Associated British Foods (ABF)

[Steveam]

One of those companies which just does the business with no fireworks.

https://www.abf.co.uk/file.axd?pointerI ... 15d5bd50d7

Very satisfactory results despite sugar business. Things looking squeezed at Primark but still good. I went into a Primark for the first time in October and found it a horrible experience but a) the prices were unbelievably low and b) it was packed.

The dividend is up 3% yoy.

Best wishes,

Steve

[Dod101]

I held ABF for a long while but gave up on it as it really was not doing much, and nothing much seems to have changed. No one would hold it for the dividend and capital growth is very modest.

It seems to me to be well run though and with the big shareholding by the Weston family charitable trust, it looks long term, but to me maybe lacks the commercial drive that would improve its results.

Dod

[kempiejon]

The dividend is up 3% yoy.

That 3% increase is well below the average long term and it has been running at more like 10% for a couple of years, let's hope it's the blip it looks like. Over 5 and 10 years the increases have been better than twice that.

[Steveam]

I bought 24/9/2013 @ £18-53, they are now £26-35. Not the greatest but not too bad and the dividend on top.

Best wishes,

Steve

[dealtn]

https://www.investegate.co.uk/assoc-bri ... 00037770R/

Trading Update today. For most this share is all about Primark, and specifically the US rollout, but there are other businesses here too, relatively unaffected by Covid.

Much of the "news" here is Covid related, but the important bits are to do with store re-openings, and trading ahead of managerial expectations. The section on new store openings is interesting. Despite the caution surrounding the pandemic and how retail will look going forward, they have opened new stores and list new ones to come, including that all important US market.

Small footnote for REITs exposed to the Retail sector. Retail Parks coming on stream quicker than City Centre (hampered by lack of tourism). Rent negotiaitions taking place with individual landlords, but (most) rentals agreed and up to date it seems.

The market likes it too.

[Steveam]

Annual results

https://www.abf.co.uk/documents/pdfs/20 ... vember.pdf

Difficult times but coping with good performance in food and limiting the damage to Primark and cash outflows.

No dividend.

[Dod101]

Annual results

https://www.abf.co.uk/documents/pdfs/20 ... vember.pdf

Difficult times but coping with good performance in food and limiting the damage to Primark and cash outflows.

No dividend.

I used to hold this share and have a lot of time for the management but they are cautious and conservative as one would expect from a long term family owned business. I suspect that many businesses would have paid a dividend in the circumstances (after all they are still turning in a good profit) but they have decided to be more cautious.

One I will steer clear of although the share price looks suitably bombed out.

Dod

[richfool]

Yes, I used to hold and have a lot of time for ABF, though I did sell a few years back.

I have looked at them this year, (since Covid) but was put off by the fact that Primark has no online sales/home delivery side to its operations.

[dealtn]

Decent performance with ROCE 31% in Grocery. Lower profitability across Sugar, Agriculture and Ingredients. Retail ie. Primark clearly suffered with the shutdowns. Shares are still near their lows though so look tempting on recovery potential. Definitely one for the watchlist and further investigation.

[dealtn]

Interim results out.

https://www.investegate.co.uk/assoc.bri ... 00039563V/

Understandably much is about Covid, but the appeal to the shares will concern the success, or otherwise of Primark, and most importantly its roll-out in the US.

[Urbandreamer]

I would also mention that the IC mag did a two page article about the company last week.

I believe that you can read that article on the web without a subscription (though I subscribe).

[Steveam]

https://www.abf.co.uk/media/news/2021/2 ... nouncement

Total dividend of 34.3p per share declared and proposed: special dividend 13.8p and final dividend 20.5p
Total dividends for the year 40.5p per share

__________________________________

All our stores are now open, and are mostly free of trading restrictions, and the food businesses are trading well. The uncertainty around future cash flows is considerably lower than a year ago although the possibility of further trading restrictions cannot be ruled out. Our net cash before lease liabilities was £1.9bn at the year end. The Board is proposing a final dividend of 20.5p per share which together with the interim dividend of 6.2p per share makes a total of 26.7p per share for the year, which is three times covered by the adjusted earnings per share of 80.1p for the year, in line with previous practice. The Board intends to continue to have regard to a cover of three times for regular dividends in the ordinary course.
The Board is pleased by the recovery in trading across the Group's activities and the highly effective management of cash and reduction in financial leverage. As a sign of our confidence, the Board is also declaring a special dividend of 13.8p per share, to be paid as a second interim dividend at the same time as the payment of the final dividend. We determined the amount of this special dividend such that, taken with the final dividend proposed for the 2021 financial year, the aggregate equates to the final dividend of 34.3p per share paid in respect of the 2019 financial year which was our highest ever final dividend and was based on the Group's pre-COVID profitability. Total dividends for the year are 40.5p per share.
The payment date for the 2021 final dividend and second interim dividend will be 14 January 2022 to shareholders on the register on 17 December 2021.

