volkswagen set to grow revenues by 13% and 20% respectively this year, we are looking towards the end of October/beginning of November for guidance on the health of the wider automotive market when a number of big names are set to release Q3 numbers. Despite the diversified business model the impact of the economic downturn was evident in the companys accounts for the year ended 31st March 2010. But the company moved back into profitability in the second half of last year and delivered an underlying profit before tax of 0.804 million pounds, on sales 40% higher at 39.8 million pounds for the full year ended 31st March 2011. More recently, on 11 October 2011, By Stephen Maturin |
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| 11:39 16/09/2011 | Re: CEO presenting at seminar |
| I attended the Seminar on Wednesday which was a good evening and I would recommend to other interested parties held on a monthly basis subject to being on the mailing list. This months offering featured 4 Speakers from Aim listed Companies putting their pitch as regards attracting investment rather in the style of Dragons Den. Reps from Sefton Resources ( US Oil & Gas ) Fitbug ( Health & Wellbeing Software ) Ovoca Gold ( Gold Mining / Exploration ) and Tim Hair Chief Executive from Chamberlin spoke for a mandatory 15 minutes each followed by brief Questions and Answers. Tim ( I now know him well ! ) I judged to be the best speaker of the group and came across well concentrating on the specialised know how of the company and the potential advancement of Turbo engines ( forecast growth of Turbo use in Europe 50% in 5 years ) A further interesting point made was the market disappointment with the competing products made in China reflecting poor quality, delays and inflexibility. There was a movement within the industry for doing " things well " within Europe for Europe which after all is the company mantra. By Myunderstanding |
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| 14:13 12/09/2011 | Re: CEO presenting at seminar |
| Continuing the bullish theme perhaps some mileage in purchasing the stock pre-Seminar. Unaware of who and how many attend these things plus the spread ( nearly talked my way out of the idea ! ) By Myunderstanding |
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| 8:57 25/08/2011 | CEO on BBC R4 Today Programme |
| Very bullish interview with Tim Hair (CEO) on Radio 4's Today programme this morning with lots of positive comments on Chamberlin. You can catch it on iPlayer soon - scroll through to 7.49 a.m. By MelchiorHoffman |
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| 11:23 03/08/2011 | Re: CEO presenting at seminar |
| pmygne Thank you for the details of the Seminar and I have booked accordingly..... Pleased to note that the Company is pushing forward on the PR front. By Myunderstanding |
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| 12:03 22/07/2011 | CEO presenting at seminar |
| The company is presenting at a free seminar in the City on 14th September. More info at http://freecityseminars.com/ By pmygne |
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| 18:31 14/07/2011 | Chamberlin in upbeat mood |
| Chamberlin in upbeat mood 14/07/2011 Miles Nolan http://www.growthcompany.co.uk/news/1640943/chamberlin-in-upbeat-mood.thtml Foundry-to-engineering firm Chamberlin (CMH) has issued a trading statement at its AGM, in which it has confirmed first quarter trading is in line with expectations. Following its return to profitability and the dividend list, the AIM listed engineer has enjoyed a solid start to the year, largely driven by ongoing orders for its its products. Demand for castings continues to strengthen, moreover its Walsall foundry is trading at above pre-recession levels as is the heavy casting foundry in Scunthorpe. The integration of the recently acquired door closing business Jebron is also going to plan. In an interview with Growth Company Investor chief executive Tim Hair said 'we are very pleased with the current level of order intake and continue to explore potential acquisition opportunities'. To this end, Chamberlin recently bolstered its balance sheet with a £500,000 investment by well known fund manager Gervais Williams. The shares were acquired at a premium to the then prevailing share price, and the holding represents a 4.7 per cent stake. On the investment, Hair added 'we are pleased to welcome Gervais, who is a very supportive shareholder'. Broker finnCap has maintained its 2011 pre-tax profit forecasts at £1.6 million, delivering EPS of 13.7p. We last recommended the shares at 113.5p in May, so the recent price rise to 136p is pleasing. With the outlook good there is little reason to change our view. Buy. Tags: Acquisitions, AIM market, Foundry business, Gervais williams Sector: Industrial Engineering Companies: Chamberlin By SpikeyDT |
