Hargreaves at a glance

Hargreaves Services plc delivers key projects and services in the infrastructure, energy and property sectors.


Listed on AIM (LON:HSP) and headquartered in Durham, our 2,000+ employees are spread around the world delivering a vast array of projects and services.

Our history is steeped in coal through mining, sourcing, processing and blending, moving and handling. We still have a number of operations and services in the Mining & Minerals sector and now possess one of the largest mobile plant fleets in Europe, but today Hargreaves delivers much more.

After a series of strategic acquisitions, our land portfolio across the UK has increased to in excess of 18,000 acres. Our focus now is on adding value to this land through development with residential housing and renewable energy schemes.

Whilst we still carry out our traditional activities such as industrial services and logistics, these have now broadened to incorporate renewable energy, civil engineering and land restoration and remediation.

Take a look at the various sectors we work in to find out more.

NEWS

08th Jun 2018 Pre-Close Trading Update and Notification of Interim Results
08th Sep 2017 Posting of Annual Report and Notice of AGM
15th Feb 2017 Interim Results for the six months ended 30 November 2016
22nd Dec 2016 Post-Close Trading Update and Notification of Interim Results


PRESENTATIONS/RESULTS

Feb 2018 Interim Results for the six months ended 30 November 2017
Sep 2017 Annual Report
Aug 2016 Preliminary Results for Year Ending 31 May 2016
Apr 2016 Strategic Repositioning Update - 27 April 2016
Feb 2016 Interim Results 6 months ended 30 Nov 2015
Aug 2015 Preliminary Results for Year Ending 31 May 2015
Feb 2015 Interim Results for the six months ended 30 November 2014



EVENTS
22 January 2019 General Meeting
30 January 2019 Announce Interim Results

Will update later

Will update later

Major Shareholders

Last Update: 1 March 2016

Securities Information

Number of Ordinary shares in issue                                 31,910,684

Percentage of AIM securities not in public hands                 46.91%

Restriction on the transfer of AIM securities                        NONE



Significant shareholders (3% or more of the ordinary share capital)

                      Name                                  Number of ordinary shares            % of issued share capital
Schroder Investment Management                      5,850,616                                        18.33%
Artemis Investment Management                         3,516,337                                        11.02%
Fidelity Management & Research Company          &nbsp3,208,568                                        10.05%
Shareholder Value Beteiligungen                          2,970,123                                        9.31%
Gordon Banham                                                 2,273,466                                        7.12%
NFU Mutual                                                        1,460,000                                        4.58%
M & G Investment Management                           1,320,444                                        4.14%



Major Shareholders

Last Update: 01/09/2015

Securities Information

Number of Ordinary shares in issue                                 31,910,684

Percentage of AIM securities not in public hands                 33.82%

Restriction on the transfer of AIM securities                        NONE



Significant shareholders (3% or more of the ordinary share capital)

                      Name                                  Number of ordinary shares            % of issued share capital
Schroder Investment Management                      5,180,034                                        16.14%
Fidelity Management & Research Company          &nbsp3,208,568                                        10.00%
Shareholder Value Beteiligungen                          2,970,123                                        9.26%
Artemis Investment Management                         2,703,375                                        8.43%
Gordon Banham                                                 2,273,466                                        7.09%
NFU Mutual                                                        1,460,000                                        4.55%
M & G Investment Management                           1,320,444                                        4.12%





Major Shareholders

Last Update: 31/12/2014


Securities Information

Number of Ordinary shares in issue                                 32,475,684

Percentage of AIM securities not in public hands                 31.83%

Restriction on the transfer of AIM securities                        NONE




Significant shareholders (3% or more of the ordinary share capital)

                      Name                                  Number of ordinary shares            % of issued share capital
Schroder Investment Management                      3,491,197                                       10.75%
Artemis Investment Management                       3,214,262                                          9.90%
Shareholder Value Management                         2,970,123                                          9.15%
Fidelity Worldwide Investment                           2,827,800                                          8.71%
Directors                                                         2,359,232                                          7.26%
J O Hambro Capital Management                       1,732,622                                          5.34%
NFU                                                       Mutual1,521,892                                          4.69%
M&G Investment Management                           1,477,657                                          4.55%
Octopus Investments                                        1,091,393                                          3.36%





Major Shareholders

Last Update: 24/10/2014


Securities Information

Number of Ordinary shares in issue                                 33,138,756

Percentage of AIM securities not in public hands                 20.03%

Restriction on the transfer of AIM securities                        NONE




Significant shareholders (3% or more of the ordinary share capital)

                      Name                                  Number of ordinary shares            % of issued share capital
Artemis Investment Management                       3,706,622                                        11.19%
Schroder Investment Management                     3,299,207                                          9.96%
Shareholder Value Management                         2,970,123                                          8.96%
Fidelity Worldwide Investment                           2,766,192                                          8.35%
Gordon Banham                                               2,273,466                                          6.86%
J O Hambro Capital Management                       1,617,622                                          4.88%
M&G Investment Management                           1,541,392                                          4.65%
NFU Mutual                                                      1,480,000                                          4.47%
Octopus Investments                                        1.101,945                                          3.33%

13 January 2015

Hargreaves Services plc

Notification of Interim Results

Hargreaves Services plc (AIM: HSP), the UK's leading supplier of solid fuels and bulk material logistics, announces that it will report results for the six months ended 30 November 2014 on Tuesday 17 February 2015.

A briefing for analysts will be held at 10.00am on the morning of the results announcement at the offices of Buchanan, 107 Cheapside, London EC2V 6DN.

http://www.moneyam.com/action/news/showArticle?id=4957244

15 January 2015

Hargreaves Services plc

Transaction in Own Shares

Hargreaves Services plc announces that on 14 January 2015, in accordance with prior approvals from shareholders, it purchased through N+1 Singer Capital Markets Limited 40,000 ordinary shares at an average price of 610 pence per share. The purchased shares will be held as treasury shares. Following the above purchase, Hargreaves Services plc holds 783,072 ordinary shares in treasury, and has 32,355,684 ordinary shares in issue (excluding treasury shares).

Therefore the figure of 32,355,684 may be used by shareholders as the denominator for the calculations by which they can determine if they are required to notify their interest in, or a change to their interest in the Company, under the Disclosure and Transparency Rules.

http://www.moneyam.com/action/news/showArticle?id=4958860

16 January 2015

Hargreaves Services plc

Transaction in Own Shares

Hargreaves Services plc announces that on 15 January 2015, in accordance with prior approvals from shareholders, it purchased through N+1 Singer Capital Markets Limited 50,000 ordinary shares at an average price of 600 pence per share. The purchased shares will be held as treasury shares. Following the above purchase, Hargreaves Services plc holds 833,072 ordinary shares in treasury, and has 32,305,684 ordinary shares in issue (excluding treasury shares).

Therefore the figure of 32,305,684 may be used by shareholders as the denominator for the calculations by which they can determine if they are required to notify their interest in, or a change to their interest in the Company, under the Disclosure and Transparency Rules.

http://www.moneyam.com/action/news/showArticle?id=4959769

The linked document is dated 17th December 2014:

Hargreaves Mining India


Hargreaves Mining India Pvt Ltd is a new venture created to support the growth of coal mining in India and contribute to its further success in underground and surface operations.



This new business is underpinned by a merger of resources between Hargreaves Technical Resources (HTR) and Rufford Coal Mining Services Pvt Ltd, an Indian-registered company; it will successfully combine the best of British mining expertise with the experience of a team of Indian mining specialists.

From the outset, our objective is to provide project management, consultancy services and mining contracting to public and private sector organisations in the coal mining industry, based on proven Hargreaves capabilities:
Quality – of people and resources
World-class health and safety management
Global partnerships and supply chains
Successful development and operation of UK mining assets
Extensive experience in mass production technologies
Expertise in mining, product processing and product marketing


More about Hargreaves Mining India:




http://www.hsgplc.co.uk/media/53749/Hargreaves-India-Brochure-Dec-14.pdf

20 January 2015

Hargreaves Services plc

Transaction in Own Shares

Hargreaves Services plc announces that on 19 January 2015, in accordance with prior approvals from shareholders, it purchased through N+1 Singer Capital Markets Limited 50,000 ordinary shares at an average price of 587.8 pence per share. The purchased shares will be held as treasury shares. Following the above purchase, Hargreaves Services plc holds 883,072 ordinary shares in treasury, and has 32,255,684 ordinary shares in issue (excluding treasury shares).

Therefore the figure of 32,255,684 may be used by shareholders as the denominator for the calculations by which they can determine if they are required to notify their interest in, or a change to their interest in the Company, under the Disclosure and Transparency Rules.

http://www.moneyam.com/action/news/showArticle?id=4961296

General company information:

Hargreaves South Africa

Hargreaves South Africa Pty Ltd has been established to introduce our company’s proven and successful Industrial Services business model into the South African market, identified as an important component in the Hargreaves international development vision

Hargreaves South Africa’s immediate focus is to provide a comprehensive range of on-site materials handling services, internal transport and associated works at Cape Gate Pty Ltd, a major steel production company located close to Johannesburg. Hargreaves has acquired the business and assets of Algol Steel Services and has transferred around 60 ex-Algol employees into the Hargreaves group of companies.

Our South African business provides the same high levels of professional and partnership working with clients that we successfully employ in our UK operations, where Hargreaves has a similar presence at every major steel production site.

In parallel with our UK operations, Hargreaves South Africa adheres to world-class health and safety and environmental management standards and promotes quality – of people and resources – as a pre-requisite for all business undertakings and relationships.

Our intention is to develop our South African business further through a combination of organic growth and possible further strategic acquisitions.

Services currently provided:

Under furnace digging & slag cooling
Metal recovery
Scrap sizing
Scrap skip collection
Raw material handling
Ladle refectory linings wrecking
Wire baling
Internal transportation

29 January 2015

Hargreaves Services plc

Transaction in Own Shares

Hargreaves Services plc announces that on 28 January 2015, in accordance with prior approvals from shareholders, it purchased through N+1 Singer Capital Markets Limited 30,000 ordinary shares at an average price of 590 pence per share. The purchased shares will be held as treasury shares. Following the above purchase, Hargreaves Services plc holds 913,072 ordinary shares in treasury, and has 32,225,684 ordinary shares in issue (excluding treasury shares).

Therefore the figure of 32,225,684 may be used by shareholders as the denominator for the calculations by which they can determine if they are required to notify their interest in, or a change to their interest in the Company, under the Disclosure and Transparency Rules.

http://ir1.euroinvestor.com/asp/ir/Hargreaves/NewsRead.aspx?storyid=13097130&ishtml=1

03 February 2015

Hargreaves Services plc

Transaction in Own Shares

Hargreaves Services plc announces that on 2 February 2015, in accordance with prior approvals from shareholders, it purchased through N+1 Singer Capital Markets Limited 50,000 ordinary shares at an average price of 572 pence per share. The purchased shares will be held as treasury shares. Following the above purchase, Hargreaves Services plc holds 1,013,072 ordinary shares in treasury, and has 32,125,684 ordinary shares in issue (excluding treasury shares).

Therefore the figure of 32,125,684 may be used by shareholders as the denominator for the calculations by which they can determine if they are required to notify their interest in, or a change to their interest in the Company, under the Disclosure and Transparency Rules.

http://www.moneyam.com/action/news/showArticle?id=4970245

And from yesterday:

02 February 2015

Hargreaves Services plc

Transaction in Own Shares

Hargreaves Services plc announces that on 30 January 2015, in accordance with prior approvals from shareholders, it purchased through N+1 Singer Capital Markets Limited 50,000 ordinary shares at an average price of 580 pence per share. The purchased shares will be held as treasury shares. Following the above purchase, Hargreaves Services plc holds 963,072 ordinary shares in treasury, and has 32,175,684 ordinary shares in issue (excluding treasury shares).

Therefore the figure of 32,175,684 may be used by shareholders as the denominator for the calculations by which they can determine if they are required to notify their interest in, or a change to their interest in the Company, under the Disclosure and Transparency Rules.

http://www.moneyam.com/action/news/showArticle?id=4968994

Hargreaves Services PLC
05 February 2015

TR-1: NOTIFICATION OF MAJOR INTEREST IN SHARES

Schroder & Co. Ltd From 10% - 11%

full details from link below:

http://www.moneyam.com/action/news/showArticle?id=4972159

17 February 2015

HARGREAVES SERVICES PLC

Interim Results for the six months ended 30 November 2014

HIGHLIGHTS



· The Group has delivered a resilient performance in difficult markets:

o Continuing operating profit of £21.5m

o Strong cash generation leading to a £28.4m reduction in Net Debt in the six month period

· Aside from the financial impact of the termination of our coal marketing agreement at Hatfield, current financial performance in all our operations remains broadly in line with expectations with contracts and hedges providing protection against low coal prices and low UK coal demand through to the end of April 2015

· Group simplification and the debt reduction initiative are progressing well, including disposal of Imperial Tankers operation and the closure of Monckton coke operation

· The Group is expecting to see reductions in short term coal production and import volume targets and is therefore seeking to further reduce fixed costs

· Interim dividend increased to 10.0p per share from 8.8p per share reflecting the Board's confidence in continuing overall profit and cash generation even through this difficult period

· Group well placed with a strengthened balance sheet to weather the current difficult trading conditions


Commenting on the interim results, Chairman Tim Ross said:"The market conditions we are currently experiencing are unprecedented and very challenging. The Group simplification programme and focus on reducing debt ensures that the Group is well placed to weather the current difficult trading conditions for such time as they persist. Although there are challenging times to face in the coming financial year the Group is expected to continue to be profitable and to generate meaningful surplus cash. Reflecting the Group's inherent strength and solid financial position, the Board has the confidence to increase the interim dividend in line with prior guidance. Although we are unable to control factors such as coal price and coal demand, the management team is proactively taking all the sensible steps and measures to manage current market conditions whilst leaving the Group well placed to benefit when the market improves."


CURRENT TRADING AND OUTLOOK

Aside from the financial impact of the termination of our coal marketing agreement at Hatfield, current trading in all our operations is broadly in line with management expectations with coal contracts and hedges providing reasonable visibility of Bulk Coal volumes through to the end of April 2015. However, as outlined above, following the significant recent weakness in energy commodity prices and a second consecutive mild winter, visibility of thermal coal demand beyond that point is very poor. In speciality coals, volumes have held up reasonably well although we are seeing some margin pressure particularly in the domestic heating sector as other suppliers have reduced prices. Our long term outlook for these markets remains positive and is identified as an area of opportunity in which to grow our market share.

If coal prices remain depressed and power station demand turns out to be as low as currently indicated, trading from May 2015 to the end of the calendar year could be the most challenging period the Group has experienced and we would expect this to impact our outlook for the year ending 31 May 2016. In particular, the impact of coal prices on our surface mining operations in Scotland and at Tower, combined with the reduction in demand for thermal coal, are expected to result in a significant reduction in management's expectations for the year ending 31 May 2016 despite the further steps that we are taking.

However, the Group is well placed to weather this period of extreme volatility and is expecting to continue to generate cash throughout, albeit at reduced rates of profitability. Our balance sheet is strong and our assets are flexible and agile ensuring that the Group will be able to respond quickly when market conditions improve. As the only likely remaining major national producer of indigenous coal we remain optimistic about the prospects offered by the UK once market conditions normalise and prices recover.

We will continue to review and challenge our chosen strategy and over the coming months our efforts will be focussed on fixed cost reduction and cash generation, which continues to track in line with expectations.

For announcement in full see link below:

http://www.moneyam.com/action/news/showArticle?id=4978737

"Unprecedented" energy market causes £110m fall in revenues
17th February 2015
By Alex Turner - Editor

MINING group Hargreaves Services has blamed "unprecedented" market conditions as revenues and profits tumbled.

Its half-year figures show revenues dropped by nearly one-quarter, to £351.2m, with continuing pre-tax profits down by nearly half, to £15.2m.

Despite that, the AIM-listed group has increased its interim dividend by 14%, to 10p.

Its share price remains low, closing last night at 567p, having dropped from 800p in late August to 522p six weeks later. A year ago its shares were worth around 900p.

In December it ceased production at its site in Monckton, near Barnsley, which employed 120 people. The group said the closure will result in a £16.6m charge to the income statement, but it would "liberate the significant working capital that was tied up" and expects to generate net cash inflows of £17m.

Hargreaves Services chairman Tim Ross said: "The market conditions we are currently experiencing are unprecedented and very challenging. The group simplification programme and focus on reducing debt ensures that the group is well placed to weather the current difficult trading conditions for such time as they persist.

"Although we are unable to control factors such as coal price and coal demand, the management team is proactively taking all the sensible steps and measures to manage current market conditions whilst leaving the group well placed to benefit when the market improves."

Almost all of the drop in revenue for the group came from its energy and commodities division, resulting from "ongoing uncertainty and volatility within coal markets" which has reduced bulk volumes and seen margins come under pressure because of weak domestic demand.

However the company was able to reduce its net debt by £28.4m, to £40.4m, and continues to generate cash.

Mr Ross added: "Although there are challenging times to face in the coming financial year the group is expected to continue to be profitable and to generate meaningful surplus cash.

"Reflecting the group's inherent strength and solid financial position, the board has the confidence to increase the interim dividend in line with prior guidance."

Schroders plc Above 11%, 12%, 13%, 14% on 19.02.15

3,542,787 to 4,573,892 =14.255%



TR-1: NOTIFICATION OF MAJOR INTEREST IN SHARESi

TR-1: NOTIFICATION OF MAJOR INTEREST IN SHARESi

Octopus Investments Nominees Limited from 1081044 (+3%) to 0 (0%) on 19/02/2015

http://www.moneyam.com/action/news/showArticle?id=4982509

A reminder.......

Hargreaves Services-Ex-Dividend-Thursday, February 26

http://www.hsgplc.co.uk/investors.aspx

Call for coal industry tax break as 80 jobs at risk
by TOM PETERKIN
Thursday 12 March 2015


THE UK’s largest coal company has made an impassioned plea for a tax break to help the industry as it announced that around 80 Scottish mining jobs are at risk from the falling coal price.

Hargreaves Services informed employees of the risk of job losses as it called on the UK Government to extend an exemption from the Carbon Price Support levy to opencast mines on brownfield sites.

Currently the exemption only applies to the mining of coal slurry and was introduced to encourage the industry to keep extracting the mineral while cleaning up the environment. Hargreaves believes that the extending the exemption to opencast sites would minimise job losses as well as make it economically viable for the company to restore the 35 square kilometres of opencast sites that scar the landscape across East Ayrshire, South Lanarkshire and Fife.



The plea is being made ahead of George Osborne’s budget next week. Carbon Price Support is a duty imposed on coal used for electricity production. It currently stands at £21 per tonne of coal.


Hargreaves argues that an exemption would make a significant difference when it is considered that the price of coal has fallen to £40 per tonne.

The company believes that an exemption would provide an elegant solution to the challenges facing the company, because it would make it economical to employ its workers to restore the landscape ruined by past opencast developments as well as extract coal from brown field sites.

According to Hargreaves, 1,000 Scottish mining jobs would be protected by the move. The £200 million cost of the exemption would be more than made up for by the £250 million boost to the economy that would result from safe-guarding jobs over the next five years.

Iain Cockburn, Group Finance Director of Hargreaves Services said: “We have worked hard to establish a mining operation in Scotland and it is very regrettable that we are faced with the prospect of having to reduce the size of the skilled workforce that has been built up in the last 18 months. We recognise it is a stressful time for the workforce and their families and we can only assure them that we are working as hard as possible to secure the CPS Exemption to protect their job prospects for the next five years as the industry sets about restoring the abandoned sites.”

Last night the Treasury declined to comment ahead of the budget. But a Scottish Government spokesman said the UK Government should give “urgent consideration” to Hargreaves’ proposal saying it could save or create jobs.

