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Caledonia

Closed-end funds and OEICs
Steveam
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Re: Caledonia

#460231

Postby Steveam » November 23rd, 2021, 7:56 am

Half year results

https://otp.investis.com/clients/uk/cal ... id=1529352

Dividend and share buybacks
The board has declared an interim dividend of 17.5p per share, an increase of 2.9% on last year's interim, at a total value of £9.5m. This will be paid to shareholders on 6 January 2022.

The Company has undertaken share buybacks since early June. In the period to the end of September, 0.5m shares were purchased at a cost of £16.9m at attractive levels of discount to NAV.

Best wishes,

Steve

Dod101
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Re: Caledonia

#460233

Postby Dod101 » November 23rd, 2021, 8:12 am

Steveam wrote:Half year results

https://otp.investis.com/clients/uk/cal ... id=1529352

Dividend and share buybacks
The board has declared an interim dividend of 17.5p per share, an increase of 2.9% on last year's interim, at a total value of £9.5m. This will be paid to shareholders on 6 January 2022.

The Company has undertaken share buybacks since early June. In the period to the end of September, 0.5m shares were purchased at a cost of £16.9m at attractive levels of discount to NAV.

Best wishes,

Steve


Thanks for that. Caledonia is one of my longest held investments and has done well if not spectacularly over the years. Share buybacks as has been said before will always be modest because of the major holding of the Cayzer Trust. I am sorry to see Will Wyatt retiring as it seems no time since he took over and he has had a successful run except for his Bingo investment which fell foul of Covid. They took that in their stride though.

NAV £45, share price around £37

Dod

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Re: Caledonia

#460316

Postby Dod101 » November 23rd, 2021, 2:06 pm

Just noticed that they are selling their interest in BioAgilytix for £136 million. It is in their books at a mere £51 million and not only that, another shareholder is Cobepa held via Cobehold where they are a shareholder, so it is like that a modest additional profit will work its way through that holding as well. That will help the second half results.

They are very well connected and clearly this stands them in good stead for investment holdings.

Dod

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Re: Caledonia

#460739

Postby Dod101 » November 25th, 2021, 8:10 am

And another thing. I bought Caledonia on 10 June 1992 and still hold it in certificated form. Cost was £3.48 . Today £37.55. That makes it another ten bagger. Mind you it has taken just over 19 years. The dividends have steadily increased year on year over that time. Not my best investment but if they were all like that........

Dod

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Re: Caledonia

#460756

Postby Dod101 » November 25th, 2021, 9:07 am

Dod101 wrote:And another thing. I bought Caledonia on 10 June 1992 and still hold it in certificated form. Cost was £3.48 . Today £37.55. That makes it another ten bagger. Mind you it has taken just over 19 years. The dividends have steadily increased year on year over that time. Not my best investment but if they were all like that........

Dod


It is of course over 29 years. Not very impressive I fear but it does shoe the benefit if simply buying and holding.

Dod

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Re: Caledonia

#460762

Postby fisher » November 25th, 2021, 9:39 am

Dod101 wrote:
Dod101 wrote:And another thing. I bought Caledonia on 10 June 1992 and still hold it in certificated form. Cost was £3.48 . Today £37.55. That makes it another ten bagger. Mind you it has taken just over 19 years. The dividends have steadily increased year on year over that time. Not my best investment but if they were all like that........

Dod


It is of course over 29 years. Not very impressive I fear but it does shoe the benefit if simply buying and holding.

Dod


Sticking those figures into Excel gives an XIRR of 8.4%. Add in the yield, presuming historically it has been similar to the current one at 1.7%, and you get 10.1% annualised over 29 years. That seems not so shabby to me given a lot of global funds did poorly in the 2001-2010 decade (FCIT averaged 3% annually in that decade).


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Re: Caledonia

#460783

Postby Bagger46 » November 25th, 2021, 10:34 am

You can't just add the two up, it is mathematically incorrect and going to grossly underestimate over such a long period.

My mother in law and my wife have held CLDN too for donkeys, so we have the exact data over that period, and the XIRR works out at 12.34% exactly for Dod's tenure.

Regards

Bagger

PS By the way, I have never been more uncertain of markets in my many decades as an investor.

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Re: Caledonia

#460786

Postby monabri » November 25th, 2021, 11:01 am

Bagger46 wrote:You can't just add the two up, it is mathematically incorrect and going to grossly underestimate over such a long period.

My mother in law and my wife have held CLDN too for donkeys, so we have the exact data over that period, and the XIRR works out at 12.34% exactly for Dod's tenure.

Regards

Bagger

PS By the way, I have never been more uncertain of markets in my many decades as an investor.



I get a slightly higher XIRR (calcs below). I assumed 1400 shares at £3.48 (a £5k-ish investment) - costs of dealing not included.

Values in "green" are dividends in £.

Note the specials!

Image

(Edit : qty of shares is 1400 not 1000)...were there any share consolidations over this long period?

