Sharesmagazine
 Home   Log In   Register   Our Services   My Account   Contact   Help 
 Stockwatch   Level 2   Portfolio   Charts   Share Price   Awards   Market Scan   Videos   Broker Notes   Director Deals   Traders' Room 
 Funds   Trades   Terminal   Alerts   Heatmaps   News   Indices   Forward Diary   Forex Prices   Shares Magazine   Investors' Room 
 CFDs   Shares   SIPPs   ISAs   Forex   ETFs   Comparison Tables   Spread Betting 
You are NOT currently logged in
Register now or login to post to this thread.

CHEMRING.WORTH A LOOK. HIGH RATE OF GROWTH (CHG)     

Fred1new - 15 May 2007 13:44





Chart.aspx?Provider=EODIntra&Code=CHG&Si




Apologies for longwinded post.



This company does not seem to be on any thread on this board, but I think worth a look.



ALTHOUGH INVOLVED IN ARMS THE PRODUCTS ARE FOR DEFENCE PURPOSES such as decoys

I have bought and sold shares in this company a few times since November 05.

Its rate of growth have be tremendous as has the share price. Approximate rate of growth for last year was 90% p.a.

I paid it another visit after reading the Times article and followed it initially with view to buy as shares bets or shares. The spread is a bit wide and unsuitable for SBs about 0.7%, but as a long term hold may be useful. BUT DO YOUR OWN HOMEWORK.

.
AFX News Feed

CHEMRING 25/4/07

LONDON (Thomson Financial) - Chemring Group PLC said first-half trading was in line with its expectations, adding that full-year prospects are good as its order book continues to grow. The military manufacturer said the first month performance of Italian munitions firm Simmel Difesa SpA, which it acquired on March 30, has been encouraging. Chemring added Simmel's acquisition for 49 mln stg is expected to be accretive to its earnings in the first full financial year post-completion. First-half results are expected to be announced on June 26, Chemring said. TFN.newsdesk@thomson.com ukn/ic COPYRIGHT Copyright AFX News Limited 2007. All rights reserved. The copying, republication or redistribution of AFX News Content, including by framing or similar means, is expressly prohibited without the prior written consent of AFX News.

Friday, 30/03/07, 16:01


LONDON (AFX) - Military manufacturer Chemring has acquired the entire issued shares of Italian munitions specialist Simmel Difesa SpA for 77 mln eur, as part of its ongoing strategy of expanding its presence in the munition and explosive ordnance disposal markets.
The acquisition was funded by the issue of 373,551 new Chemring shares, and a cash payment of 67 mln eur funded by new bank facilities. newsdesk@afxnews.com bsd/nes COPYRIGHT Copyright AFX News Limited 2007. All rights reserved. The copying, republication or redistribution of AFX News Content, including by framing or similar means, is expressly prohibited without the prior written consent of AFX News. AFX News and AFX Financial News Logo are registered trademarks of AFX News Limited

22/03/07, 14:58
LONDON (AFX) - Military manufacturer Chemring has acquired the entire issued shares of Italian munitions specialist Simmel Difesa SpA for 77 mln eur, as part of its ongoing strategy of expanding its presence in the munition and explosive ordnance disposal markets.
The acquisition was funded by the issue of 373,551 new Chemring shares, and a cash payment of 67 mln eur funded by new bank facilities. newsdesk@afxnews.com bsd/nes COPYRIGHT Copyright AFX News Limited 2007. All rights reserved. The copying, republication or redistribution of AFX News Content, including by framing or similar means, is expressly prohibited without the prior written consent of AFX News. AFX News and AFX Financial News Logo are registered trademarks of AFX News Limited