EVENTS

31 May 2015 Next year end (to be reported)
27 March 2015 Payment date

Hargreaves Services: A Value Investor In Disguise
Apr. 21, 2015

http://seekingalpha.com/article/3084586-hargreaves-services-a-value-investor-in-disguise

The India Times article and news of increased coal production may be good for HSP:


Hargreaves Mining India


Hargreaves Mining India Pvt Ltd is a new venture created to support the growth of coal mining in India and contribute to its further success in underground and surface operations.

http://www.hsgplc.co.uk/divisions/industrial-services/hargreaves-mining-india.aspx


Coal production surges 11% in first 45 days of 2015-16 amid core sector misery
By Vikas Dhoot, ET Bureau | 20 May, 2015


NEW DELHI: India's coal production has surged by 11% in the first 45 days of 2015-16, assuming greater significance as it comes on the back of the highest increase in output in 40 years recorded last fiscal. Core sector growth dipped to a 17-month low of -0.1% in March, but coal output rose by 6% that month.

"From a scenario last year when outages were common and power plants were suffering for want of coal, all power plants in the country today have an average 20 days of coal inventory.

Coal supply is no longer a problem," a top government official told ET, adding that several new mines are coming on stream as even Oppositionruled states like West Bengal are now backing coal projects. In 2014-15, Coal India produced 493 million tonnes of coal.

"This marked a 32 million tonne surge in output which is more than the cumulative increase recorded in the previous four years (31 million tonnes) and the highest since 1975," the official said, adding that output has increased by 11% between April 1 and May 15 this year.

More from link below:

http://economictimes.indiatimes.com/industry/indl-goods/svs/metals-mining/coal-production-surges-11-in-first-45-days-of-2015-16-amid-core-sector-misery/articleshow/47349703.cms


Edit-Also of interest:

India’s Coal Industry: The Single Biggest Source of Energy

A total of 1,199 new coal-based thermal power plants with a total installed capacity of more than 1.4 million MW proposed worldwide, the lion’s share—455 plants—are in India, according to data from the World Resources Institute.

India is overwhelmingly dependent on fossil fuels—coal, oil and gas—which meet more than three fourths of the country’s energy needs, despite Modi’s plans to promotealternative energy sources.

Of the fossil fuels, oil and gas account for just about 30% of India’s energy needs, the bulk imported (80% in the case of crude oil). India has abundant reserves of coal, the fourth-largest in the world.

http://www.globalresearch.ca/indias-coal-industry-the-single-biggest-source-of-energy/5449946

I bought some of these today. Bit too early it seems as I bought in a range of 396 to 410


Dividend yield of 5.84% so based on today looks like I'll be sitting in them for a while.

I have thoroughly researched this company and believe it is mis-understood by the market and not as dependent on coal prices as is first apparent.

Doesn't mean it won't go lower before it goes higher !

General company information-Along with Hargreaves Mining India and Hargreaves South Africa highlighted earlier there is also a Asia-Pacific presence:

Hargreaves Hong Kong

As part of the Company’s strategy to export its proven UK Industrial Services business model into worldwide markets, Hargreaves has recently marked its fourth year of operations in the Asia-Pacific region.

In 2010, Hargreaves’ senior business team identified the Asia-Pacific economic region – particularly China and Hong Kong- as an important target for the delivery of the company’s international development plans.

Early in the process, a relationship was established between Hargreaves and China Light & Power (CLP), the largest electricity-generating company in Hong Kong.

Hargreaves successfully tendered to provide technical consultation services during planned flue gas desulphurisation (FGD) outages at the 4,180 Mw-capacity Castle Peak power station in 2011. The project was delivered on budget, ahead of schedule, and without a single health & safety incident.

With capabilities now properly demonstrated, Hargreaves subsequently won a 5-year contract to service Castle Peak’s coal plant and FGD integrated maintenance requirements, and this work began on January 1, 2014.

To deliver this contract, Hargreaves is using a highly-experienced Hong Kong-based project management team and a skilled workforce of engineers, fitters and maintenance personnel, recruited locally and trained to the same exacting standards expected of our UK workforce.

Having successfully established a presence in Hong Kong, the Hargreaves international business team is now pursuing further business opportunities in other markets across the wider Asia-Pacific economic zone.


Services available to clients include:

Precipitator overhaul & maintenance-Milling plant operations and maintenance-
Balance of plant, PF & burners maintenance & overhaul-Dampers & ducts maintenance & overhaul-Coal handling plant operations & maintenance-Full EPC management- Mechanical & electrical engineering-Structural steelwork erection-FGD operations & maintenance-Power plant outage technical support-Major overhaul & refurbishment-Conveyor installation, operation & maintenance.

Schroders averaging down by the look....

They passed 10% October last year then reached 14.255% during February and now 16.582%

http://www.moneyam.com/action/news/showArticle?id=5050688

TR-1: NOTIFICATION OF MAJOR INTEREST IN SHARES

3. Full name of person(s) subject to the
notification obligation: The Bank of New York Mellon Corporation

4. Full name of shareholder(s)
(if different from 3.): BNY Mellon Service Kapitalanlage-Gesellschft mbH, Mellon Capital Management Corporation

Crossing above 10% to 10.36%

http://www.moneyam.com/action/news/showArticle?id=5061737

2 July 2015
HARGREAVES SERVICES PLC
(the "Group" or "Hargreaves")

Period end trading update for the year ended 31 May 2015


Hargreaves Services plc (AIM:HSP), the UK's leading supplier of solid fuel and bulk material logistics, provides the following period end trading update for the financial year ended 31 May 2015.

Aside from the financial impact of the recent settlement in relation to the Group's Liverpool Biomass Conversion project with a major UK power generator detailed below, underlying trading for the year has continued to be broadly in line with management's expectations. The Group's previously announced simplification programme is now substantially complete and the debt reduction initiative has progressed very well with cash generation in the second half slightly ahead of management expectations. After £6.3m of share buyback spend, net debt at the year end was £1.0m, benefitting by approximately £8m from the timing of year end payments and collections.


In February 2015, the Group embarked on the second phase of the simplification programme. In the face of falling coal prices and a significant reduction in the short term level of expected orders from UK power stations, the Group announced its intention to seek reductions in its overhead base and port and coal production operations. The Board set a challenging target of achieving a cost reduction of at least £3m by the year end and it is pleasing to note that this target has been exceeded. As part of this review, we have merged the Energy and Commodities and Production divisions to form one new division called Coal Production and Distribution (CPD). This second phase of the simplification programme has resulted in further one-off costs and charges totalling £4.5m. In addition to the cost of £1.4m for the programme of redundancies across the Group, we have provided £1.9m in respect of fuel hedges that are now ineffective given the reduced forward mining programme. We have also reviewed mining reserves and provided £1.2m against mine development costs for sites and reserves that we no longer anticipate mining in current market conditions.


Following the end of the year, after careful consideration, we have agreed to accept a reduced amount to conclude the Group's Liverpool Biomass Conversion project with a major UK power generator; a project which commenced in 2012 and largely concluded in early 2014. Whilst this will fall £2.4m short of the amount that the Group expected to collect on the contract, the decision will allow the Group to conclude the long running negotiations and move on and will result in a cash inflow to the Group of approximately £10m, the collection of which had been delayed by the negotiations. The provision shortfall of £2.4m will be charged against profits in the year ended 31 May 2015.


Since we reported half year results in February, a number of power stations have announced potential closure decisions and conditions in the coal markets have continued to deteriorate. There remains very limited revenue visibility from UK power generators. In addition, the coal price, a key driver of the profit in our coal production and distribution division, has continued to fall and is currently £3 lower at approximately £38 per tonne. Whilst this will impact short term profits, the Group continues to take the view that it is right to continue to protect the viability of its current Scottish operations, subject to reviewing mining plans and reducing forecast production volumes where necessary. The Board is of the view that the longer term opportunity afforded by these operations, including the synergy with its speciality coal distribution operation, continues to outweigh the negative impact on short term profits. The Group also continues to work hard with Government and other stakeholders on a solution that will allow the commencement of major restoration projects.


Market conditions in the steel sector have also further deteriorated since we last reported and we continue to closely manage counterparty risk against this challenging backdrop.


With the simplification programme largely complete, the Board is focussing on the strategic options for the Group going forward. These include the continued evaluation of share buybacks and selective expansion of the Industrial Services division. The Board expects to provide an update in conjunction with the preliminary results.

In the meantime, encouraging progress continues to be made with the development of the renewables and property portfolios, although the Group awaits the outcome of the Government's recently announced review of subsidies to on-shore wind farms.


Gordon Banham, Chief Executive Officer, commented: "Market conditions in the coal sector are the most challenging that I have ever seen. The restructuring process at Hargreaves was broad and deep and involved a lot of sacrifice across the organisation. Although we continue to see downward pressure on our profits, the Group has a secure and strong balance sheet position from which we can assess market movements and strategic options. The management team and staff deserve praise for their continuing effort and commitment to deliver profits in such difficult market conditions."

The Group expects to report preliminary results on 11 August 2015.


http://www.moneyam.com/action/news/showArticle?id=5068832

Upcoming Events

11 August 2015 Announce full year preliminary results
14 September 2015 Annual Report posted
24 September 2015 Ex-dividend date
25 September 2015 Record date
07 October 2015 Next AGM
23 October 2015 Payment date

http://www.hsgplc.co.uk/investors/financial-calendar.aspx

Further information via links below:

Hydro scheme plan for Glenmuckloch opencast revealed
15 July 2015

Plans to build a major hydro scheme on the site of an opencast mine in the south of Scotland have been revealed.

Developers claim the 100MW project at Glenmuckloch, near Kirckconnel, could generate power for more than a century.

It is the latest in a series of renewable energy schemes planned for the site, which is owned by Buccleuch Estates.

They are part of a project to redevelop the opencast mine as Glenmuckloch Energy Park.

The details have emerged in a scoping report for the pumped storage hydro scheme submitted to Dumfries and Galloway Council.

Buccleuch Estates has joined with mining company Hargreaves and 2020 Renewables to draw up the plans.

It will involve creating two reservoirs - one higher than the other - which will be connected by a tunnel with a pump-turbine.

The report states: "When excess electricity exists within the grid the pump-turbines go into pumping mode lifting water to the upper pond and when demand within the network exceeds available supply the pump-turbines reverse and change to generating mode with water released from the upper pond."





and to give a bit of history:

COMMUNITY ENERGY PARK TAKES CENTRE STAGE IN RESTORATION PROJECT
1 July 2014

Minister for Energy, Enterprise and Tourism, Fergus Ewing today
marked a significant development in the restoration of the
Glenmuckloch surface mining site as he launched the Glenmuckloch
community energy park.

Since work began late last year, over two million cubic metres of
material has been moved and shaped across the 235 hectare site.
Soiling and grass planting is now well underway, with particular focus
on the areas visible from the A76 trunk road.

Fergus Ewing & pupils from Sanquhar Academy
The restoration of Glenmuckloch is being delivered by Hargreaves Surface Mining Ltd and remains on track for
completion during the first half of 2015.

This pragmatic approach to restoration, and to bringing the site back into community use, will be
complemented by the community energy park.

Subject to conditions, Dumfries and Galloway Council has approved plans for up to two wind turbines in a
development adjacent to the Glenmuckloch surface mine, near Kirkconnel.

The energy park project is being delivered by four key partners – Scottish Mines Restoration Trust, Buccleuch
Estates, Hargreaves and Dumfries and Galloway Council - with each partner initially contributing £50,000.
Hargreaves has also announced it will contribute an additional £100,000 to the project.

Energy consultant 2020 Renewables carried out a feasibility study on the site earmarked for the turbines,
which covers approximately four hectares and is bounded by forestry and an access road.

Worth posting the following as it highlights that HSP are not just about coal/coke along with possible links to above post:

Project Manager / Developer (Solar)


Recruiter-Hargreaves Services plc
Posted----17 June 2015
Closes----17 July 2015
Ref--------OLR09202
Location-Yorkshire and Scotland
Sector---Energy, Renewable, Engineering


Further information


An exciting opportunity has arisen to join our successful Group. Reporting directly to the Head of Renewables; this Project Manager / Developer role will project manage all aspects of solar and small scale hydro-developments.

Key responsibilities of the Project Manager / Developer will include:

• You will manage and coordinate the contracts and consultants assigned to projects to ensure timely delivery, the quality of work and value for money as well as identifying, appraising and mitigating any planning, environmental, technical and commercial issues affecting development.
• You will submit planning applications, take responsibility for the Environmental Impact Assessment (EIA) and manage the consultation process pre and post planning application, including liaison with local communities and external consultants, local authorities and statutory agencies.
• To oversee grid connection processes from initial application to securing grid connection offers. You will understand the economic drivers of solar assets and be able to provide project information and support to secure project funding and solar panel supply and balance of plant contracts.
• Provide monthly reports to a variety of stakeholders on the progress of allocated wind sites.
• Support the development and delivery of the renewable team.
• Undertake detailed feasibility studies of the Hargreaves land bank for the potential of ground mounted and roof top solar and possibly hydro projects.
• You will develop environmental studies and permit strategies for specific projects.

The ideal Project Manager / Developer candidate will be able to demonstrate:

• A strong track record within the UK solar industry of successfully designing, developing and constructing solar farms.
• A commercial approach to the delivery of projects and a sound understanding of the technical aspects of power generation in the context of solar farm development.
• Excellent interpersonal skills, with the ability to build rapport quickly and develop long-term relationships with all stakeholders.
• Must have experience in solar development and construction and should ideally be degree qualified in a planning, surveying, engineering or environmental discipline.
• Experience and knowledge of environmental permitting regulations, additional experience in developing small scale hydro would be advantageous.

Hargreaves Services plc is listed on the London Stock Exchange and last year had a turnover of almost £900million. The UK’s leading coal production, trading and distribution company, the business has operations across thermal power, steel making, ports and logistics. Employing around 2,500 skilled people across a broad range of disciplines around the world, Hargreaves has offices in the UK, Germany, South Africa and South East Asia.

21 July 2015

Hargreaves Services plc

("Hargreaves" or the "Company")

Notification of Preliminary Results

Hargreaves Services plc (AIM: HSP), the UK's leading supplier of solid fuels and bulk material logistics, announces that it will report results for the year ended 31 May 2015 on Tuesday 11 August 2015.

A briefing for analysts will be held at 10.00am on the morning of the results announcement at the offices of Buchanan, 107 Cheapside, London EC2V 6DN.

For more information, or for analysts to register attendance, please contact Buchanan on 020 7466 5000.

http://www.moneyam.com/action/news/showArticle?id=5079227

FULL ANNOUNCEMENT VIA LINK AT BOP

11 August 2015

HARGREAVES SERVICES PLC

Preliminary results for the year ended 31 May 2015

Hargreaves Services plc (AIM: HSP), the UK's leading supplier of solid fuel and bulk material logistics, announces its preliminary results for the year ended 31 May 2015.

Highlights



· The Group has delivered a strong performance in very challenging markets

o Continuing Underlying Operating Profit of £42.8m

o Excellent cash generation and our Simplification Programme have resulted in Net Debt of only £1.0m at the end of the year

· Underlying trading for the year was broadly in line with management's expectations

· Group Simplification Programme is now substantially complete, leading to the disposal of Imperial Tankers and the closure of our Monckton coke operation

· Markets remain challenging with a further fall in the coal price since the interim results and a number of potential coal fired power station closures announced

· Final dividend significantly increased to 20.0 pence per share from 16.7 pence per share reflecting the previously announced decision to move to a higher payout ratio and the strong cash generation despite the difficult trading conditions

· Strengthened balance sheet and strategic options under active review



Commenting on the results, Chairman Tim Ross said:

"The last two years have presented the coal industry with extremely challenging market conditions. The Board has worked hard to ensure controllable risks are managed and to minimise the impact of risks beyond our control. We were clearly right to initiate the Simplification Programme last year. With a significant restructuring exercise largely behind us, we can concentrate on our strategic options to deliver future shareholder value."



(1) Continuing Operating Profit is stated before simplification costs of £9,130,000

(2) Continuing Underlying Operating Profit is stated excluding the simplification costs, the impact of the Biomass conversion project settlement, the amortisation of acquired intangibles and impairment of goodwill, impairment of non-current assets, and including share of profit in associates and joint ventures before tax

(3) Continuing Underlying Profit before Tax and Continuing Underlying Diluted EPS are stated excluding the simplification costs, the impact of the Biomass conversion project settlement, the amortisation and impairment of acquired intangibles, impairment of non-current assets and gain on disposal of subsidiaries

(4) Net debt comprises cash and cash equivalents, bank overdrafts and other interest bearing loans and borrowings

http://www.moneyam.com/action/news/showArticle?id=5092504

As we have commented before, this business is all about cash flow and the dividend in the short term, as such it might conceivably attract the attention of a brave buyout group who sees an opportunity at the current distressed valuation!

See new research note at: http://tinyurl.com/ol5kyaw

Hargreaves Services in Durham will not rule out further job cuts amid 'perfect storm'
18:45, 11 August 2015
By Tom Keighley

Hargreaves Services has not ruled out further job losses amid what has been described as a “perfect storm” of low coal prices and a collapse in UK coal import volumes.

Following news that the company’s profits had halved this financial year, Hargreaves’ finance director Iain Cockburn said much of the “heavy lifting” of an extensive restructuring plan had been done, but suggested a further deterioration in coal prices could spell further cuts.

Cost cutting – including the sale of Stockton-based Imperial Tankers last year and the winding up of Monckton coke works – generated a £67.8m reduction in net debt over the firm’s last financial year.

Esh Winning-based Hargreaves, which operates coal mining, logistics and industrial services divisions, is now looking to its extensive property portfolio, and renewable energy projects, to generate value.

Mr Cockburn said: “We’ve got great opportunities in our Dalquhandy and Poniel wind energy sites. Unfortunately the government has created a bit of uncertainty in wind, but if any sites are going to be viable without subsidies, subject to the cost of turbines, it’s these two.

“We’re also looking at solar on our opencast sites, which are particularly well suited to that kind of development and are many are within close proximity of network connections.

“We’ve submitted plans for a major hydro electric project to Dumfries and Galloway Council and we’re also getting heavily involved in biomass – having just signed a contract with Drax to handle much of its transport requirements.

“All of that shows we’ve got quite a broad spectrum of opportunities.”


As coal prices slumped from £44 per tonne to £38, Hargreaves saw continuing pre-tax profits fall by 52.2%, from £52.1m to £24.9m.

In an update to shareholders of its preliminary full year results to the end of May 2015, the firm said pre-tax profits had been impacted by an exceptional £12.2m charge owing to its restructuring plan.

Despite the fall Hargreaves said strong cash generation and underlying profit performance prompted the board to recommend an increase of 19.8% in the final dividend from 16.7p to 20p – bringing the full year dividend to 30p.

Revenues fell 28.8% from £869.2m to £662.2m.

Hargreaves insisted the UK coal market still offered opportunity in coming years, but acknowledged stronger political will to remove coal from the UK energy mix.


Chief executive officer Gordon Banham said the firm faced the most challenging markets he had experienced in more than 30 years of working in the coal sector.

He acknowledged the firm was “in for another difficult year” but said it was well positioned to tackle any challenges with a strong balance sheet.

He added: “I am confident that whilst we still face challenges, we are well positioned to work through this period of turmoil and find opportunities to optimise the value of our considerable assets and skills base.

“We have highlighted the key principal risks that we have faced as a business in the past few statements and these remain unchanged as we enter this financial year. Coal price (with its impact on our mining operations) and low thermal coal demand (as UK coal stations seek to clear excess coal stocks) are the two keys risks we face.

“We will continue to review the viability of and investment in our mining operations in light of coal price movements. We will also continue to press the Government for a solution to deal with the significant restoration liabilities faced by the taxpayer. Such a solution would allow the whole industry to deliver much needed restoration and safeguard many more jobs while we await a coal price improvement.”

Mr Banham also said planning assumed coal trading volumes would pick up again in the second half of the financial year, but warned the assumption was a risk based on market knowledge.

14 August 2015
Hargreaves Services Plc

Transactions in Own Shares

Hargreaves Services Plc announces that on 13 August 2015, in accordance with prior approvals from shareholders, it purchased from N+1 Singer Capital Markets Limited 65,000 ordinary shares at an average price of 335.7 pence per share. The purchased shares will be held as treasury shares. Following the above purchase, Hargreaves Services Plc holds 1,118,072 ordinary shares in treasury, and has 32,020,684 ordinary shares in issue (excluding treasury shares).

