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Lizard
16-08-2010, 08:17 PM
All these years and I can't find a thread on these... surely someone must own some shares somewhere? Some poor person out there waiting for an analyst to start covering them again after years (decades?) of neglect? :eek2:

Thought I would read their result in a quiet moment. Interested to see that they have found trading in the past 4-5 months to be tougher than anticipated.

Actually, it's not like they're small to be so un-mentioned. They have a market cap of $73.6m and revenue of $434m...

That aside, they produce impressively low trading margins - less than 2%. They also trade at only about two-thirds of their net asset value ($3.48/share), which is mainly property based. I can only presume they have a very tight share register that prevents anyone taking this over and extracting a little more value. The shares seem to have gone sideways through the $2-$3 range for over 10 years, so perhaps now (at $2.25) might be at least close to a good price... though you wouldn't want to buy them for the thrill.

Might have to look deeper at the full Annual Report some time.

shasta
16-08-2010, 08:45 PM
All these years and I can't find a thread on these... surely someone must own some shares somewhere? Some poor person out there waiting for an analyst to start covering them again after years (decades?) of neglect? :eek2:

Thought I would read their result in a quiet moment. Interested to see that they have found trading in the past 4-5 months to be tougher than anticipated.

Actually, it's not like they're small to be so un-mentioned. They have a market cap of $73.6m and revenue of $434m...

That aside, they produce impressively low trading margins - less than 2%. They also trade at only about two-thirds of their net asset value ($3.48/share), which is mainly property based. I can only presume they have a very tight share register that prevents anyone taking this over and extracting a little more value. The shares seem to have gone sideways through the $2-$3 range for over 10 years, so perhaps now (at $2.25) might be at least close to a good price... though you wouldn't want to buy them for the thrill.

Might have to look deeper at the full Annual Report some time.

Liz

I've mentioned CMO a few times over the years (without buying), i've always like the fact there NTA/NAV was backed largely by land

I've worked somewhere in the past which looked after the books etc, pretty much a family business & tight structure

Margins in this industry are razor thin

Fairly consistent dividend payer too

Silverlight
17-08-2010, 08:04 AM
The Gibbons family control at least 36.8%

PC & FS Gibbons 1,933,064 6.9%
AD & SB Gibbons & LB Rogerson 1,249,849 4.5%
Estate RC Gibbons, NL, BR & JP Gibbons & PL Bennett 1,231,542 4.4%
Florence Theodosia Gibbons 1,096,365 3.9%
Peter Craig Gibbons 905,354 3.3%
Faith Sara Gibbons 890,945 3.2%
Estate R C Gibbons, Deceased 565,635 2.0%
EC, JP & GD Gibbons, CG Harrison & MA Barton 413,550 1.5%
MA & LE Gibbons & AK Cook 404,074 1.5%
JP & DM Gibbons & PL Bennett 382,121 1.4%
Graeme Durrad Gibbons 343,158 1.2%
May Alice Gibbons 302,574 1.1%
Robert Durrad Gibbons 294,836 1.1%
Nancy Lucy Gibbons 283,068 1.0%
Stuart Barnes Gibbons 230,486 0.8%
Elsie Craig Gibbons 225,897 0.8%


CMO has 10% return from dividends at least, so at the current price it is a great income stock.

Longer term, you would want the board to unlock some of the NTA value, two ways could be:

- Sell off all the property to external buyers and lease it back off them on 10 -20 year leases

- Create a separate company that owns all the land and leases it back to CMO, then potentially list this company on the exchange, as a separate entity. As it would be a property company, if it still trades below NTA, huge potential for a takeover by one of the listed trusts.


NTA on results is $4.21 down from $4.38 in 2009, but still way above the last price at $2.25.

Property plant and equipment make up $3.26 of this NTA.

Strip this out you have $0.95 NTA trading at $2.25, returning 10% a year minus the increased cost of leasing. Does any one have a break down on the worth of each of their 12 properties, 2009 Annual Report does not give that detail.

Lizard
17-08-2010, 08:20 AM
Some fairly old-fashioned names on that list, Silverlight. What's your consultancy rate? Perhaps you should go door knocking and see if they want some help to extract value... :cool::p

Silverlight
17-08-2010, 08:41 AM
The current major shareholdings in CMC are with individual members of the wider Gibbons Family, who collectively hold over 60% of the Company shares.

That is way higher than I was expecting!

The holdings are all old money, and would probably follow an adage similar to that of Mark Twain (aka Samuel Langhorne Clemens) if you gave the suggestion of extracting value, through splitting up the assets.


I am more concerned with the return of my money than the return on my money

Lizard
17-08-2010, 08:59 AM
Old money....

I am curious if they are descended from John Gibbons of Huia (http://paperspast.natlib.govt.nz/cgi-bin/paperspast?a=d&cl=search&d=DSC18630908.2.15&srpos=25&e=-------10--21-byDA---2john+gibbons--)

(An intriguing story of business, wealth and family in early NZ)

percy
17-08-2010, 10:59 AM
That is way higher than I was expecting!

The holdings are all old money, and would probably follow an adage similar to that of Mark Twain (aka Samuel Langhorne Clemens) if you gave the suggestion of extracting value, through splitting up the assets.

From memory either GPG or Brierly were shareholders and had similar ideas as you have.I note they are no longer there.I suspect the Ford agency is very difficult with Hyandi expected to take over the No.1 position from Toyota in the next few years.With property market also difficult,the Gibbons family may not be receptive to new ideas.You may have to wait for another generation or two of Gibbons for movement.A good few years ago Hutchinson Motors in Ch-CH were offered the Toyota agency but Ford would not allow a Ford dealer to have another agency.In Auckland Bob MacMillian gave up the Ford agency or sold it and took on BMW.

Silverlight
17-08-2010, 12:25 PM
Guinness Peat Group plc (GPG) made a takeover offer for CMC in October 1995. Among the sellers who enabled GPG to acquire 33.9% were some original Gibbons Family shareholders. As part of a plan to maximise value to shareholders, Directors resolved to rationalise the Company's non-dealership property holdings, repay the surplus funds to shareholders and focus the Company on its core motor trade activities.

In June 1997, GPG sold its shares to the MBM Group of Companies which have interests in the Motor Industry in Malaysia. MBM Group sold all remaining 24.9% stake on the market in May 2003 to a large number of individual shareholders and a few institutional holders.

So some Gibbons sold out to GPG, GPG couldn't complete the deal, sold their stake off to MBM, who sold it back to the Gibbons.

Attached is top holders from 1996, 1997, 2001 & 2003.

The Gibbons never sold out everything, if someone has access to announcements, we could probably work out if MBM sold their stake at a profit or loss, although they would have had healthy dividends all the way through as well.

percy
17-08-2010, 04:52 PM
Hope Gibbons & co were related.They started out importing bikes and were also motor accessery wholesalers.

Lizard
16-08-2011, 04:09 PM
A strong FY result from CMO. Not surprised to see sellers cleared out at $2.35, as that leaves it on a yield of over 8% plus imputation. Also looking good on pretty much any other ratio, although hard to guess at outlook.

Interesting that the sales in Christchurch were stronger than in Wellington and Auckland "despite the earthquake"... wonder if there was an element of "because of the earthquake"? Seems possible to argue that one either way.

Enumerate
17-08-2011, 07:34 AM
I own some ... I have alway struggled with a valuation methodology (are they an automotive company, are they a property company; is it really an equity investment, is it a type of fixed interest pref).

However, with the yield and commercial property backed NTA ... I don't struggle too hard.

Snoopy
18-08-2011, 03:36 PM
I own some ... I have alway struggled with a valuation methodology (are they an automotive company, are they a property company; is it really an equity investment, is it a type of fixed interest pref).

However, with the yield and commercial property backed NTA ... I don't struggle too hard.


To judge the relative worth of investments, I always think it is worth looking around at the alternatives. The car market has never been more dynamic. In the next few years, who knows whether Toyota, Hyundai, Ford or even former bankrupt GM will emerge with the leading market position in this country? However, there is one NZX auto market investment you can make where you don’t have to second guess which way the market will go: Turners Auctions.

Turners are the only nationwide sales network that deals in all makes and models. In recent years TUA have recovered from the delusion that they could take the West Coast of the United States by storm. They have weeded out fraud in their senior management with new procedural systems. And they have got back to their basics: the NZ pre-owned vehicle market. TUA are probably one of the dullest investments on the NZX you can make. Yet being boring is often a flag to me of an under the radar investment opportunity.

Unlike Colonial, Turners have sold and leased back their premises. There is no property to add comfort to a TUA investment. However, I would question some of that Colonial Property value. A property only has contestable value equal to its best alternative use. I am not sure if aging ex car showrooms have a great alternative value. Alternative car franchises tend to bulldoze and rebuild when setting up a new car sales franchise. And it is doubtful that Ford would let a significant part of its dealer network disappear off to a competitor anyway. IMO the break up value of CMO is a moot issue. The underlying Ford dealer land certainly has value though.

Ironically while Brierley couldn’t unlock any hidden value that might have existed within Colonial, he is almost certainly going to be responsible for unearthing any hidden value that exists at TUA. This is thanks to Brierley’s vehicle GPG, which is in the process of being broken up, holding a strategic (19.4%) stake in TUA.

According to some newspaper summaries, TUA has the highest gross dividend yield of any share on the NZX. In fact this is an historical distortion, because of a 6cps bonus special dividend paid out on 7th April 2011. Even so at $1.37, TUA is on an historic normalized dividend (11cps) gross yield of 11.5%. Pretty useful.

In summary, what is wrong with CMO as an income investment proposition? In the grand scheme of things not much. But why would you invest when there is an alternative out there which is just that bit more attractive?

SNOOPY

Joshuatree
18-08-2011, 05:41 PM
Be int to know what % of the car market Trade Me controls,surely a threat to Turners.

macduffy
18-08-2011, 07:17 PM
A property only has contestable value equal to its best alternative use. I am not sure if aging ex car showrooms have a great alternative value.

I don't think the value lies in the buildings though. I don't know what values CMC shows in its books for properties but if their Taranaki St, Wellington property is typical, it's the land, and its location - largely utilised for the used car yard - where the real value lies.

Disc: Not holding CMC.

