TT ELECTRONICS Looks Primed For Recovery.

Im recommending TT Electronics after having this stock on my watch list for the last few months and have to say it really as a solid management, and a management that backs the company up with solid Director Buying. It’s a business that is in the early stages of recovery after the Bear market and Worldwide recession of the last three years.

What Does It Do?

The company has four main divisions, Automotive, Telecolm and Computer, General Industrial division, and Electrical Division.

Automotive is by far the biggest division and - represents 63 per cent of the electronic sector turnover. It designs and produces amongst other things a range of sensor and system technologies, and also produces a range of resistor and trimmer components. These products are sold worldwide.

Telecom and Computer markets - represent 15 per cent of the electronic sector turnover. The group produces magnets and resistors for mobile products including phones, and as set up a new manufacturing base in Southern china where new products are being designed for the mobile market.

Industrial market - represents 22 per cent of the electronic sector turnover .
In this division additional technical sales and engineering resources have been focused on the more diverse markets of aerospace, defence, medical and control instrumentation. A number of new programmes have been won in all these market areas.

Electrical sector which comprises of two divisions.
Power generation - represents 29 per cent of the electrical sector turnover
Here the company produces power generators mainly for the Chinese market and enviromental connectors for the North African market.

Power transmission - represents 71 per cent of the electrical sector turnover.
Specialist cables for naval vessels and wind farms are produced in this division, and interest is from a worldwide audience.


Latest results.

Interim Results for the half year ended 30 June 2003.

TT electronics, a world leader in resistor and sensor technology today announces its interim results.

KEY POINTS •
Group turnover on continuing activities grew by 4 per cent to 270.4 million (2002: 261.2 million).
•Profit before tax, goodwill amortisation and exceptional items was 9.1 million (2002: 11.3 million). •The interim dividend is maintained at 3.69p per share.
•Operations continue to generate cash and gearing remains low at 27 per cent.
•Sales to the automotive market grew by 11 per cent including a contribution from our French subsidiary acquired in March 2003. •
The strength of the balance sheet positions the group to finance both acquisition opportunities and future growth.
•Neil Rodgers has been appointed to the Board ahead of the retirement of Sheridan Comonte in April 2004.

John Newman, Executive Chairman said today: 'The results we have announced today reflect the strength of our automotive operations while some of our other markets continue to experience weakness. We have continued to implement measures to ensure our resources are aligned to likely future demand. As one of the world's leading producers of customer specific resistive products, we believe that we are well placed to benefit when markets recover. The 11 per cent increase in sales to the automotive market in the face of declining vehicle production underlines the inherent strength of our technologies. TT electronics continues successfully to design high quality new products to satisfy the needs of manufacturers who are committed to increasing the electronic content of motor vehicles. The automotive sensors and systems businesses remain on track to achieve internal forecasts of 25 per cent sales growth between 2002 and 2005.


Recent Developments.

TT as acquired US electronic sensor company Optek Technology for $51.3 million (30.2 million).
About 40% of Optek's sales are of Hall Effect sensors for the automotive market, which are already big business for TT in Europe where it sells somewhat more sophisticated versions.
The acquisition should increase the company's US turnover to about $70 million up towards its target of $100million and provide sales synergies.
Optek managed sales worth 40.4 million in the year to the end of January 2003 and produced profits before tax interest and goodwill charges of 2.4 million.
TT is buying the business in a debt free state and will pay cash.

One great advantage of the acquisition is that the acquisition of Optek will introduce fibre optics to TT electronics' range of technologies. Optek's fibre optic products include transmitters, receivers and transceivers which interface with the terminated end of a fibre optic cable. They are used to convert the light signal travelling through the fibre optic cable to an electrical signal which can be interpreted by a microprocessor. Applications include local area networks, fibre-to-the-desk, industrial data links and storage area networks.. Optek has also developed a 'Plastic Fibre Optic Transceiver' (PFOT) which can be used for fibre optic cable connections in entertainment systems of luxury vehicles. Optek believes that PFOT applications are likely to grow significantly. In particular, the replacement of copper wiring harnesses in vehicles with fibre optic cable significantly reduces weight and is therefore potentially highly attractive for the automotive industry.

Commenting on the acquisition, John Newman, Executive Chairman of TT electronics said 'I am delighted that after an extensive search we have identified an acquisition which both creates clear business synergies and satisfies our financial criteria. The acquisition of Optek will significantly expand our sensor activities in terms of technology, customer base and product range as well as increasing our low cost manufacturing capacity. The acquisition of Optek will enhance TT electronics' earnings per share in the coming year.

Director Share Buying.

Executive chairman J B Newman purchased 100, 000 shares at 124.2p on the 5th of December and director N A Rodgers purchased 10,000 shares at 122p also on the 5th of December, the directors backing the company on its way forward.

The Way Forward.