Therefore the figure of 32,020,684 may be used by shareholders as the denominator for the calculations by which they can determine if they are required to notify their interest in, or a change to their interest in the Company, under the Disclosure and Transparency Rules.

http://www.moneyam.com/action/news/showArticle?id=5094812

Hargreaves Services Plc. Hidden Asset valuation

http://frenzel-herzing.com/hargreaves-services-plc-hidden-asset-valuation/

18 August 2015
Hargreaves Services Plc

Transactions in Own Shares


Hargreaves Services Plc announces that on 17 August 2015, in accordance with prior approvals from shareholders, it purchased from N+1 Singer Capital Markets Limited 60,000 ordinary shares at an average price of 343.38 pence per share. The purchased shares will be held as treasury shares. Following the above purchase, Hargreaves Services Plc holds 1,178,072 ordinary shares in treasury, and has 31,960,684 ordinary shares in issue (excluding treasury shares).


Therefore the figure of 31,960,684 may be used by shareholders as the denominator for the calculations by which they can determine if they are required to notify their interest in, or a change to their interest in the Company, under the Disclosure and Transparency Rules.

http://www.moneyam.com/action/news/showArticle?id=5096401

03 September 2015
Hargreaves Services plc

Appointment of Non-Executive Director


Hargreaves Services plc ("the Company") is pleased to announce the appointment of Nigel Halkes to the Board as an Independent Non-Executive Director and Chairman designate of the Audit Committee.


Nigel is a former Managing Partner of Ernst and Young, UK & Ireland. He has considerable FTSE 100 experience, acting as a global client service partner for a number of major clients, including Rio Tinto plc, Centrica plc and BT Group. Nigel also gained valuable experience acting as audit partner for British Coal for ten years. He is a Founding Trustee of the charitable EY Foundation.

Timothy Ross, Non-Executive Chairman of Hargreaves commented: "We are extremely pleased to welcome Nigel to the Board and look forward to the benefit of the extensive experience he has gained in over 30 years of corporate advisory work. I and the rest of the Board look forward to working with him."

Regulatory information:


During the five years immediately preceding the date of this announcement, Nigel Leslie Halkes (aged 59) has held the following directorships/partnerships:


Current directorships:

Polka Children's Theatre Ltd

EY Foundation Ltd

Past partnerships:

Ernst & Young LLP

There are no other disclosures required under paragraph (g) of Schedule 2 of the AIM Rules.

http://www.moneyam.com/action/news/showArticle?id=5106337

Upcoming Events

14 September 2015 Annual Report posted
24 September 2015 Ex-dividend date
25 September 2015 Record date
07 October 2015 Next AGM
23 October 2015 Payment date

http://www.hsgplc.co.uk/investors/financial-calendar.aspx

This is just one persons view on HSP but of interest:

Stock in Focus: Has Hargreaves Services turned a corner?
Wednesday, Sep 09 2015 by Roland Head

http://www.stockopedia.com/content/stock-in-focus-has-hargreaves-services-turned-a-corner-106103/

18 September 2015

HARGREAVES SERVICES PLC
(the "Group" or "Hargreaves")

Intention to mothball steelmaking at SSI


We note today's press coverage regarding the intention to mothball steelmaking at Redcar steelworks (owned by Sahaviriya Steel Industries "SSI"). We have worked hard to support the operations at SSI and will continue to do so.

At this time we await clarification of the mothballing plans to evaluate the likely impact on the material handling services and coal procurement services that we provide to the plant and will update the market in due course. As reported in the Preliminary Results statement on 11 August 2015, these contracts contributed approximately £4m of operating profit in the last financial year.

http://www.moneyam.com/action/news/showArticle?id=5116043

Oh well. I wonder where the price is going to settle this time. Although I managed to get out of 40% of these on the rise from the bottom I'm fairly anxious about this share now. This isn't the biggest problem in my portfolio by any means but I'm sure you know that feeling when you just want to get out fast

Schroders plc increased their holding 21.09.15

From 5,320,410 (16.582%) to 5,622,545 (17.620%)

http://www.moneyam.com/action/news/showArticle?id=5118318

24 September 2015

HARGREAVES SERVICES PLC
("Hargreaves" or the "Company")

Posting of Annual Report and Notice of AGM

Hargreaves Services plc (AIM: HSP), the UK's leading supplier of solid fuel and bulk material logistics, announces that its Annual Report and Accounts for the year ended 31 May 2015 has been posted to shareholders and is available at the Company's website: www.hsgplc.co.uk


The Company's Annual General Meeting will be held on 7 October 2015 at 11.00am at Beamish Hall, Beamish, Stanley, Durham DH9 0YB.

http://www.moneyam.com/action/news/showArticle?id=5119022

Hargreaves Services plc

("Hargreaves", "the Group" or "the Company")

Trading Update

Hargreaves Services plc (AIM: HSP), the UK's leading supplier of solid fuels and bulk material logistics, provides an update on trading.

Thermal Coal Markets

Since we reported our final results in August the thermal coal markets have remained very weak and, although the rate of coal price decline has slowed, prices have softened further by approximately £1 per tonne.

In addition, and more significantly, demand for thermal coal in the UK remains exceptionally low as coal-fired power stations have been operating at low capacity levels in recent months with substantial accumulated stockpiles. The Company was previously expecting to receive orders for around one million tonnes of imported thermal coal in the second half of the financial year in addition to orders to sell its projected one million tonnes of coal production. However, as both the committed order book and future order visibility remain very low, we are now revising our thermal coal sales estimates to be around 0.5 million tonnes below our previous expectations for the current financial year. As a result we will reduce our planned imports and take further steps to look for opportunities to reduce production of loss-making thermal coals.

Liquidation of Sahaviriya Steel Industries (UK) Limited ("SSI")

On 18 September 2015 it was announced that steelmaking operations at Redcar were being suspended. SSI entered liquidation on 2 October 2015. Hargreaves is deeply disappointed by this outcome and its impact on the workforce, contractor base and surrounding Teesside communities.

Hargreaves has, over the last three years, committed significant effort, credit lines, services and expertise to support the operation at Redcar. Given the importance of maintaining the coke ovens to secure the option to resume steelmaking in the future we have made ourselves available to SSI, the UK Government and other stakeholders to support the development of plans that might preserve the coke oven operations. Contrary to press speculation over the weekend, Hargreaves has never contemplated buying the steelworks with a view to re-starting the blast furnace when market conditions improve. Our role has been limited to offering advice and assistance to develop a plan that could have preserved the coke ovens in an operational state whilst options for the site are fully investigated.

Following the announcement of liquidation, the Official Receiver has commenced a review of all operations. The Company is willing to support any viable plan that can be developed to prevent the coke ovens from being destroyed. In the absence of such a plan being developed and implemented, we have prepared plans to wind down operations on site with immediate effect.

Although we have been highly supportive of SSI and have extended significant working capital credit lines we have structured and conducted our dealings carefully to limit any credit exposure. As previously announced, the services and coal procurement that we have provided to the site generated £4m of operating profit in the last financial year and, if no viable plan can be implemented, we would expect a similar reduction in operating profit in future years. In addition to the loss of forward earnings, we anticipate a one off charge of around £1.5m relating to the redundancy cost of the staff involved in delivering the services on site and other contract demobilisation costs. We expect no further charges.

The liquidation of SSI will leave the Company with coal and coke stocks of approximately £14m. These stock positions have been very carefully managed and monitored and will be turned into cash in an orderly fashion over the next twelve months.

Closure of Eggborough and Liverpool Bulk Terminal Operations

The planned closures of Longannet, Ferrybridge and Eggborough have been announced over the last few months, as well as the recent decision by EON to cease operations at Liverpool Bulk Terminal. We have provided handling services at Eggborough and Liverpool Bulk terminal for a number of years. The closure of these operations will not have a material impact on the current financial year, other than an expected redundancy expense of around £0.7m. The closures will impact operating profits in the Industrial Services Division in the financial years ending 31 May 2017 and beyond by around £1.5m per annum. With the loss of gross margin from our operations at Redcar and with the risk of further announcements of unit or power station closures in the coming months, the Group will be stepping up its efforts to identify new contract opportunities for its Industrial Services Division and will continue to seek its steady international expansion.

Plant, Property & Renewables

Through its various actions the Company has created a large and diverse plant and property portfolio and efforts continue to unlock the value in our plant fleet and property portfolio. Management see the opportunity to develop significant value in the property portfolio through planning gain and development efforts. The Company also continues to evaluate projects at our sites that offer renewable energy development in wind, solar, pump-storage hydro, waste and biomass. We will also seek opportunities to generate value and improve utilisation of the plant assets, particularly in the face of soft demand from the coal mining operations.

Summary

In the face of the on-going uncertainty in its core markets the Company has already taken early and decisive action which has allowed the Company to effectively de-leverage its balance sheet. Whilst the developments outlined in this statement are disappointing, they are reflective of the present conditions in our core markets.

Although the short term potential to generate profits from our plant and property asset portfolios to offset the pressures on earnings that we are facing in the coal and services sectors is limited by development timelines, the longer term potential for value creation is very significant. Many of these projects and other opportunities also offer significant synergies and contract opportunities for our transport, industrial services and fuel sourcing operations.

http://www.moneyam.com/action/news/showArticle?id=5126051

Hargreaves Services PLC
07 October 2015

Result of AGM and Board Change


Hargreaves Services plc (AIM: HSP), the UK's leading supplier of solid fuel and bulk material logistics, announces that, at its AGM held earlier today, all resolutions were duly passed.

The Board would also like to express its thanks and gratitude to Tim Ross who, as planned, stepped down as Chairman following the meeting. Tim has provided the Board with support and leadership over the past decade and has been instrumental in assisting the Company in its development. David Morgan has assumed the role of Chairman.

http://www.moneyam.com/action/news/showArticle?id=5128430

14 December 2015

Hargreaves Services plc
("Hargreaves", "the Group" or "the Company")

Pre-Close Trading Update

Hargreaves Services plc (AIM: HSP), the UK's leading supplier of solid fuels and bulk material logistics, provides an update on trading.

Current trading conditions and the outlook in the coal and steel markets have continued to deteriorate. In addition, the continuing warm weather has added further short term volume and margin pressure across almost all of the Group's major coal markets. Whilst the Company remains in a robust position in terms of gearing and cash generation, the deterioration in the coal and steel markets will further impact trading and outlook in all three divisions.

Coal Production and Trading

In light of current thermal coal prices, the Group will be restructuring its mining plans to reduce Scottish production to circa 500,000 tonnes per annum whilst remaining committed to completing all of its current restoration schemes. In conjunction with these revised plans the Group is investing in new and enhanced coal processing facilities which will reduce to a minimum production exposure to loss-making thermal coal. The capital investment required to deliver that capability will be around £1m. The Group will incur additional charges of £1.1m in this financial year to deliver the revised and reduced mining plan.

Coal burn in the UK remains at low levels unprecedented for this time of year. There is currently no evidence that new sales demand from our coal station customers will be seen before the end of the winter and as a result we are reducing our budgeted third party sales volumes for the remainder of the year from 500,000 tonnes to a negligible level.

In the domestic heating market the unseasonably warm weather will adversely impact volumes and prices and we have reduced our profit expectations by £0.5m for the second half on the assumption that the present weather pattern persists across the balance of the year.

Profit forecasts for our Tower joint venture for the second half of the financial year have also been reduced to reflect similarly weak demand for its thermal coal and the likely impact of coal price on the uncontracted tonnage at the end of the financial year. We expect the Group's share of profit on the Tower joint venture to be reduced by £1m. The Group will continue to carefully monitor its exposure to the Tower project, where loans currently extended to the joint venture amount to £23.5m. Whilst the Group remains confident of being able to recover these balances fully under current mining plans as the mining project continues, the Board also continues to assess the risks that would be presented by an early closure of Aberthaw power station.

Industrial Services

Operating profit expectations for Industrial Services have been reduced by £1.3m. This reflects margin pressure and a significant reduction in spend by our thermal and steel customers due to the low production levels being experienced in both markets, but particularly in the UK steel sector.

Transport

Despite a strong start to the financial year, we have recently seen a marked reduction in general waste market flows following the downturn in the business of a significant North East landfill operator. This reduction in general volumes has been exacerbated by a reduction in coal movements, the low seasonal movements of rock salt and a recent decline in construction sector activity. Operating profit forecasts are being reduced by £0.5m to take account of these factors.

Net Debt

Debt at 30 November 2015 was £31.8m. Cash generation in the second half is expected to be in line with management's previous expectations, as coal and coke stocks continue to unwind and more than offset the impact of reduced trading profit.

Outlook

In these difficult markets the Group continues to take all the steps possible to mitigate major risks. All of our expectations are based on existing coal stocks being marked down to current spot market prices. The Group, including Tower, does however retain open stock positions on approximately 300,000 tonnes of coal and 80,000 tonnes of coke and we remain of the view that the cost of hedging that product outweighs the risk of further short term negative impacts on forward earnings.

The Group continues to work hard to develop value across its property portfolio and will provide an update on progress with the interim results. We would expect our first meaningful realisations in FY17.

The Group expects to report its interim results on 16 February 2016.


http://www.moneyam.com/action/news/showArticle?id=5173564

TR-1: NOTIFICATION OF MAJOR INTEREST IN SHARES
29 December 2015

Artemis Investment Management LLP increased their holding above the 10% triggering point:

From 3,185,195 to 3,215,628 (10.08%) on 23 December 2015


(For information-On the HSP Website 01/09/2015 shows a holding of 2,703,375 = 8.43%)

http://www.moneyam.com/action/news/showArticle?id=5183501

11 January 2016

Hargreaves Services plc
("Hargreaves", "the Group" or "the Company")

Acquisition

Hargreaves Services plc (AIM: HSP), the UK's leading supplier of solid fuels and bulk material logistics, is pleased to announce the acquisition of C A Blackwell Group Limited ("Blackwell") for a consideration of up to £11.85m. The consideration will be settled by a net cash payment of £8.5m and the transfer to the Blackwell shareholders of a property at Earls Colne with a market value of £3.35m. The property was owned by Blackwell.

Of the £8.5m net cash payment, £5.25m will be held in escrow pending the settlement of a number of historic claims and the realisation of proceeds from the disposal of two other investment properties, which will be marketed post-acquisition and have a book value of £6.5m. These property disposals are expected to be completed by 31 December 2016.

Blackwell has been operating in the field of bulk earthmoving and civil engineering for over 50 years. In addition to having a leading reputation in earthworks and civil engineering, Blackwell also operates a number of mining and quarrying services contracts. The operations of Blackwell are highly complementary to those of Hargreaves in terms of skills, experience and, critically, the equipment that they utilise. In the opinion of the Directors, the integration of Blackwell into Hargreaves creates new and exciting opportunities to deploy one of the largest heavy plant fleets in Europe within a large and well-funded Group.

Based on unaudited management accounts and forecasts, in the year ended 31 December 2015 Blackwell is expected to generate an operating profit of £3.3m on £89.0m of revenues. Included within these amounts are £1.2m of operating profit and £12.2m of revenue relating to exceptional non-recurring activity. Excluding these exceptional non-recurring profits, adjusted EBITDA for the period is expected to be approximately £4.1m.

The net assets of Blackwell at the date of acquisition after the disposal of the Earls Colne property are expected to be approximately £10.9m. The net debt of Blackwell at the date of the transaction, adjusted for normal working capital levels, was £13.0m, giving a headline enterprise value of £24.9m. After all the property disposals are completed the underlying enterprise value is expected to fall by £9.9m to £15.0m, representing an implied EV/EBITDA entry multiple for Hargreaves of approximately 3.7 times.

Gordon Banham, Chief Executive Officer of Hargreaves, commented: "The acquisition of Blackwell extends the reach of Hargreaves into the UK earthworks and civil engineering sector bringing further diversification to the Group and offering an attractive return on capital. The business is complementary to and synergistic with our existing mining operations and offers flexibility with our existing fleet of heavy plant, providing further opportunities to diversify the Group's operational focus.

"We are delighted to welcome the Blackwell team into the Group and look forward to combining our expertise to work with them on the growing market opportunities in the UK, including the enhancement and renewal of the nation's critical infrastructure."

http://www.moneyam.com/action/news/showArticle?id=5190152

TR-1: NOTIFICATION OF MAJOR INTEREST IN SHARES


Artemis Investment Management LLP on behalf of discretionary funds under management from 3,504,159 to 3,516,337 = 11.02%

http://www.moneyam.com/action/news/showArticle?id=5196041

4 February 2016
Hargreaves Services plc
("Hargreaves" or the "Company")

Notification of Interim Results

Hargreaves Services plc (AIM: HSP), the UK's leading supplier of solid fuels and bulk material logistics, announces that it will report results for the six months ended 30 November 2015 on Tuesday 16 February 2016.

A briefing for analysts will be held at 10.00am on the morning of the results announcement at the offices of Buchanan, 107 Cheapside, London EC2V 6DN.

For more information, please contact Buchanan on 020 7466 5000.

http://http://www.moneyam.com/action/news/showArticle?id=5206875

SEE LINK AT BOP FOR FULL ANNOUNCEMENT:

16 February 2016
HARGREAVES SERVICES PLC
(the "Group" or "Hargreaves")

Interim Results for the six months ended 30 November 2015

KEY POINTS

· Results for the first six months reflect the widely reported pressures in the UK coal and steel markets

· As a result of continuing weak thermal coal prices and demand, and following a number of early closure announcements, the Group is taking action to reduce its exposure to thermal coal markets over the next 18 months

· Although market conditions will continue to apply pressure to profit generation in the short term, the Group is well positioned to generate substantial cash as stock and plant positions are unwound

· The acquisition of Blackwell in January 2016 is a further step toward moving the Group into new and parallel sectors

· The Group continues to evaluate and progress a range of exciting opportunities within its extensive property portfolio

· Further progress has been made in developing our Industrial Services offering into international markets

· Since the period end the extremely mild and wet weather continue to adversely impact the Group's coal production and restoration operations





Commenting on the interim results, Chairman David Morgan said:

"Market conditions in the UK coal and steel sectors remain very challenging. Given continuing weak commodity prices, low coal demand and the announcement of further coal station closures, the Board has taken the decision to reduce the Group's exposure to thermal coal markets over the next eighteen months. This follows the decisive actions taken in the past eighteen months to simplify the Group and exit markets such as coke production and trading.



"The recent acquisition of Blackwell represents an important strategic step and the ongoing development of value across the property portfolio continues to make further progress. The Board is also excited by the opportunities being presented to accelerate the development of its international presence in Industrial Services activities. The recent wet and mild weather has further impacted the Group's short term trading, curtailing coal production and restoration activities, however the Board is confident that profitability can be maintained even in the face of such severe market conditions. The Board has already taken significant steps in reducing costs and restructuring the Group and these efforts are ongoing."


http://ir1.euroinvestor.com/asp/ir/Hargreaves/NewsRead.aspx?storyid=13310354&ishtml=1

Link to historical 'Major Shareholders' page

Major Shareholders

Last Update: 1 March 2016

Securities Information

Number of Ordinary shares in issue                                 31,910,684

Percentage of AIM securities not in public hands                 46.91%

Restriction on the transfer of AIM securities                        NONE



Significant shareholders (3% or more of the ordinary share capital)

                      Name                                  Number of ordinary shares            % of issued share capital
Schroder Investment Management                      5,850,616                                        18.33%
Artemis Investment Management                         3,516,337                                        11.02%
Fidelity Management & Research Company          &nbsp3,208,568                                        10.05%
Shareholder Value Beteiligungen                          2,970,123                                        9.31%
Gordon Banham                                                 2,273,466                                        7.12%
NFU Mutual                                                        1,460,000                                        4.58%
M & G Investment Management                           1,320,444                                        4.14%

27 April 2016
Hargreaves Services plc
("Hargreaves", "the Group" or "the Company")

Strategic Repositioning and Trading Update

Hargreaves Services plc (AIM: HSP), the UK's leading supplier of solid fuels and bulk material logistics, is pleased to provide the following update on its strategic repositioning programme and recent trading.