Lizard
03-07-2012, 07:08 AM
Market update the other day did not cause much interest, but worth a note:

On 20 February 2012, when the board announced the company’s result for the six months to 31 December 2011, we commented that we did not expect the result for the next six months to be as good. Trading in the second half of the year has been better than we anticipated when we made this comment.

If they match first half as implied, they'd be looking at somewhere near $12m NPAT in trading profits, or about 50% increase over prior year. Maybe forward PE of 8.5 at offer of $3.15 per share. A good chance of an increase to the dividend to a yield of around 7% plus imputation.

Snoopy
03-07-2012, 03:11 PM
If they match first half as implied, they'd be looking at somewhere near $12m NPAT in trading profits, or about 50% increase over prior year. Maybe forward PE of 8.5 at offer of $3.15 per share. A good chance of an increase to the dividend to a yield of around 7% plus imputation.


The share price has made a good gain from the start of the year, up from around $2.65 to $3.15. Maybe sales in the second half in line for an Ecoboost? Read one article saying it is the Falcon that should have been when the current model was released.

Mind you Turners Auctions are up a similar percentage amount over the same time period. So it might just be a 'motor industry' thing.

SNOOPY

Lizard
22-08-2012, 07:26 AM
Came in pretty close to that $12m NPAT at $11.83m trading NPAT. Balance sheet and cashflows not all that well laid out, so difficult to be sure on net debt, but think it has reduced. Sale of the Porirua site this year is likely to further improve cash position. Dividend up to 25cps on share price of $3.45.

All in all, a great result. There aren't too many clues to outlook, although strong sales in the June quarter probably bode well for the start to first half 2013. I'd expect them to head towards the $4 - $4.20 range over next 9 months.

Lizard
21-08-2013, 06:09 AM
Great result from CMO out yesterday at $14.80m NPAT. Debt has increased though due to $16m increase in working capital combined with dividend payouts.

Still paying a great div, with total annual div of 30cps + imputation on current $4.50 share
price.

Not a lot of insight on outlook, but general undertone seemed positive and has been a well-run operation in recent years.

(Just re-read my last post a year ago and I said something very similar then)

noodles
21-08-2013, 09:29 AM
Great result from CMO out yesterday at $14.80m NPAT. Debt has increased though due to $16m increase in working capital combined with dividend payouts.

Still paying a great div, with total annual div of 30cps + imputation on current $4.50 share
price.

Not a lot of insight on outlook, but general undertone seemed positive and has been a well-run operation in recent years.

(Just re-read my last post a year ago and I said something very similar then)

I agree. Their 2nd half operating profit was 8132 (or 25c per share). Annualise that and you get eps of 50c. That puts CMO on a pe of less than 10 with a dividend yield to envy.

noodles
13-02-2014, 11:25 AM
MTA stats out this week. New Fords are up 59%! As CMO owns mostly Ford dealerships, this should bode well for FY14 earnings.

http://www.mta.org.nz/f3758,125880/140212_Monthly_Stats_Jan14.pdf

I am eagerly awaiting 1H14 results in the next few days. Hopefully it will be as good as TUA.

I'm holding CMO.

blackcap
13-02-2014, 01:16 PM
MTA stats out this week. New Fords are up 59%! As CMO owns mostly Ford dealerships, this should bode well for FY14 earnings.

http://www.mta.org.nz/f3758,125880/140212_Monthly_Stats_Jan14.pdf

I am eagerly awaiting 1H14 results in the next few days. Hopefully it will be as good as TUA.

I'm holding CMO.

haha I was about to buy some more until I realised there were no sellers left. May have to let it settle for a bit. But nice little run up and if they can improve on their last half result things bode very well.

noodles
13-02-2014, 01:25 PM
haha I was about to buy some more until I realised there were no sellers left. May have to let it settle for a bit. But nice little run up and if they can improve on their last half result things bode very well.

How obliging. Someone has just put a small parcel on the market at a reasonable price of $5.30.

blackcap
13-02-2014, 01:41 PM
How obliging. Someone has just put a small parcel on the market at a reasonable price of $5.30.

Wouldnt happen to be a person using the avatar of "noodles" by any chance would it? :) But in all seriousness, even $5.30 might seem cheap if they can get the uplift in the Ford sales and continue with the growth they have displayed in the last financial year.

noodles
13-02-2014, 02:13 PM
Wouldnt happen to be a person using the avatar of "noodles" by any chance would it? :) But in all seriousness, even $5.30 might seem cheap if they can get the uplift in the Ford sales and continue with the growth they have displayed in the last financial year.
I will neither confirm or deny.

jonu
13-02-2014, 02:22 PM
I can't see anything on this thread commenting about Ford ceasing manufacturing in Oz and its likely impact on the CMO dealerships? I don't have a view either way but I note previous posters referring to a large % of Ford dealerships.

noodles
13-02-2014, 02:33 PM
I can't see anything on this thread commenting about Ford ceasing manufacturing in Oz and its likely impact on the CMO dealerships? I don't have a view either way but I note previous posters referring to a large % of Ford dealerships.

Fords sales were down year on year for most of 2013. It did not seem to affect CMO too much. They certainly had a great 2H13.

jonu
13-02-2014, 02:39 PM
Well then Noodles are you saying Ford doesn't account for much of their revenue? I'm just wondering what impact there will be long term on them having to source Fords from further afield than Oz. Who knows maybe they will be cheaper?

noodles
13-02-2014, 02:51 PM
Well then Noodles are you saying Ford doesn't account for much of their revenue? I'm just wondering what impact there will be long term on them having to source Fords from further afield than Oz. Who knows maybe they will be cheaper?

Ford does account for a lot of their car yards. I've no idea what relocation from Australia means for the company. I thought you were referring to the discontinuation of Falcon. I think that is what caused the drop on sales last year. I think their trucking business probably picked up the slack. However it is worth noting that they have forward currency contracts in Australia, US and Euro. So I'm guessing they source outside Australia already.

Snoopy
13-02-2014, 02:52 PM
I can't see anything on this thread commenting about Ford ceasing manufacturing in Oz and its likely impact on the CMO dealerships? I don't have a view either way but I note previous posters referring to a large % of Ford dealerships.


Still another two years before those Ford factories in Australia shut for the last time. The two models produced there are the Ford Falcon (large car) and Ford Territory (large SUV). I would say of the two it is the Falcon that will be hardest to replace in the eyes of traditional Aussie big car buyers. If you read the Australian car magazines the current rumour is Falcon will not be replaced at all. Large saloon car buyers will have to content themselves with the Ford Mondeo. A few months ago I would have worried about all those Falcon buyers going over to that other Ozzie icon, the Holden Commodore. But of course that is now going as well, or is it?

Certainly the Commodore production line will be turned off in Australia in 2017. But a next generation replacement might still come down under from Canada or China. Yet can a Holden from Canada or China still be an Aussie icon?

The plan is to replace the Territory with a new SUV from the USA. Holden's nearest equivalent SUV, the Captiva, is mainly sourced from Korea. But unlike Holden (General Motors), Ford do not have a source of vehicles from Korea. Ironically the new large US sourced Ford SUV might still be badged 'Territory' in Australia and New Zealand. But American sourced cars do not have a good record of success down under. I suspect ultimately market share might leak from Ford to the Japanese and Koreans here in Australasia with the closure of Australian manufacturing plant. It may have done that anyway. But the demise of Falcon and Oz sourced Territory will hasten the process. IMO the net effect of the end of Ford production in Australia will be bad news for Colonial Motors in New Zealand 3-5 years down the track.

SNOOPY

jonu
13-02-2014, 03:53 PM
Thanks Snoop. If your time frame of 3-5 years is right I guess it gives them time to rearrange the deck chairs (so to speak:)

macduffy
13-02-2014, 03:53 PM
However it is worth noting that they have forward currency contracts in Australia, US and Euro. So I'm guessing they source outside Australia already

They sell a lot of Mazdas too, I believe. Do they publish sales figures of individual brands?

Disc. Never held CMO, but often wish I did!

westerly
13-02-2014, 06:07 PM
They sell a lot of Mazdas too, I believe. Do they publish sales figures of individual brands?

Disc. Never held CMO, but often wish I did!

They sell Kenworth and DAF trucks , tractors in Southland, and have 12 dealerships selling Ford cars 7 of which sell Mazdas. As ford hve assembly plants in Thailand the loss of Aust. sourced vehicles may not be too bigger deal.
Westerly

noodles
19-02-2014, 03:26 PM
Just released 1H14 results...

Up 50% on 1H13. EPS 26.3c

No guidance given, but given recent Ford strength, Fy14 eps should be well over 50c.

noodles
20-02-2014, 08:54 AM
http://www.stuff.co.nz/business/industries/9741627/Colonial-Motors-has-high-profit

Lizard
20-02-2014, 09:14 AM
They are looking great, aren't they noodles? One of the better results reported so far and still cheap here at $5.05 (although maybe difficult to buy!)

noodles
20-02-2014, 09:32 AM
They are looking great, aren't they noodles? One of the better results reported so far and still cheap here at $5.05 (although maybe difficult to buy!)

The result beat my expectations. They usually have a weaker 1st half. This was stronger than 2H13. During 2H13, Ford sales were negative YOY.

So looking forward, with Ford sales up 59% in Jan, we could easily see 50% profit growth on the 2H13 result as well.

This would translate to eps of 26.6(1h14) plus 37.3(2H14) = 63.9c (FY14)

Even after the recent rise(sp 5.05 at time of writing), that puts CMO on forecast FY14 pe of just 7.9.

My target pe on this stock is 13. Therefore my target is 8.30

If it reaches my target, I may be able to buy one of the Ford Rangers.

WARNING: These estimates are purely based on historical profit growth. This is not a recommendation to BUY. DYOR

Lizard
20-02-2014, 09:47 AM
Thanks noodles. I'm a bit more conservative than you - only working on $6.50 as value for now, but there are not many companies trading below my valuations at present.

Also, strong balance sheet and good yield at 6.73% plus imputation - good for a long term hold.

noodles
20-02-2014, 11:01 AM
Thanks noodles. I'm a bit more conservative than you - only working on $6.50 as value for now, but there are not many companies trading below my valuations at present.

Also, strong balance sheet and good yield at 6.73% plus imputation - good for a long term hold.

I can see them paying a 40c div this year (based on last years % of profits). That's a 10.8% gross yield.

