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Sainsbury (SBRY) Results

Supermarket and other goods retailer Sainsbury issued their preliminary results this morning. Growth in everything except profits and dividends is what one might say from a quick read of the data. Lots of positive noises about out-performance in the markets where Sainsbury and newly acquired business Argos compete. Group revenue up 11.6% due to the acquisition, but earnings per share down by 27% and the dividend has been cut. The latter decline was forecast by analysts but the share price has ...

Banks and Bank Credit Card Accounting

It's going to be exciting week next week for RBS and Lloyds Bank shareholders with both AGMs on Thursday in Scotland - we expect to issue a report on events. Indeed it's going to be an exciting period ahead because the law suits by those investors in the RBS rights issue who have not yet settled, and an action over the takeover of HBOS by LloydsTSB, are both getting into court in the next few months. Having Fred Goodwin on the witness ...

Open-Ended Property Funds – Our Views

ShareSoc has now submitted our response to the consultation by the FRC on "Illiquid Assets and Open-Ended Investment Funds". This follows on from the problems experienced last year where property funds had to close to redemptions but it can affect other types of funds also such as private equity ones. In summary after listening to a number of our members on this topic, we have chosen to say that although we would not be opposed to the banning of such funds entirely, ...

Expensive Dividends – National Grid and Electra Private Equity

National Grid (NG.) are returning some of the cash received from the sale of their stake in a gas distribution business to shareholders via a large special dividend. And some will be returned via market share buy-backs, the wisdom of which may be questionable. But the real concern for private investors is that dividends are taxed as income even though this is in essence a "return of capital". It is not being paid out of operating profits, but simply from the ...

National Grid Share Consolidation – Who Are They Fooling?

Shareholders in National Grid (NG.) will have received a notice of a General Meeting to approve a share consolidation (at least that's those of you on the register of the company, others in nominee accounts may be surprised later by the change in their holding). This proposal is linked to the return of cash to shareholders following the sale of the company's interest in a gas distribution business. There will be a large "special" dividend as a result - more on the ...