Centurion Electronics CUC. Traded on the Aim Market.
Drat, Shares mag got in before me and had this one as one of their plays of the week and I feel they are justified in their tip.

Heres a recent article I have lifted from another site and it sums up the company and its prospects.


Nice one, Centurion
By Neil Thapar

- Is Steven Cunningham of Aim-quoted Centurion Electronics set to become the next Alan Sugar of consumer electronics?


The short answer is that it is far too early to tell. But Cunningham's Centurion is potentially as well placed in a rapidly growing segment of the electronics market as Amstrad was during the 1980s personal computer boom. If Cunningham comes anywhere near to replicating Amstrad's success, investors can look forward to outsize gains in the years ahead.

Few have heard of either Centurion or its founder and 41% shareholder. However, there are parallels between the two entrepreneurs. Aged 37, Cunningham went to school in Enfield - not far from Sir Alan's stamping ground in the East End. Both essentially found their calling in sales and marketing. Cunningham started out as a photocopier salesman in the City while Sugar cut his teeth selling car aerials in the market stalls of Petticoat Lane.

As chairman and chief executive, Cunningham has now positioned Centurion for the emerging market for in-car entertainment systems such as flat screens, DVD players, and portable connectivity devices that enable games consoles to be used while on the move. Its products are mainly aimed at backseat passengers and should be a godsend for harassed parents on long journeys with a carload of kids.

The company, floated on the stock market last Christmas, claims pole position in the UK in-car entertainment market, ahead of brands such as Alpine, Pioneer, Sony and Philips.

Centurion designs, markets and distributes products under its own brand, subcontracting manufacture to the Far East. Its products can be factory-fitted to order, or in the aftermarket at a dealer's showroom. A separate range of portable "plug and play" systems is also available that can be connected ti a cigarette lighter socket in a car, caravan or boat.

The market for in-car entertainment and navigation systems is expected to grow rapidly over the next decade as miniaturisation, new technology and carmakers' desire to introduce new optional accessories helps to drive up demand. According to industry estimates, the aftermarket in-car entertainment systems grew eight-fold to about 235m in the past three years.

Cunningham says one of the group's key strengths is its ability to integrate small, flat screens and other devices into headrests, the car roof or other parts of the interior. It also has the know-how to develop products that are compatible with a car's electronic systems, power supply and wiring.

"Many of our rivals are focusing on developing information systems for the driver but we are concentrating on leisure and entertainment products," he says.

As a result, Centurion has signed up some big names in the car industry including BMW, Toyota and Nissan to offer its products as optional accessories. The group is also in talks with other manufacturers.

Separately, its products are also sold through retailers Argos, Currys, Dixons and Halfords. Among motor dealers it boasts Pendragon and CD Bramalls as its partners. On average, its products cost about 350, making them affordable and competitive against rival systems that can cost as much as 1,500.

Given that Centurion is reaching consumers through many different channels, growth is likely to be explosive. Moreover, this segment of the electronics industry is still at an early stage in its cycle and should underpin several boom years for Centurion.

Although Centurion, with a 14m market value, is still small, its results are already beginning to demonstrate the scale of its market opportunity. [/b]Maiden interim profits, reported in May, surged ahead 211% to 398,000 on a 95% increase in turnover to 2.8m.[/b]

It puts the company in on course to at least double taxable profits to 1.4m for the year ended 30 June 2003 but not yet reported. Taxable profits of over 3m in 2004 also look achievable according to the sole published forecast by its house broker Daniel Stewart.

For now the group also has sufficient resources to fund its growth. It had more than 1m cash in the bank at the half-year and recently also moved into new premises of 25,000 sq ft in Welwyn Garden City, Hertfordshire.

The shares have doubled since they were floated at 30p last December but canny fund managers such as Katie Potts of Herald continue to mop up the shares. Pent-up demand has led Cunningham to sell some shares in recent weeks. But the shares still look good for the long term and are likely to attract further attention as it becomes better known in the City.