Snoopy
20-02-2014, 12:21 PM
Thanks Snoop. If your time frame is 3-5 years is right, I guess it gives time to rearrange the deck chairs on the Titanic.


Jonu, the question I answered was what I believed would be the effect of the closure of Australian vehicle manufacturing. I don’t think Ford, and by implication CMO, is going down in 3-5 years. There is certainly time to rearrange things!

The Ford Ranger Utility vehicle range for example, from Thailand, is a huge hit, which is purportedly giving Toyota with their Hi-Lux, a real run in the light commercial market. Although, I do note that much of the design work on the Ford Ranger was actually done by Ford’s engineering staff in Australia! I guess the ongoing unrest in Thailand is a worry for the medium term. The use of Thailand as a source of vehicles for the Pacific is helped by free trade arrangements between Thailand and NZ/Australia. For Ford fans, I guess they are hoping the blue shirts will ultimately pacify those militant red shirts! Other emerging pacific rim Asian nations will no doubt come on stream as an alternative lower cost vehicle production sites.

Cost and quality hurdles are there for all car brands. These hurdles are certainly jumpable by Ford, looking three to five years out. The problem I have with the loss of Falcon and Territory is that Ford will be losing their two ‘halo’ vehicles down under. A ‘halo vehicle’ is something that buyers want to buy over and above any objectively comparative product. A halo vehicle has to earn its halo, with a story. That story could include a motor sport heritage. It could be something to do with ‘little old Australia’ able to produce a home grown world-class vehicle, teaching the might of Europe, the United States and Japan a lesson in the process. Longevity itself can create loyalty. The Falcon badge is one of the longest running in the automotive world. There are Falcon families out there where granddad, dad and grandson have only ever owned Ford Falcons.

In purely objective terms a Ford Mondeo is probably a cheaper to manufacture more economical better engineered vehicle than a Ford Falcon that will deliver a cheaper better product for the consumer. But who ever grew up wanting to buy a Ford Mondeo? A halo product can attract a premium price. I am not sure that Ford fully appreciates what they are killing off here.

SNOOPY

noodles
15-08-2014, 10:04 AM
Some good news coming out of the sector
http://www.radionz.co.nz/national/programmes/businessnews/audio/20145764/auto-industry-star-retail-performers-in-june-quarter
http://www.mia.org.nz/news.asp

CMO report on Wednesday. Ford sales are up 15% on the previous half year. While they now sell a lot more than Ford, I have high expectations for the result. I'll also be interested to know how the purchase of the 4 BMW dealerships will impact earnings for FY15.

Beagle
15-08-2014, 11:55 AM
A LOT of farmers have updated vehicles in the last year with record prices in the beef and dairy sector and consumers have been busy updating on the back of the high Kiwi dollar, strong employment and record low interest rates.
Going forward unfortunately the outlook isn't so bright, for example how many dairy farmers will be updating vehicles considering where Fonterra's forecast pay-out is going ?
Now consumers are paying higher mortgage rates will they be so keen to update their vehicles ?

noodles
15-08-2014, 12:07 PM
A LOT of farmers have updated vehicles in the last year with record prices in the beef and dairy sector and consumers have been busy updating on the back of the high Kiwi dollar, strong employment and record low interest rates.
Going forward unfortunately the outlook isn't so bright, for example how many dairy farmers will be updating vehicles considering where Fonterra's forecast pay-out is going ?
Now consumers are paying higher mortgage rates will they be so keen to update their vehicles ?

I agree that there are headwinds. However, those headwinds have yet to be reflected in the Monthly MTA stats. Until they do, I am comfortable holding.

benjitara
20-08-2014, 07:10 PM
A "rockstar" stock in my book. considering the acquisition in recent weeks too. I can't see the dollar taking a tumble anytime soon and interest rates have been put on hold for now.. another 18months left in this rocket ship I think...

noodles
20-08-2014, 10:56 PM
The only thing that stuck me as interesting from that announcement was the following statement...
"A feature of this year has been the concurrent strong operating performance from all of the trading companies; car dealerships, heavy trucks, and tractors. However there are increasing signs that the favourable conditions are easing."

benjitara
21-08-2014, 08:58 AM
The only thing that stuck me as interesting from that announcement was the following statement...
"A feature of this year has been the concurrent strong operating performance from all of the trading companies; car dealerships, heavy trucks, and tractors. However there are increasing signs that the favourable conditions are easing."

I think far too much is made of certain phrases in management addresses. we see on the PEB thread posters looking into the most trivial commentaries like they've just found the holy grail. Anybody with a brain can see that "favourable conditions are easing" that doesn't mean that favourable conditions are no longer in existence. Noodles, despite what everybody else says I know and you know that your a very good looking man/women, what most impresses me about you is that you've managed to couple your movie star looks with an intellect of the highest quality.

noodles
21-08-2014, 06:00 PM
I think far too much is made of certain phrases in management addresses. we see on the PEB thread posters looking into the most trivial commentaries like they've just found the holy grail. Anybody with a brain can see that "favourable conditions are easing" that doesn't mean that favourable conditions are no longer in existence. Noodles, despite what everybody else says I know and you know that your a very good looking man/women, what most impresses me about you is that you've managed to couple your movie star looks with an intellect of the highest quality.
Well clearly the market is brushing off my concerns. Up a few % today.

benjitara
21-08-2014, 06:12 PM
Well clearly the market is brushing off my concerns. Up a few % today.

Unfortunately my bid got leapfrogged by a couple of others... liquidity proves a bugger when not holding!

blackcap
19-08-2015, 03:52 PM
Steady result but outlook a bit tough?

https://www.anzsecurities.co.nz/DirectTrade/dynamic/announcement.aspx?id=3938292

silverblizzard888
19-08-2015, 03:59 PM
Yeah looks like a competitive market has reduced their margins, they did more sales but still earnt less operating profit.

Plutus
22-08-2015, 07:17 AM
CMO's foray into Euro cars is not proving successful. It's a different paradigm than selling Trucks and Ford's. Not one person on the Board has any Euro experience. Who would set up Euro brands in South Auckland ? Time to freshen up the Board boys.... the next couple of years will need a new set of skills.

Beagle
22-08-2015, 09:37 AM
CMO's foray into Euro cars is not proving successful. It's a different paradigm than selling Trucks and Ford's. Not one person on the Board has any Euro experience. Who would set up Euro brands in South Auckland ? Time to freshen up the Board boys.... the next couple of years will need a new set of skills.

Yes I agree with that. Sime Darby that own Jerry Clayton BMW and a whole host of other Euro brands have been restructured more times than I've had hot dinners this week, (which shows its not easy), and as the established payers they already have a good hold on the best staff that are required to execute European vehicle sales. I'm something of a curious car consumer having owned a Mercedes and Ford, (now Chrysler SRT8), at the same time for many years. Coutts Cars (Mercedes-Benz) and Jerry Clayton (BMW) have their stuff fairly well sorted....the less said about the standard of after sales service at Ford dealers the better. (Just find a good local mechanic to fix your Ford is the best advice I can give). The currency dropping won't help CMO's cause and neither will the consumer and business confidence plumbing multi year lows. Not really the sort of environment dairy farmers and other customers go rushing out to buy a new vehicle is it !! Stock is now in a downtrend and looks cheap from a PE perspective but I think its a classic value trap. Avoid.

Plutus
22-08-2015, 06:49 PM
Yes I agree with that. Sime Darby that own Jerry Clayton BMW and a whole host of other Euro brands have been restructured more times than I've had hot dinners this week, (which shows its not easy), and as the established payers they already have a good hold on the best staff that are required to execute European vehicle sales. I'm something of a curious car consumer having owned a Mercedes and Ford, (now Chrysler SRT8), at the same time for many years. Coutts Cars (Mercedes-Benz) and Jerry Clayton (BMW) have their stuff fairly well sorted....the less said about the standard of after sales service at Ford dealers the better. (Just find a good local mechanic to fix your Ford is the best advice I can give). The currency dropping won't help CMO's cause and neither will the consumer and business confidence plumbing multi year lows. Not really the sort of environment dairy farmers and other customers go rushing out to buy a new vehicle is it !! Stock is now in a downtrend and looks cheap from a PE perspective but I think its a classic value trap. Avoid.

Interesting comment re Sime Darby - I was a Continental Cars customer for a long time, but now go to Giltraps for much better service. I counted up how many brands Sime Darby have lost in the last few years - let me see if I get this right... Skoda, Fiat, Alfa Romeo, Chrysler, Jeep, Dodge, Maserati, Suzuki and read yesterday they have walked away from Peugeot and Citroen in Greenlane as well. They had Kia too at one stage I think. If car retailers can't make it work in the record sales years 2014 and 2015, god help them in 2016 and 2017. Agree, avoid motor retail for the next year at least.

blackcap
19-02-2016, 04:00 PM
Trucking along, (pardon the pun) so to see.... happy to be a holder of this not so sexy but well performing company....

HALFYR: CMO: Half year report & results 04:09p.m.
CMO
19/02/2016 16:09
HALFYR
PRICE SENSITIVE
REL: 1609 HRS The Colonial Motor Company Limited

HALFYR: CMO: Half year report & results

Results for announcement to the market
Name of listed issuer The Colonial Motor Company Limited
Reporting period Six months to 31 December 2015
Corresponding reporting period Six months to 31 December 2014

This report has been prepared in a manner which complies with New Zealand
equivalents to International Financial Reporting Standards and gives a true
and fair view of the matters to which the report relates.

This report is based on unaudited financial statements.

Consolidated Statement of Financial Performance
Current half year " Up/(down) " Previous corresponding period $
million % $ million
Trading revenue $438.784 7.1% $409.665
Total operating revenue $438.989 7.0% $410.446
Operating profit $13.844 8.8% $12.730
Adjustments to value of property & investments $1.072 - $-
Net profit before tax $14.916 17.2% $12.730
Taxation $3.794 1.6 $3.735
Profit after tax $11.122 23.6% $8.995

Net profit for period attributable to shareholders $10.572 25.3%
$8.440
Profit attributable to Non-controlling Interest $0.550 (0.9)%
$0.555
Profit for the period $11.122 23.6% $8.995

Basic earnings per share (cents per share) 32.3 cps 25.2% 25.8
cps
Diluted earnings per share (cents per share) 32.3 cps 25.2% 25.8
cps
Net tangible assets per share $4.61 8.0% $4.27

INTERIM DIVIDEND
Fully-imputed dividend cents per share 13.000
Imputation credit cents per share 5.056
Supplementary dividend (where applicable) 2.294
Payment date 18 April 2016
Record date 08 April 2016

The Directors are pleased to advise you of the unaudited results for the six
months ended 31 December 2015. The trading profit after tax is a record high
for the first half of the year at $9.429m. It exceeds our previous record in
2013 by 10%.

