After a difficult trading year that has seen losses for CCT and the sp nose-dive to 25p at one point the solution to return to profits may come from the launch of electronic Sudoku games in time for Christmas. Character will launch two Carol Vorderman Sudoku products. For Sudoku fans on the move, there are two handy travel size products: a hand-held LCD game (19.99) with over 750 grids, and a touch screen version (29.99), with over 100,000 permutations of the game. A plug and play version, allowing addicts to play Sudoku on their home TV (29.99) will follow later this year. It won't take many sales to rack up good profits if these are anywhere near as addictive as the puzzle books have proved to be so far.
500,000 sold at guess 5 profit per item would rack up 2.5m, with less than 53m shares that is a healthy EPS of 4p on one item alone and my estimate is probably conservative? They also have licensing rights to Dr Who, Little Britain and Batman amongst others.
Also 70% of these shares are in the hands of Directors, Pension Trusts and Funds and as has been seen in recent weeks, moderate buying has pushed up the share price. It has all the hallmarks of a possible recovery stock as was IDS which I tipped last year at 81p and is now 382p. Not saying this will reach those heights but if Sudoku sells well this Christmas expect CCT to show a good start to their financial year. 2005 figures ending August 31st will not be good but we don't buy shares on the past, there is no gearing and 8m of shareholders funds available.
Take a look. The profits could be more pleasing than solving the puzzles.

I think taking the easy shares at as low a price as possible, remember not that many available on the open market unless one of the holders is prepared to feed some into the market. Interesting article in Shares mag this week about putting value on takeovers suggesting that any company trading on <10 times cashflow is a bargain. For last year, cash flow for CCT was 20m, OK Digital Division now sold but we know that CCT performing much better. Lets be conservative and say cash flow is 10m which with 52m shares gives sp 20x10 = 200p. Therefore anything less than 200p is considered a bargain for a takeover. I personally would be very disappointed if a take-over happened for anything less than 150p.
With those big buys, sooner rather than later announcements will have to made which will fuel the acquisition fire and send the sp higher.
Either way, interim results or takeover this share is heading for >100p

andy
I agree with your value of CCT for a take over the problem is the sp has a long way to go to get there, if the company is snapped up quickly we could see it go sub 100p and the small investor will be stuffed again.

Hopefully not, there are alot of shares to purchase yet. A large quantity are owned by current directors, I doubt they'll let them go cheaply when they are at the point of turning the company around?

Sat's F.T:
QUOTE:
Character Group, which makes and distributes toys such as Robosapiens(above), dolls based on well known Characters such as those from Little Britain and electronic Sudoku, jumped 12.7% TO 75.5P on Wed after confirming that it had received more than one take over approach. The company said that the approaches were at a 'preliminary' stage and that the value of any possible offer was still 'unclear'. The group has done particularly well over the past year out of its series of talking dolls, key chains and mugs based on the Little Britain series"

Minimum 1.00, would be upset if less than 2.00. A sure winner

Agreed peadar10, might be worth adding a few more, still plenty of shares to be snapped up by anyone trying a take-over. Size of some trades certainly suggests its on the cards. This will really take-off when a bidder becomes clear, RNS statements needed for every 520k shares under LSE rules. Might get one this week?

andy
Heres hoping the sp is struggling on non punters awareness.

Driver, until a formal bid is announced I think the sp won't rise too far on speculation until solid results can also be confirmed. I have two sp targets, one based on results due in April and one based upon bids for the company. We have to be patient as its only this time last year that CCT nose-dived and there may be wary investors wanting proof of the pudding, thats why I like these stocks, get in and take a risk before it becomes noticed on more radars and you make more dosh.
Take a look at LDC, appear to on my own but 20% up in <1 month.

Andy
If you like China its now time to get on board PCM they hope to be into profit by the end of 2006 they are seeking finance to launch Sit Up TV or as we know it Bid Up TV the shares are .0012 most of us on it are share millionaires, could be a multi bagger.
Are you still on ASM?

Not currently in ASM, took my money out and put it into MMG which should rise rapidly over next month just like this time last year. It is high beta, originally bought at 60-70p and sold out at 185p and 270p as over-valued and it fell back along way. Bought MMG again at 122p after funds raised at 135p and now 175p.
Will probably take profits again and will re-invest in ASM.

The new all walking Dalek from CCT.

5 Million shares exchanged between Mittel and Valtidone at 78.5,

http://www.moneyam.com/InvestorsRoom/posts.php?tid=9625#lastread

This seems to have disappeared off the board recently for some reason? Results due soon and should be good also maybe news will come out soon about possible takeover.Plenty of cash in the coffers due to sale of digital camera division ,so possible share buyback or increase in dividend ,anyway plenty of good news options currently in pipeline for the near future.

Agreed DB66, should be a very interesting 4-6 weeks!!

Results due next Thursday, maybe there will also be an update on bid approaches??
If results as I expect then sp is justfied and in fact well undervalued even without a takeover bid which would need approval of Directors as they own a large percentage of the company.

Hi andy I'm still hanging in here.

An excellent set of results.

Dividend 1.65 pence, up from 1.1 pence (an increase of 50%)
Cash in Bank 10.3 million, up from 3.9 million (an increase of 164%)

Pre-tax profit of 2.96m in the first half from a 1.93m loss a year earlier.

'The Board is delighted with the progress made by the remaining core business and, providing we see no further erosion in economic confidence generally and,in particular, in the retail sector, we see no reason why the Group's excellent recent progress will not be maintained.'

Yes, very good results. Full year EPS potential of 10p puts on forward PE of 6.5.
This is way too low. Suggest early drop was due to takeover talks being terminated but this share is worth over a quid on fundamentals alone and must surely rate as a BUY now that continued excellent results have been confirmed.

Amazed !!
The market will wake up to these in the comming months i`m sure.
This company has really turned the corner and from their statement they seem very confident about future growth.
I really hope they do agree to a possible 25% share buy back and then we surely will be laughing all the bank!

I think its worth a read at least.


Interim Results

RNS Number:0739C
Character Group PLC
27 April 2006


Issued by Citigate Dewe Rogerson Ltd, Birmingham
Date: Thursday, 27 April 2006
Embargoed: 7.00am
The Character Group plc
Interim Results for the six months ended 28 February 2006

Highlights

Continuing business (Toys, Games and Gifts)
6 months to 6 months to
28 February 2006 28 February 2005
#m #m

Turnover 40.7 27.2 +50%
Operating profit 3.7 (1.0)
Earnings per share 5.69p (2.45p)

Dividend
1.65 pence, up from 1.1 pence (an increase of 50%)

Group results (including discontinued operation)

6 months to 6 months to
28 February 2006 28 February 2005
#m #m

Turnover 66.6 43.4 +53%
Operating profit 1.1 (1.5)
Profit before tax 3.0 (1.9)
Earnings per share 5.04p (3.8p)

Cash at bank
#10.3 million, up from #3.9 million (an increase of 164%)

Approaches regarding possible offers terminated

"During the first six months of the current financial year the Group underwent a
major reorganisation with the disposal of its Digital Business in February 2006.

"The structure of the Group is now designed to maximise the strength of, and
focus on, the core business of Toys, Games and Gifts.

"The Board is delighted with the progress made by the remaining core business
and, providing we see no further erosion in economic confidence generally and,
in particular, in the retail sector, we see no reason why the Group's excellent
recent progress will not be maintained."
Richard King, Chairman