Executive chairman John Newman told Financial Specialists Citywire, tough conditions over the last few years have moved the acquisitions market in TT's favour as they have injected more realism into the expectations of vendors. He said: 'Times have changed. A few years ago people's aspirations were too high. Now they're more realistic.' following restructuring at Optek, which moved manufacturing to a low cost facility in Mexico, TT is buying the business in far better shape than it was a year ago. He believes Optek is capable of making net margins closer to TT's usual 10%.

Shareholders can also take heart from the fact that trading is at last showing signs of improvement.
Newman said: 'I'm now saying there is an upturn in orders and I think it is sustainable.

The company claims that more than one in two cars made in Europe and North America contain at least one of its products boosted by the move from luxury to volume cars. TT expects growth rates of auto electronics to be well over 6% per year boosted by the new acquisition and this to continue for at least the next 5 years.

Newman's comments about trading are also most encouraging as until recently he was sceptical about any signs that business had picked up. The shares trade on a p/e circa of 13.5 and yield a massive 8.2%.

I look upon this as a long term investment and feel that when the Telecolm division picks up and there are signs Globaly that this is happening in the telecolms Industry, that this will turn out to be a good investment.

Cheers Goldfinger.

Please DYOR, and remember you are responsible for your own buying and selling actions.

Recent Director buying looks good as well.

over 67p

over 70p

Sub-100p should now be consigned to history:

TT electronics resumed dividends after reporting a first half ahead of management expectations.

The group reported a profit before tax and exceptionals of 9.3m, turning round a previous first-half loss of 3.8m. Revenue from continuing operations increased by 23% to 280.7m, up 27% at constant currency. Headline earnings per share for the six months to June 30 was 4.0p, compared with a 2009 loss of 3.0p.

Dividend payments were restarted with an interim payout of 0.8p. Reported profit before tax was 13.8m, against a previous loss of 14.4m. Disposal of four businesses from the General Industrial division was completed during the period, with net proceeds of 6.5m.

CEO Geraint Anderson said, 'With the majority of restructuring complete we are focused on the continued delivery of operational improvements in customer focus, product innovation and manufacturing to sustain growth over the medium and long term. The increase in the group's revenue and the benefits of the restructuring implemented over the last 18 months have improved operating margins which, together with the continued reduction in the group's net debt, mean that we are able to resume payment of a dividend. The sales momentum that started in the final quarter of 2009 in the majority of our markets has continued in the first half of 2010. The outlook for the second half of the year is positive although some uncertainty remains, particularly around macro-economic conditions.'

Net debt was reduced to 44.6m from the December figure of 56.9m, with a new committed 70m club facility to May 2013 and total available facilities of more than 110m.

Brokers rather bullish with this one.

looks cheap with a forward P/E of just over 13 to 2011.

TT electronics PLC

FORECASTS 2010 2011

Date Rec Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)

KBC Peel Hunt Ltd
16-09-10 BUY 19.00 8.21 2.50 23.50 10.15 3.00

Arbuthnot Securities
03-09-10 NEUT 19.00 8.20 2.40 25.00 10.80 3.00

Charles Stanley Securities
01-09-10 BUY 20.00 8.58 0.80 24.50 10.58 2.60

Evolution Securities Ltd
31-08-10 BUY 19.30 8.30 2.00 23.40 10.10 3.00

2010 2011
Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)

Consensus 19.33 8.32 1.92 24.10 10.41 2.90

1 Month Change 1.28 0.58 -0.13 1.00 0.49 0.31
3 Month Change 4.09 1.93 0.92 4.60 2.24 0.90


GROWTH
2009 (A) 2010 (E) 2011 (E)

Norm. EPS % % 25.03%
DPS % % 50.73%

INVESTMENT RATIOS
2009 (A) 2010 (E) 2011 (E)

EBITDA 39.70m 50.51m 54.30m

EBIT 3.80m 22.00m 28.50m

Dividend Yield % 1.36% 2.05%

Dividend Cover x 4.33x 3.59x

PER -51.76x 16.97x 13.57x

PEG f f 0.54f

Net Asset Value PS 45.11p 109.13p 116.32p

Chart analysis from the company Investtech who provide TA to the Banks and big institutions................


Positive Candidate -Long term, Sep 20, 2010 Analysis Explanation

TT ELECTRONICS has broken the rising trend up. This signals an even stronger growth rate. The stock has marginally broken up through the resistance at pence 136. An established break predicts a further rise. Volume tops correspond well with price tops, and volume bottoms correspond well with price bottoms. Volume balance is also positive, which strengthens the trend. The stock is overall assessed as technically positive for the long term.