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Re: Caledonia

#460792

Postby monabri » November 25th, 2021, 11:12 am

doh - hopefully got there in the end at an XIRR of 12.5% (or 12.47% to 2 decimal places). :oops:

I say that CLDN has done comparatively well ...

https://www.itinvestor.co.uk/2020/06/20 ... -compared/

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Re: Caledonia

#460794

Postby Dod101 » November 25th, 2021, 11:26 am

monabri wrote:
Bagger46 wrote:You can't just add the two up, it is mathematically incorrect and going to grossly underestimate over such a long period.

My mother in law and my wife have held CLDN too for donkeys, so we have the exact data over that period, and the XIRR works out at 12.34% exactly for Dod's tenure.

Regards

Bagger

PS By the way, I have never been more uncertain of markets in my many decades as an investor.



I get a slightly higher XIRR (calcs below). I assumed 1400 shares at £3.48 (a £5k-ish investment) - costs of dealing not included.

Values in "green" are dividends in £.

Note the specials!

Image

(Edit : qty of shares is 1400 not 1000)...were there any share consolidations over this long period?


No consolidations and no reconstruction. They have bought in a few of their own shares but not very many because of the very large holding by the Cayzer Trust and the wider Concert Party.

And there was another special in August 1997 of 30p per share just before New Labour took power.

Quite a remarkable return and consistency over the period. I always feel that following the (old) money is a good idea.

I actually bought 1000 shares for the princely sum of £3560.14 including costs. That was before platforms really got going. In fact I bought them through my bank and they used a local stockbroker. I of course still have the contract note although I cannot see me ever selling.

Dod

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Re: Caledonia

#460798

Postby mc2fool » November 25th, 2021, 11:40 am

Bagger46 wrote:You can't just add the two up, it is mathematically incorrect and going to grossly underestimate over such a long period.

My mother in law and my wife have held CLDN too for donkeys, so we have the exact data over that period, and the XIRR works out at 12.34% exactly for Dod's tenure.

Is that with dividends withdrawn or dividends reinvested?

monabri
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Re: Caledonia

#460802

Postby monabri » November 25th, 2021, 11:56 am

mc2fool wrote:
Bagger46 wrote:You can't just add the two up, it is mathematically incorrect and going to grossly underestimate over such a long period.

My mother in law and my wife have held CLDN too for donkeys, so we have the exact data over that period, and the XIRR works out at 12.34% exactly for Dod's tenure.

Is that with dividends withdrawn or dividends reinvested?


My understanding is:

Dividends might have been withdrawn to the bank or reinvested in something else - but (in the example) not reinvested in CLDN to acquire more shares. If the dividends were to have been reinvested in CLDN, then there would be more shares bought and the dividend values would be higher. The calculation starts with X shares and ends with the same X shares.

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Re: Caledonia

#460804

Postby mc2fool » November 25th, 2021, 12:05 pm

monabri wrote:
mc2fool wrote:
Bagger46 wrote:You can't just add the two up, it is mathematically incorrect and going to grossly underestimate over such a long period.

My mother in law and my wife have held CLDN too for donkeys, so we have the exact data over that period, and the XIRR works out at 12.34% exactly for Dod's tenure.

Is that with dividends withdrawn or dividends reinvested?

My understanding is:

Dividends might have been withdrawn to the bank or reinvested in something else - but (in the example) not reinvested in CLDN to acquire more shares. If the dividends were to have been reinvested in CLDN, then there would be more shares bought and the dividend values would be higher. The calculation starts with X shares and ends with the same X shares.

That's your example. I was asking Bagger about his figure for his mother in law and wife, as it's different to your dividends withdrawn figure (12.34% vs 12.5%) for the same period. Of course, the difference may be explained otherwise, but as Bagger didn't specify if his figure is with dividends withdrawn or dividends reinvested I'm asking him so we know for sure. ;)

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Re: Caledonia

#460805

Postby flyer61 » November 25th, 2021, 12:10 pm

Interesting thread. One of my top 5 holdings. Interesting to note the cash levels they are holding...wonder if they believe markets are toppy and they are prepared to wait for the next opportunity.

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Re: Caledonia

#460810

Postby Dod101 » November 25th, 2021, 12:22 pm

flyer61 wrote:Interesting thread. One of my top 5 holdings. Interesting to note the cash levels they are holding...wonder if they believe markets are toppy and they are prepared to wait for the next opportunity.


They generally have a very conservative Balance Sheet and of course that gives them the opportunity to take up worthwhile offers when they present themselves. Most companies like them (run more like a private family business than a public one) tend to do that. My employers were the same except that they were private and family owned.

I suspect that they turn down more offers than they accept even in the best of times.

Dod

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Re: Caledonia

#460933

Postby fisher » November 25th, 2021, 6:27 pm

Bagger46 wrote:You can't just add the two up, it is mathematically incorrect and going to grossly underestimate over such a long period.

My mother in law and my wife have held CLDN too for donkeys, so we have the exact data over that period, and the XIRR works out at 12.34% exactly for Dod's tenure.


It was simply an extremely rough conserative approximation due to the limited data and limited time I had available to work it out, and I thought it was worth posting to point out how relatively well CLDN had performed over the last 3 decades.


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