The second half of calendar 2015 was a national record six months for new
vehicle registrations, up 4% on the first half of the year. While much of
the industry growth was driven by rentals, our dealerships benefited from a
desirable mix of in demand vehicles. The Ford Ranger, a light commercial,
was the top selling vehicle for the full year, and Mazda sold over 10,000
vehicles for the first time. Our dealerships benefited from the strong
market, with increased volumes flowing into trading profit after tax. There
was a distinct lift in the December quarter. The first quarter to September,
as reported at the AGM on 6 November, was tracking close to the previous
year, 2014, and below the record 2013 year. The lift came from new vehicles
and a late recovery in tractors. Southpac Trucks had another strong six
months, despite a slightly smaller heavy truck market.

Total profit for the period, at $11.122m benefited from the strong trading
profit, plus a $1.072m realised gain on the sale of the Taranaki Street
property. This is the difference between the carrying value and the sale
price of the property. The sale was settled on 1 September 2015.

There has been a change of accounting policy for new vehicle bailment
inventory to align with international industry practice. Previously new Ford
and Mazda inventory, financed by a bailment agreement, was shown by way of a
note to the accounts. Bailment stock and the associated vehicle floorplan
finance liability are now shown on the balance sheet. The accounts for the
previous periods have also been adjusted, and the impact of the change is
shown in Note 3 to the accounts.

In January 2016, South Auckland Motors new airport service facility at
Timberly Road opened for business. South Auckland Motors has its main sales
and service facility at Manukau, a full sales and service branch at Pukekohe
and service only facilities at Botany and now at the airport, and is now
looking to develop another service only facility in the Takanini/Papakura
area.

Following the redevelopment of the Southpac Trucks site at Manukau, the
Company is purchasing a site at Te Rapa, Hamilton, to be developed as a parts
and service centre.

At Nelson, BP has decided not to renew MS Motors fixed term license agreement
for the three BP service stations which will expire over the next three
months. BP is redeveloping the stations to become its own 'Wild Bean'
operated sites. MS Motors has operated these service stations for 15 years
and they have been a significant part of its business.
End CA:00278005 For:CMO Type:HALFYR Time:2016-02-19 16:09:35

BlackPeter
31-03-2016, 09:06 AM
Yep, quite respectable result ... and the golden cross they just passed is (again) a dead sure indication that it would have been a good idea to buy in late February some of their shares for a nice discount. Boy - are these lagging indicators useful!;)

Still feel that this industry is at current in the top half of its cycle - and the other thing which puts me off from buying them is that I am suffering under the customer service of one of their companies (Team Hutchinson Ford, Christchurch) ... and I find them (despite a pretty customer interface) often quite inefficient and unresponsive if I have a real problem with the car they sold me (and I had already too many of them - problems, this is, not cars). On the other hand are they not really bad, just mediocre ... and there is not really a better alternative around as long as warranty issues need to be resolved.

I guess in a way its an interesting observation that quite mediocre organisations can make good profits ... but maybe the rest of their portfolio of companies is more switched on ...?

blackcap
31-03-2016, 11:43 AM
Yep, quite respectable result ... and the golden cross they just passed is (again) a dead sure indication that it would have been a good idea to buy in late February some of their shares for a nice discount. Boy - are these lagging indicators useful!;)

Still feel that this industry is at current in the top half of its cycle - and the other thing which puts me off from buying them is that I am suffering under the customer service of one of their companies (Team Hutchinson Ford, Christchurch) ... and I find them (despite a pretty customer interface) often quite inefficient and unresponsive if I have a real problem with the car they sold me (and I had already too many of them - problems, this is, not cars). On the other hand are they not really bad, just mediocre ... and there is not really a better alternative around as long as warranty issues need to be resolved.

I guess in a way its an interesting observation that quite mediocre organisations can make good profits ... but maybe the rest of their portfolio of companies is more switched on ...?

Hi Blackpeter.... as a shareholder why not let CMO know of your concern about what you are facing? That way they at least will know or be made aware of something that they may not be aware of.

Or if you like you can PM me your concerns as my partner sees Jim Gibbons (the chairman) on a monthly basis and I can pass this on if you like.

In4a$
31-03-2016, 12:25 PM
Yep, quite respectable result ... and the golden cross they just passed is (again) a dead sure indication that it would have been a good idea to buy in late February some of their shares for a nice discount. Boy - are these lagging indicators useful!;)

Still feel that this industry is at current in the top half of its cycle - and the other thing which puts me off from buying them is that I am suffering under the customer service of one of their companies (Team Hutchinson Ford, Christchurch) ... and I find them (despite a pretty customer interface) often quite inefficient and unresponsive if I have a real problem with the car they sold me (and I had already too many of them - problems, this is, not cars). On the other hand are they not really bad, just mediocre ... and there is not really a better alternative around as long as warranty issues need to be resolved.

I guess in a way its an interesting observation that quite mediocre organisations can make good profits ... but maybe the rest of their portfolio of companies is more switched on ...?

The Truck division is pretty good. ( Southpac )They sell top line products and their service is up there with the best.
Disc: Was a share holder but sold thinking getting to high but they have gained a $ since. ( Bugger)

BlackPeter
31-03-2016, 02:14 PM
Hi Blackpeter.... as a shareholder why not let CMO know of your concern about what you are facing? That way they at least will know or be made aware of something that they may not be aware of.

Or if you like you can PM me your concerns as my partner sees Jim Gibbons (the chairman) on a monthly basis and I can pass this on if you like.

Not a share holder (for the mentioned reasons). I still could send the chair a letter, but than - I wrote two letters to John Hutchinson - after noticing that they do absolutely nothing with the "feedback" they love to collect from customers at any possible opportunity (well, they probably put it into nice glossy presentations nobody wants to see). He never even bothered to acknowledge that he received my letters ...

As I said ... they are not hopeless but often quite thoughtless ... and given that the warranty on my car ran out in January (and I don't own their shares either) is it probably easier for me to look for a different workshop (someone who cares ....) and invest my money somewhere else ...

Anyway - thanks for the offer ...

blackcap
16-08-2017, 03:41 PM
Originally posted by Beagle on another thread.

https://www.nzx.com/files/attachments/263575.pdf

Not sure if there's a thread already for this or not but anyway if you're stuck trying to find any value left on the NZX then this might fit the bill.

Not a bad company at all. Reasonable growth and solid outlook. Historical PE 11. Historical dividend yield (44 / 750) / O.72 = 8.15%.
Nice steady uptrend in SP over the years. Outlook looks fine to me. Presently trades cum a fully imputed final dividend of 31 cps.
Good value hold for dividend yield and dividend growth.

Disc: Hold.

Beagle
16-08-2017, 03:45 PM
Originally posted by Beagle on another thread.

https://www.nzx.com/files/attachments/263575.pdf

Not sure if there's a thread already for this or not but anyway if you're stuck trying to find any value left on the NZX then this might fit the bill.

Not a bad company at all. Reasonable growth and solid outlook. Historical PE 11. Historical dividend yield (44 / 750) / O.72 = 8.15%.
Nice steady uptrend in SP over the years. Outlook looks fine to me. Presently trades cum a fully imputed final dividend of 31 cps.
Good value hold for dividend yield and dividend growth.

Disc: Hold.

Thanks Blackcap :) Solid result don't you think ? I guess looking back its hard to make the case its not a cyclical hence the low PE but population growth and the strong currency and rebound in confidence in the dairy sector and agriculture generally should bode well for the foreseeable future.

blackcap
16-08-2017, 03:49 PM
Thanks Blackcap :) Solid result don't you think ?

Yep real solid, I like it, and have held for a few years now. What I like about this company is that it is not sexy. Not flavour of the month, they just get on with it. One caveat is that they are tightly held, with family (the Gibbons family) owning about 2/3's of the company. So illiquid but if you are in for the long haul no worries.
Another caveat may be the same as I mentioned on the TRA thread. How are they able to cope with the changing face of the automotive market and are they able to adapt to survive. Another question I may ask Jim at the AGM.
No sneezing at the 31 cent imputed dividend though and stellar capital gain these last few years.
Interestingly revenue down and profit up. SO the sell off of Jeff Gray BMW last year justifiably warranted.

Beagle
16-08-2017, 04:13 PM
Yep real solid, I like it, and have held for a few years now. What I like about this company is that it is not sexy. Not flavour of the month, they just get on with it. One caveat is that they are tightly held, with family (the Gibbons family) owning about 2/3's of the company. So illiquid but if you are in for the long haul no worries.
Another caveat may be the same as I mentioned on the TRA thread. How are they able to cope with the changing face of the automotive market and are they able to adapt to survive. Another question I may ask Jim at the AGM.
No sneezing at the 31 cent imputed dividend though and stellar capital gain these last few years.
Interestingly revenue down and profit up. SO the sell off of Jeff Gray BMW last year justifiably warranted.

It would appear so. BMW AG also have really high expectations regarding dealership presentation which costs dealerships truck loads of capex.
I really scratch my head regarding BMW N.Z. pricing especially regarding high end product. Example a new BMW 750, retail approx. $240K, demo's circa $190K.
Problem is high spec low mileage 2017 demo's in the U.K. for low 60K pounds incl VAT and openly advertised as VAT Qualifying so U.K. BMW dealers will sell you one exclusive of VAT for about 50K pounds.
Add shipping, insurance, customs and local GST and you're looking at circa $115K Kiwi on the road here but local dealers want circa $190K.
I think a lot of people are "showrooming" high end BMW product and then deciding what they want and parallel importing it or using one of the many existing parallel importers. (Its certainly crossed my mind more than once).
Acknowledge there are spec differences between the countries and that BMW N.Z. offer a 5 year warranty and 3 year service inclusive package but nonetheless the German's who set the retail prices in N.Z. are not doing the dealerships any favours who typically only get 11% margin plus volume incentives and demonstrator rebates.
Tough gig for BMW retailers up against all the parallel importer companies and those who do it themselves.

percy
04-11-2017, 06:00 AM
Jim Gibbons sounded some very loud warning bells at the agm.
Take care.