Period Vol.bal. Volatility Liquidity +/- %
1 day - 2.83% 4.43 +2.48%
5 days 70.42 9.38% 75.36 +2.66%
22 days 49.26 25.96% 98.40 +25.87%
66 days 38.89 58.58% 40.98 +33.41%

Brokers backing it

TT electronics PLC

FORECASTS 2010 2011
Date Rec Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)

Peel Hunt
09-12-10 BUY 21.00 9.07 2.50 24.50 10.58 3.00
Charles Stanley Securities
02-11-10 BUY 20.80 9.03 0.80 25.10 10.90 2.60
Evolution Securities Ltd
31-08-10 BUY 19.30 8.30 2.00 23.40 10.10 3.00

2010 2011
Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)

Consensus 20.10 8.68 1.96 24.62 10.65 2.90
1 Month Change 0.00 0.00 0.03 0.01 0.00 0.01
3 Month Change 0.77 0.36 0.04 0.52 0.24 -0.00


GROWTH
2009 (A) 2010 (E) 2011 (E)

Norm. EPS % % 22.61%
DPS % % 48.24%

INVESTMENT RATIOS
2009 (A) 2010 (E) 2011 (E)

EBITDA 39.70m 51.70m 55.13m
EBIT 3.80m 22.00m 28.50m
Dividend Yield % 1.15% 1.70%
Dividend Cover x 4.44x 3.67x
PER -62.29x 19.58x 15.97x
PEG f f 0.71f
Net Asset Value PS 45.11p 112.78p 120.16p

Really good half year results to-day and SP has dropped like a stone. Can anyone help with a sensible reason - at 139p it looks one hell of a buy.

Am still trying to work out the market reaction to results on 15/3. Results excellent: market reaction shares fall 10%. Was the market expecting even more profit? FT says that the shares are on quite a low PER for the sector.

Anyone have any ideas?

Broker Ratings...... Update on the 9th of may.

Date Company Name Broker Rec. Price Old target price New target price Notes

25 Mar 13 TT Electronics PLC Goldman Sachs Neutral 168.63 170.00 180.00 Retains
14 Mar 13 TT Electronics PLC Oriel Securities Buy 168.63 210.00 210.00 10 Jan 13 TT Electronics PLC Numis Buy 168.63 175.00 180.00 Reiterates

SP moved up well today still not xd 3.5p dividend

A buy in this weeks shares - Analysts reckon the stock could roar all the way up to 200p by the end of the year. After a soggy end to 2012 a recovery looks to be underway.

Accelerating Growth, Innovation & Productivity

RNS


RNS Number : 7544H

TT electronics PLC

25 June 2013


TT electronics plc

Accelerating Growth, Innovation & Productivity





TT electronics plc ("TT" or "the Group"), a global provider of performance critical technology solutions to leading manufacturers, issues this statement before hosting an analyst and investor event today.



The Group announced in March that it was evolving its business through the creation of a Sensing and Control ("S&C") business to address increasing market opportunities and accelerate performance. This, together with an associated Operational Improvement Plan, will underpin the delivery of the Group's existing margin targets and enable it to drive further towards sustainable double digit margin performance.



At the meeting later today, we will present the plans being implemented by the S&C business to deliver accelerating growth, innovation and productivity. The presentation will cover the higher growth markets and regions being targeted, as well as key drivers and strategies being executed to increase sales and align the product portfolio with customer requirements. In the area of innovation we will demonstrate how we optimise investment in research and development whilst reducing the time to market. We will show some of the new products being developed within S&C and explain how these are enabling us to improve our position with major customers.



The formation of the S&C business provides a significant opportunity to continuously improve operational efficiency and accelerate productivity, including greater focus on best cost manufacturing operations. Detailed plans for realising this are being formulated, together with financial costs and benefits. We estimate that this Operational Improvement Plan will involve an investment of approximately £30 million to implement over the next 24 months, and that the associated efficiency benefits will be approximately £8 million per annum from the second half of 2015.



A full copy of the presentations made to analysts and investors at the meeting will be available on the TT website (www.ttelectronics.com) today.



Recent trading has been in line with the IMS issued on 9 May 2013, with improving order trends and the cumulative ratio of orders to sales greater than one. There is no change to the Board's expectations of the Group's performance for the year; as previously indicated performance will be more weighted to the second half reflecting sales momentum, product mix and the continuing investment to position the business for growth.

25 Jun Numis 200.00 Buy

Interim Result
20 Aug 13 TT Electronics PLC [TTG]





TT electronics PLC (TTG:LSE) set a new 52-week high during today's trading session when it reached 181.75. Over this period, the share price is up 14.31%.

Half Yearly Report

http://www.moneyam.com/action/news/showArticle?id=4653324

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Still looks good for the future -

A buy in this weeks IC - TT has plenty of costs to strip out and Numis predicts rapid earnings growth. Yet the shares trade on just 12 times 2013 forecast earnings net of cash, dropping to little more than 10 next year.

I'm rather liking this right now, looks like an easy 220p target..