[dealtn]

https://www.investegate.co.uk/assoc.bri ... 00027201R/

"Plans to accelerate selling space expansion in major growth markets"

No details (that I can find yet) but welcoming to me as a holder. Presumably this is US focused, but might relate to other geographies too.

[idpickering]

Trading summary for the half year.

For the half year, we expect total sales for the Group to be more than 20% ahead of last year at actual exchange rates and more than 16% ahead at constant currency. Adjusted operating profit at the half year is expected to be broadly in line with the same period last year.

As outlined in our trading statement of 24 January, we continued to encounter significant cost pressures. Consumer spending has proven to be more resilient in this trading period than anticipated at the start of the financial year.

Our Food businesses continue to seek to recover inflation through cost mitigation and price increases. For the half year, we expect both aggregate sales and aggregate adjusted operating profit to be well ahead of the same period last year, albeit at a lower margin. Due to better trading, we now expect adjusted operating profit at Ingredients to be significantly ahead of the same period last year. Adjusted operating profit at Grocery is expected to be slightly lower than last year with inflation in input costs continuing to run ahead of pricing and cost mitigation activity.

Primark traded very well for the half year, total sales are expected to be £4.2bn, 19% ahead of the same period last year at actual exchange rates and 16% ahead at constant currency. Adjusted operating profit margin for the half year is now expected to be above 8%.

https://www.investegate.co.uk/assoc.bri ... 00040510R/

Ian (No holding).

[idpickering]

Interim Results Announcement.

https://www.investegate.co.uk/assoc.bri ... 00082990X/

Further to the above, and issued separately;

Interim dividend.

Further to the announcement released earlier today by Associated British Foods plc (the 'Company') of its interim results for the 24 week period ended 4 March 2023, the Company confirms that an interim dividend of 14.2 pence per share will be paid on 7 July 2023 to shareholders on the Company's register of members as at the close of business on 2 June 2023. The ex-dividend date is 1 June 2023.

The Company operates a dividend reinvestment plan ('DRIP'). The final date for receipt or withdrawal of elections under the DRIP will be 16 June 2023.

https://www.investegate.co.uk/assoc.bri ... 03092870X/

The results don't seem to have gone down well on the market, with the ABF SP being down 5.89% as I type.

Ian.

[idpickering]

Third Quarter trading update.

https://www.investegate.co.uk/announcem ... e-/7593675

Ian (No holding).

[idpickering]

Pre-close Trading Statement.

Financial year 2022-2023

For the Group overall, outlook for this financial year is slightly better than previous expectations of Group adjusted operating profit to be moderately ahead of last year

Food

We continue to see strong sales growth, particularly in Grocery and Ingredients and a slightly better than expected performance in Sugar

Adjusted operating profit now expected to be strongly ahead of the previous financial year

Retail

Sales expected to be around £9.0bn, 15% ahead of sales last year with like-for-like sales growth of 9%

Strong fourth quarter sales growth, expected to be 15% with like-for-like growth of 8%

Sales growth has been driven by selective price increases, well received ranges and strongly performing new stores

Digital development: rollout of enhanced website is now complete, UK trial of Click and Collect extended to womenswear

Second half adjusted operating profit margin expected to be slightly below 8% and for the full financial year to be around 8%

£442m of the £500m share buyback programme completed as at the close of trading on 11 September

https://www.investegate.co.uk/announcem ... nt/7749064

Ian (No holding).

[idpickering]

Final and Special Dividend.

Further to the announcement released earlier today by Associated British Foods plc (the 'Company') of its final results for the year ended 16 September 2023, the Company confirms that:

(i)

a final dividend of 33.1 pence per share will be paid; and

(ii)

in addition to the final dividend, a special dividend of 12.7 pence per share will be paid as a second interim dividend.

The payment date for both the 2023 final dividend and the special dividend will be 12 January 2024 and will be paid to shareholders on the register of members as at the close of business on 15 December 2023. The ex-dividend date for each of these dividends is 14 December 2023.

https://www.investegate.co.uk/announcem ... nd/7864268

Ian (No holding).

[idpickering]

Annual Results Announcement

YEAR ENDED 16 SEPTEMBER 2023

https://www.investegate.co.uk/announcem ... ts/7864189

Ian.

[kempiejon]

Ta Ian, a timely prompt as I was looking at my ABF shares this weekend to make my own assessment of what the dividend for the year was likely to be. The bench mark being the pre pandemic 46.35p. This new announcement tops that by a penny or so and adds a 12p special into the mix so a bumper harvest for my ABF income. The capital value has been moving up swiftly this year too, which is nice. The share hasn't done as well as I hoped when my diligent research highlighted it as a potential for some of my investment cash. I bought over a 6 month period around the time high back in 2017.