Over the last two years Hargreaves has worked hard to position itself to face the growing challenges that have emerged in the coal and steel markets. This programme has included undertaking a far-reaching restructuring exercise aimed at simplifying the Group through disposals and business closures to reduce debt levels and to seek to mitigate the risks and volatility faced by the Group in its coal, coke and steel related activities.

Over the last year, the challenges facing the coal sector in the UK have increased due to continuing coal price weakness and low levels of coal demand arising from weak gas prices and an accelerated programme of UK coal generation plant closures. Given these continuing pressures the Board has elected to further accelerate its withdrawal from the thermal coal sector. We note the announcement by RWE released earlier this week concerning its intention to potentially cease taking delivery of Welsh coal at Aberthaw power station after March 2017. Our Interim Results Statement indicated that we were reviewing options to curtail coal production at Tower earlier than planned and that such a decision might result in a modest impairment to the value of loans the Group has extended to the joint venture. Although the RWE announcement means that curtailment of coal production may potentially be necessary even earlier than we had anticipated, we will continue to review plans and mitigation opportunities to minimise any necessary impairment of loans and continue to believe that any impairment will be modest. Recent pressures in the steel markets, including the closure of Redcar steelworks and the uncertainty over the future of Port Talbot have exacerbated the trading pressures in the UK.

Although the coal and steel sectors remain highly challenging, the Group has made significant progress in transitioning the business away from thermal coal exposure in the UK. Most of the initiatives to deliver that strategy are underway and have been clearly highlighted in our recent shareholder communications.

As this repositioning exercise nears completion, there are three separate segments of activity that are evident within the Group:

1. Continuing Long Term Core Operations;

2. Development and realisation of value from Property and Energy projects; and

3. Run-out of legacy assets into cash.

It is the intention of the Board to manage and report these activities under a new structure of segmentation to ensure that progress in each area can be easily seen. The Board believes that this will assist investors and other stakeholders in identifying the value that exists within the Group and the rate of progress being made in development activities. We expect strong value creation from our Property and Energy portfolio and significant cash generation from the run out of legacy assets, whilst our Long Term Core Operations represent a profitable and sustainable ongoing business with growth opportunities and tight capital discipline.

http://www.moneyam.com/action/news/showArticle?id=5329319

LONG TERM CORE OPERATIONS

Consists of two segments of operations that have been identified by the Board as offering the opportunity to generate long term and sustainable profits:

1. A simplified and UK-focussed Coal Distribution operation; and

2. A diversified Services operation comprising an Industrial Services unit, a Transport unit and a Specialist Earthworks unit.


· Coal Distribution

The Group will continue to support coal distribution to speciality coal markets which the Board believes offers a continuing longer term opportunity. These markets will be served through a combination of output from the House of Water coal production site in Scotland and from imports. The Board views that these markets offer a continuing longer term opportunity. The Coal Distribution operations will be focused on the Group's Immingham and Killoch coal terminals and will be managed to maximise market share and optimise the sourcing of imported and indigenous coals from the House of Water site.

· Specialist Earthworks & Infrastructure Services

The acquisition of CA Blackwell in January has created an established platform for the Group to develop a strong long term specialist earthworks and related civil engineering operation. This acquisition offers significant plant and skills synergies and extends the Group's operations into contract mining and quarrying. The Division will control the entire Group's heavy plant, one of the largest heavy plant fleets in Europe. The greater financial strength and balance sheet of the Group will enable CA Blackwell to compete for larger contracts and opportunities. Synergies relating to the physical operation of the House of Water site will be targeted by this Division in conjunction with the Coal Distribution business. In addition, all future Scottish restoration tenders targeted by the Group will receive support from our specialist earthworks business to utilise its skills in project delivery and soils and land remediation.

· Industrial Services

As previously announced the accelerated closure program for UK coal generation capacity combined with the closure of Redcar steelworks and the commercial pressures faced by the remaining UK steel plants will result in UK operations reducing in scale over the coming eighteen months. The Group will continue to seek to grow its international opportunities. Whilst this opportunity for growth is not expected to replace the UK losses in the near term, the Board regards the Industrial Services operation as offering a positive long term business opportunity.

· Transport & Logistics Services

The Transport and Logistics operation will continue to offer UK bulk haulage services. We plan for this business unit to increase its efforts to further target road transport, recycling and disposal for the waste and construction markets, as well as the supply of aggregates. The opening of the new depot near Harlow should accelerate the development and growth of operations around the London market. The Board is confident that divisional profits can be returned to levels experienced in the prior financial year, even with the loss of bulk coal volumes.

http://www.moneyam.com/action/news/showArticle?id=5329319

PROPERTY AND ENERGY PROJECTS

The Board has identified the opportunity to create significant medium term value and cash generation from the development of projects around the Group's extensive property portfolio. The Group controls some 18,500 acres of property in England, Scotland and Wales. Activity and investment in this portfolio has been ongoing for the last two years.

In addition to the development of value through planning gain and tenanted occupancy, the Group is also working on a number of select and potentially high-value energy related projects. This includes the development of carefully selected high wind-speed onshore wind energy projects, two energy-from-waste projects and a number of other projects and collaborations centred on the Group's electricity grid connections.

The Board is setting itself the medium term aspiration of generating between £35m and £50m of incremental value over the next five years from this portfolio of property and energy projects. By the nature of the development milestones, this gain is likely to have an uneven profile.

The investment, cash flows and gains and losses around such projects will be reported in a separate segment to allow investors to track the development of value, the capital investment and the cash realisation.

In respect of future financial reporting periods, the Group will analyse operating performance in accordance with the following simplified Divisional reporting structure:


UK Speciality Coal Distribution
Europe
Distribution

Specialist Earthworks and Infrastucture Services
Industrial Services
Transport and Logistics
Services

Property and Energy
Corporate Overheads
Group Operating Profit

To improve transparency, and reflecting the smaller size of the Group's continuing operations, segmental operations will be reported before the allocation of indirect Group overheads, with such overheads being reported separately. The Directors expect that the annual normalised charge to Group profits for central overheads will be of the order of £5.0m.

The Board's medium term aspiration is that the Group's core operations, excluding property and energy projects and before Group overheads, should deliver a trend rate of annual operating profit within the range of approximately £10-£15 million, with Services delivering approximately 60% of that figure. In view inter alia of the aspirational nature of these targets and the expected uneven profile of development gains from property and energy projects described above, it is emphasised that this aspirational target should not be treated as a forecast of operating profitability, either for any specific operating division or for the Group as a whole, for any future financial reporting period.

http://www.moneyam.com/action/news/showArticle?id=5329319

REALISATION OF LEGACY ASSETS INTO CASH

As the Group exits from thermal coal and coke production, following the recent drop in demand, the Group is actively working on realising cash from its assets that relate to these non-core activities. In particular, these assets include:

· coal and coke stocks;

· surplus plant and equipment; and

· loans to the Tower joint venture.

The net realisable value of these assets is approximately £66m as summarised below. The Group's objective is to realise these assets into cash as quickly as possible in an orderly fashion. As these assets are held for resale they are being held in the balance sheet at the lower of cost and net realisable value. The Board expects the bulk of inventory realisations to be completed before the end of May 2017. The table below does not include a provision for any potential impairment of the Group's loans to the Tower joint venture. As noted above, the need for any impairment will continue to be evaluated over the coming weeks.


Current Indicative Legacy Balance Sheet Items as at 31 March 2016 ***See Link At BOP***

Cash generation and any gains and losses on the disposal of these assets will be reported separately to allow investors to see progress made in the realisation process.

The Board is setting the target of having completed the bulk of realisations before the end of May 2017.

http://www.moneyam.com/action/news/showArticle?id=5329319

CURRENT TRADING UPDATE

The Board is encouraged by progress in assimilating the CA Blackwell acquisition and is pleased to announce that the business has recently been confirmed as the preferred provider for two major sections of the Government's £1.5 billion A14 improvement scheme which is part of the UK's largest road improvement programme since the 1970's. These projects provide a strong underpinning to the Division's forward order book and are expected to commence before the end of this calendar year.

Trading in Transport and Logistics remains challenging but revenues are showing signs of recovery. A lease was secured in March on a new depot near Harlow which should assist this business unit to accelerate its growth in and around the London market.

Current trading remains in line within the Industrial Services Division. The previously announced closures of a number of UK coal fired power stations will have little impact on profit in the current year beyond the establishment of redundancy provisions as previously announced. The Group is actively seeking further opportunities to reduce costs and reposition the business in light of these closures and in light of the threat over the future of the Port Talbot steelworks. The Group expects to incur a further £0.5m of restructuring costs over the coming months, assuming Port Talbot continues to operate. The Group's potential redundancy liability at Port Talbot is approximately £1.0m.

The Board remains pleased and encouraged by the progress it is making with the development of the Group's property and energy projects portfolio.

Underlying trading results in the Coal Production and Distribution Division will be further impacted by continuing soft demand in domestic coal markets that will result in a further £0.5m shortfall in the current period. The share of loss for the current year of the Tower joint venture is now likely to be £1.0m higher than expected due to the combination of lower production and sales volumes. Efforts are underway to establish a curtailed mining strategy in light of the continuing risks associated with RWE's announced plans for Aberthaw power station. We continue to evaluate the need for any impairment relating to the Group's loans to the Tower joint venture.

Efforts are also underway to accelerate the rationalisation of Scottish operations to a single site focused on speciality coal production. The early curtailment of coal mining at other sites will result in House of Water becoming the Group's single remaining Scottish coal production site. This accelerated programme to cease coal production, combined with the decision to curtail a number of development options over further sites is likely to result in further estimated exceptional cost write-offs totalling between £3.0m and £3.6m over the next three months.

The Group will continue to seek all possible overhead reduction opportunities and expects to have largely completed its restructuring before the end of this financial year. The following year is expected to be a year of consolidation.

Gordon Banham, Group Chief Executive commented, "This announcement marks an important turning point for the Group. After eighteen months of market turmoil, we are finally completing a challenging phase of restructuring to move away from our traditional areas of focus and reposition the Group. The bulk of that restructuring work is complete and we can now look forward and actively pursue the value creation opportunities ahead of us. We have protected our strong balance sheet position throughout this difficult time. Today we find ourselves with a balance sheet with net assets of around £140m and we have set ourselves the objective of turning £66m of legacy assets on that balance sheet into free cash as quickly as possible in an orderly fashion. We are also setting ourselves the aspirational goal of developing and realising £50m of incremental value from our extensive property and energy project portfolio over the next five years to further grow our net asset base. Finally, we have identified a core of business operations that offer a long term value creation opportunity and we are focused on growing operating profits and delivering strong contributions from each of these areas. Whilst risks remain in achieving our targets, the Board is confident that the Group is well placed and well equipped to deal with these challenges."

A presentation is available on the website http://www.hsgplc.co.uk/media/68267/Strategic-Repositioning-Update-27-April-2016.pdf to provide further background and explanation on this statement.

http://www.moneyam.com/action/news/showArticle?id=5329319

North East major employer speeds up withdrawal from ailing coal sector
08:17, 27 Apr 2016
By Coreena Ford


Gordon Banham




One of the region’s largest companies is speeding up its withdrawal from the ailing thermal coal sector amid continuing weak prices.

County Durham -based Hargreaves Services employed more than 2,700 people last summer but set in motion a redundancy and cost-saving programme after what it described as the “most challenging” times seen in its sector.

The firm – the UK’s leading supplier of solid fuel and bulk material logistics – has issued a trading update to shareholders, detailing how it has spent the last two years working hard to position itself to face the growing challenges that have emerged in the coal and steel markets.

Despite trading pressures, the firm said it’s programme to reposition itself is seeing results.

The programme has included the far-reaching restructuring exercise, aimed at simplifying the Group through disposals and business closures to reduce debt levels, while also mitigating the risks and volatility presented by its coal, coke and steel-related activities.

The statement said: “Over the last year, the challenges facing the coal sector in the UK have increased due to continuing coal price weakness and low levels of coal demand arising from weak gas prices and an accelerated programme of UK coal generation plant closures.

“Given these continuing pressures the Board has elected to further accelerate its withdrawal from the thermal coal sector.”

Earlier this week RWE announced it is joining the coal retreat and intends to potentially cease taking delivery of Welsh coal at Aberthaw power station after March 2017, effectively downgrading the station so it will only generate electricity when it is needed in winter months.

The decision directly affects Hargreaves which supplies Aberthaw from its Tower colliery – and the firm has already said it is considering cutting back on production at the site.

The statement continued: “Our Interim Results Statement indicated that we were reviewing options to curtail coal production at Tower earlier than planned and that such a decision might result in a modest impairment to the value of loans the Group has extended to the joint venture.

“Although the RWE announcement means that curtailment of coal production may potentially be necessary even earlier than we had anticipated, we will continue to review plans and mitigation opportunities to minimise any necessary impairment of loans and continue to believe that any impairment will be modest.

“Recent pressures in the steel markets, including the closure of Redcar steelworks and the uncertainty over the future of Port Talbot have exacerbated the trading pressures in the UK.

“Although the coal and steel sectors remain highly challenging, the Group has made significant progress in transitioning the business away from thermal coal exposure in the UK. Most of the initiatives to deliver that strategy are underway and have been clearly highlighted in our recent shareholder communications.

The share price rose 3% to 161.06p in early trading after the trading update was released on the stock market.


Edit-Further reports on today's news:

The original link posted this morning regarding the presentation on their website didn't work, sorted now and will amend the earlier post:

http://www.hsgplc.co.uk/media/68267/Strategic-Repositioning-Update-27-April-2016.pdf

28 April 2016
HARGREAVES SERVICES PLC
("Hargreaves" or the "Company")

Director/PDMR Shareholdings

Hargreaves Services plc ("Hargreaves" or the "Company") has today received notification that Gordon Banham (CEO), David Morgan (Chairman), Peter Jones (Non-Executive Director), and Nigel Halkes (Non-Executive Director) have earlier today purchased in aggregate 250,000 ordinary shares of 10 pence each in the Company at a price of 170p per share.

The respective individual purchases and resultant beneficial holdings of Gordon Banham, David Morgan, Peter Jones and Nigel Halkes are set out below:

***See Link Below***

http://www.moneyam.com/action/news/showArticle?id=5331073

Directors buys always a good sign.

CC, Not always but along with the 'Strategic Repositioning and Trading Update' released yesterday then yes, leading to a possible good recovery stock?

Gordon Banham, Group Chief Executive commented, "This announcement marks an important turning point for the Group.

After eighteen months of market turmoil, we are finally completing a challenging phase of restructuring to move away from our traditional areas of focus and reposition the Group. The bulk of that restructuring work is complete and we can now look forward and actively pursue the value creation opportunities ahead of us.

We have protected our strong balance sheet position throughout this difficult time. Today we find ourselves with a balance sheet with net assets of around £140m and we have set ourselves the objective of turning £66m of legacy assets on that balance sheet into free cash as quickly as possible in an orderly fashion.

We are also setting ourselves the aspirational goal of developing and realising £50m of incremental value from our extensive property and energy project portfolio over the next five years to further grow our net asset base.

Finally, we have identified a core of business operations that offer a long term value creation opportunity and we are focused on growing operating profits and delivering strong contributions from each of these areas.

Whilst risks remain in achieving our targets, the Board is confident that the Group is well placed and well equipped to deal with these challenges."

http://ir1.euroinvestor.com/asp/ir/Hargreaves/NewsRead.aspx?storyid=13357385&ishtml=1

TR-1: NOTIFICATION OF MAJOR INTEREST IN SHARES

Artemis Investment Management LLP on behalf of discretionary funds under management:

Increased from 3,446,397 to 3,576,397 (11.21% indirect) on 16 June 2016

http://www.moneyam.com/action/news/showArticle?id=5362545

4 July 2016
Hargreaves Services plc
("Hargreaves", "the Group" or "the Company")

Post-Close Trading Update and Notification of Preliminary Results

Hargreaves Services plc (AIM: HSP), a leading supplier of solid fuels, bulk material logistics and specialist earthworks services, provides the following update on trading ahead of its preliminary results for the year ended 31 May 2016.

Core Operations

The Group is pleased to report that trading in the run up to the year end was in line with management expectations and consequently the Group expects underlying profitability for the year ended 31 May 2016 to be in line with current market expectations.

The restructuring and repositioning of the Group's core operations continues to progress and the resulting restructuring and exceptional costs are expected to be broadly in line with previous market guidance.

Tower Joint Venture

The Group notes that since reporting its interim results on 16 February 2016, RWE has confirmed its intention to cease buying Welsh coal for its Aberthaw power station by 31 March 2016. This decision firmed up our previously announced intention to consider a shortened mining programme at our Tower joint venture. Within our interim results we stated that a shortened mining plan could result in a modest impairment of our outstanding loans to the joint venture vehicle. It is our current view that, although the equity investment values and goodwill require to be impaired as no future dividends are likely to arise, a full recovery of the loans remains achievable. The Group will continue to work with its joint venture partners to seek an optimal outcome. The impairment charge in respect of our equity investment and goodwill will be approximately £4.9m.

Brexit

The Group continues to appraise the potential impacts of Brexit. The Group is a net beneficiary of Sterling weakness due to its current stocks of largely dollar-denominated coal and coke. No revaluation gains have been booked to date, but if the current exchange rate trends continue the Group should benefit as and when these stocks are realised.

On a negative note the Group has been informed that a £7m earthworks project at a major UK port has been postponed owing to Brexit-related concerns. The current uncertainty associated with Brexit presents potential risks for our Earthworks and Logistics businesses which have a significant exposure to construction activity and capital investment projects. However, it is difficult at this stage to form a clear picture of the medium term impacts and we currently consider the risk of a downturn in private sector activity as against the potential upside from Government-sponsored public sector works to reflate the economy to be relatively finely balanced.

Notification of Preliminary Results

The Group expects to report its preliminary results for the year ended 31 May 2016 on 9 August 2016. A briefing for analysts will be held at 10.00am on the morning of the results announcement at the offices of Buchanan, 107 Cheapside, London EC2V 6DN. For more information on the briefing, please contact Buchanan on 020 7466 5000.

http://www.moneyam.com/action/news/showArticle?id=5372455

Articles related to yesterday's trading update:

Owner of Scottish coal mines notes pros and cons of Brexit vote



HARGREAVES Services, which owns what is left of Scotland’s coal mining industry, has highlighted the benefit of the fall in the pound following the Brexit vote although this seems unlikely to stop the firm winding down most of its operations in the country.

The company has also noted the risks posed by the Brexit vote for its logistics operation, concluding that it will be some time before the overall effect on the economy of the UK voting to leave the European Union becomes clear.

In an update on recent trading, Durham-based Hargreaves said it would gain from the ten per cent plus fall in the value of the pound since the shock outcome of last week’s Brexit referendum because the coal and coke it supplies are traded in dollars.

This will mean the sterling value of sales has increased even if the price per unit sold has remained constant.

Other firms selling goods in dollars will benefit.

“The Group is a net beneficiary of Sterling weakness due to its current stocks of largely dollar-denominated coal and coke” said Hargreaves Services.

“If the current exchange rate trends continue the Group should benefit as and when these stocks are realised.”

The fall in the pound will provide some relief for Hargeaves following a period in which the price of coal has tumbled. The closure of power stations such as Longannet in Fife has weighed on demand.

In April the company said it expected to be producing coal from just one site in Scotland by the end of the summer. Six others are being wound down.

Finance director Iain Cockburn said it was not possible to produce power station coal at a profit and there was no market for it.

Yesterday the company said it expects to complete restructuring operations in line with that guidance.

It expects to recognise an impairment charge of £4.9 million in respect of the Tower joint venture in Wales after RWE confirmed it would stop buying Welsh coal for its Aberthaw plant.

Regarding the Brexit vote, the company added: “On a negative note the Group has been informed that a £7m earthworks project at a major UK port has been postponed owing to Brexit-related concerns,” without providing details.

Hargreaves said the uncertainty associated with Brexit presents potential risks for its Earthworks and Logistics businesses which have a significant exposure to construction activity and capital investment projects.

The group concluded: “It is difficult at this stage to form a clear picture of the medium term impacts and we currently consider the risk of a downturn in private sector activity as against the potential upside from Government-sponsored public sector works to reflate the economy to be relatively finely balanced.”