Marilyn Munroe
04-11-2017, 09:40 AM
I really scratch my head regarding BMW N.Z. pricing especially regarding high end product. Example a new BMW 750, retail approx. $240K, demo's circa $190K.


Bust My Wallet motors aren't the only ones to whom this Pom/Kiwi pricing discrepancy applies. Fiat-Chrysler are the same for their prestige brands.

Boop boop de do
Marilyn

blackcap
04-11-2017, 02:28 PM
Jim Gibbons sounded some very loud warning bells at the agm.
Take care.

Were you there too Percy? Did not see you. But was not really looking out for you either.

percy
04-11-2017, 02:58 PM
Were you there too Percy? Did not see you. But was not really looking out for you either.

No.
I read his reported speech on both Scoop business and Daily ShareChat.
Worrying.!
Does not look as though Electric car franchise is secure,or retailing new cars is a good sector to be in.The comment about new car sales being made up with moving a good amount of "old" stock means margins are under pressure,as manufacturers try to move make room for "new" stock.I know a Toyota dealer who sold his dealership for this very reason. I also note the ChCh Toyota dealership has acres of cars that have yet to reach his yards.

Beagle
04-11-2017, 03:26 PM
Bust My Wallet motors aren't the only ones to whom this Pom/Kiwi pricing discrepancy applies. Fiat-Chrysler are the same for their prestige brands.

Boop boop de do
Marilyn

LOL that's a good one for BMW. I own a Chrysler SRT8 so feel well position to comment on that. We are fortunate that they build them in RHD for the low volume down under and in the U.K. among other RHD markets. Not really a mainstream brand but an especially good bit of kit for the money and when you take into account local ones here are sold choc-a-block with specification and technology taking into account shipping and the exchange rate from the U.S. we do pretty well, certainly better than a top end Euro.

I don't think it was quite the alarm bell you allude too Percy. Hyundai dealers are already selling electric cars through their dealerships, BMW through their dealerships and Toyota hybrids e.t.c.e.t.c. for other brands so why would you imagine it would be any different for Ford and Mazda ? Trucks are apparently going very well.

I'd be more worried about how buy rubbish cars is going if I were you. Top selling months are supposed to be September and October and isn't it strange that the TNR SP has been in such steady decline even right through the historical high selling period. Hmmm

Meanwhile CMO confirmed a very good September quarter and latest registration data out this week for October sales shows new car sales continuing on at record level's.

percy
04-11-2017, 03:53 PM
Gibbons speech was full of very loud warning bells.
We should also remember a weaker NZ $ works more against new car sales, than imported used cars sales.

Beagle
04-11-2017, 04:51 PM
Here is the full text of his speech, people can decide for themselves.
http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/CMO/309763/268955.pdf

percy
04-11-2017, 05:16 PM
Agreed.................................

Hectorplains
04-02-2018, 10:00 AM
Gibbons speech was full of very loud warning bells.
We should also remember a weaker NZ $ works more against new car sales, than imported used cars sales.

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11987605

Record new car registrations in January. Earlier talk of 'alarm bells' might be premature at best. Ford and Mazda holding their ground, 2nd and 3rd in new vehicle registrations and Ford still No 1 in commercials.

percy
05-02-2018, 06:44 AM
http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11987605

Record new car registrations in January. Earlier talk of 'alarm bells' might be premature at best. Ford and Mazda holding their ground, 2nd and 3rd in new vehicle registrations and Ford still No 1 in commercials.



Good news for the automotive sector,and great news for CMO, with Ford Ranger sales still high,and Mazda performing well..

Beagle
05-02-2018, 11:17 AM
Interestingly Ford's share price on the U.S. market has been lackluster to say the very least for years. I think they are well and truly behind the 8 ball regarding development of electric cars.
On the other hand some of Mazda's new engines look like interesting developments to wring the last bit of life out of the ICE engine over the next 15-20 years.
I think the Chairman was right to opine regarding caution with regard to electric vehicles, they're coming at pace over the next 5 years or so but I don't see any reason why they wouldn't be sold through normal dealership channels, (they still need scanning and diagnostics as well as brakes/ tyres WOF e.t.c. and people will have trade-in's to sell as part of the process) so I'm not so sure why the concern they wouldn't be sold through dealerships ?

Long term the lower service costs of electric vehicle will have some impact on dealerships, I'm pretty sure of that.

Hectorplains
05-02-2018, 12:25 PM
Interestingly Ford's share price on the U.S. market has been lackluster to say the very least for years. I think they are well and truly behind the 8 ball regarding development of electric cars.
On the other hand some of Mazda's new engines look like interesting developments to wring the last bit of life out of the ICE engine over the next 15-20 years.
I think the Chairman was right to opine regarding caution with regard to electric vehicles, they're coming at pace over the next 5 years or so but I don't see any reason why they wouldn't be sold through normal dealership channels, (they still need scanning and diagnostics as well as brakes/ tyres WOF e.t.c. and people will have trade-in's to sell as part of the process) so I'm not so sure why the concern they wouldn't be sold through dealerships ?

Long term the lower service costs of electric vehicle will have some impact on dealerships, I'm pretty sure of that.

Yep, Ford dropped the ball on electric and are in catch up mode - https://www.theverge.com/2018/1/15/16892386/ford-electric-car-11-billion-2022-detroit-auto-show-2018

They do seem to have negated the impact of the significantly cheaper LDV, Ssang Yong etc in light commercials. All down to reputation, eh.

blackcap
20-02-2018, 03:55 PM
Ticking along nicely....

The Directors are pleased to announce the unaudited results for the six
months to 31 December 2017. The trading profit after tax of $11.903m is up
15.9% on last year's record profit for the same period.

The record result for the Company was driven by heavy trucks, with both sales
volume and trading profit growing in the six month period. Kenworth and DAF
had strong sales growth with a full calendar year total of 482 heavy vehicles
registered.

The total new light vehicle industry for the second half of the last calendar
year was up 3.9% on the same period a year before, a materially lower rate of
growth than the 13.5% growth of a year earlier. This slowing rate of growth
impacted on the profitability of our car dealerships. The car dealerships
trading profit was lower than the record result a year earlier but above that
achieved in both 2015 and 2014. Segment shifts within the market continue
with the established pattern away from sedans and hatches into SUVs and light
commercials. This trend affects Ford and Mazda differently. Mazda is strong
in the important SUV segment, while Ford is successful in the light
commercial sector.

Developments
South Auckland Motors' new facility at Takanini (leased) successfully opened
on time in December.

Late in 2017, Southern Autos-Manukau was appointed the Suzuki car franchisee
to replace Moyes in Panmure, and on 3 January 2018 began selling Suzuki
vehicles from its site at Manukau in addition to Isuzu utes, Peugeot and
Citroen.

Work has commenced on a CMC-owned workshop facility in Wellington City for
Capital City Motors.

Outlook
The total new vehicle market continues to grow and there are strong forward
orders for heavy trucks. However the pace of growth has slowed from a year
ago and business confidence is more cautious.

Dividend
The directors also declared an interim dividend of fifteen (15.0) cents per
share totalling $4.904m up 2.0 cents from the same period last year.

The dividend will carry full imputation credits based on the corporate tax
rate of 28% and a supplementary dividend will be paid to eligible
shareholders.

The dividend will be paid on Monday, 16 April 2018 to shareholders on the
register at close of business on Friday, 6 April 2018.
End CA:00314457 For:CMO Type:INTERIM Time:2018-02-20 16:04:38

Beagle
20-02-2018, 04:10 PM
Can't argue with that result. Very impressive considering the election result and lower business confidence.
Lots of EPS growth unlike a certain other company in this field.

Beagle
06-06-2018, 08:43 AM
Can't argue with that result. Very impressive considering the election result and lower business confidence.
Lots of EPS growth unlike a certain other company in this field.

Actually Turners doing quite well now too. Latest stat's out for new vehicle s for May show we're back on t rack after a softer April. This vehicle sector offers real value from a PE and dividend yield perspective with growth in EPS effectively for free !
http://www.scoop.co.nz/stories/BU1806/S00084/may-2018-new-vehicle-registrations-up.htm?utm_source=ST&utm_medium=email&utm_campaign=ShareTrader+AM+Update+for+Wednesday+6 +June+2018

blackcap
23-08-2018, 04:19 PM
You must be chomping at the bit there Beagle...

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/CMO/322681/285136.pdf

percy
23-08-2018, 04:29 PM
Well done holders.
A great result from "the family" business.

traineeinvestor
23-08-2018, 05:19 PM
:t_up:

Nothing else that needs saying ... except for the cautionary outlook (which seems pretty much normal for this company).

blackcap
23-08-2018, 06:03 PM
:t_up:

Nothing else that needs saying ... except for the cautionary outlook (which seems pretty much normal for this company).

Yeah happy (very) holder here too. Bought in around the $4 mark a while back. Such a boring company but that is the way I like them. Just increasing EPS and increasing DPS. What more would you want. Agree with you on the cautionary outlook being the norm. The AGM's are a funny affair, its like a family reunion and has a weird feel too it. But the lunch is normally pretty good.

Beagle
23-08-2018, 07:38 PM
You must be chomping at the bit there Beagle...

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/CMO/322681/285136.pdf

Very strong and solid performance...like a Kenworth truck really :)

Ford and Mazda are well respected brands. Trailing PE is 10.56 for a company with a 100 year history growing after tax EPS at ~ 12%.

Dividend yield (50 / 800) / 0.72 = 8.7% gross. Very good hold.

traineeinvestor
23-08-2018, 08:19 PM
Very strong and solid performance...like a Kenworth truck really :)

Ford and Mazda are well respected brands. Trailing PE is 10.56 for a company with a 100 year history growing after tax EPS at ~ 12%.

Dividend yield (50 / 800) / 0.72 = 8.7% gross. Very good hold.

Agree with all of this, but don't lose sight of the fact that the auto industry has historically been a cyclical one and we shareholders have had several good years in a row.