From The Times
February 16, 2007
US defence giants hunt British takeover targets
Boeing and Lockheed Martin are eyeing British defence companies worth more than 5 billion
David Robertson, Business Correspondent
Boeing and Lockheed Martin are eyeing British defence companies worth more than 5 billion in an attempt to win orders from the Ministry of Defence, The Times has learnt.
The American defence giants are understood already to have independently approached, and been rebuffed by, Ultra Electronics, the 800 million battlefield-IT specialist.
They are also thought to be weighing potential bids for Cobham, Meggitt and Chemring.
The interest being shown by the Americans has put British defence companies on a collision course with the Government over the industrys future.
BACKGROUND
Airbus weighs up factory spin-offs in restructuring
Cargo carrier struggles to stay airborne
Industrialists, including Sir John Rose, chief executive of Rolls-Royce, and Allan Cook, chief executive of Cobham, are concerned that UK plc is being sold off to foreigners.
The crisis of ownership is being particularly felt in the defence sector after the introduction last year of the Governments Defence Industrial Strategy (DIS), which sets out the future for the military-in-dustrial complex in Britain.
Lord Drayson, the Defence Procurement Minister, believes that who owns a defence contractor is less important than where it is based. The DIS states that, as long as the scientists, engineers and technicians that build and maintain Britains military infrastructure remain in the country, it matters less where their employer is from.
American companies wanting to win Ministry of Defence (MoD) orders are therefore having do so through a UK subsidiary.
Both Boeing and Lockheed Martin have set up UK operations and are expanding these organically but they are also looking for acquisitions.
Lockheed Martin, which had operating profits of $4 billion (2 billion) last year, said: We are a growing company and an ambitious company and we will look to move in the direction of acquisitions if it is appropriate to do so.
Boeing, which had profits of $3 billion last year, said: We are mindful of the DIS and the need to keep intellectual property in the UK but we need the capability to do so. We are looking at the option of acquisitions. Last week Sir John Rose gave warning that UK plc was under threat from foreign companies using the country as an aircraft carrier and raiding profits without investing in the future.
Allan Cook, chief executive of Cobham, told The Timesyesterday: This is about national defence and it does matter where the shareholders are.
We have to maintain core skills in aerospace and defence.
The American invasion has already begun with GEs acquisition of Smiths Industries aerospace division last month. Analysts have been speculating for some time that Cobham, Meggitt, Ultra and Chemring could be the next targets.
None of these companies was willing to comment.


HARRYCAT - 07 Nov 2015 10:04 - 130 of 178

The Company has announced that a Rights Issue of up to GBP90 Million will take place in the first quarter of 2016, which will be fully underwritten on a standby basis by Investec and JP Morgan Cazenove.
Terms of the Rights Issue are yet to be announced.

Stan - 25 Nov 2015 08:29 - 131 of 178

Trading Statement http://www.moneyam.com/action/news/showArticle?id=5160557

HARRYCAT - 25 Nov 2015 09:26 - 132 of 178

Summary of above:

StockMarketWire.com
Chemring says the board's expectations for the group's trading performance for the year to 31 October remain in line with guidance given in the trading update issued on 26 October. Revenue in the final quarter of FY15 was approximately £124 million, resulting in revenue for FY15 of approximately £377 million (2014: £403.1 million).

No revenue or cash advance payment in respect of the 40mm ammunition contract to the Middle East, referred to in the 26 October 2015 trading update, was recognised in FY15. The export approvals associated with this contract have now been granted and revenues are expected to commence once the cash advance payment has been received. The group's order book at 31 October 2015 was approximately £570 million (2014: £486.8 million).

HARRYCAT - 21 Jan 2016 08:39 - 133 of 178

StockMarketWire.com
Chemring Group's underlying pre-tax profits fell to GBP19.8m in the year to the end of October - down from GBP28.1m last time.

Revenues of GBP377.3m were down from GBP403.1m in 2014 and underlying operating profits fell to GBP34.4m from GBP46.7m.

Total operating profit fell to GBP5.5m from GBP25.4m and pre-tax losses rose to GBP9.1m from GBP5.2m.