Hargreaves bought seven sites in Scotland from administrators of ATH and Scottish Coal in 2013.

Thermal coal prices have from around $180 a tonne in 2008 to about $50.

The House of Water site in Ayrshire will switch to producing specialist coal for the industrial and domestic market.

The other six sites range from Glenmuckloch in Dumfries and Galloway, where the firm is working on a restoration scheme with Buccleuch Estates, to Crossgates in Fife.



Also:

5 August 2016
Hargreaves Services plc
("Hargreaves", "the Group" or "the Company")

Appointment of Joint Corporate Broker

Hargreaves Services plc (AIM: HSP), a leading supplier of solid fuels, bulk material logistics and specialist earthworks services, is pleased to announce the appointment of Investec Bank plc as joint corporate broker to assist in the completion of the Company's repositioning following its successful restructuring programme.

http://www.moneyam.com/action/news/showArticle?id=5392967

9 August 2016
HARGREAVES SERVICES PLC
(the "Company" or the "Group" or "Hargreaves")

Preliminary results for the year ended 31 May 2016


Highlights



· The Group has delivered Continuing Underlying Operating Profit of £4.6m

· Trading since Interim results in line with management's expectations

· Coal production and trading successfully reduced and now focussing on speciality markets

· Decision taken to shorten mine life at the Tower project with mining due to finish March 2017; the Group expects full repayment of loans after write off of equity investment and other balances of £4.7m

· Charge of £12.4m for exceptional costs arising from re-structuring activities

· Successful acquisition of CA Blackwell in January 2016 broadens Group's Services operations and delivers significant heavy plant synergies

· Establishment of Property & Energy Division to drive £35-50m of value creation in next five to seven years

· Aggressive targets set for new business for Industrial Services operations in face of accelerated UK coal fired station closures

· Coal stocks built to £26.0m in face of negligible demand from UK coal stations, confident of sale of surplus stocks this financial year

· Balance sheet remains strong and well financed to allow orderly run-out of £60m of coal stocks and other legacy assets which include land, property, equipment, stocks and loans, into cash

· Final dividend of 2.3 pence in line with Group's 40% pay-out ratio target



Commenting on the results, Chairman David Morgan said:

"After two challenging years, we have a clear opportunity in front of us to develop and deliver significant shareholder value. The Group's core business operations have been enhanced following the acquisition of CA Blackwell. Our portfolio of property and energy projects offer an exciting platform for significant value creation that is incremental to that created from our Distribution & Services operations. We have targeted £35-50m of incremental value creation from development and energy projects related to these property assets. The £60m of legacy assets that we aim to convert to cash will strengthen a balance sheet that is already strong and allow consideration of a wide range of options to return value or capital to shareholders."

***See Link Below For Full Details***

http://www.moneyam.com/action/news/showArticle?id=5394612

Hargreaves Services has 'clear strategy' after tough year saw profit plummet 86%
15:30, 9 Aug 2016
By Robert Gibson

Solid fuel and bulk material logistics firm is diversifying, restructuring and reducing coal production to ensure long-term value for shareholders



Hargreaves Services PLC says it remains upbeat about its future, despite taking a major financial hit from a second year of “tumultuous” market conditions.

In the 12 months ended May 31, 2016 the County Durham-headquartered company, which is the UK’s leading supplier of solid fuel and bulk material logistics, saw continuing revenue drop to £340.7m, compared to £662.2m the previous year.

Continuing operating profit likewise plummeted by over 86% to £5.2m.

Central to the company’s woes has been a significant drop in the coal and coke trade, with production slipping from more than 7m tonnes to less than 2m within a matter of two years.

As a result, Hargreaves has been through a radical restructuring and repositioning programme that has included a “significant” number of redundancies.

With this now “fundamentally complete”, however, it says it is well placed to generate shareholder value through the development of profitable services leveraging its core skills.

A report accompanying the latest results said: “The management team have been proactive and have responded well to these challenges.

“Excellent progress has been made and a clear strategy has been set out to develop long-term value through a portfolio of complementary services business and through the development of value in a property and energy project portfolio that is rich with opportunity.

“Over the last two years, we have established a strong team with a focus on developing and delivering value from that portfolio.

“Looking forward, we will start to see that investment generating and demonstrating value.

“The acquisition of CA Blackwell Group Limited in January, 2016, was an exciting and positive step to building our long-term Services offering.”

During the year, restructuring activities, the accelerated closure of a number of significant customer sites and the decision to impair an equity investment in the Tower project incurred an exceptional cost of £12.4m.

Over the next five to seven years, however, the company is hopeful of generating between £35m and £50m of incremental value from its property and energy project portfolio, as it continues to reduce its focus on thermal coal.

The firm’s balance sheet likewise remains strong and well-financed, allowing the orderly run-out of £60m of coal stocks and other legacy assets including land, property, equipment, stocks and loans into cash.

In the face of accelerated UK coal fired station closures, meanwhile, Hargreaves has set “aggressive” new business targets for its Industrial Services operations.

Chairman David Morgan said: “After two challenging years, we have a clear opportunity in front of us to develop and deliver significant shareholder value.

“The group’s core business operations have been enhanced following the acquisition of CA Blackwell.

“Our portfolio of property and energy projects offer an exciting platform for significant value creation that is incremental to that created from our Distribution & Services operations.

“We have targeted £35-50m of incremental value creation from development and energy projects related to these property assets.

“The £60m of legacy assets that we aim to convert to cash will strengthen a balance sheet that is already strong and allow consideration of a wide range of options to return value or capital to shareholders.”

The board is proposing a final dividend of 0.6p.

If approved at the company’s AGM, this will result in a dividend for the full year of 2.3p, compared with 30p the previous year.

TR-1: NOTIFICATION OF MAJOR INTEREST IN SHARES

Artemis Investment Management LLP on behalf of discretionary funds under management

3,678,397 to 4,250,397 13.32%

http://www.moneyam.com/action/news/showArticle?id=5397265

Upcoming Events

13 September 2016 Annual Report Posting Date
22 September 2016 Ex-Dividend Date
23 September 2016 Record Date
05 October 2016 AGM
21 October 2016 Payment Date

Coal surge to stoke Hargreaves
09 September 2016, 16:19

Surging coal prices could help speed up coal trader and miner Hargreaves Services' (HSP:AIM) plans to unlock 300p a share in business value.

Struggling Hargreaves has been a casualty of falling energy prices over the last three years, as well as recent mild winters and coal power station closures as the UK’s energy policy attempts to shift away from fossil fuels.

European coking coal prices bottomed in February and have gained more than 50% since, with thermal coal price gains, used to fuel power stations, not far behind. Coal is being imported from China into Europe to try and stem the price gains, according to a Bloomberg report.

Hargreaves, which is winding down its coal trading, still boasts coke and coal inventories of around £20 million, versus a market capitalisation of £61 million. Firmer demand and prices may help the business unwind stock more quickly at better prices, according to a person with knowledge of the business.

However, the benefit is expected to be one-off because Hargreaves’ remaining mining assets will produce coal for specialist markets including domestic, industrial and steam trains, where prices are less sensitive to global pricing.

Most of its plan to deliver 300p a share in shareholder value involves reducing exposure to energy markets by developing transport, logistics and construction businesses alongside a scaled down coal distribution unit.

Shares in Hargreaves trade at 190p a share, a discount to tangible book value of 401p a share reported through 31 May 2016.

Book value may not be a reliable gauge of value at mining companies, however, as shareholders in UK Coal found out when it was wound up in 2013. Most assets were sold or transferred to the company’s pension scheme, though shareholders retained some of their investment via a shareholding in property vehicle Harworth (HWG).

Land previously used for coal mining, of which Hargreaves boasts around 18,500 acres and plans to develop, may also incur unexpected costs for environmental remedial work, further reducing value.

Chief executive Banham bought £348,000 shares in April at 170p a share, according to Shares' online Director Dealing tool.

Shares in Hargreaves Services are down 26% year-to-date at 190p.

The large seller who's being selling at 189-190 for the last 6 weeks or so may or may not have finished but at worst they are letting orders on the bid at 190 stay there for hours at a time rather than ripping them off in microseconds.

I will be interested to see if in due course the coal price has picked up enough to encourage HSP to consider mining some of the coal which it has viewed until now as economically nonviable.

In any event it will help the price mix as you can't just mine specialty grade coal without producing some lower grade stuff no matter which equipment or tech you use.

Annual Report 2016

For the year ending 31 May 2016

http://www.hsgplc.co.uk/media/69726/Hargreaves-Services-plc-Annual-Report-2016.pdf

23 September 2016 
Hargreaves Services plc
("the Company")
 
Posting of Annual Report and Notice of AGM
 
Hargreaves Services plc (AIM: HSP) announces that its Annual Report and Accounts for the year ended 31 May 2016 has been posted to shareholders and is available at the Company's website: www.hsgplc.co.uk.

The Company's Annual General Meeting will be held on 5 October 2016 at 11.00am at The Solarium, Durham Cathedral, The College, Durham DH1 3EH.

http://www.moneyam.com/action/news/showArticle?id=5419988


Annual Report and Accounts 2016

03 October 2016 
Hargreaves Services plc

Update on Redcar Steelworks Closure and Trading Update ahead of AGM
 
Hargreaves Services plc (AIM: HSP), a group delivering key projects and services in the infrastructure, energy and property sectors, today provides an update, ahead of its AGM on 5 October 2016, on the Redcar steelworks closure activity and on current trading.

Update on Redcar Steelworks Closure

The Group notes the recent press coverage concerning the Tribunal claim by staff who were formerly employed by Hargreaves at the Redcar steel plant. Management is disappointed by the findings of the Tribunal's oral judgment delivered on 30 September 2016, which could give rise to an additional potential liability of £0.6m relating to the closure in October 2015 of the Redcar operation.  We await the Tribunal's fully reasoned written judgment. The circumstances surrounding the demise of SSI, the owner and operator of Redcar steelworks, gave rise to a highly complex and fluid situation.  It was against this challenging background that Hargreaves sought to do its very best by its employees, acting in accordance with legal and professional advice. We expect any cost arising from the Tribunal's decision to be treated as an exceptional item in line with all other historic costs associated with the closure of the Redcar operation.

AGM Trading Update

At the AGM, to be held on Wednesday 5 October 2016, Hargreaves Chairman David Morgan will make the following statement: "We are pleased that the increasing interest from coal power stations noted in the Preliminary Results Statement has now been translated into contracts for the sale of the Group's surplus coal stocks. Shipments of these coal stocks, totalling approximately £11m, have already commenced and will continue through the winter in line with expectations and without any impairment to book value.

"Trading across the rest of the Group for the year to date has been in line with expectations. Although there are still risks associated with the achievement of new business targets in the Industrial Services division, encouraging progress in our Property and Energy portfolio allow management to remain confident at this time in achieving its overall performance target for the year which, together with the realisation of legacy coal stocks referred to above, provides a favourable background against which to finalise our deliberations on returning surplus capital to shareholders."

http://www.moneyam.com/action/news/showArticle?id=5425400

05 October 2016 
 
Hargreaves Services plc
 
Result of AGM  
 
Hargreaves Services plc (AIM: HSP), a group delivering key projects and services in the infrastructure, energy and property sectors, announces that, at its AGM held earlier today, all resolutions were duly passed.

http://www.moneyam.com/action/news/showArticle?id=5427756

Price and volume action has been quite interesting on this stock for the last month or so.

The volume has died down to a very small level with the large seller at 190 now finished. Buyers keep going a little bit every day and are becoming more aggressive at nibbling at the offer.

I am hoping they will start attacking 200 tomorrow which was the intraday high from a couple of months ago.

Hard to work out how much of the £66m legacy assets are being turned into cash so I expect that's holding the shareprice back until they crystallise

Possible jobs boost for Glenrothes as plans revealed for brownfield site
25th November 2016

More than 2,500 jobs could be coming to Fife if plans to transform one of Europe’s biggest brownfield sites is given the go-ahead.

The former Westfield open cast coal mine could become an industrial and energy-producing powerhouse for the region under plans submitted by site owners Hargreaves Services.

Development of the vast site, situated between Kinglassie and Cardenden, could also result in the reopening of an old railway line following the findings of a feasibility study commissioned as part of the proposals.

A vast solar farm is also planned, with panels placed on land and floating on the water-filled former quarry.

Food production and the recycling industries are two areas being targeted, with the planning application having followed a public consultation by Hargreaves, which purchased the site in 2012.

Hargreaves estimates around 1,075 construction jobs would be created over a ten-year-period, with the completed development capable of supporting an estimated 1,500 full-time equivalent jobs.

The plans have been welcomed by the neighbouring Cardenden Community Council who have been supportive of the proposals to regenerate the site for a number of years.

“We are fully supportive of the application as long as we get the environmental safeguards in place,” said David Taylor, Cardenden Community Council chairman.



EDIT- Also reported earlier this week:

22 December 2016 
Hargreaves Services plc

Post-Close Trading Update and Notification of Interim Results

Hargreaves Services plc (AIM: HSP), a diversified group delivering key projects and services to the infrastructure, energy and property sectors, today provides the following update on trading ahead of its interim results for the six months ended 30 November 2016.

The Group has experienced more stable trading conditions during the period with underlying Group profits for the six months expected to be in line with management expectations. Hargreaves anticipates a strong second half with expected outperformance in Coal Distribution and Property & Energy that will more than offset the impact of the expected contract delays in Industrial Services.

Results for the Coal Distribution Division include the Group's share of profit from our associate operation in Germany which is trading very strongly as its markets recover. The recent increase in coal price during the first half, together with more robust coal demand, is expected to also result in the UK operation exceeding forecasts. Profits for the Division are currently expected to exceed management expectations by £3m for the full year.

The Industrial Services Division set aggressive targets for new business gains over the year as a whole. Whilst good progress continues to be made, it now seems unlikely that these will be fully achieved due to a delay in the commencement of a major project in Hong Kong. The Division's UK business has traded strongly and is expected to continue to do so through the second half.

Good progress continues to be made in the evaluation and development of the Group's Property and Energy project portfolio. Profits realised from the Property Division are expected to slightly exceed management targets over the year as a whole, although the timing of property sales remains difficult to predict.

The integration of the Blackwell acquisition is progressing well and underlying trading performance has been strong and in line with expectations. The Group has re-appraised the costs to complete and remediate two legacy contracts that were identified at the time of acquisition and as a consequence goodwill will be increased by £2.6m to £3.4m to reflect these additional costs, a level that management consider sustainable given the underlying profitability and cash generation of the operation.  The escrow account established at the time of acquisition continues to provide protection in relation to legacy contracts and no further provisions or adjustments in respect of pre-acquisition contracts are expected. Good progress continues to be made in the realisation of cash from sales of former Blackwell properties.

Management remain pleased with the rate of conversion of legacy assets into cash. As reported in October the Group's existing coal stocks have been sold and we continue to expect the full recovery of loans to the Tower joint venture. Working capital performance across the Group also remains in line with expectations. The Group is currently targeting to close the financial year with less than £5m of net debt.

The Group expects to report its interim results for the six months ended 30 November on 15 February 2017. A briefing for analysts will be held at 10.00am on the morning of the results at the offices of Buchanan, 107 Cheapside, London EC2V 6DN. For more information on the briefing, please contact Buchanan on 020 7466 5000.

http://www.moneyam.com/action/news/showArticle?id=5470192

Boost from the Black Stuff: Hargreaves Services delivers positive trading update
08:55 22 Dec 2016

The AIM-listed group said its Coal Distribution arm has been boosted by good results from its associate operation in Germany, which has been trading “very strongly."



The black stuff gave a boost to shares in Hargreaves Services PLC (LON:HSP) today after the coal and solid fuels group said trading has stabilised in the first-half and met its expectations.

Notably, the AIM-listed group said, its Coal Distribution arm has been boosted by good results from its associate operation in Germany, which has been trading “very strongly as its markets recover.“

In a pre-close season trading statement, Hargreaves Services said: “ The recent increase in coal price during the first half, together with more robust coal demand, is expected to also result in the UK operation exceeding forecasts."

It added: “Profits for the Division are currently expected to exceed management expectations by £3mln for the full year.”

The company also said it has seen strong trading in its Property & Energy project portfolio, with profits from this arm to outpace management expectations.

But it added that its Industrial Services is unlikely to meet the targets set due to a delay to a major project in Hong Kong.

However, Hargreaves Services said it still expects a strong second half of the year as the outperformance of its Coal Distribution and Property & Energy units offset the softer trading in Industrial Services.

Jon Hopkins

Hargreaves Services prioritises safety with new Mercedes-Benz Arocs units
10 January 2017
Emma Shone



Hargreaves Services has put safety first with its recent order of 21 new Mercedes-Benz Arocs tractor units with StreamSpace cabs.

Replacing 21 older Scania vehicles, the new trucks are all fitted with an optional safety pack, including Active Break Assist and Proximity Control Assist systems, as well as a series of cameras and sensors for detecting vulnerable road users.

Paul Boulds, Hargreaves’ workshops and fleet manager, said: “We are always conscious of our duty of care.

“While you cannot put a price on safety, the additional cost of these features was not prohibitive. Hopefully we won’t need them, but it’s nice to know they’re there just in case.”

15 February 2017 
HARGREAVES SERVICES PLC

Interim Results for the six months ended 30 November 2016
 
Hargreaves Services plc (AIM: HSP), a diversified group delivering key projects and services to the infrastructure, energy and property sectors, today announces its interim results for the six months ended 30 November 2016.

HIGHLIGHTS
 
·      Overall performance in the first half was in line with management expectations;

·      Strong prospects in Germany expected to drive outperformance in second half as announced in December;

·      Property & Energy portfolio development progressing well with planning permission granted for an energy-from-waste plant near Grangemouth and the planning decision on our Blindwells development expected in March;

·      Good progress being made with the integration of CA Blackwell to establish our new Specialist Earthworks division;

·      Wind down of coal mining activities and the commencement of the site restoration programme at Tower underpins the expectation of full repayment of Joint Venture loans;
·      Legacy asset realisation programme progressing well, with all surplus coal and coke stocks contracted;

·      Net debt expected to fall materially during the second half, with the final outcome dependent on the timing of material property disposals;
 
Commenting on the interim results, Chairman David Morgan said: "It is pleasing to see how much progress we have made towards the three strategic goals we set ourselves a year ago. First, earnings from the continuing Distribution & Services operations are well set to deliver operating profit within the target range that we set. Second, good progress is being made in creating and then delivering the targeted £35m-£50m uplift in value from our Property & Energy portfolio. Lastly, it is very gratifying to see the progress that has been made in the realisation of cash from the legacy assets and the increasing confidence that this realisation will be achieved without the need for any net impairment of the book value."

***More From Link Below***

http://www.moneyam.com/action/news/showArticle?id=5496578

Hargreaves Services sees profits drop, but hikes dividend and stays upbeat on second half
07:53 15 Feb 2017

The AIM-listed firm said its underlying pre-tax profits dropped by 71.9% to £0.9mln for the six months to the end of November, as continuing revenues fell by 2.2%.



Coal distributor Hargreaves Services PLC (LON:HSP) reported a drop in first-half profits, but the group still hiked its interim dividend and repeated its expectations that strong prospects in Germany will “drive outperformance in the second half.”

The AIM-listed firm said its underlying pre-tax profits dropped by 71.9% to £0.9mln for the six months to the end of November, as continuing revenues fell by 2.2% to £170.9mln.

But the group – focused on projects, services, and logistics to the infrastructure, energy and property sectors - said “overall performance in the first half was in line with management expectations.”

The Durham-based firm also raised its interim dividend to 2.7p per share, up from 1.7p a year ago.

Hargreaves’ chairman David Morgan said: "It is pleasing to see how much progress we have made towards the three strategic goals we set ourselves a year ago.

"First, earnings from the continuing Distribution & Services operations are well set to deliver operating profit within the target range that we set.

"Second, good progress is being made in creating and then delivering the targeted £35m-£50m uplift in value from our Property & Energy portfolio.

