This company is certainly catching the eye of Analysts and Tipsters. I have kindly borrowed this summing up of the company from an online associate and agree with his findings. This really is an undervalued company.

Car Clinic (JCR traded on AIM) – Market Cap 1.32million

Business

Company owns 12 accident centres. Was formerly a division of the Dixon Motor Group.

Opportunity

Profit of circa 700,000 at interim stage – Is a growing business, so every confidence that this performance will be matched in second half, generating 1.4million in cash profits for the group. As others have pointed out this would essentially put company on PE of 1.

Company does have debts, which will require servicing. Currently 2.25million, though repayment has been more than fairly structured and allows significant amounts of cash to be retained by JCR. I assume these monies will be used for bolt on acquisitions and possibly early repayment of debt.

From my various conversations with an existing large shareholder, and to a certain extent recent statements from the company, the debt will be repaid at the rate of 400k per annum. From my calculations, and conversations with various sources, net profits this year should be more than 600,000. Compare this to the measly 1.32million market cap. As I indicated above, this is ludicrously cheap. ( NB This figure takes into account costs of acquisition, associated legal fees, initial banking fees and initial repayments. Remember, the repayments begin in earnest, next year.)

Going forward however, annual profits of more than 1.4million can be expected from the group. I expect the company to beat this comfortably next year and to continue growing at pace. So in effect, I believe Just Care Clinic can deliver annual net profits of more than 1million – Remember this is net profit. (i.e. after repayment of debt)

Directors Buying

And why shouldn’t they? They obviously see the great potential here. The Finance Director, Chris Elton was formerly FD at Dixon Motors, but moved over to take part in the action.

The future

I expect the company will be more focussed on bringing in further contracts with insurance companies. When Just Car Clinic was part of the Dixon Motor Group, whilst profitability was obviously important, as the business wasn’t a core component of the larger group bringing in new contracts was likely seen as a problem rather than a chance to deliver greater profits. I suspect the management team, motivated by significant shareholdings, will be keen to bring in as much ‘big’ insurance business as they can. I expect the company to make an announcement to this regard within the next few months or so. This is based on nothing other than gut, experience and feedback from various sources involved in the industry.

Take a closer Look

Equitygrowth.net wrote a brief piece on JCR in its 7th February newsletter. Shares Magazine has also provided positive coverage of late. I do agree that the figures do appear too good to be true, that is why I encourage investors to do their own research. This stock is undervalued – FACT. I am confident these shares will do well in the coming weeks as more investors recognise the potential, whilst going forward this is excellent material in my opinion. This isn’t hype, this is all fact which can be confirmed with just a little time and effort. Shares are currently 10.5p offered. I cannot emphasise enough - JCR is one to have a look at.

Please DYOR.

They should open up a branch in Paris, I've never seen so many bashed-up cars - Winter or Summer!

Some good posts here.

I am 52 years young, been investing for over 30 years and made good and bad decisions over the years, but usually outperform the mnarkets, its easier when you don't have company rules, regulations and customers/shareholders to deal with! I recall this stock went up to 39p just before the latest results. Could easily top 35p plus again, although interest rates may have an adverse short term affect. My personal view is this is a good medium long term investment that should outprtfom all indices. it is a no brainer to hold on for further growth imho. Good luck current holders!

I was told that there are only 12.864million shares in circulation. Is this figure correct?
Cheers!

Up again this morning after profit taking. Never be afraid to take profits in this one as it is a little volatile devil.

cheers GF.

RNS Number:1111U
Just Car Clinics Group PLC
12 January 2004


For Immediate Release 12 January 2004

Just Car Clinics Group plc

Just Car Clinics caps successful year with top awards

Less than one year after a buy-out and amicable takeover of Dixon Car Clinics to
form Just Car Clinics, the second largest collision repair centre in the
country, Chief Executive Barry Whittles has led the company through a very
positive first year. The company's efforts were rewarded when it won a number of
industry awards.

2003 ended with a great accolade for the company when in December Just Car
Clinics Wakefield branch came out top in an assessment of more than 260
collision repair centres nationwide carried out by insurance company AXA. The
branch was scrutinised closely in the final stage of the competition against the
very best in the country.

September saw the influential motor trade body MVRA Ltd. award all 13 branches
in the Just Car clinics collision repair chain a 'good' or 'excellent' rating
following a recent inspection.

At the annual Bodyshop awards - the industries equivalent of the Oscars - in
June Chris McGowan of the Grimsby branch took the Panel Technician of the Year
whilst Shaun Garth also of Grimsby came out top in the Paint Technician Of The
Year category.

Barry Whittles commented: "We have achieved so much in our first year,
Wakefield's recognition by AXA is the icing on the cake. 2003 has been a
remarkable year for all involved in Just Car Clinics. To watch the company go
from strength to strength and to be acknowledged for our hard work and
achievements by leading authorities within the industry is fabulous. Hopefully
2004 will see the company rise even higher".




For further information, please contact:

Just Car Clinic Group plc:
Barry Whittles, Chief Executive 07850268369




This information is provided by RNS
The company news service from the London Stock Exchange

END
NRABTMTTMMBBBII

Hi...I think I saw a comment on this board by GF that the share price of JCR was volatile!...Not aware of no of shares in circulation but have noted sharp gyrations in last week of the price including 33% rise in one day followed by 10 % downward movement.
Any idea when it may settle down?and poss move upwards on what is a well based and funded business in a fragmented sector,with no brand image.
Regards Wansford

Wansford, I think the next results will have to be out of the way until we see this one settling down. It could even top its high of 41p very quickly but then again it could fall from here. My bet is that for the time being around the 30p mark is the correct valuation.

cheers GF.