The group also announced it is raising GBP80.8 million through a 4 for 9 underwritten rights issue to reduce its indebtedness. Net debt increased to GBP154.3m from GBP135.6m in the year to the end of October.

Chief executive Michael Flowers said: "2015 was a disappointing year, with several key export orders in the Sensors & Electronics segment taking longer to materialise than anticipated. In addition, the Energetic Systems segment was heavily impacted in the final quarter of the year by a contract termination and delays to the start of fulfilment of a major order for 40mm ammunition.

"These events have overshadowed the progress we have made in improving the Group's operations, which have resulted in all of our business units being profitable in FY15. This progress reflects our strong management team and growing collaboration within the Group.

"We expect the wider market backdrop for global defence expenditure to be one of slow recovery in 2016. The situation for US defence spending is more stable than it has been for some time, and ongoing geopolitical tensions in the Middle East and elsewhere emphasise the need for robust defence and security measures. The timing of Middle East order placement and contract activity remains difficult to predict, in part due to the impact that recent falls in the oil price are having on Government spending in the region. Nevertheless, our continued customer focus means the Group is well positioned to benefit from any sustained increase in demand in its markets."

HARRYCAT - 23 Jan 2016 09:38 - 134 of 178

4 for 9 fully underwritten £80.8 million Rights Issue
Further to the announcement on 26 October 2015, the Board of Chemring Group PLC today announces a fully underwritten rights issue to raise gross proceeds of approximately £80.8 million to reduce its indebtedness. Chemring's full year results for the financial year ended 31 October 2015 have also been released today in a separate announcement.

Reasons for the Rights Issue and use of proceeds:
· The Rights Issue is being pursued in order to assist the Group with reducing its indebtedness thereby enabling additional time and resources to be made available for further operational improvement and adequate investment in fully capturing the longer term growth opportunities available to the Group.
· US Noteholders and the Group's banking syndicates have provided waivers and variations to amend the operation of the relevant covenants to ensure the Group remains in compliance with its Existing Finance Agreements; these amendments only serve as a short-term solution that would not fundamentally address the Group's balance sheet and capitalisation concerns over the longer term.
· The Board believes that the appropriate leverage target for the Group over the medium-term is a net debt to EBITDA ratio of between 1.0x and 1.5x as the Group's annual average; the proposed rights issue is a critical step towards achieving this target.
· Net proceeds of £75.2 million will be used to redeem £48.5 million in aggregate principal amount of the US Notes, with the balance used for make-whole premiums, waiver fees and general corporate purposes with the Board having regard to future debt maturities.

HARRYCAT - 08 Feb 2016 15:51 - 135 of 178

StockMarketWire.com
Chemring Group has confirmed that, at today's General Meeting, all resolutions regarding the proposed Rights Issue were passed.

HARRYCAT - 24 Feb 2016 09:13 - 136 of 178

Results of Rump placing
Following the announcement yesterday regarding valid acceptances received under the Rights Issue announced by Chemring on 21 January 2016, Chemring is pleased to announce that Investec Bank plc ("Investec") and JP Morgan Securities plc ("JP Morgan Cazenove") have today procured subscribers for the remaining 3,622,547 new ordinary shares of 1 pence each in the capital of the Company (each a "New Ordinary Share"), for which valid acceptances were not received by 11.00 a.m. on 23 February, at a price of 123.50 pence per New Ordinary Share.
Any premium over the total of the Rights Issue offer price of 94 pence per New Ordinary Share and the related expenses of procuring subscribers (including any applicable commissions and amounts in respect of VAT which, in the reasonable opinion of the Joint Bookrunners, are not recoverable) will be paid to Qualifying Shareholders that have not taken up their entitlements pro rata to their lapsed provisional allotments, except that, in accordance with the terms and conditions of the Rights Issue, individual amounts of less than £5.00 will not be paid to such persons but will be aggregated and retained for the benefit of the Company. Cheques and credits to CREST accounts in respect of any amounts payable to Qualifying Shareholders are expected to be despatched by no later than 8 March 2016.
Capitalised terms not defined herein, are defined at Part XI of the combined prospectus and circular published by the Company on 21 January 2016.