Beagle
24-08-2018, 08:27 AM
Agree with all of this, but don't lose sight of the fact that the auto industry has historically been a cyclical one and we shareholders have had several good years in a row.

Fair comment but I think the PE already accounts for that. That said I think they're a little more vulnerable to business confidence tanking even further than say Turners who are selling based on needs to people many of whom have had a big jump in their disposable income due to the recently enacted families package.
Turners on a forward PE of 9.75 by my calculations. To be honest I am a little surprised that new vehicle and truck sales have remained this strong with business confidence allegedly at a 10 year low ? Anyone got any thoughts they'd care to share on that ?

Sister in law recently bought a Mazda CX5 Ltd. I am amazed at the kit in that car like heads-up display, adaptive cruise, Bose stereo...the list goes on and on and on. Ride, handling and build quality are all very impressive. Not surprised at all that these are the top selling SUV in the volume mid sized SUV segment. Maybe its this sort of technology, (stuff that was previously the preserve of high end European cars costing three times the price) that is fueling ongoing robust demand ?

macduffy
24-08-2018, 10:09 AM
Probably due to the lag effect - results to 30 June versus more recent loss of confidence?

Beagle
24-08-2018, 10:12 AM
Probably due to the lag effect - results to 30 June versus more recent loss of confidence?

Good point, orders for trucks in particular delivered in 2H were probably placed in 1H before Jascinda and her team of "experts" started working their "magic".
I am a little cautious going forward and think that there is real substance behind the decade low business confidence survey's. (i.e. they are not just a protest vote)

Jaa
24-08-2018, 03:36 PM
To be honest I am a little surprised that new vehicle and truck sales have remained this strong with business confidence allegedly at a 10 year low ? Anyone got any thoughts they'd care to share on that ?

Business confidence surveys are not worth much and are easily affected by rich people's political biases. Follow the money not the noise.

Also you have done this a lot, please learn to spell the PM's name properly. That is not much to ask and a good start to civil debate.

Agree, Mazda make nice cars that are popular with female buyers. Ford though seems to be in trouble in the US.

peat
03-09-2018, 10:55 AM
only one seller at 1400 today!

Beagle
03-09-2018, 10:57 AM
only one seller at 1400 today!

Refreshing to see that one seller knows fair value :D

Beagle
04-09-2018, 02:37 PM
https://www.driven.co.nz/news/news/record-august-result-for-new-car-registrations/

As usual Colonial Motors has 2 of the top 3 selling marques. Trades cum a 35 cent fully imputed dividend and on a forward PE of just 10...and some people reckon its hard to find value anymore on the NZX...

traineeinvestor
04-09-2018, 02:43 PM
https://www.driven.co.nz/news/news/record-august-result-for-new-car-registrations/

As usual Colonial Motors has 2 of the top 3 selling marques. Trades cum a 35 cent fully imputed dividend and on a forward PE of just 10...and some people reckon its hard to find value anymore on the NZX...

And the only offer showing at the moment is at $10.00.

Beagle
04-09-2018, 03:00 PM
And the only offer showing at the moment is at $10.00.

And its not me on the offer. Anywhere in the low mid $8 range if you can get them for that cum a 35 cent fully imputed final divvy is very good buying in my opinion.

Beagle
27-09-2018, 05:50 PM
Got my Colonial Motors annual report today. Nicely bound up with a lovely gold colored cover to commemorate their 100th year in business. Simply done but very nice and classy. Makes for a very interesting comparison these two companies. CMO and Turners.
Nice steadily growing profits for the last 5 years and that growth from not a single new share issued, very nice. Average total shareholder return for the last decade 15.5% per annum. My goodness I observed, that's almost as good as RYM except with Colonial about half the TSR has been in dividends. SP more than doubled in the last 4 years while Turners has gone backwards...makes you think doesn't it. Hmmm
Gross FY18 yield Turners 7.4% Colonial Motors based on theoretical ex divvy price of $8.00 8.7%. Forward PE's are both pretty cheap and under 10 by my reckoning.

My Goodness though this putting up directors fees must be contagious though. Chair is proposed to go up by a "whopping" $5K from $84.5K to $89.5K and this for a company turning over $900m plus and developing property left right and center as well as providing full service dealership facilities to a wide variety of vehicles and trucks. And what's this about directors fees increases being increased based on TWO independent sources ?

Does beggar belief really especially seeing as Turners so called independent directors remuneration review didn't cite any specific company comparisons. A cynic might suggest there is the possibility that Turners consulted with a number of sources before they picked the answer they liked the best.
Disc: Turners - Hold
Colonial - Accumulate more on any weakness.

Timesurfer
27-09-2018, 06:15 PM
Imagine the divvy CMO could fork out if they only used one staple on the annual report instead of the nice binding.

percy
27-09-2018, 06:24 PM
Imagine the divvy CMO could fork out if they only used one staple on the annual report instead of the nice binding.

Nice one..!..lol.

Beagle
27-09-2018, 06:26 PM
Imagine the divvy CMO could fork out if they only used one staple on the annual report instead of the nice binding.

LOL actually on closer inspection its not bound at all, just a nice cover and stapled twice to form a booklet report that looks like its bound, so I doubt they could increase the dividend much with saving one staple :p Does have nice thick smooth coated paper...you know, like it will hang together well and like the directors actually want the shareholders to read it. Room for improvement though, could do with more photo's like HLG's report although having said that all the bar graphs looks very attractive :D

blackcap
28-09-2018, 06:58 AM
LOL actually on closer inspection its not bound at all, just a nice cover and stapled twice to form a booklet report that looks like its bound, so I doubt they could increase the dividend much with saving one staple :p Does have nice thick smooth coated paper...you know, like it will hang together well and like the directors actually want the shareholders to read it. Room for improvement though, could do with more photo's like HLG's report although having said that all the bar graphs looks very attractive :D

Hey Beagle, are you coming down for the AGM? I have the NZO AGM at 10am that Friday and then the CMO one at noon which I will be attending. If you do come down, give me a heads up and I will look for you. (good lunch normally at the CMO event and it being their 100 year celebrations I am sure it will be even better than normal). If that is worth a day off work that is for you to decide :)

Beagle
28-09-2018, 08:01 AM
Hey Beagle, are you coming down for the AGM? I have the NZO AGM at 10am that Friday and then the CMO one at noon which I will be attending. If you do come down, give me a heads up and I will look for you. (good lunch normally at the CMO event and it being their 100 year celebrations I am sure it will be even better than normal). If that is worth a day off work that is for you to decide :)

I'll mull that one over mate.

peat
02-10-2018, 12:31 PM
LOL actually on closer inspection its not bound at all, just a nice cover and stapled twice to form a booklet report that looks like its bound, so I doubt they could increase the dividend much with saving one staple :p Does have nice thick smooth coated paper...you know, like it will hang together well and like the directors actually want the shareholders to read it. Room for improvement though, could do with more photo's like HLG's report although having said that all the bar graphs looks very attractive :D
Indeed it does a good job of pretending to be a well done report but in fact is pretty budget. As you say no photos!! I love reading some of the glossy AR's by manufacturing and mining companies and so this was a bit disappointing esp for a centenary edition.
But it does show how well they work to maintain costs lol.

I was about to comment on this thread that someone is buying CMO and pushing the price up. Now it has been revealed :p
Definitely solid figures. No takeover premium but longevity is the converse side of that.

blackcap
02-10-2018, 01:54 PM
I was about to comment on this thread that someone is buying CMO and pushing the price up. Now it has been revealed :p
Definitely solid figures. No takeover premium but longevity is the converse side of that.

How do you infer from the Annual report that it has been revealed? Or am I missing something here?


In addition can someone explain to me why 171 employees earn over $100k at this firm?
http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/CMO/324373/287412.pdf

Page 45 gives a good breakdown. What is more surprising is that there are 12 people earning over $290,000 per annum and the top dog gets $1.7m.
Not complaining as they have been one of my best investments but someone more knowledgeable able to give an explanation?

minimoke
02-10-2018, 02:02 PM
In addition can someone explain to me why 171 employees earn over $100k at this firm?10 decent sales people per dealership?

Beagle
02-10-2018, 02:06 PM
Agreed peat. HLG my personal favorite because the figures and the photo's are so attractive :)

Page 43 sheds some light blackcap and a good salesperson can easily make over $100K. I think peat was saying that he now knows who's been buying CMO...I did mention it in another thread responding to whether Synlait is a good buy at present. $1.7m does look a little OTT....think it looks like Todd Hunter making mid $600K's...better not dig into that annual report again otherwise it will definitely fall apart.

blackcap
02-10-2018, 02:12 PM
10 decent sales people per dealership?

Yeah I surmised as much, I do not know enough about how those places work but it makes sense. I would rather many more employees get paid over $100k then, as we (CMO) will be taking a nice cut.

Beagle, will look into page 43 when I have some time.

SP movements going all one way at the moment and getting close to feeling a bit overbought.

Wow the price keeps changing as I look. 884 bid for 4000 shares, could see $9 very soon.

Looks like those 4000 could not wait any longer and just went to $9!

peat
02-10-2018, 02:15 PM
How do you infer from the Annual report that it has been revealed? Or am I missing something here?


sorry for confusion, its just peat the Rabbit rabbiting out Beagle as a buyer.

after reading the report I just wondered if this company is solid enough to be a backstay and justify hitting it hard.
But liquidity is a bit of an issue it would seem.

blackcap
02-10-2018, 02:18 PM
sorry for confusion, its just peat the Rabbit rabbiting out Beagle as a buyer.

after reading the report I just wondered if this company is solid enough to be a backstay and justify hitting it hard.
But liquidity is a bit of an issue it would seem.

No worries Peat, great company this, always has had a liquidity problem though with 65% of it being in family hands. I know back in the day GPG tried to takeover but got unstuck along the way.
Jim (the chairman) may be getting a bit long in the tooth, I may ask at the AGM what if any succession planning is going on.

Beagle
02-10-2018, 02:24 PM
sorry for confusion, its just peat the Rabbit rabbiting out Beagle as a buyer.

after reading the report I just wondered if this company is solid enough to be a backstay and justify hitting it hard.
But liquidity is a bit of an issue it would seem.