The shares are valued at less than ten times expected earnings for 2003 and offer a dividend yield of 1.3%. Although small companies can trip-up if they fail to control and manage their rapid growth, Centurion's rating is low enough to justify the risk. Climb aboard.ENDS.

Looks like an excelent growth story to me.

GF.

GF,

RSI and momentum look a tad negative.

Interesting chart though!

Wouldnt worry about this one Andy. Last results speak for themselves. Not only that but the first two months of the new period are well ahead of budget.

Piled in Friday and bought myself a load at a cheaper price.

cheers GF.

ps, do you want a copy of the cardpoint brokers note ?????. Sending them out Sunday.

Heres one for you.

Saturday Paper Round: other news
Published: 12:19 Sat 10 Jan 2004
By Richard Lander, Editorial Director
Email to a friend

Wall Street closes lower after disappointing US employment news; the Dow ended 133 points lower while the Nasdaq closed 13 down.

* A deal to jail Andrew and Lea Fastow, Enron’s former chief financial officer and his wife, over the group’s collapse, fell apart yesterday
* Broker tips in the papers:
Cardpoint - Evolution says buy; Auto Indemnity and Next – Teather & Greenwood says buy; Topps Tiles – Panmure says buy; MFI Furniture – Arbuthnot says buy; RM Group – Altium Capital says buy; Homestyle – Arbuthnot says sell; Computacenter – ING says sell; Alliance & Leicester – Citigroup Smith Barney says sell
* British Airways plans a cost-cutting route to recovery, says Merrill Lynch
* Edward Miliband is returning to the Treasury as chair of The Council of Economic Advisers, after a stint at Harvard Investigators raided Bank of America’s offices in Milan as the probe into the Parmalat scandal widened
* The full content of Lord Penrose’s report into the Equitable Life disaster must be made available to the Treasury Select Committee, insists Shadow Financial Secretary Andrew Tyrie
* UK independent financial advisers face a sharp rise in firms about sales of precipice bonds which is likely to push up compensation bills and put some firm out of business.

cheers GF.

Centurion came back with a bang today and through the 150 resistance level.

Cheers GF.

This one a volatile devil. Up one day down the next. Friday should be an up day.

cheers GF.

And friday is an up day. Was up 4p last look.

cheers GF.

Needs to stay above 150p on two cosecutive days to start the next upleg.

cheers gf.

Bounced back with a 3p rise today.

cheers GF.

STATEMENT ISSUED BY COMPANY TODAY

The Board of Centurion announces with regret that Chairman and Chief Executive
Steven Cunningham was killed in a road accident on Friday 23 January.

The Board has met over the weekend and will meet again later today to confirm
the appointment of an interim Chairman.

A further statement will be issued following that meeting.

Think this one will have a bounce after the tradgedy of yesterday losing a brilliant young man in a car accident.

regards goldfinger.

Looks like the rebound as already started.


Centurion Electronics PLC
27 January 2004

Embargoed until: Tuesday, 27 January 2004


Centurion Electronics plc ('Centurion' or the 'Company')

Re Directorate


Following the announcement made yesterday regarding the tragic death of the
Chairman and Chief Executive, Steven Cunningham, the Board announces the
following board changes with immediate effect.

Brian Hendon, who was non-executive director now becomes interim Company
Chairman. Mr Hendon, a chartered accountant, has extensive corporate experience
of trading with UK retailers and within the fast moving goods sector.

Amanda Thorneycroft, who joined Centurion in January 2002, will continue as
Finance Director and assume the role of Managing Director.

The Board also announces the appointment of Mr John Bell as Operations Director.
Mr Bell joined the Company in April 2003 from one of the UK's leading automotive
accessory retailers where he was Director of Business Development. Prior to
this, he had headed up the in-car entertainment division of that company. Since
joining Centurion, Mr Bell has directed operations with overall responsibility
for purchasing and logistics.

Under the guidance of Steven Cunningham, the Board had strengthened
significantly its executive management team in recent months in particular, in
the areas of operations, marketing and sales. The Board believes that the
Company is well-positioned to continue to build on the success of its products
with both major motor manufacturers and retail customers.