HARRYCAT - 21 Mar 2016 11:14 - 137 of 178

StockMarketWire.com
Chemring Group said revenue during the three month period to 31 January 2016 was GBP82.9m, compared with GBP61.5m in the same period last year, with increases in each of the Group's three operating segments.

As reported in the results announcement issued on 21 January 2016, Q1 FY16 trading performance was below management's expectations due to a lower margin sales mix, customer acceptance delays, and specific production and contract finalisation issues.

The order book at 31 January 2016 was GBP593.8 million (31 October 2015: GBP569.6 million).

The 40mm ammunition order for an end user in the Middle East continues to progress towards initial revenues. A further announcement will be made once the advance payment has been received.

HARRYCAT - 24 Mar 2016 10:01 - 138 of 178

JP Morgan Cazenove today reaffirms its neutral investment rating on Chemring Group PLC (LON:CHG) and cut its price target to 135p (from 195p).

Panmure Gordon today reaffirms its sell investment rating on Chemring Group PLC (LON:CHG) and cut its price target to 107p (from 115p).

HARRYCAT - 04 Apr 2016 08:07 - 139 of 178

StockMarketWire.com
Chemring says implementation of the 40mm ammunition contract to an end user in the Middle East, referred to in the company's 21 January results announcement, has commenced, with the related letter of credit in place and advance payment now having been received.

Production activities at Chemring Ordnance and its supply chain partners have begun. Initial revenue will be recognised in Q2 FY16 and as previously advised, this multi-year contract is expected to provide a significant contribution to FY16.

hangon - 05 Apr 2016 16:12 - 140 of 178

Maybe of interest - the current sp is about 1/3 that when the Stock-Market took fright in 2008 - I'm not sure that PanG's rec SELL is worthwhile when their target price is so close to the current sp. ( Although it may have been higher when released ) - This is because the Buy/Sell charges mean that you need to own a large number for there to be any profit in a relatively small movement - and it's VERY difficult to get yr Timing exactly right - esp as this Co's sp is likely to fall on any News, rather than fly . . . . as might happen in a Bull-Market.

HARRYCAT - 23 May 2016 19:02 - 141 of 178

Barclays Capital today reaffirms its underweight investment rating on Chemring Group PLC (LON:CHG) and cut its price target to 120p (from 155p).

HARRYCAT - 21 Jun 2016 08:22 - 142 of 178

StockMarketWire.com
Chemring Group's revenue increased by 11.4% to £180.1 million in the six months to the end of April (2015: £161.7 million) but underlying operating profit fell to £3.8 million (2015: £5.5 million).

There was an underlying loss per share of 1.3p (2015: 0.5p).

The results were principally impacted by a lower margin sales mix, phasing of revenue within FY16, and contract-specific issues resolved in the half. In H2 FY16, substantially higher 40mm contract revenues and greater consistency in production are expected.

These and other factors are expected to lead to a significant H2 weighting of profit and cash generation in FY16, with working capital having risen in H1 in support of expected H2 revenues. The group's order book at 30 April 2016 was £591.3 million (31 October 2015: £569.6 million), of which over £240 million is scheduled for delivery during H2 FY16, representing cover of approximately 90% of expected H2 revenue.

Group chief executive Michael Flowers said: "While revenues increased in every segment, the H1 result was impacted by the slightly later than expected commencement of the 40mm contract, together with a lower margin sales mix, phasing of revenue within FY16, and contract-specific issues resolved in the half. This performance contrasts with a growing sense of momentum across the business as operational improvement initiatives are accelerated following the deleveraging resulting from the rights issue.