Naughty dog can't help himself knowing there's a HUGE 35 cps feed coming shortly....this is what I have been doing to any loose CMO shares lately lol https://www.youtube.com/watch?v=wnJaivwVwwY Once you're a dividend hound its hard to ignore feeds this size...and then there's the compelling fundamental's and their track record...

traineeinvestor
02-10-2018, 02:57 PM
Indeed it does a good job of pretending to be a well done report but in fact is pretty budget. As you say no photos!! I love reading some of the glossy AR's by manufacturing and mining companies and so this was a bit disappointing esp for a centenary edition.


I've been around long enough to remember people buying shares in Bendon solely because of the annual report. I don't think the average mining company can put anything into their reports with quite the same appeal.

macduffy
03-10-2018, 01:04 PM
I've been around long enough to remember people buying shares in Bendon solely because of the annual report. I don't think the average mining company can put anything into their reports with quite the same appeal.

No, that's just another urban myth. Playboy was much cheaper in those days.

;)

Beagle
08-01-2019, 02:31 PM
http://www.sharechat.co.nz/article/de25786f/new-vehicle-demand-expected-to-soften-after-record-2018-registrations.html?utm_medium=email&utm_campaign=New%20vehicle%20demand%20expected%20t o%20soften%20after%20record%202018%20registrations&utm_content=New%20vehicle%20demand%20expected%20to %20soften%20after%20record%202018%20registrations+ CID_39d9fd0b5ac65d3bb38185350c1eda67&utm_source=Email%20marketing%20software&utm_term=httpwwwsharechatconzarticlede25786fnew-vehicle-demand-expected-to-soften-after-record-2018-registrationshtml

minimoke
08-01-2019, 03:42 PM
http://www.sharechat.co.nz/article/de25786f/new-vehicle-demand-expected-to-soften-after-record-2018-registrations.html?utm_medium=email&utm_campaign=New%20vehicle%20demand%20expected%20t o%20soften%20after%20record%202018%20registrations&utm_content=New%20vehicle%20demand%20expected%20to %20soften%20after%20record%202018%20registrations+ CID_39d9fd0b5ac65d3bb38185350c1eda67&utm_source=Email%20marketing%20software&utm_term=httpwwwsharechatconzarticlede25786fnew-vehicle-demand-expected-to-soften-after-record-2018-registrationshtmlShame. Vehicle buyers might need to head to our local friendly second hand dealer for their vehicle.

Beagle
08-01-2019, 04:10 PM
Or hit Trade Me which according to the CEO has over 90% of vehicle listings in N.Z.

percy
08-01-2019, 05:17 PM
Shame. Vehicle buyers might need to head to our local friendly second hand dealer for their vehicle.

I think you are onto it.
They have been picking up market share,so are "well positioned.".

BlackPeter
21-03-2019, 10:18 AM
I see they submitted their HY results already 4 weeks ago. Not worthwhile discussing?

https://www.nzx.com/announcements/330839

Revenue up 4%, but earnings down 9.3%.


The immediate outlook is for revenue to remain high but lower margins and higher costs will constrain trading profitability.

Just wondering whether this might be in perfect harmony with the cylical picture of the car market TRA recently published?

10412

All down from here for the next couple of years?

peat
14-05-2019, 12:06 PM
surprisingly strong upward pressure continuing
10540

percy
14-05-2019, 12:18 PM
Just checked their 10 year chart.
Incredible.

blackcap
14-05-2019, 12:47 PM
Just checked their 10 year chart.
Incredible.

Indeed, as a shareholder of this very boring, illiquid company, cannot complain.

Beagle
14-05-2019, 01:04 PM
Just checked their 10 year chart.
Incredible.

MUCH better than some other car company eh :p

winner69
14-05-2019, 01:16 PM
MUCH better than some other car company eh :p

No other car companies listed ...a few finance companies though

Marilyn Munroe
14-05-2019, 08:56 PM
CMO is very much the pilot fish dependent on the shark Ford to deliver its sustenance.

What if Ford were to join its US competitor General Motors and say "Nah can't be bothered" producing cars for the Australian and New Zealand market?

Boop boop de do
Marilyn

JMKC
14-05-2019, 09:51 PM
CMO is very much the pilot fish dependent on the shark Ford to deliver its sustenance.

What if Ford were to join its US competitor General Motors and say "Nah can't be bothered" producing cars for the Australian and New Zealand market?

Boop boop de do
Marilyn

Best selling car in NZ: Ford Ranger
GM: have recently said they’ll start selling RHD Camaros in NZ.

Neither are pulling out of NZ. besides, a huge percentage of CMO’s value lies in their property assets.

Finally, the last thing the Gibbons family (who own 60% of CMO off the top of my head) did was buy stock.

minimoke
15-05-2019, 05:47 AM
Best selling car in NZ: Ford Ranger
GM: have recently said they’ll start selling RHD Camaros in NZ.

Neither are pulling out of NZ. besides, a huge percentage of CMO’s value lies in their property assets.

Finally, the last thing the Gibbons family (who own 60% of CMO off the top of my head) did was buy stock.Driving around town I reckon we cant be far away from Peak Ranger

JMKC
18-05-2019, 10:03 PM
Driving around town I reckon we cant be far away from Peak Ranger

Definitely agree with this. But I suspect it’s more a function of the market as opposed to moving away from the sector/Ranger (aside from the news on the brake issue I just saw).

Perhaps it falls to number 2 or at worst 3. But kiwis love a big high Ute it would appear.

Beagle
19-05-2019, 10:16 AM
Its hard to beat the versatility of a Ford Ranger. Go almost anywhere, tow almost anything, versatility with load carrying of people and gear.
They are perceived as being very cool and that helps with sales too. Mrs Beagle is making murmurings of wanting a double cab ute, I wonder if I should be worried ?

percy
14-08-2019, 06:50 PM
CMO's net profit for the year down 12.3%.
In a tough new vehicle market, I would think they have done well.

Baa_Baa
14-08-2019, 07:03 PM
CMO's net profit for the year down 12.3%.
In a tough new vehicle market, I would think they have done well.

It's also a very thinly traded volume stock, after an amazing run since 2010 one might also consider taking profits at these lofty SP levels over $9 up over ~400%. Might take the market a few days to cotton onto the implications of reduced net profit, especially if it's endemic and a beginning of new trend?

Beagle
15-08-2019, 08:31 AM
Agreed, historical PE of 13.6 is too high given the clear trend evidenced last year of a significantly weaker second half which is likely to be flowing through to current trading conditions. That PE is significantly higher than the average CMO has been trading on in better economic times. Outlook statement is very cautionary in its tone.

blackcap
19-02-2020, 03:14 PM
Bit of a shocker but to be expected?

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/CMO/348652/317018.pdf

BlackPeter
19-02-2020, 03:31 PM
Bit of a shocker but to be expected?

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/CMO/348652/317018.pdf

Didn't they announce the downturn already last year this time? People just didn't wanted to believe ....

blackcap
19-02-2020, 03:40 PM
Didn't they announce the downturn already last year this time? People just didn't wanted to believe ....

Yes they did, I sold my shares about half a year ago. However rev down 10% and profit down 25% is maybe more than people were expecting? Or maybe not, market does not seem too concerned at this stage.

Beagle
19-02-2020, 08:33 PM
Outlook was extremely cautionary as noted in my post #125 above last August.
Outlook noted this time is for a similar result to first half, (albeit wide open to virus concerns) so as long as people behave now as they did before this latest uncertainty they should make about 50 cps for the year. Average PE in recent years has been about 11 so fair value seems to be about $5.50 less whatever you want to take off for the current untoward risk which might affect consumer behaviour somewhat for who knows how long ? On the other hand Ford and Mazda will likely pick up quite a bit of market share from Holden exiting the market. Maybe $5.50 - $6.00 is about where it should be all thing considered.

peat
19-02-2020, 09:59 PM
Mazda will likely pick up quite a bit of market share from Holden exiting the market. Maybe $5.50 - $6.00 is about where it should be all thing considered.

Its weird thinking what a Holden owner would migrate to. They would have a natural dislike to Jap Crap, I would think.

However I do think we need to add a $1 or more onto the fair value share price just because its The Colonial Motor Company Limited. A name from the era of the South Sea Bubble has to give some brownie points.

11042

And also because it has been around 109 years. This also allows you to level up.

They managed to keep costs under control apart from wages which went up a little. But at the moment wont hold. Waiting though.

BlackPeter
20-02-2020, 07:10 AM
Its weird thinking what a Holden owner would migrate to. They would have a natural dislike to Jap Crap, I would think.



Hmm - I was owning throughout my life various European car brands (incl. Volkswagen, a Ford made in Germany and a couple of Citroën), one South Korean car and several Japanese cars (Toyota and Suzuki).

Of all these cars the Toyotas (of course made in Japan) have been by far the most reliable (and with that as well most economical) brand.

I don't think you know what you are talking about ...

Beagle
20-02-2020, 11:07 AM
Its weird thinking what a Holden owner would migrate to. They would have a natural dislike to Jap Crap, I would think.

However I do think we need to add a $1 or more onto the fair value share price just because its The Colonial Motor Company Limited. A name from the era of the South Sea Bubble has to give some brownie points.

11042

And also because it has been around 109 years. This also allows you to level up.

They managed to keep costs under control apart from wages which went up a little. But at the moment wont hold. Waiting though.

Those used to driving high performance turbo and supercharged sedan's, both FPV's and HSV's and Ford's and Holden's are a bit snookered that's for sure.

Maybe you're right and they're worth a bit more on a DCF basis, but here comes the big caveat, provided the virus doesn't become a world-wide pandemic !

Buying and driving a Toyota is like buying a fridge. Sorry, but it is.

peat
20-02-2020, 11:25 AM
Hmm - I was owning throughout my life various European car brands (incl. Volkswagen, a Ford made in Germany and a couple of Citroën), one South Korean car and several Japanese cars (Toyota and Suzuki).

Of all these cars the Toyotas (of course made in Japan) have been by far the most reliable (and with that as well most economical) brand.

I don't think you know what you are talking about ...
You've misread that BP.

I'm not saying they are crap. I am generalising that Holden owners think they are crap, and wouldn't want to own one. Isnt Beagle confirming this with his views on them. Anyway a bit off topic.

I still dont think pandemic will happen in a massive way. But had been reducing portfolio anyway and as stated by someone else CMO were warning us.

Beagle
20-02-2020, 11:35 AM
I suppose there's this https://www.toyota.co.nz/new-car/supra/ Looks are polarising to say the least !!