"Lastly, it is very gratifying to see the progress that has been made in the realisation of cash from the legacy assets and the increasing confidence that this realisation will be achieved without the need for any net impairment of the book value."

Jon Hopkins

29 March 2017 
Hargreaves Services plc
("Hargreaves" or "the Group")

Planning Permission Granted for Blindwells Site

Hargreaves Services plc (AIM: HSP), a diversified group delivering key projects and services to the infrastructure, energy and property sectors, is pleased to announce that it has today received planning approval in principle for 1,600 new homes at Blindwells, on part of a 392 acre site near Tranent in East Lothian, which is situated less than 15 miles from Edinburgh city centre. The approval, which includes affordable housing and mixed use development, represents the first phase of a wider master plan for more than 3,200 homes to be developed over the next 12-15 years.

The Blindwells site, which was formerly an open cast coal mine until its closure in 2000, will require some initial consolidation work and the development of infrastructure such as roads and connections to utility networks. This work is expected to commence shortly and will require upfront capital investment by Hargreaves in groundworks and enabling infrastructure at a cost of approximately £5.0m, which is expected to be funded from the Group's existing resources. Subsequently, it is expected that Hargreaves will undertake the phased sale of residential development plots to national and local house builders over a number of years.


The grant of planning is expected to generate a meaningful uplift to the market value of the Blindwells site relative to the book value included in the Group's Net Assets which totalled £129.2m at the 30 November 2016. As previously announced, the Group has commissioned a formal independent valuation of our property portfolio for publication in our Preliminary Results in August 2017, by which time we expect our assessment of the development options for the site will be more complete.

The valuation report will include an assessment of the value of the Blindwells site reflecting today's grant of planning permission. Going forward this valuation will be revised and reported on annually to enable shareholders to track progress.

Commenting on the planning approval, Iain Slater, Development and Estates Director for Hargreaves, said: 'We have worked in partnership with East Lothian Council to deliver its original vision for a new community and we are confident that Blindwells will provide a high quality lifestyle set around some of Scotland's finest countryside. We're delighted that the first phase has been granted planning approval in principle and we look forward to working with the Council to ensure delivery of the targeted development investment and associated benefits for East Lothian."

Gordon Banham, Chief Executive Officer of Hargreaves, said: "We are delighted to have secured this planning permission. It marks another important milestone in achieving the target we set ourselves to deliver £35-50m of new value from our overall property portfolio over the next five years. Blindwells is an important part of that portfolio and is an excellent and exciting site. The grant of planning permission now allows us to develop and commercialise the site and we look forward to providing further updates and information as our plans progress."

http://www.moneyam.com/action/news/showArticle?id=5521926

My average on this would appear to be 3.06 which is frankly a miracle as I managed to add very near the bottom when the price got stupidly low and avoid adding anything on the trip down from my first entry at 4.20.

Over the weekend I shall look up the NAV. My memory suggests that even at 300 the share price still looks crazy low.

Here we go.
2016 NAV 131m
No. of shares in issue 31.9m

=£4.11 per share.

Today the NAV just increased on the planning approval by an amount I'm unable to estimate but clearly the market considers healthy

Hargreaves Services to turn former opencast mine into town with 3,200 homes
By Coreena Ford
30 MAR 2017

The Durham coal giants have received planning permission which will trigger work in East Lothian



A plan by one of the North East’s largest companies to build a new town in Scotland is under way after planning approval for the first phase was granted.

Hargreaves Services, the Durham-based mining and bulk material logistics firm, announced plans in January 2015 which would breathe new life into a former open cast mine, creating a major development comprising more than 3,000 homes, a school, community facilities and commercial units in East Lothian.

Hargreaves acquired the Blindwells site in July 2013 from the liquidators of collapsed Scottish Coal, in a portfolio of some 30,000 acres of land.

The 392-acre site, which stands on the north east side of the A1, overlooks the Firth of Forth, and is likely to become a commuter settlement for Edinburgh.

It had been allocated for residential development by East Lothian Council, and Hargreaves submitted an application for the plans in October 2014 - and now firm has been given the green light for those plans.

The approval, which includes affordable housing and mixed use development, represents the first phase of a wider master plan for more than 3,200 homes to be developed over the next 12 to 15 years.

The Blindwells site was formerly an open-cast coal mine until its closure in 2000 and the firm said it will require initial consolidation work, as well as the development of roads and connections to utility networks. Hargreaves will invest £5m in that work.

The work is expected to start soon, after which Hargreaves will carry out the phased sale of residential development plots to national and local house builders over a number of years.

Hargreaves said it expects the grant of planning permission to generate a “meaningful uplift” to the market value of the Blindwells site relative to its book value, which was £129.2m as at the end of November.

Gordon Banham, chief executive officer of Hargreaves, said: “We are delighted to have secured this planning permission. It marks another important milestone in achieving the target we set ourselves to deliver £35-50m of new value from our overall property portfolio over the next five years.

“Blindwells is an important part of that portfolio and is an excellent and exciting site.

“The grant of planning permission now allows us to develop and commercialise the site and we look forward to providing further updates and information as our plans progress.”

Hargreaves at a glance

Hargreaves Services plc delivers key projects and services in the infrastructure, energy and property sectors.


Listed on AIM (LON:HSP) and headquartered in Durham, our 2,000+ employees are spread around the world delivering a vast array of projects and services.

Our history is steeped in coal through mining, sourcing, processing and blending, moving and handling. We still have a number of operations and services in the Mining & Minerals sector and now possess one of the largest mobile plant fleets in Europe, but today Hargreaves delivers much more.

After a series of strategic acquisitions, our land portfolio across the UK has increased to in excess of 18,000 acres. Our focus now is on adding value to this land through development with residential housing and renewable energy schemes.

Whilst we still carry out our traditional activities such as industrial services and logistics, these have now broadened to incorporate renewable energy, civil engineering and land restoration and remediation.

Take a look at the various sectors we work in to find out more.

Things beginning to look promising here. Significant volume going through at 335 over the last 10 days or so. It's clear someone considers that a good price to invest.

Hoping the sellers will dry up at this point soon. Surprised we haven't had a RNS yet.

Energy

We are developing exciting renewable energy projects as well as providing a range of services to the power generation and renewables sectors


Hargreaves is looking to maximise the value of its extensive land portfolio through the development of renewable energy projects in the UK including waste-from-energy and onshore wind projects in areas of high wind speed. A number of other projects and collaborations are ongoing, centred around the Group's electricity grid connections.

In addition to the renewable energy projects, Hargreaves is also a leading provider of quality-assured contract services to power stations in the UK and abroad. These services were honed in the coal / thermal power stations of the UK, where Hargreaves has operations with 90% of generators.

The Group has successfully transferred these skills into more modern CCGT and CHP plants and has been able to export these skills into the Asia Pacific region.

18 May 2017 
Hargreaves Services plc

Sale of Underground Mining Equipment

Hargreaves Services plc (AIM: HSP), a diversified group delivering key projects and services to the infrastructure, energy and property sectors, is pleased to announce that contracts have been signed for the sale of surplus underground mining equipment to an overseas buyer for an undisclosed cash consideration.

The equipment was originally acquired for use at the Group's former deep mine at Maltby and formed part of the Group's legacy asset disposal programme. Although the precise sale terms are subject to a confidentiality agreement, the proceeds are in line with the carrying book value of the equipment on the Group's balance sheet. The consideration is payable in stages with the aggregate sale proceeds to be received in roughly equal amounts in the financial years ending 31 May 2017 and 31 May 2018.

Gordon Banham, Chief Executive Officer, commented: "This sale represents another positive step in the realisation of our portfolio of legacy assets. By maintaining a strong financial platform throughout our restructuring process, we have given ourselves the time and flexibility to realise value from our legacy assets in a structured and methodical manner."

http://www.moneyam.com/action/news/showArticle?id=5551415

Richard Griffiths and controlled undertakings have crossed the 3% threshold:

1,000,000 shares (3.13%)

9. Chain of controlled undertakings through which the voting rights and/or the
financial instruments are effectively held, if applicable

Blake Holdings Limited------------------------708,143
Seren Investment Management Limited---- 125,979
Cream Capital Limited----------------------- 165,878
Total------------------------------------------ 1,000,000  
 
The above undertakings are all controlled by Richard Griffiths

http://www.moneyam.com/action/news/showArticle?id=5552364

14 June 2017 
Hargreaves Services plc

Update on Group's Energy Interests and Proposed Board Change

Hargreaves Services plc (AIM: HSP), a diversified group delivering key projects and services to the infrastructure, energy and property sectors, provides an update on its energy project development activities and strategy.

Highlights

·      The creation of a new wholly owned subsidiary, Brockwell Energy Limited ("Brockwell"), to oversee the development and potential spin-off of the Group's energy project interests;
 
·      Brockwell will be led by Alex Lambie, as CEO, supported by Iain Cockburn, the Group's Finance Director, who will step down from the Hargreaves Services plc Board once a suitable replacement has been identified; and
 
·      A Memorandum of Understanding ("MOU") with the UK Green Investment Bank ("GIB") to deliver the Earl's Gate Combined Heat & Power ("CHP") project.


Background

Over the past two years the Group has made significant progress in developing an exciting portfolio of energy projects which includes energy from waste ("EfW"), onshore wind and flexible gas generation. The energy projects were originally identified as a catalyst that would enhance the value of the Group's property portfolio; locking in long term land rentals from developed energy projects. However, as our appraisal of the projects progressed it became clear that they also have the potential to create significant value as they are taken through the planning and development process.

Key projects under active evaluation and/or development include:

·      Two EfW projects, namely Earl's Gate CHP (Grangemouth, Scotland) and Westfield (Fife, Scotland);
 
·      400MW of onshore wind projects, including a single 300MW scheme, the construction of which will deliver significant site restoration benefits; and
 
·      Flexible gas generation projects centred around a number of the Group's own grid connections. 

Recognising the potential for value creation, the Board is seeking an approach that will both reduce the complexity of the Group's existing operations and limit the capital demands on the Group, in line with its stated simplification strategy. This is likely to lead to the Group reducing its economic interest in the energy portfolio through the injection of external capital into Brockwell, which will both control the development risk and protect the Group's balance sheet.


Future Development of Energy Projects through Brockwell 

Although the Group's portfolio of energy projects offers the opportunity for significant value creation, its development through build-out will require substantial capital. The balance sheet value of the energy portfolio at 31 May was £4.1m and this is expected to rise to £8.3m by 30 November 2017 largely as a result of ongoing pre-development expenses incurred on the Earl's Gate project.

The Board strongly believes that there exists today an exciting opportunity to use the Group's projects and assets as the platform upon which to build an integrated energy business in the UK including onshore wind, solar PV, EfW and flexible technologies including gas and energy storage.

The Board remains cognisant of the need to manage risk and control the level of any future financial demands placed on the Group as it balances the creation of shareholder value against the generation of surplus cash. The Board also remains committed to continuing the process of simplifying the Group's strategy and operations. In accordance with its strategy the Board has resolved that the Group will inject all of its energy interests into a newly formed, 100% owned ring-fenced subsidiary, Brockwell. The Group's property arm and Brockwell will continue to work together to exploit the Group's extensive land bank and, in particular, to identify additional solar and onshore wind development opportunities. The Group will maintain a carried interest in future energy projects through its equity interest in Brockwell.


Management of Brockwell and proposed Board change

The Board is delighted to confirm the appointment of Alex Lambie as Chief Executive Officer of Brockwell. The appointment of Alex adds significant energy sector experience and expertise to the Brockwell management team.

Over his 40-year career, Alex has proved himself to be one of the most successful senior executives in the energy sector. This was most recently highlighted by his success with Welsh Power Group Ltd. As the majority shareholder and Non-Executive Chairman he built Welsh Power Group into an integrated energy business with an enterprise value exceeding £1 billion from an initial investment of just £38 million. This involved raising fresh funding and developing new operations, such as backing the MBO of Uskmouth Power and raising £650 million for the construction of a major 850 MW CCGT development.  Alex finally sold his controlling interest in Welsh Power Group in November 2015.

Prior to Welsh Power Group, Alex led the highly successful European expansion and risk diversification strategy for Spain's largest electricity company, Endesa, investing over €5 billion of equity to acquire and develop businesses in Italy, France, the Netherlands, Portugal and Morocco. He also led the turnaround of Dawson's US business operations, returning the lossmaking company strongly back to profit in less than 18 months. He was also responsible for the first ever international fuel procurement deal in the UK, delivering a £2bn contract for National Power Plc to counteract the lack of competition in the home market.

In addition to fulfilling his role as Group Finance Director, Iain Cockburn has been responsible for the development of the Group's energy interests over the past two years. In view of the significance of the strategic opportunity for the Group represented by the Group's portfolio of energy projects, Iain has agreed to join Brockwell on a permanent basis as Chief Financial Officer. Iain will remain in his post as Hargreaves Group plc's Finance Director until a replacement has been found and an orderly handover undertaken.


Earl's Gate Project Update

We are pleased to report excellent progress on the development of the Earl's Gate project. This project is a circa 200,000 tonnes per annum, 22MW electrical CHP plant that will utilise well-established and proven technology from one of the world's leading providers. The CHP plant will benefit from selling heat and power into an existing private heat and power network at the Earl's Gate complex, making it one of most efficient CHP plants of its type in the UK.

Following the grant of planning permission in January 2017, the Group announces that it has agreed an MOU to develop the project in partnership with GIB. Under the terms of the MOU, GIB has deployed technical and commercial resources to work alongside the Brockwell team with the intention of taking a 50% equity stake in the project at financial close, expected by the end of December 2017. The projected capital expenditure required for the plant is circa £150m which will likely be funded by £50m of equity and approximately £100m of non-recourse project debt.

The Board expects the Earl's Gate project to generate significant long-term returns and value. In the short term, the successful financial closure of the project should generate a modest development premium and offer an opportunity for the Group to co-invest alongside a highly credible and successful third party investor.


Management Comments

David Morgan, Chairman of Hargreaves, commented: "Exciting progress continues to be made in developing value in our energy projects. The formation of Brockwell Energy creates an opportunity to raise the specialist capital and create the partnerships necessary to enable the Group to extract maximum value across the entire portfolio of energy projects whilst allowing the Group to control the level of any investment and to focus on cash generation and the continuing simplification and development of the Group."

Gordon Banham, Chief Executive Officer of Hargreaves, commented: "Iain has been a great finance director and business partner and whilst I will miss working with him on the Hargreaves Services plc Board, I am delighted that he will be supporting the development and funding of Brockwell. I am also excited that we have been able to attract Alex Lambie to lead Brockwell. Alex's track record speaks for itself and I am pleased to see that Alex and Iain have already formed a strong working partnership. Iain will remain in place in his Group role until a replacement has been found to ensure a seamless transition. I would like to acknowledge and thank Iain for his ten years of dedicated service during which time he has played a key role in the development of the Group's activities, through both good and challenging times. I look forward to the value and cash that Brockwell can help the Group to realise from its property and energy investments."

Alex Lambie, Chief Executive Officer of Brockwell, commented: "Since first engaging with Hargreaves to advise on the development of its energy projects, I have been struck by the quality of the project portfolio and the drive and professionalism of the team that has been assembled within the Group to develop and manage these projects. Together, the projects and the team offer the opportunity to create significant value from the current project portfolio and provide a strong platform to develop a larger business focused on the development and delivery of energy projects across a balanced portfolio of technologies. I am delighted to be tasked with leading the team and excited by the opportunities that lie ahead."

http://www.moneyam.com/action/news/showArticle?id=5567002

5 July 2017 
Hargreaves Services plc

Post-Close Trading Update and Notification of Preliminary Results

Hargreaves Services plc (AIM: HSP), a diversified group delivering key projects and services to the infrastructure, energy and property sectors, provides the following update on trading ahead of reporting its preliminary results for the year ended 31 May 2017.

The Group is pleased to report that overall trading in the run up to the year end was consistent with management expectations and consequently the Group expects underlying operating profit for the year ended 31 May 2017 to be in line with current market expectations. Underlying profit before tax is expected to be ahead of market expectations due to the net interest charge being £0.4m lower than anticipated for the full year.


Distribution and Services Operations

The Coal Distribution Division, which includes results from our German operating associate, is expected to report profits above management expectations. Favourable market conditions and an expanded local trading team have combined to deliver significant outperformance from our German associate more than offsetting the continued softness in the UK coal distribution and production operations. This outperformance has allowed the Group to accelerate the repositioning of its UK operations; exiting its Immingham port terminal space and undertaking preparations for investment in new low-cost briquetting products at Maxibrite.

Good progress has been made since the acquisition of Blackwell, moving the Earthworks business away from complex "design and build" civil engineering contracts to focus on its core competence of earthworks. Exceptional losses incurred in the year on legacy contracts have been partially mitigated by gains and profits from the realisation of plant. Excluding exceptional losses on legacy civil engineering contracts, the underlying operating profit for the Earthworks business is expected to be £1.0m below management expectations reflecting the expenses and margin impacts of withdrawing from civil engineering activities. All legacy contracts are now largely complete.

Operating profit in the Industrial Services Division was in line with management expectations.

A highly competitive market and low volumes combined to create an unusually poor final quarter performance for the Logistics Division and, as a result, the Division will report a full year break-even result, £1.3m below initial management expectations for the year. Management is focused on reducing overhead and re-scaling the operation to align to the current market conditions.


Property & Energy

The Group expects to report profits for the Property and Energy Division that are in line with management expectations for the year end 31 May 2017. Following the grant of planning permission at Blindwells in East Lothian, the Group continues to make good progress towards generating between £35m to £50m of incremental value from its property and energy portfolios. The independent property valuation is continuing and the Group expects to report the results of that valuation with its preliminary results. Positive progress continues to be made in the development of the plans announced on 14 June 2017 to form an independent energy business.


Legacy Asset Realisations and Exceptional Items

The Group is pleased to report that excellent progress has been made in the realisation of cash from legacy assets. The contract for the sale of underground assets from Maltby represented an important milestone. Remaining legacy assets consist largely of mobile plant and loans due from the Tower joint venture, both of which are expected to convert fully into cash in future periods.

The Group expects to book a net exceptional charge of £0.5m relating to various non-recurring trading items, asset impairment adjustments and discontinued activities.


Net Debt 

Net Debt at 31 May 2017 was £15.7m (Net Debt at 30 November 2016: £36.9m). Working capital performance across the Group remained in line with expectations.


Notification of Preliminary Results

The Group expects to report its preliminary results for the year ended 31 May 2017 on 8 August 2017. A briefing for analysts will be held at 10.00am on the morning of the results announcement. For more information on the briefing, please contact Buchanan on 020 7466 5000.

http://www.moneyam.com/action/news/showArticle?id=5580028

A reminder:

08 August 2017 Announce full year preliminary results

http://www.hsgplc.co.uk/investors/financial-calendar.aspx

8 August 2017
HARGREAVES SERVICES PLC

Preliminary results for the year ended 31 May 2017

Highlights

· Excellent progress toward stated strategic targets for operating profit, value creation from property and the conversion of legacy assets into cash
o The Group has delivered Continuing Underlying Operating Profit of £9.8m, an increase of 113% on the prior year
o The Development value of the property portfolio shows £52.1m of potential unrealised gain on independent Red Book basis
o Strong progress in the orderly realisation of legacy assets into cash, including the agreement to sell the surplus underground mining equipment

· Strong performance in trading operations in Germany compensated for legacy contract issues in Earthworks and a challenging final quarter for Logistics

· Continental European steel and specialised carbon markets remain buoyant, offering long term potential for investment and improved visibility and resilience of forward earnings

· Planning permission secured for Blindwells, a major new town development close to Edinburgh

· Brockwell Energy established to develop value from the Group's energy projects and assets without recourse to the Group's balance sheet

· Realisation of £25.5m of legacy assets into cash with an additional £3.2m of underground mining assets contracted for sale post year end

· The Net Asset Value per share excluding any unrealised property gains as at 31 May 2017 was £4.32 per share

· Focus on simplification continues

· Final dividend of 4.5 pence in line with the Group's 40% pay-out ratio target, bringing proposed full year dividend to 7.2p, a 213% increase on prior year

Commenting on the results, Hargreaves Chairman David Morgan said:
"These results demonstrate the excellent progress made by the Group over the last year. The achievement of our Group profit target was a positive step forward, which we believe marks a real turning point for the Group. The independent property valuation exercise provides further confidence about the longer term value that we aim to create from our property portfolio. Whilst challenges remain to be overcome in some of our businesses, we are on track to achieve or over-acheive the three key strategic goals we set ourselves in 2016. We will continue to be careful in managing capital allocation and risk as we move forward."


