AGL - Accordant Group. was previously AWF Madison, Allied...

[Hawkeye]

The update mentioned above
https://www.nzx.com/companies/AWF/announcements/254916

[percy]

Half year result out.
CRACKER.
Sales up 58%.
Net profit up 54%
interim dividend increased 12.5% to 7.2cents.
Underlying earnings ?? rose 78% and the dividend was 54% of the underlying earnings.
Still looking at balance sheet options; "In the meantime the excellent operating cashflow is permitting debt reduction to be commenced and continued on an ongoing basis."

[bunter]

Seem to find myself sitting on a lot of the same shares as you Mr Percy!
Agree with your earlier comments on Madison (and acted on them).
Value increased from 3.21 to 3.98 in my model. Been a long wait.

[percy]

While we are waiting for details and timing of the capital raising it is pleasing to see the appointment of Wynnis Armour to the AWF board.Winnis is one of the vendors of Madison Group recently acquired by AWF.

[DarkHorse]

Funny the share price is below where it was at the time of the Madison deal - with the uncertainties that surround any acquisition; Madison has proven to add to both profitability and stability of earnings through labour market cycles (permanent recruiting does better in a tight labour market and temporary in a loose one). Looks like very good value right now.

[stoploss]

Funny the share price is below where it was at the time of the Madison deal - with the uncertainties that surround any acquisition; Madison has proven to add to both profitability and stability of earnings through labour market cycles (permanent recruiting does better in a tight labour market and temporary in a loose one). Looks like very good value right now.

The possibility of a cash issue been hanging over this for a while . I know the economic cycle is different but Skilled group ( SKE.AX ) has been smashed recently .......

[DarkHorse]

I agree the likely cash issue is having an impact. Haven't held SKE for a few years but I see they are on very low multiples - do you see this as being due to exposure to the mining sector, or some broader trend which may be relevant here?

[stoploss]

I agree the likely cash issue is having an impact. Haven't held SKE for a few years but I see they are on very low multiples - do you see this as being due to exposure to the mining sector, or some broader trend which may be relevant here?

Mostly due to exposure to mining , however they are exposed to the general economy through manufacturing which is in a big downtrend .... The CEO is departing which was a telegraphed move not a surprise, probably didn't help that he sold some shares 3 months ago , but it was probably his retirement fund . Anyway one to watch for when the mining sector bottoms out ( who knows when ) They are particularly exposed to the Gas sector these days , which has been hammered due to the oil price . Just like with AWF companies will probably take on temp labour first when coming out of recession , so think there is a future here ...it's just a matter of timing .

[stoploss]

AWF

29/01/2015 17:14

FORECAST

PRICE SENSITIVE

REL: 1714 HRS AWF Group Limited

FORECAST: AWF: Steady Performance Expected From AWF Group

AWF Group Ltd (AWF) has advised that the Group expects a steady finish to its

31.3.15 financial year.

CEO Mike Huddleston noted:

- that turnover was likely to be in the vicinity of $196m - $198m

- net profit after tax expected to exceed $5m (+circa 31%)*

- EBITDA** is likely to be in the range of $12m-13m (+ circa 50%)*

- Underlying earnings*** per share after tax are expected to lift by over 39%

to approximately 26 cents per share.

"As we move towards the new financial year, we are encouraged by the outlook

and expect to see continued growth in all of our business units, driven from

strong activity in the main centres" Mike Huddleston said.

[h2so4]

Looking the goods