This little monster could turn out to be the share of the year,then again?????????.

Cheers GF.

Big freeze & snow forecast for next week as far south as Dorset. How will this effect JCR's share price - upwards movement is on my forecast as bad weather = more road accidents!

Good point, although is this a popular enough stock for this to make a difference until JCR release any statements?

In 1st thing this morning at 25.75 having dipped in before and taking healthy profit..QUALITY management/company.
Good Luck to all holding

Problem with this share is sliding margins to 3.2% & the heavy debt until 2008 (both schedulded & other)

I'd like to see 1m pre-tax profit for it to be fair value at the current price.


Mild weather until this week also hasn't been in it's favour...see interim statement.

Not impressed at 1p options that were issued way above the share price at the time....anyone know why the Directors didn't see fit to issue them at the share price at the time, instead of making them so much skewed in the directors favour & against investors as it will dilute their eps?

Please remember board posters ThirdEye as had a warning from the board administrators and is being carefully watched.

Just Car Clinics Group PLC
16 March 2004

Perhaps some should listen with what ThirdEye has to say see today's announcement:


16 March 2004


JUST CAR CLINICS GROUP PLC

OVERSTATEMENT OF HISTORIC RESULTS

As part of the pre-audit review of its maiden annual results, Just Car Clinics
Group plc ('the Group') has identified a significant overstatement of trading
results in three of its twelve locations. The Group instructed the forensic
division of its auditors, Ernst & Young LLP, to conduct an investigation, in
conjunction with management, and their report has now been received.

The investigation confirms that in 2003 the EBITDA and pre-tax profit of the
Just Car Clinics business, which was acquired by the Group in January 2003, have
been overstated by approximately 370,000. This reduces the Groups' estimated
pro-forma pre-tax profit for the year to 31 December 2003 to approximately
break-even, before taking account of the costs of this investigation. The
investigation has also confirmed that net assets of the business were overstated
by approximately 400,000 at 31 December 2002 and indicates that the
pre-acquisition results for the year then ended were also overstated.

The Group's first published accounts will be for the 15 month period from
September 2002. As previously reported, the accounts will incorporate a loss of
124,000 recorded for the first three months relating to internet based
retailing, the former activity of the Group. All amounts are subject to any
matters arising from the statutory audit by Ernst & Young LLP currently
underway.

At this stage in the investigation it appears that the overstatement has arisen
as a consequence of deception by one of the Group's four accountants, who has
since been dismissed for gross misconduct. In the Board's view, whilst the
misconduct was deliberate, there is no evidence at this stage that it was
motivated by personal financial gain. The deceit took the form of numerous
artificial journal entries inserted into monthly accounts for three of the
Group's locations, for at least the past two years. The deceit was identified by
the Group's Finance Director, as part of his pre-audit review. The degree of
complexity used by the dismissed employee has made the investigation difficult.
The investigation is continuing and the possibility of theft for personal gain
has not yet been fully ruled out. However, the amounts concerned are not now
expected to change significantly from those indicated.

IMPLICATIONS AND ACTION TAKEN

As a result of the restatement of the financial results following the
investigation breaches of certain banking covenants with the Group's principal
lending bank have arisen. The bank has confirmed its willingness to re-set the
relevant covenants and revised documentation will be completed in due course.

A full and detailed examination of the current and historic results for the
Group's other nine locations has been undertaken by management. No other issues
have been identified. Accordingly the Board is satisfied that this matter
relates solely to the three locations reported on by the former employee.

Finally, the Board has instructed its legal advisers to advise whether the
discovery of the overstatement of the opening balance sheet could give rise to a
claim against the vendors of the business under the terms of the acquisition
agreement dated December 2002.

CURRENT TRADING

During 2004 the Group has been profitable and continues to be cash positive.
Management accounts show pre-tax profit for the first two months of the current
year to be at forecast levels, and early indications for March, traditionally a
major trading month, suggest that it will also be in line with managements'
expectations.

PRELIMINARY ANNOUNCEMENT

The Group's maiden preliminary announcement of results is expected to be made in
April 2004, and the report and accounts for the 15 months ended 31 December
2003, are expected to be released before the end of May 2004

Commenting Barry Whittles, Chief Executive said:

'The Group is addressing the underlying trading problems masked by the false
bookkeeping. We continue to be cash positive and current trading is
satisfactory. The Board will provide a further trading update in the Preliminary
Announcement.'

With the heavy borrowings & breaches with the bank, these are a strong sell in my opinion, their debt repayment schedule has been seriously put back.

Guess some will think they are cheap, who don't check balance sheets & debt, I suggest you take a good look.

It does make you wonder, what is the point in checking the company balance sheet if you are thinking about buying a share?

Check the borrowings Scottie.....they would have told you that JCR is 'walking on a tightrope' as far as debt & repayments are concerned....it's so heavily geared.....I warned many times that this share lets say was being looked at through rose tinted specs with it's p/e of 1 ....see goldfinger/Oliverleftwingtit/Slaters post above.....if it's cheap, there is often a reason why.

Any reply to that gf?

Third Eye - yes, you have been sceptical on the basis of published debt. However, it is the unpublished stuff that is the problem today. As investors in SUF also found out, if the accounts themselves are in fact baloney, then all you can do is pray.

Fortunately, I made my profits last September and sold on the results which contained cautious comment. Looks like I escaped!

Bones

Well done Bones

But I made the point, you can't slip up with such debt, there is no cushion for comfort, if the balance sheet wasn't so ropey, the company would have been able to take it in it's stride.