MPG - Metro Glass

[hamish]

Info below on what the Strategic Review might cover - based on their selected consultancy Partners in Performance

http://www.pipint.com/en/industries/...sumer-products

One could imagine the strategic review would encompass aspects below and be driven by Org metrics / KPIs.

I see this as a really good move for a manufacturing Org that has not yet realised the scale and efficiency from new Operations / Factory and parallel Business lines. Independent, outside-in baseline and measurement of core processes against benchmarks using six sigma type techniques....can only help improve bottom line

http://www.pipint.com/en/results (you can filter this by industry)

Also see that it's healthy the review is being driven by the Board (vs Exec Team as part of normal year-on-year annual Strategy cycle) and that their Chairman is openly referencing this. Completion of review to end March, seems like there will be thorough diagnostic with some decent recommendations. Hopefully non-compete aspects will be available to shareholders in due course.

Disc: Bought in at 1.02

• Diagnostic
• Operations and Maintenance Performance
• Cost and Cash
• Supply Chain and Procurement
• Organisation and Management Systems
• Sales Force Effectiveness
• Strategy
• Transaction Services
• Safety and Environment
• Coaching and Training

[winner69]

Not a good headline when assessing Metro prospects for next year or so

http://www.nzherald.co.nz/business/n...ectid=11933909

[bull....]

Not a good headline when assessing Metro prospects for next year or so

http://www.nzherald.co.nz/business/n...ectid=11933909

not much upside from there announcement that news story might be why a

[winner69]

Probably true, but also highly likely to be a response to their statement in their last presentation around over resourcing in FY17:

"Activity levels todate have been below our expectations and as we had resourced the business accordingly there will bea need to adapt and pursue efficiency initiatives through the second half of the year".

FY18 guidance still above FY17 so can expect 11cps, good opportunity in FY19 for this to increase as a result of "significant" improvements as a result of FY18 capex. Current divi also expected to be retained for foreseeable future so def a lot of positives in there given current SP.

As per goodwill - non-cash and is all made up anyway... But i doubt with the above points we will see any impairment.

Glad you keeping the faith hunter.

Did you read the bit in the agm press that mentioned home affordability and tightening credit could constrain growth.

I think they have entirely discounted (if not ignored) the impact of these two things ....hence the current lower than expecations activity, which ain’t going to change soon.

[TheHunter]

I see you've lost yours Winner.

I'm sure they're well aware of those factors, yet guidance a couple of days back remains improved earnings in FY18 over FY17, and significant capex benefits from FY19. Also, a significant reduction in their capex forecast - meaning another $5m of FCF available.

11 cps should be a very reasonable assumption for FY18, not sure on your personal discount rate but assuming this EPS and the above factors it is likely this is under valued at current SP IMO.

I get all the scare around building boom etc but one reason that I haven't touched FBU/STU etc and favour MPG is that re-fitting existing homes is a big opportunity and doesn't depend on new builds. Hope their new strategy includes this as an objective. End of the day housing is still in short supply and building consents are still at high levels.

Even if revenue growth is flat.... earnings growth can still occur. SP follows earnings.

[winner69]

Hey winner, speaking of hope, I hope you have booked your Bryan Adams tickets for his upcoming tour in Jan18, a legend returns for the last time I'd say.

Hey Couts - seen this clip of Bryan and The Boss
https://m.youtube.com/watch?v=AUTmqptb-XY

[winner69]

Geez, 100,000 new homes in 10 years under Jacinda

That’s more than a million windows

Metro Glass great buy at about a buck .....get in quick

Be $1.30 plus in no time and $2.00 next year

[RTM]

Geez, 100,000 new homes in 10 years under Jacinda

That’s more than a million windows

Metro Glass great buy at about a buck .....get in quick

Be $1.30 plus in no time and $2.00 next year

Affordable Homes winner. Windows will all be same size imported from China.

[TheHunter]

Geez, 100,000 new homes in 10 years under Jacinda

That’s more than a million windows

Metro Glass great buy at about a buck .....get in quick

Be $1.30 plus in no time and $2.00 next year

Changed your tune pretty quick there winner! I like this optimistic winner better

[TheHunter]

Affordable Homes winner. Windows will all be same size imported from China.

Kiwihome details materials to come from "private sector", hopefully domestic private sector! NZ first right??