"We continue to expect our full year FY16 result to be heavily weighted to the second half, due to substantially higher 40mm contract revenues and greater consistency in production. Whilst it is encouraging that approximately 90% of expected H2 revenue is in the order book, the Board's current assessment is that the FY16 out-turn is likely to be slightly below market expectations.

"Having significantly strengthened the balance sheet through the rights issue, we are now able to focus fully on the operational priorities that will underpin our future growth. These priorities include site rationalisation and capacity investment projects, implementing significant cost saving initiatives, ensuring excellence in contract delivery and delivering improved working capital management. This work is being done while maintaining the highest standards of safety and progressing key strategic long-term US programmes."

hangon - 21 Jun 2016 20:56 - 143 of 178

I wonder if Chemring's woes aren't that no-one needs so many flares, like during Gulf War etc. As I see it the yield is ( even now at 115p ), pathetically low as only during 2014 the sp was almost double ( with a smaller yield!).
I think the Co name reflects past production - so maybe they need to convince the Public what else it is they do.

HARRYCAT - 27 Oct 2016 10:04 - 144 of 178

JP Morgan Cazenove today reaffirms its neutral investment rating on Chemring Group PLC (LON:CHG) and raised its price target to 140p (from 130p).

Liberum Capital today upgrades its investment rating on Chemring Group PLC (LON:CHG) to buy (from hold) and set its price target at 175p.

Barclays Capital today reaffirms its underweight investment rating on Chemring Group PLC (LON:CHG) and set its price target at 115p.

HARRYCAT - 21 Nov 2016 08:10 - 145 of 178

StockMarketWire.com
Chemring Group expects its trading performance for the year to 31 October to be in line with market expectations, with a slight upside resulting from foreign exchange gains.

Revenue in the final quarter of FY16 was approximately £188.0 million, an increase of 50.6% compared with £124.8 million in the same period last year. Revenue for FY16 was approximately £477.0 million (2015: £377.3 million); on a constant currency basis this figure would have been approximately £440.0 million.

The Group's order book at 31 October was approximately £593.0 million (2015: £569.6 million).

The weakening of sterling, principally against the US dollar, accounts for approximately £103.0 million of the growth in order book. On a constant currency basis, the order book declined year on year against a strong prior year period which contained all of the 40mm ammunition contract.

HARRYCAT - 05 Jan 2017 12:02 - 146 of 178

JP Morgan Cazenove today reaffirms its neutral investment rating on Chemring Group PLC (LON:CHG) and raised its price target to 165p (from 155p)

skinny - 06 Jan 2017 14:59 - 147 of 178

A mention here

HARRYCAT - 19 Jan 2017 08:36 - 148 of 178

StockMarketWire.com
Chemring posts reported underlying pre-tax profits of £34.0m for the year to the end of October - up 71.7%.

Revenue from continuing operations was £477.1 million (2015: £377.3 million).

This revenue generated an underlying operating profit of £48.5 million (2015: £34.4 million).

Including non-underlying items, total operating profit was £26.2 million (2015: £5.5 million).

The closing order book for continuing operations increased by £23.3 million during the year and at 31 October 2016 was £592.9 million (2015: £569.6 million). The group's net debt at 31 October 2016 was £87.6 million (2015: £154.3 million).

Group chief executive Michael Flowerssaid: "2016 was a busy year for Chemring, both from a corporate and operational perspective, and it is pleasing to see that the efforts of so many have delivered a positive result.

"Order intake and revenue has been solid across the Group, and strong in the Energetics segment.

"Subsequent to the completion of the rights issue and with good cash conversion, the balance sheet is now strengthened, positioning us well for the future.

"Against the backdrop of a stronger balance sheet and improving delivery performance, I see continued opportunities for the group."

HARRYCAT - 24 Jan 2017 22:08 - 149 of 178

Chart.aspx?Provider=EODIntra&Code=CHG&Si


Finally seems to be coming back into favour!

Register now or login to post to this thread.