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| 8:21 08/07/2011 | The Times-Tiddler to Watch: |
| 7:18 am The Times http://bit.ly/nE4J2g Tiddler to Watch: Chamberlin jumped 10p to 134p, on AIM after Gervais Williams at MAM bought 4.7% of the Birmingham-based foundries business. The small-cap specialist, who built a following among private investors while at Gartmore, paid an 8% premium to buy the shares in Chamberlin, a specialist in car turbocharger castings. By SpikeyDT |
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| 8:22 07/07/2011 | Placing At 135p |
| A new Institutional Investor on board, a premium placing price, the balance sheet strengthened, investment for organic growth & acquisitions soon. What's not to like! I've upped my short term sp target to 150p by year end. By MelchiorHoffman |
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| 13:32 24/05/2011 | Growth investor-Miles Nolan |
| Chamberlin BUY 24/05/2011 Miles Nolan A return to the dividend list is proof that foundry to engineering specialist Chamberlin (CMH) is firmly back on the growth trail, thanks to improving markets and the efforts of a new management team. Founded in 1890 the firm operates three UK foundries, in Scunthorpe, Walsall and Leicester. Volumes have improved significantly from the depths of recession, when Chamberlin witness a collapse in demand of over 70%. Investment in new kit has helped and two of the three units are now trading at or above the pre-recession levels. Chamberlin sees strong growth ahead in the turbocharger market, as engines that are reduced to meet carbon emission standards are equipped with units to maintain performance. Though raw materials have increased, most contracts now factor this in so the costs can be recovered. In addition, several large manufacturers are returning to European sourcing due to poor product quality from other markets. Following a return to the black at the interim stage Chamberlin has reported figures for the year to December which reveal a 1p dividend, a 40% hike in sales to £39.8m, and a pre-tax profit of £333,000 (2009: £1.4m loss). The small acquisition of door closer business Jebron from the administrators was a smart move and should chip in sales of £1m this year. Broker finnCap predicts 2011 pre-tax profits of £1.6m and EPS of 13.7p. Compared to its nearest rival Castings the shares trade at a big discount, and with management focused on building scale by acquisition the rating looks harsh. Buy. Tags: AIM market, Finncap, Jebron, Profits upgrade, Turnaround Sector: Industrial Engineering Companies: Chamberlin Market cap: £8.4mPE Forecast: 8.3 Share price: 113.5p http://www.growthcompany.co.uk/recommendations/1625718/chamberlin.thtml By SpikeyDT |
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| 14:46 10/05/2011 | Write-up in Eavesdropper |
| May edition: http://www.shareworld.co.uk/index.php/alan-watson/newsletter/may-2011/#update1 By davids355 |
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| 18:21 14/04/2011 | Broker Round up |
| Broker Roundup: Tesco, BP, Debenhams, Chamberlin, Helius Energy, Ormonde Mining 5:03 pm by Andre Lamberti FinnCap also expects good things from engineering group Chamberlin (LON:CMH) following its trading update today. results for the full year to March 2011 are expected to be in line with market forecasts. “Recent weakness in the share price for no apparent reason has left the stock at a 40 percent discount to its closest quoted peer. On that basis, the stock looks cheap and we retain our 115 pence target price,” the broker said. “Chamberlin is a well managed business with both continuing recovery as well as organic growth prospects. We continue to believe the discount to (closest quoted peer” Castings as well as the overall market is too large,” it added. http://www.proactiveinvestors.co.uk/columns/broker-spotlight/5095/broker-roundup-tesco-bp-debenhams-chamberlin-helius-energy-ormonde-mining--5095.html By SpikeyDT |
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| 11:42 04/02/2011 | HB MARKETS buy 132p |
| Chamberlin (LON:CMH, 114.5p, £8.52m) has announced the acquisition of certain assets and IP of Jebron, the UK manufacturer of high performance door closers for £0.162m. While the group expects to incur an additional £0.1m of integration costs with its Exidor, the market leader in emergency exit hardware, it then expects over £1m of additional sales. A good move and we move the group back up to a BUY with a 132p fair value based on 9x next year’s EPS. (Julian Tolley) http://www.proactiveinvestors.co.uk/columns/hb-markets/4473/hb-markets-daily-smallcap-newsflash-including-accsys-technologiesbangochamberlinsupercart-and-others--4473.html By SpikeyDT |
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