Baa_Baa
20-02-2020, 12:01 PM
I suppose there's this https://www.toyota.co.nz/new-car/supra/ Looks are polarising to say the least !!

If you drove one it might change your mind that a Toyota is just like a fridge. Lol.

percy
20-02-2020, 12:12 PM
Those used to driving high performance turbo and supercharged sedan's, both FPV's and HSV's and Ford's and Holden's are a bit snookered that's for sure.

Maybe you're right and they're worth a bit more on a DCF basis, but here comes the big caveat, provided the virus doesn't become a world-wide pandemic !

Buying and driving a Toyota is like buying a fridge. Sorry, but it is.

Just put on a set of Michelin tyres and it will drive like a European car .

BlackPeter
20-02-2020, 12:46 PM
Just put on a set of Michelin tyres and it will drive like a European car .

... true - all the fun of an European car just without the reliability problems and the ways too high bills :);

Beagle
20-02-2020, 03:00 PM
Just put on a set of Michelin tyres and it will drive like a European car .

Interesting little quip with more than an ounce of truth. Mrs B's 2017 Honda Civic came with Dunlop Enasave EC300 tyres as factory fit which are a reasonable tyre designed to maximise fuel economy and longevity. When they wore out I had no hesitation in putting the very latest Michelin Primacy 4 tyres on and we noted: A much more comfortable ride, much quieter, significantly better road holding and handling.
Not an exaggeration to say it made quite a significant difference.

Anyway...back to CMO - I doubt anyone in the CMO family is too happy with my assessment of current fair value lol

BlackPeter
20-07-2020, 10:05 AM
Interesting ... Financial year ended 30. June and the subsidiary CEO's are buying in droves. Always marked as "on-market" - i.e. it can't be just a part of their remuneration package - can it?

Results obviously not yet published, but I sort of wonder whether their brass has so far really absolutely no idea how the result might look like?

Do blackout periods not apply for companies like CMO?

But then ... they probably just want to protect the share price from further dropping ...

Beagle
20-07-2020, 11:05 AM
http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/CMO/354116/323817.pdf
Still trading under 100 day moving average which appears to be about $6.50. TA looks bad and I believe the outlook for consumer confidence with capex is pretty weak.
Once the effect of the stimulus wears off...

BlackPeter
20-07-2020, 11:16 AM
http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/CMO/354116/323817.pdf
Still trading under 100 day moving average which appears to be about $6.50. TA looks bad and I believe the outlook for consumer confidence with capex is pretty weak.
Once the effect of the stimulus wears off...

I agree. Still surprised about the subsidiary CEO's all buying in during a time when they must have an idea how the result looks like and the public does not.

forest
20-07-2020, 11:24 AM
I agree. Still surprised about the subsidiary CEO's all buying in during a time when they must have an idea how the result looks like and the public does not.

The way I read the announcements is that just one subsidiary CEO, Maarten Duurentijdt has been buying small parcels of shares over some time. Everytime he buys a parcel a notice of share purchase gets filled with the NZX.

BlackPeter
20-07-2020, 11:41 AM
The way I read the announcements is that just one subsidiary CEO, Maarten Duurentijdt has been buying small parcels of shares over some time. Everytime he buys a parcel a notice of share purchase gets filled with the NZX.

Actually, you are right. Always the same person. Does not change the fact, though, that one insider is buying shares after the end of the financial year (where he must clearly have an idea how it went) but before the results are published. Whatever his motivation, it feels quite unusual for a listed company to allow their officers to trade during this time window. I am wondering whether they have a policy on insider trading at all?

If I would hold I clearly would want to know from the board what's going on ...

Beagle
20-07-2020, 11:48 AM
Outlook was extremely cautionary as noted in my post #125 above last August.
Outlook noted this time is for a similar result to first half, (albeit wide open to virus concerns) so as long as people behave now as they did before this latest uncertainty they should make about 50 cps for the year. Average PE in recent years has been about 11 so fair value seems to be about $5.50 less whatever you want to take off for the current untoward risk which might affect consumer behaviour somewhat for who knows how long ? On the other hand Ford and Mazda will likely pick up quite a bit of market share from Holden exiting the market. Maybe $5.50 - $6.00 is about where it should be all thing considered.

From 19 February 2020 when it was ~ $8.60. Looking at it now with 5 months more knowledge about the effects of Covid 19 its hard to make the case that the share price is worth any more than $5.00. I'd say a bit less.

traineeinvestor
26-08-2020, 09:59 AM
Nice to see the dividend being reinstated:

https://www.nzx.com/announcements/358637

winner69
06-11-2020, 05:46 PM
Buyers are buying ...that’s good

Obviously no intent to pay back wage subsidy .....did say it only covered less than half of normal ren.

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/CMO/362814/334555.pdf

nztx
06-11-2020, 08:11 PM
Buyers are buying ...that’s good

Obviously no intent to pay back wage subsidy .....did say it only covered less than half of normal ren.

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/CMO/362814/334555.pdf


If they qualified for it then they are entitled to the subsidy, which incidentallty the company
was entitled to keep & had to be 100% passed on to the employees it was applied for..

How about the employees paying back to the company so the company can repay Govt ?

How do you reckon that would go - Winner69 ? ;)

Too Hard or Impossible ? ;)

You could donate the equivalent or a fraction thereof to the company so they can repay a few pennies
to Govt, if you're feeling generous ..

How much you prepared to stump up for the cause ? ;)

If it makes things more palatable, no dividend was paid during Covid-19 time of the year by CMO

nztx
03-02-2021, 06:04 PM
A bit of a Quiet Performer expecting Good half results:

GUIDANCE UPDATE:

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/CMO/367027/339689.pdf

nztx
18-02-2021, 04:26 PM
https://www.nzx.com/announcements/367832

15.0 cps Fully imputed payable in late March, rather than April in past

arekaywhy
13-08-2021, 01:09 PM
Good announcement...small gap up

Lifestyle
14-02-2022, 05:26 PM
I am guessing we will be getting the interim result this Friday 18/2. For the record I am estimating $15.3m net profit after minority interests.

Sideshow Bob
17-02-2022, 09:07 PM
Half Year Result to 31 December 2021 - NZX, New Zealand’s Exchange (https://www.nzx.com/announcements/387453)

NPAT $18m, up 42%....!!

nztx
17-02-2022, 09:15 PM
A quiet performer is CMO .. hard not to like what is being seen :)

winner69
22-12-2022, 03:08 PM
Obviously ‘solid’ can mean a few different things

GUIDANCE UPDATE
At the 2022 Annual Meeting we advised that the forecast half year result to 31 December 2022, while tracking behind last year's record, was anticipated to be a solid result. The Group remains on track to deliver a solid result although it will be materially behind last year, but ahead of the $18.2m December 2020 half year result.

So Profit before tax somewhere between $18.2m (dec 2020) and $26.5m (last year)

I guess $20m

But they already know as half year only days away from ending

nztx
22-12-2022, 09:16 PM
Obviously ‘solid’ can mean a few different things

GUIDANCE UPDATE
At the 2022 Annual Meeting we advised that the forecast half year result to 31 December 2022, while tracking behind last year's record, was anticipated to be a solid result. The Group remains on track to deliver a solid result although it will be materially behind last year, but ahead of the $18.2m December 2020 half year result.

So Profit before tax somewhere between $18.2m (dec 2020) and $26.5m (last year)

I guess $20m

But they already know as half year only days away from ending



Sounds & will look pretty solid ..... compared with NZA ;)

Sideshow Bob
22-08-2023, 03:02 PM
Profit down a bit but a "strong result in tightening conditions"

https://www.nzx.com/announcements/416794

winner69
08-11-2023, 07:48 AM
Shareholders Association bit miffed with Colonial

Seems not happy with their climate disclosures along with other things

Hope they are not getting too excited about ESG matters

‘Not personal’: NZSA to vote against Colonial Motor Company’s proposed resolutions at AGM

https://businessdesk.co.nz/article/markets/not-personal-nzsa-to-vote-against-colonial-motor-companys-proposed-resolutions-at-agm

Oliver Mander
08-11-2023, 05:05 PM
Shareholders Association bit miffed with Colonial

Seems not happy with their climate disclosures along with other things

Hope they are not getting too excited about ESG matters

‘Not personal’: NZSA to vote against Colonial Motor Company’s proposed resolutions at AGM


https://businessdesk.co.nz/article/markets/not-personal-nzsa-to-vote-against-colonial-motor-companys-proposed-resolutions-at-agm

"among other things"
Indeed an important element of your post. We are concerned generally at the level of disclosure that CMO offers - including around issues like Board composition and skills, the lack of consistent disclosure of the director fee pool (although they are in this year's Notice of Meeting thanks to a resolution to increase fees), the lack of supporting evidence provided to support a resolution to increase director fees, the lack of disclosure associated with CEO remuneration and some concvern about succession management processes as regards the Board (again, no disclosure). There is also limited disclosure around risks and mitigations - and yes, that includes environmental risks.

In terms of whether you support the climate-related diclosure regime or not, it actually doesn't matter. It is a law, and CMO is required to comply with it from next year. There is limited assurance provided to shareholders or investors that they will be able to comply, other than a half a sentence saying that they will comply with requirements in FY24. That provides scant assurance - it is not an easy process.

Over the last three years, we've worked constructively to improve disclosure amongst listed companies - with evidenced success. CMO has taken on none of our feedback, and now offers amongst the worst disclosures of any NZX-listed company. We hope the company takes this as a signal to improve it governance disclosures and processes in future - we will offer every encouragement.

Oliver Mander
CEO, NZSA

nztx
08-11-2023, 09:24 PM
If memory serves correct there are some old family groups as majors on the register

What proportion is still held by these interests ?

777
09-11-2023, 01:05 AM
If memory serves correct there are some old family groups as majors on the register

What proportion is still held by these interests ?

CMO Annual Report is accessible. Work it out for yourself.

I would guess around 60%.

Sideshow Bob
21-02-2024, 02:34 PM
https://www.nzx.com/announcements/426595

The Colonial Motor Company Limited has released its results for the six months ended 31 December 2023. The Company recorded a trading profit after tax for the first half of the 2024 financial year of $9.1m, down 35.9% on the comparative period’s very strong result.