Hits: 151


  • RBG Holding to pay 1p final dividend rather than the original 2p envisaged.
  • Frenkel Topping – New NED Christopher Mills
  • Finncap Group – Vin Murria to stand down and new CFO Richard Snow joins board


Ninety One Plc  – FY Results

Share Price 187p

Mkt Cap £1169m

Conflict Disclosure: No Holding

  •  Results 5.4% net inflows over the 12 months to March mitigated market falls meaning AUM reduced 7.2% to £103.4bn. Net revenue increased 10% to £609m, PBT up 11% to £198.5m and EPS up 10% to 16.1p. 44% of the AUM is equities and 30% fixed interest. With 69% institutional clients the management fee yield is 47.8bps and operating margins are a healthy 32.3%. Shareholder NAV is £151m which includes £194m of cash. Outlook refers to significant revenue pressure in the coming period.


  •  Estimates  These results are strong but with market falls being weighted to the end of the year forecasts are downward sloping this year.


  •  Valuation PE is 11.6X historic. The dividend policy is for a 50% payout ratio which has the potential to provide a 4% yield. EV/AUM 1%.


  • Conclusion Fund performance over the last 12 months has been poor which suggests inflows may moderate going forwards. Looks like there is no hurry to get involved, particularly with Investec Plc still holding 24%.


TBC Bank – Q1 Results

Share Price 759p

Mkt Cap £419m

Conflict Disclosure: No Holding


  • Results The results headline with a “pre-COVID” profit up 14.3% which doesn’t bode well. Loss before tax was GEL 93.95m. Pre Covid risk adjusted NIM was 4.2% which is after a pre COVID cost of risk of 0.9%.COVID then added 1.7% to this cost of risk. Cost income ratio 36.5%. Leverage is 7.8X and CET 1 ratio 9.1%. Bonuses foregone and no dividend. The outlook reiterates medium term targets of 20% ROE, 35% cost income ratio and 10-15% loan book growth. The state of emergency gets lifted in Georgia on 22 May.


  • Valuation. The NAV is £643m so TBC trades at a 35% discount to NAV.


  • Conclusion With a leveraged balance sheet having obtained the bank license in Uzbekistan which needs funding there is a risk of equity issuance. There is perhaps 100% upside in the event of a seamless recovery but it could be there is a better opportunity in coming months.