There are no details required to be disclosed pursuant to schedule two,
paragraph (f) (i) to (viii) of the AIM Rules.


Enquiries:

Amanda Thorneycroft
Centurion Electronics plc
01707 330550

Russell Cook
Charles Stanley & Co. Limited
020 7739 8200

cheers GF.

CROC

Do you think the new lot have the flair of the late Mr C - I wonder? What will happen to the 41% of company he owned. Won't this hit the price when it goes up for sale?

Have you thought we might get a take over deal?????, watch it really go if that happens.

From Hemscott Analyst,...........

Centurion Electronics (CUC) death of the chairman - Hold at 130.5p

By Magnus Grimond.

Investors in Centurion Electronics were hit with a bolt from the blue today when it was announced that chairman and chief executive Steven Cunningham had been killed in a road accident on Friday, 23rd January. Naturally, this tragic event has thrown the board into a state of some confusion and we are still awaiting news of who will step into Cunningham's shoes. The shares have tumbled 19p to 130.5p so far today. That may be a premature reaction until we know more about the future direction of the company, although Cunningham was clearly a large part of it. We suggest the shares should be held until more news is forthcoming.


That Steven Cunningham played a key role at Centurion goes without saying. He picked up the former car security company and saw the greater potential from in-car DVD players, using them to push the growth that the company has enjoyed for the past few years. He will be sorely missed at a business not deep in management talent. The remaining three board members may struggle to fill his shoes.

Almost as crucial in the weeks ahead will be the 46% holding controlled by Cunningham and interests connected to him. The fate of that stake will play a major part in deciding the future of the company.

The board is currently deep in discussion over who might take the helm on a temporary basis until that future is determined. We suspect that finding another entrepreneur like Cunningham will be hard in the short term. We stress that we are as much in the dark about the future as everyone else, but one clear option for the board is now to seek a buyer for the whole business.

The shares are currently trading on a forward price-earnings multiple of 21, assuming current forecasts are met. That is high, but Centurion is building itself an increasingly-credible franchise in the in-car entertainment market. It has many deep-pocketed rivals for whom its acquisition would be mere petty cash. Given the presence of such a large stake in one place, stitching up a deal would be relatively straightforward, assuming agreement could be reached quickly.

Nervous investors should probably sell the shares now, but we believe that, on balance, the best stance at the moment for shareholders is to sit tight and await developments.


cheers GF.

The problem with small companies is that they are overreliant on the senior staff. In the early stages companies are very much driven by these types of personalities and rely upon the relationships that are in place to hold the ship steady. Without the lead figure it will be difficult to keep momentum going. As for a buy out, that's a bit of a dream you will have to pay a lot of goodwill for something that is quite immature. Most of the value is in the future and with the management gone that reduceds value. I would never consider buying a company without it's key management that has to be part of the deal.

Supplier and reseller relationships can be bought and most incumbants will have those in place already. So why pay money to get that??

I was waiting for a comment from you, shame on you, shame, yes shame.

Everyone has their own way of selecting shares. Some home in on fundamentals, others TA and some believe in moon cycles. I put a great deal of store by the management and I like to meet them where possible. Hence I shall be attending the CUC AGM tomorrow and will therefore not be reliant on the financial press for their take on what was/wasn't said and I can talk to all the directors face-to-face after the formal business. (I've found this to be well worthwhile in the past!)

The AGM will be tougher than I realised. Obviously the Agenda was prepared and sent out before the reorganisation, so the re-election of Steven Cunningham as a director is still part of the formal business.

Vasey - would you mind posting with your take on the AGM when you get back? I for one would very much appreciate that

I will have my PDA with me....so might file a quick resume 'live'!

goldfinger, Why shame? If you read my post I was purely commenting on the impact I felt the unfortunate death of Cunningham would have, what's shameful about that?

I've actually wrote to Centurion expressing my sadness and suggestng likely candidates for his replacement.

Don't label me the black sheep because your stance on this stock has been undermined. I wish Centurion the best of luck but think Cunningham will be a hard act to follow.