Analyst meeting

A meeting for analysts will be held at 10.00am this morning, 8 August 2017, at the offices of Buchanan, 107 Cheapside, London EC2V 6DN. Please contact Buchanan on 020 7466 5000 for further information.

"Dividend

The Board proposes a final dividend of 4.5p, consistent with the targeted 40% pay-out ratio. If approved at the Annual General Meeting, this will result in a dividend for the full year of 7.2p compared with 2.3p in the previous year, an increase of 213%. The proposed final dividend will be paid on 20 October 2017 to all shareholders on the register at the close of business on 22 September 2017."

***More via Link Below***

http://www.moneyam.com/action/news/showArticle?id=5618113

Hargreaves Services Triples Dividend As It Swings To Annual Profit
8 August, 2017 | 9:42AM

LONDON (Alliance News) - Hargreaves Services PLC said on Tuesday it has tripled its dividend for its recently-ended financial year as it turned to a profit on the back of higher revenue.

For the year ended May 31, the solid fuel supply and bulk material logistics company reported a pretax profit of GBP4.4 million, swinging from a loss of GBP10.6 million the year before, due to a significant reduction in exceptional costs to GBP470,000 from GBP12.4 million, the latter of which arose from the group's restructuring in 2016.

The charges booked in the prior year included losses on three legacy contracts in the Earthworks business Blackwell which incurred GBP3.4 million, and impairments of property, plant and equipment at former Rocpower site, Commonside Lane, that resulted in a loss of GBP2.3 million.

After annual revenue halved in the year to the end of May 2016, Hargreaves said annual revenue in the recently-ended year amounted to GBP342.9 million, a 0.6% increase from GBP340.7 million the prior year.

The small rise in revenue reflects the first full year of trading from the Blackwell acquisition in the Earthworks division, which offset lower revenues in the Coal Distribution and Industrial Services divisions.

In particular, Hargreaves had a strong performance in its German operations, as well as continued progress in transforming legacy assets in cash, generating GBP25.5 million of inflow, with GBP3.2 million of underground mining assets contracted for sale after the year end.

In light of the return to growth, Hargreaves has proposed a full-year dividend of 7.2 pence a share, more than a threefold increase from 2.3p the year before.

"These results demonstrate the excellent progress made by the group over the last year. The achievement of our group profit target was a positive step forward, which we believe marks a real turning point for the group. The independent property valuation exercise provides further confidence about the longer term value that we aim to create from our property portfolio. Whilst challenges remain to be overcome in some of our businesses, we are on track to achieve or over-acheive the three key strategic goals we set ourselves in 2016. We will continue to be careful in managing capital allocation and risk as we move forward," said Chairman David Morgan.

http://www.morningstar.co.uk/uk/news/AN_1502181749769303000/hargreaves-services-triples-dividend-as-it-swings-to-annual-profit.aspx

Upcoming Events

08 September 2017 Annual Report Posting Date
21 September 2017 Ex-dividend Date
22 September 2017 Record Date
03 October 2017 AGM
20 October 2017 Payment Date

8 September 2017
Hargreaves Services plc
("Hargreaves", the "Company" or the "Group")

Posting of Annual Report and Notice of AGM

Hargreaves Services plc (AIM: HSP), a diversified group delivering key projects and services to the infrastructure, energy and property sectors, announces that its Annual Report and Accounts for the year ended 31 May 2017 is today being posted to shareholders and will be made available at the Company's website: www.hsgplc.co.uk

The Company's Annual General Meeting will be held on 3 October 2017 at 11.00am at Prior's Hall, Durham Cathedral, Durham DH1 3EH.

http://www.moneyam.com/action/news/showArticle?id=5656984

8 September 2017
Hargreaves Services plc

Posting of Annual Report and Notice of AGM

Hargreaves Services plc (AIM: HSP), a diversified group delivering key projects and services to the infrastructure, energy and property sectors, announces that its Annual Report and Accounts for the year ended 31 May 2017 is today being posted to shareholders and will be made available at the Company's website:www.hsgplc.co.uk

The Company's Annual General Meeting will be held on 3 October 2017 at 11.00am at Prior's Hall, Durham Cathedral, Durham DH1 3EH.

http://www.moneyam.com/action/news/showArticle?id=5656984

19 October 2017
Hargreaves Services plc

Capital Investment by German Associate

Hargreaves Services plc (AIM: HSP), a diversified group delivering key projects and services to the infrastructure, energy and property sectors, is pleased to announce a new capital investment project by its German associate, Hargreaves Raw Materials Services GmbH ("HRMS"), the Group's European raw materials trading business.

HRMS Background

HRMS, which was established in June 2006, is based in Duisburg, Germany, and is a key supplier of specialist raw materials to major European customers in the steel, foundry, smelting, ferroalloy, sugar, limestone, insulation, refractory and ceramic industries. Favourable market conditions in the past 12 months have allowed HRMS to expand the range of products it trades and distributes and in the past financial year the business delivered an operating profit of £10.3m. HRMS adopts a flexible and low-risk trading model, sourcing and supplying product on spot or short-term contracts. The combination of experienced management and a low fixed cost base provide the flexibility to increase or decrease the volume of trading to match market conditions.

Recently, HRMS has focused on short term trading opportunities which, by their nature, offer limited forward trading visibility. Historically, HMRS benefited from more predictable trading based around the raw material inputs and production outputs of the Group's Monckton Coke production facility in the UK which closed in December 2014. Therefore, securing a trading position connected to an alternative strategic production asset represents a major strategic opportunity for HRMS to improve forward trading visibility.

Carbon Pulverisation Plant ("CPP")

The Board of HRMS has identified the opportunity to build a CPP with a capacity of 400,000 tonnes per annum. It will provide a backbone of long-term contracts around which the business can trade. Both the HRMS management and the Board of Hargreaves believe that the project, together with its associated long-term contracts, will add resilience to future trading prospects and augment the growth of HRMS.

The CPP will be constructed in Duisburg, Germany, a key hub for Central Europe which enjoys numerous logistical advantages. The CPP will process carbon-based raw materials, including coal and coke, into a pulverised carbon product which offers customers logistical, technical and cost advantages over alternative materials.

Agreements are in place with a key strategic customer to provide technical, logistical and operational support, including a guaranteed minimum off-take volume. Further agreements will be negotiated with a portfolio of other customers from a range of heavy industries operating blast furnaces in Germany and Western Europe. Production is expected to commence in Q4 2018.

The total capital cost of the project will be €27.5 million, of which €22 million is fixed under the terms of an Engineering, Procurement and Construction contract with Claudius Peters Group. Claudius Peters Group has an extensive and proven track record and is the manufacturer of the key components of the plant. The board of HRMS plans to fund the project through a combination of cash reserves and new and existing debt facilities. The investment will have no material impact on the Group's current banking arrangements in the UK. The banking arrangements for the Group and HRMS will continue to be run as largely independent facilities.

Hilmar Eller, Managing Director of HRMS, commented: "The HRMS team has worldwide expertise in raw material sourcing and logistics and the carbon pulverisation plant will be a valuable addition to our portfolio, helping to ensure the predictability of our profit streams."

Gordon Banham, Chief Executive Officer of Hargreaves, commented: "Our European trading division was the star performer of the Group in the last financial year and the Board continues to be impressed by the deep quality and knowledge of the HRMS team. As we continually strive to maximise long-term shareholder value through the strategic deployment of capital, this project represents a carefully targeted investment in a resilient market with strong potential returns."

http://www.moneyam.com/action/news/showArticle?id=5709606

30 November 2017
Hargreaves Services plc

Pre-Close Trading Update and Notification of Interim Results

Hargreaves Services plc (AIM: HSP), a diversified group delivering key projects and services to the infrastructure, energy and property sectors, today provides the following update on trading ahead of entering its close period before reporting its interim results for the six months ended 30 November 2017.

The Group has enjoyed stable trading conditions during the period with underlying Group performance for the six months expected to be in line with management expectations.

Hargreaves anticipates a strong second half with expected outperformance in Coal Distribution offsetting any risks around the timing of specific property transactions. We are pleased to report that the problems associated with certain legacy civil engineering contracts in the Earthworks business, reported in the preliminary results on 8 August 2017, have been largely and satisfactorily resolved. Further, a substantial claim has been intimated to the vendors of CA Blackwell and the Group is confident, based on legal advice, that a number of warranties have been breached.

Our European raw materials trading business, Hargreaves Raw Materials Services GmbH, continues to trade strongly, and good progress is being made with the development of the new coal processing plant announced on 19 October 2017.

We are also pleased to note that cost reduction and restructuring measures taken in the Logistics business are already showing benefits resulting in that business trading in line with expectations. This is encouraging following the disappointing performance in the final quarter of last year.

Conditions in the heavy plant markets have improved significantly over the last six months leading to high levels of enquiries, largely from international buyers, for our surplus plant. This bodes well for the generation of both cash and profit from the sale of plant across the remainder of the year.

The Group expects to report its interim results for the six months ended 30 November on 14 February 2018. A briefing for analysts will be held at 10.00am on the morning of the results at the offices of Buchanan, 107 Cheapside, London EC2V 6DN. For more information on the briefing, please contact Buchanan on 020 7466 5000.

Gordon Banham, Chief Executive Officer of Hargreaves, commented: "It is very pleasing to see the progress that is being made in the operating businesses in the UK, Germany and Hong Kong. The focus remains on returning all of the Company's businesses to consistent levels of profitability and reducing the volatility of constituent profit streams. We remain focused on reducing the central overhead costs and are making excellent progress in that regard. I am also encouraged by the continuing progress in the development of both the property portfolio and the Brockwell energy spin-off. Given the improved conditions in the plant market we have made it a priority to accelerate the realisation of value and cash from our surplus assets."

http://www.moneyam.com/action/news/showArticle?id=5762456

01 December 2017
Hargreaves Services plc ('the Company')

TOTAL VOTING RIGHTS

In conformity with the Disclosure and Transparency Rules we would like to notify the market of the following:

The Company's issued share capital consists of 33,138,756 ordinary shares with a nominal value of 10p each ('Ordinary Shares'). The Company holds 1,146,419 Ordinary Shares in Treasury.

Therefore, the total number of voting rights in the Company is 31,992,337.

The figure of 31,992,337 may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the FCA's Disclosure and Transparency Rules.

http://www.moneyam.com/action/news/showArticle?id=5764342

06 December 2017
Hargreaves Services plc

PDMR Dealing

Hargreaves Services plc announces that on 5 December 2017, it received notification from Gordon Banham, Chief Executive Officer of the Company that he purchased 50,000 ordinary shares of 10 pence each in the share capital of the Company ("Ordinary Shares") at a price of £3.25 pence per share on 5 December 2017. Following this purchase, Mr Banham's total holding is 2,559,575 shares representing 8.00% of the Company's issued share capital.

http://www.moneyam.com/action/news/showArticle?id=5769971

More decent sized trades today at 325.0 Hopefully that's the seller cleared.

02 January 2018
Hargreaves Services plc

Board Changes

As previously announced, the Board is pleased to confirm that John Samuel has today been appointed to the Board to succeed Iain Cockburn in the role of Group Finance Director. Iain has today stepped down from the Group Board to take up a full-time position as Finance Director of Brockwell Energy Limited, the holding company for the Group's interests in the electricity generation sector.

http://www.moneyam.com/action/news/showArticle?id=5799453

Upcoming Events

14 February 2018 Announce Interim Results
22 February 2018 Ex-dividend Date
23 February 2018 Record Date
06 April 2018 Payment Date

Interim Results for the six months ended 30 November 2017

http://www.moneyam.com/action/news/showArticle?id=5854818

Major employer Hargreaves to spin out energy firm in hope of creating new listed firm

Hargreaves Services Plc has said it expects to complete a deal to sell Brockwell Energy Limited in the next few months
14 FEB 2018



Major North East employer Hargreaves Services Plc has revealed it is spinning out its renewable energy business, in a move senior management hope will eventually create another listed company headquartered in the North East.

The County Durham business, which employs more than 2,000 people, has traditionally operated in the coal mining and logistics sectors but has branched out into property and development in recent years.

Now the business is in the process of selling Brockwell Energy Limited, a renewable energy firm created last year to focus on the development of onshore wind farms, energy from waste facilities, and flexible gas generation projects.

Negotiations are now in place to sell off the Team Valley-based business with a deal expected to be finalised in the coming months.

Gordon Banham, chief executive of Hargreaves Services, said: “We have announced that we are spinning our energy business out to other investors who are hopefully going to back it to build it out.

“That is great for Hargreaves as we will get back rental income from the wind farms and it is great for Hargreaves employees as they have moved into that business. I can see it being listed as a new energy business in the North East.

“If I get my way there will be Hargreaves, and in three to four years there will be another listed company that will be Brockwell.”

It is unknown which investors are interested in acquiring Brockwell, but Mr Banham confirmed there are six interested parties involved in the negotiations.

Hargreaves is expected to keep a minority stake in the energy firm after its sale is completed.

Hargreaves’s property business will continue to benefit from the activities of Brockwell through the collection of rental payments.

The announcement was made in the company’s interim financial results, which showed turnover for the six months ending November 2017 fell by almost £20m to £150.3m. The companies underlying operating profit increased from £2.1m in 2016, to £2.3m.

However, the firm made an operating loss of £2.7m, largely due to exceptional charges of £2.8m.
The charges relate to onerous contracts inherited by Hargreaves when it acquired earthworks firm CA Blackwell.

All three onerous contracts are expected to be completed by April 2018, and the company has said it may recuperate some of the charges through existing warranties held on the projects.

https://www.chroniclelive.co.uk/business/business-news/major-employer-hargreaves-spin-out-14288380

Major Shareholders
Last Update: 21 February 2018

Securities Information

Number of Ordinary shares in issue 31,992,337
Percentage of AIM securities not in public hands 61.68%
Restriction on the transfer of AIM securities NONE


Significant Shareholders (3% or more of the Issued Share Capital)

Name                                                 No.of O/shares        % of Issued
Schroder Investment Management         6,801,281                 21.26%
Artemis Investment Management         3,519,551                 11.00%
Shareholder Value Management         3,479,929                 10.88%
Fidelity International                         3,208,568                           10.03%
Gordon Banham                                 2,559,575                 8.00%
NFU Mutual                                         1,360,000                 4.25%
Harwood Capital                                 995,000                 3.11%


At 21 February 2018 Hargreaves Services plc holds 1,146,419 ordinary shares in Treasury.

Excepting AIM, the company has not applied or agreed to have any of its securities admitted or traded on any other exchanges or trading platforms.

http://www.hsgplc.co.uk/investors/shareholder-information/major-shareholders.aspx

The above was updated yesterday after Artemis 2.32% reduction.

I'll update after the acquisition by Downing LLP announced today.

Major Shareholders
Last Update: 22 February 2018

Securities Information

Number of Ordinary shares in issue 31,992,337
Percentage of AIM securities not in public hands 61.68%
Restriction on the transfer of AIM securities NONE


Significant Shareholders (3% or more of the Issued Share Capital)

Name                                                 No.of O/shares        % of Issued
Schroder Investment Management         6,801,281                 21.26%
Artemis Investment Management           3,519,551                 11.00%
Shareholder Value Management             3,479,929                 10.88%
Fidelity International                             3,208,568                 10.03%
Gordon Banham                                   2,559,575                  8.00%
MI Downing UK Micro-Cap Growth         1,657,850                   5.18%
Fund & Downing Strategic Micro-Cap
Investment Trust
NFU Mutual                                         1,360,000                 4.25%
Harwood Capital                                    995,000                 3.11%


At 22 February 2018 Hargreaves Services plc holds 1,146,419 ordinary shares in Treasury.

Excepting AIM, the company has not applied or agreed to have any of its securities admitted or traded on any other exchanges or trading platforms.

http://www.hsgplc.co.uk/investors/shareholder-information/major-shareholders.aspx

11 May 2018
Hargreaves Services plc

Board Changes

Hargreaves Services plc (AIM: HSP), a diversified group delivering key projects and services to the industrial, energy and property sectors, is pleased to announce the appointment of Roger McDowell as a non-executive director with immediate effect.

Roger brings a wealth of experience as a highly successful businessman and entrepreneur, with a strong record of driving shareholder value and serving on the boards of public companies. He was Managing Director of Oliver Ashworth for eighteen years before its sale to St. Gobain. He is currently serving as Non-Executive Chairman of Avingtrans plc and is also a Non-Executive Director of Augean plc, Tribal Group plc, Proteome Sciences plc, Swallowfield plc, ThinkSmart plc and D4t4 Solutions plc.

David Morgan, who has served as a Director since 24 February 2012 and as Chairman since 7 October 2015, has informed the Company of his intention to step down from the Board following the Group's preliminary results for the year ending 31 May 2018 which will be announced on 1 August 2018. He will be succeeded as Chairman by Roger McDowell. David has chaired the Company through a number of challenging events over the last few years and leaves the Group in a strong position to generate future shareholder value.

http://www.moneyam.com/action/news/showArticle?id=5966928

£20m regeneration scheme with 200 jobs in pipeline for Gateshead
Rebecca Wayman
30 MAY 2018

An £18.5m restaurant and retail scheme - which could regenerate a rundown site in Gateshead - is receiving widespread community support.

North East firm, Fintry Estates, and planning consultants, Lichfields recently held a public consultation on the plans for land to the north of the A184 Felling bypass.

The site at Albany Road is set to feature a 2,000 sq m discount foodstore, additional retail, food and beverage units and around 450 car parking spaces - and create almost 200 jobs.

Graham Wilson, of Fintry Estates, said: “We were delighted at the positive response of local residents and businesses to our initial proposals.

“Everyone we spoke to was keen to see this important site come forward for new shopping and leisure uses which improve the existing range of provision in the local area.”

Lichfields says it is keen to ensure as many people as possible have the opportunity to see the proposals and air their views.

The company hopes to submit a planning application this summer, which will take into account feedback received as part of the consultation programme.

Should planning permission be granted, it is anticipated construction could begin in 2019, with completion in 2020.

Councillor John Eagle, Gateshead Council member for the area, is backing regeneration efforts, saying: “It is great to see residents and users of local services attending the consultation at Gateshead College event to have their say on the proposals.

“The land in question is in a strategically important location for Gateshead and we need to get it cleaned up so it can help contribute to the wider vision for the area.”

A portion of the land is currently occupied by the ‘Dynamix’ indoor skatepark, however most of the site has lain unused for more than a decade.

Fintry is working in partnership with Hargreaves Services plc. Mr Wilson added: “The majority of the site has been vacant for over 15 years, without attracting any interest in industrial or office redevelopment.

Jonathan Wallace, of Lichfields, added: “The overall reaction to the scheme was very positive, with nearly all those completing the questionnaires supporting the scheme and agreeing that there was a need to regenerate this site.”

https://bdaily.co.uk/articles/2018/05/30/20m-regeneration-scheme-with-200-jobs-in-pipeline-for-gateshead

Hi Banjomick,

Do you have any further info on this. I'm a little surprised as I know HSP are diversifying but investing in a site which has been dormant for 15 years to build shops surprises me a little.

I see the total project is about £8m so a 50/50 joint venture is pretty small fry for HSP but nevertheless I'm trying to understand if this is the start in a change of strategy or something else.

Hope this helps:

http://www.hsgplc.co.uk/sectors/land-property.aspx

8 June 2018
Hargreaves Services plc

Pre-Close Trading Update and Notification of Interim Results

Hargreaves Services plc (AIM: HSP), a diversified group delivering services to the industrial, energy and property sectors, provides the following update on trading ahead of reporting its preliminary results for the year ended 31 May 2018.

Trading has been satisfactory, and the Board expects to report results in line with its expectations. Net debt is likely to be c£30m, which is higher than expected solely due to the delay in the sale of a legacy land asset. Contracts for sale have now been exchanged.

Following a thorough process managed by third party advisors, the Board has now entered into exclusive negotiations with one party to acquire Brockwell Energy Limited. Completion of the disposal is expected to occur within the next few months.

The Group expects to report its preliminary results for the year ended 31 May 2018 on Wednesday 1 August 2018. A briefing for analysts will be held at 10.00am on the morning of the results at the offices of Buchanan, 107 Cheapside, London EC2V 6DN. For more information on the briefing, please contact Buchanan on 020 7466 5000.

http://www.moneyam.com/action/news/showArticle?id=6003975

12 July 2018
Hargreaves Services plc

Board Appointment

Hargreaves Services plc (AIM: HSP), a diversified group delivering services to the industrial and property sectors, is pleased to announce the appointment of David Anderson as Group Property Director. David will be appointed to the Board on commencement of his employment which will be no later than 1 December 2018.

David joins Hargreaves from Henry Boot Developments Limited, the principal property development subsidiary of Henry Boot PLC, where he has served as a Director since 1996 and as Managing Director since 2005. He has led the growth in revenue of that business from less than £10m in 2005 to over £220m in 2017.

David Morgan, the Chairman of Hargreaves, said: "We are delighted to have secured the services of David Anderson to spearhead the development of Hargreaves' Property business. David has an excellent track record in the property development sector in the UK and Hargreaves' current land portfolio provides a strong platform from which to create substantial shareholder value."

David Anderson said: "I am very pleased to be joining Hargreaves at such an exciting time for the Group's future as the Board looks to develop and grow its Property business. Hargreaves has a strong existing land bank for development, including the Blindwells site, together with a number of other exciting opportunities. I look forward to leading the Hargreaves Property team to create a substantial business within the Group."

http://www.moneyam.com/action/news/showArticle?id=6049103

***Relates to original announcement 12th July 2018***

Hargreaves to drive forward property division with new strategic appointment
25 JUL 2018



Hargreaves Services Plc has announced the appointment of David Anderson as group property director to drive forward the development of its property business, Hargreaves Land.

The senior appointment forms a strategic part of Hargreaves’ repositioning strategy to diversify away from coal and heavy industry into new sectors which provide better long-term prospects

Anderson will join the firm no later than 1st December 2018 and lead Hargreaves Land in bringing forward developments and unlocking value from the group’s 17,500-acre land bank, which is valued in excess of £50m.

Hargreaves Services plc delivers key projects and services in the infrastructure, energy and property sectors. The company’s UK-wide land portfolio includes over 50 sites ranging from former coal mines undergoing remediation, through to prime consented sites ready for development.

David Anderson has served as a director of Henry Boot Developments Limited, the principal property development subsidiary of Henry Boot PLC, since 1996 and as managing director since 2005. He has led the growth in revenue of that business from less than £10m in 2005 to over £220m in 2017.

David Anderson said: “I am very pleased to be joining Hargreaves at such an exciting time for the group’s future as the board looks to develop and grow its property business. I look forward to leading the Hargreaves Land team to create a substantial business within the group.”

Hargreaves’ key sites include the 390-acre Blindwells scheme located in East Lothian near Edinburgh, where planning consent has been secured for 1,600 new homes. At Westfield in Fife, Scotland over 1,000 acres have been earmarked for energy, waste recovery and employment uses.

Gordon Banham, chief executive of Hargreaves Services plc said: “I am delighted we have secured the services of David Anderson to spearhead Hargreaves Land. David has an excellent and successful record in the property development sector in the UK and Hargreaves’ current land portfolio provides a strong platform from which to create substantial shareholder value.”

In recent years the firm has been building a property team as its strategy evolves to reflect the changing market. Recent appointments include a new head of asset management, a project manager and financial controller, taking the team to 15 full time members of staff.

1 August 2018
HARGREAVES SERVICES PLC

Preliminary Results for the year ended 31 May 2018

Hargreaves Services plc (AIM: HSP), a diversified group delivering key services to the industrial and property sectors, announces its preliminary results for the year ended 31 May 2018.


HIGHLIGHTS


· Underlying trading satisfactory and in line with management expectations

· Distribution & Services Underlying Operating Profit margin up to 4.6% (2017: 4.3%)

· Independent property valuation confirms £20m market value uplift and a further £28m development value uplift

· Total property valuation uplift equates to 129p per share

· Good progress continues to be made on the development of the Blindwells project

· £29m Legacy assets to realise, down from £66m two years ago, with the majority to be realised by 31 May 2019

· Disposal of Brockwell Energy, treated as a Discontinued Operation, well advanced

· Roger McDowell becomes Chairman, 1 August 2018

· Final dividend maintained at 4.5p; full year dividend of 7.2p (2017: 7.2p)

Commenting on the preliminary results, retiring Chairman David Morgan said: "The Group is delivering against its strategic objectives. As revenues from traditional markets decline, operational focus is on risk management and margin improvement. Value realisation from the Group's Property and Energy assets is continuing with exclusivity granted to a purchaser for the Energy portfolio and sale completion expected in the next few months. Independent property valuations confirm the latent value in the Group's property portfolio. Legacy asset realisation should be substantially completed by 31 May 2019. The Board looks forward to an improvement in cash generation and underlying operating profits."

Analyst meeting

A meeting for analysts will be held at 10.00am this morning, 1 August 2018, at the offices of Buchanan,

107 Cheapside, London EC2V 6DN. Please contact Buchanan on 020 7466 5000 for further information.

***Further details via link below***

http://www.moneyam.com/action/news/showArticle?id=6074171

13 September 2018
HARGREAVES SERVICES PLC

Posting of Annual Report and Notice of AGM

Hargreaves Services plc (AIM: HSP), a diversified group delivering key services to the industrial and property sectors, announces that its Annual Report and Accounts for the year ended 31 May 2018 is today being posted to shareholders and will be made available on the Company's website at: www.hsgplc.co.uk.


The Company's Annual General Meeting will be held on 30 October 2018 at 11.00am at The Solarium, Durham Cathedral, Durham, DH1 3EH.

http://www.moneyam.com/action/news/showArticle?id=6125908

TR-1: Standard form for notification of major holdings

http://www.moneyam.com/action/news/showArticle?id=6142179

Plans for Westfield EfW plant take shape
26 September 2018 by Luke Walsh



A planning application by Westfield Energy Recovery has been submitted for an energy-from-waste plant as part of a project for the restoration and regeneration of an opencast mine.

A period of local consultation on the EfW plant application, which has been submitted to Fife Council, is due to end tomorrow. The facility would be located in the Westfield opencast coal site near Kinglassie, Fife, and process waste mainly in the form of refuse-derived fuel.

The plant already has planning permission in principle (PPiP) as part of the Westfield Restoration and Regeneration Project, granted by Fife Council on 15 August, but it was subject to 30 planning conditions and obligations.

Plans to build the EfW plant were originally announced in February this year, when mining and minerals business Hargreaves Services revealed it would spin off its energy business into a new company called Brockwell Energy.

https://www.endswasteandbioenergy.com/article/1494109/plans-westfield-efw-plant-shape

Brockwell Energy
The Groups interest in the Energy sector are managed by Brockwell Energy Ltd. The group is in the process of diversifying this business.

https://www.hsgplc.co.uk/sectors/brockwell-energy.aspx


Brockwell Energy Limited were formed in 2017 to raise investment capital to develop an £800 million portfolio of energy projects, predominantly in Scotland, on and around former coal mining sites.

What are we doing?
Brockwell’s focus is on a range of renewable technologies, including Energy-from-Waste (EfW) and onshore wind. We are also keen to explore the investment opportunities around other exciting projects such as solar photovoltaics (PV), small efficient gas engines, battery storage and other flexible generation assets to support the government’s drive towards a low-carbon economy.

Why are we doing it?
At the heart of our mission to produce clean, renewable energy are the communities in which we hope to develop and invest. As a responsible, people-focused company, we are committed to creating projects that bring long-term community benefits. This includes job creation, land restoration, public access, recreational opportunities and ecological enhancement.

How are we doing it?
Here at Brockwell we recognise the sensitive nature of some of our projects and that’s why we take the utmost care and consideration from the initial design phase through to completion. It also means the potential impacts of landscape aesthetics, public access, noise levels and local ecology are always at the forefront of our minds. Paramount to all our energy projects is our desire to be open, transparent and accessible. We pledge to proactively seek to engage with communities, groups, stakeholders and statutory bodies through dialogue, consultation and press coverage.

http://www.brockwellenergy.com/

Thanks for these posts. Keep them coming.

I'm holding these shares based on the discount to NAV and future plans.

I have quite a few so I'm looking to sell 25% of them if the price moves up a decent amount.

AGM trading update coming up on 30/10. I have thinking about going.

8 October 2018
Hargreaves Services plc

Disposal of Brockwell Energy Limited ("Brockwell")

Hargreaves Services plc (AIM: HSP), a diversified group delivering services to the industrial and property sectors, is pleased to announce the signing of a conditional agreement for the sale of the entire share capital of Brockwell Energy Limited to Lantern Bidco Limited, a newly incorporated company backed by international investors experienced in UK energy infrastructure.

Brockwell is the holding company for the Group's interests in the renewable energy sector which the Board has previously announced its intention to sell. The initial gross proceeds, which are payable in cash at completion, are estimated to be £21m including the reimbursement of certain costs to be incurred by Brockwell prior to completion. A further £2m in cash may become payable, contingent upon the successful financial close of a future development project.

Completion will take place no later than 19 October 2018, but the purchaser has the right to withdraw from the contract up to that time at its sole discretion.

Brockwell has not recorded any income to date and was reported as a discontinued business in the audited results of Hargreaves for the year ended 31 May 2018, recording a loss before and after tax of £1m. The net assets of Brockwell at completion are estimated to be £10m. After deduction of transaction fees and other non-recoverable costs, the Board estimates that Hargreaves will record a profit on disposal of Brockwell of approximately £4m excluding the contingent consideration. The Board intends to use the cash received to reduce bank borrowings.

Hargreaves will retain certain freehold land assets on which Brockwell intends to develop renewable energy assets in the future and as a result the Group will continue to have a landlord/tenant relationship with Brockwell on arm's length terms.

Roger McDowell, the Chairman of Hargreaves, said: "The Board is pleased to have exchanged contracts for the sale of Brockwell to a partner who we believe has demonstrated its commitment to the successful development of Brockwell's renewable energy asset portfolio."

https://www.moneyam.com/action/news/showArticle?id=6157446

I'm pleased to see this deal done and leave HSP with a rental income stream on the freehold assets kept.

This project whilst profitable was chewing up cash and the directors knew they had to sell it on to maximise returns.

Net debt at year end was £30m, so this is going to reduce that to say around £10m.

Further disposals would appear to take HSP cash positive, although I'm sure they have investment plans for it.

An increase in the dividends would be nice.

Hi CC, haven't had chance to even read what I posted, so thank you for your input.

09 October 2018
Hargreaves Services plc

Wolf Minerals Limited

The Board of Hargreaves Services plc (AIM: HSP), a diversified group delivering services to the industrial and property sectors, notes the announcement made this morning by Wolf Minerals Limited ("Wolf") (AIM: WLFE). The Group supplies contract mining services to Wolf's tungsten mining operation at Hemerdon, Devon.

The announcement states that in connection with recent announcements in relation to Wolf's financing arrangements, Wolf has been working with its key financial stakeholders to develop longer term funding solutions required to provide it with capital to progress further production improvements. It states that Wolf's discussions with its stakeholders are ongoing and it expects to conclude those discussions this week, following which a further announcement will be made. However, should Wolf not be able to satisfactorily conclude its discussions with those stakeholders within the next two days, it will not be in a position to meet its short term working capital requirements after that point in time.

Until Wolf has concluded those discussions, the impact on Hargreaves' financial position and trading expectations cannot be fully determined. However, the Board estimates that the Group has a current net exposure of approximately £5m to Wolf comprising trade debt and WIP balances, some or all of which may prove to be irrecoverable were Wolf to be unable to continue trading. Redundancy and other associated costs may also result in a further non-recurring charge of up to £3m against Group profits in the current financial year. Additionally, if Wolf ceases to trade, this could reduce the Group's revenue in the balance of the current financial year by approximately £15m and its profit before tax by a further £1m.

Hargreaves is in close contact with Wolf and its advisors and a further announcement will be made in due course.

https://www.moneyam.com/action/news/showArticle?id=6159730

Best not to read the one above either!

Still a very interesting company to follow for the longer term or after that drop short/medium term!

From earlier today:

10 October 2018
Hargreaves Services plc


Wolf Minerals Limited

The Board of Hargreaves Services plc (AIM: HSP), a diversified group delivering services to the industrial and property sectors, notes the latest announcement, made today, by Wolf Minerals Limited ("Wolf") (AIM: WLFE). The Group supplies contract mining services to Wolf's tungsten mining operation at Hemerdon, Devon.

The latest announcement from Wolf states that it has been unable to satisfactorily conclude its discussions with its key financial stakeholders and therefore is not in a position to meet its short term working capital requirements in order to continue operations at its mine. Consequently, Wolf's wholly owned subsidiary, Wolf Minerals (UK) Limited, which is a customer of the Group, has ceased trading effective immediately and voluntary administrators have been appointed.

It is not yet clear how the administrators intend to proceed and as a result Hargreaves is not able to add any further information to the statement issued by the Group on 9 October 2018.

https://www.moneyam.com/action/news/showArticle?id=6162150

22 October 2018
Hargreaves Services plc

Disposal of Brockwell Energy Limited ("Brockwell")

Hargreaves Services plc (AIM: HSP), a diversified group delivering services to the industrial and property sectors, is pleased to announce the completion of the sale of the entire share capital of Brockwell to Lantern Bidco Limited, a newly incorporated company backed by international investors experienced in UK energy infrastructure.

As indicated in the announcement released on 8 October 2018, the initial gross proceeds, which have been paid in cash at completion, are £21m. A further £2m in cash may become payable, contingent upon the successful financial close of a future development project.

The net assets of Brockwell at completion were £10m. After deduction of transaction fees and other non-recoverable costs, the Board estimates that Hargreaves will record a profit on disposal of Brockwell of approximately £4m excluding the contingent consideration. The Board intends to use the cash received to reduce bank borrowings.

Hargreaves retains certain freehold land assets on which Brockwell intends to develop renewable energy assets in the future and as a result the Group will continue to have a landlord/tenant relationship with Brockwell on arm's length terms.

Roger McDowell, the Chairman of Hargreaves, said: "The Board is pleased to have completed the sale of Brockwell and wishes the new owners every success in the future development of Brockwell's renewable energy asset portfolio."

https://www.moneyam.com/action/news/showArticle?id=6175390

30 October 2018
Hargreaves Services plc

AGM Statement

Hargreaves Services plc (AIM: HSP), a diversified group delivering services to the industrial and property sectors, will hold its Annual General Meeting ("AGM") later this morning. At the AGM, the Group's Chairman, Roger McDowell, will make the following statement:

"The Board is pleased to announce that trading is in line with revised expectations following the announcement that one of its customers, Wolf Minerals (UK) Limited, has ceased trading and the completion of the sale of Brockwell Energy Limited.

"Net funds of £15m received from the sale of Brockwell have been applied to reduce short term overdraft borrowings.

"As previously announced, Peter Jones, a non-executive director, has decided to step down from the Board following today's AGM. I would like to thank Peter for his services and wish him well for the future. The recruitment of a further non-executive director is under consideration.

"The Board expects to provide a further trading update in early December 2018, prior to the announcement of the Group's interim results on 30 January 2019."

https://www.moneyam.com/action/news/showArticle?id=6185863

30 October 2018
Hargreaves Services plc

Director/PDMR Dealings


Hargreaves Services plc (AIM: HSP), a diversified group delivering services to the industrial and property sectors, announces the following Director share purchases and PDMR option exercise.

On 29 October 2018, Roger McDowell, Non-Executive Chairman, purchased 300,000 ordinary shares in the Company at a price of £3.40 per share. Following this purchase, Mr McDowell's total holding is 300,000 shares, representing 0.94% of the Company's issued share capital.

On 29 October 2018, Gordon Banham, Chief Executive Officer, purchased 73,000 ordinary shares in the Company at a price of £3.40 per share. Following this purchase, Mr Banham's total holding is 2,632,575 shares, representing 8.21% of the Company's issued share capital.

On 29 October 2018, Andrew Robertson, General Counsel and Group Company Secretary, exercised options over 12,234 ordinary shares in the Company at a price of nil pence per share. These options were granted under the Company's 2014 Deferred Share Bonus Scheme. The resulting shares were sold at a price of £3.13 per ordinary share.

https://www.moneyam.com/action/news/showArticle?id=6185911

03 December 2018
Hargreaves Services plc

Transfer of shares held in Treasury

Hargreaves announces that on 30 November 2018 a total of 5,047 ordinary shares of 10 pence each ("Ordinary Shares") in the Company were set aside for transfer from treasury to satisfy the exercise by an employee on 30 November 2018 of nil cost options granted under the Company's Deferred Share Bonus Scheme 2014.

Following the above transfer, 1,019,366 Ordinary Shares remain in treasury and the total number of voting rights in the Company is 32,119,390. This latter figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the Disclosure and Transparency Rules.

https://www.moneyam.com/action/news/showArticle?id=6228586

5 December 2018
Hargreaves Services plc

Pre-Close Trading Update and Notification of Interim Results

Hargreaves Services plc (AIM: HSP), a diversified group delivering services to the industrial and property sectors, provides the following update on trading ahead of reporting its interim results for the six months ended 30 November 2018.

Trading has been satisfactory, and the Board expects to report interim results in line with its expectations. Both revenue and Underlying Operating Profit* are expected to show growth over that reported for the six months ended 30 November 2017, deriving from improved trading within the Group's UK businesses. The Board also confirms that it expects the Group's full year results to be in line with expectations.

As previously reported, the Group will record an exceptional charge of approximately £8m relating to the insolvency of Wolf Minerals (UK) Ltd. Additionally, the previously reported sale of Brockwell Energy Limited, which gave rise to a gain on disposal of approximately £4m, will be accounted for as the disposal of a discontinued operation.

Net debt at the half-year end was £28.6m, against £30.8m at 31 May 2018. As expected, the Group has experienced an increase in working capital in the first half of the year. Further sales of Legacy assets are expected to occur in the second half of the financial year.

The Group expects to report interim results for the six months ended 30 November 2018 on Wednesday 30 January 2019. A briefing for analysts will be held at 10.00am on the morning of the results at the offices of Buchanan, 107 Cheapside, London EC2V 6DN. For more information on the briefing, please contact Buchanan on 020 7466 5000 or email hargreaves@buchanan.uk.com.

*Underlying Operating Profit is defined by the Board as Operating Profit prior to exceptional items, amortisation and impairment of intangible assets and includes the Group's share of the operating profit of its German associate. It is a key indicator used by the Board to measure business performance.

https://www.moneyam.com/action/news/showArticle?id=6232216

06 December 2018
Hargreaves Services plc

Group Property Director Start Date


Further to the announcement of 12 July 2018, Hargreaves is pleased to confirm that David Anderson was appointed on 12 November 2018 to the Hargreaves Board in the executive role of Group Property Director.

The previous announcement listed the directorships and partnerships that Mr. Anderson held at the time or had held over the 5 previous years. Since that date, Mr. Anderson has resigned all directorships and partnerships that were listed as "current" and Hargreaves is now Mr Anderson's sole directorship.

19 December 2018
Hargreaves Services plc

Posting of Shareholder Circular and Notice of General Meeting

Hargreaves Services plc (AIM:HSP), a diversified group delivering key services to the industrial and property sectors, announces that a shareholder circular containing details of a Long Term Investment Plan scheme proposed by the Company and notice of General Meeting is today being posted to shareholders. The shareholder circular and notice of General Meeting will be made available on the Company's website at: https://www.hsgplc.co.uk/

The General Meeting will be held on 22 January 2019 at 11.00am at the offices of Buchanan Communications, 107 Cheapside, London, EC2V 6DN.

https://www.moneyam.com/action/news/showArticle?id=6250187

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