Go Back  PPRuNe Forums > Aircrew Forums > Rotorheads
Reload this Page >

Bristow results

Rotorheads A haven for helicopter professionals to discuss the things that affect them

Bristow results

Reply

Old 26th May 2018, 14:05
  #1 (permalink)  
nbl
Thread Starter
 
Join Date: Aug 2007
Location: uk
Posts: 52
Bristow results

I see BRS lose over 100m dollars in the last period. Over the year the loss is 195 m. Gorden Bennett
nbl is offline  
Reply With Quote
Old 26th May 2018, 14:34
  #2 (permalink)  
 
Join Date: Dec 2003
Location: The South
Age: 52
Posts: 399
Itís stock price lost a third of its value in a week.
FloaterNorthWest is offline  
Reply With Quote
Old 26th May 2018, 16:43
  #3 (permalink)  
 
Join Date: Dec 2014
Location: Out West
Posts: 189
The share price is still twice what it was in January. I bought more yesterday.
Same again is offline  
Reply With Quote
Old 27th May 2018, 05:26
  #4 (permalink)  
 
Join Date: May 2017
Location: In the sky
Posts: 13
Looking at the 10K, they are raising money using bonds, selling helicopters and leasing back against the UK SAR contract, then burning the cash in operating losses. The 10K mentions the "New Bristow" but no one apart from the CEO seems to know what it means.
barbados sky is offline  
Reply With Quote
Old 27th May 2018, 08:30
  #5 (permalink)  
 
Join Date: Jun 2000
Location: UK
Posts: 212
SAME AGAIN

Do you work for Bristow?

'
The share price is still twice what it was in January. I bought more yesterday
'

So you paid twice as much as necessary to up your shareholdings??

You sure you aren't Bristow management... you have the business acumen
NRDK is offline  
Reply With Quote
Old 27th May 2018, 08:41
  #6 (permalink)  
 
Join Date: May 2002
Location: Wanaka, NZ
Posts: 1,520
My reading was he bought more because the price was down a 1/3rd on what it was a week ago, despite it being double what it was 5 months ago, so he thinks there is some upside to the current price from here. I hope he makes a few quick dollars on the trade. But stuffed if I know how a company can continue to operate when bleeding that much cash. I hope the guys are getting paid all their entitlements, and on time.
gulliBell is online now  
Reply With Quote
Old 27th May 2018, 15:24
  #7 (permalink)  
 
Join Date: Apr 2000
Location: EGDC
Posts: 6,738
If their finances are that bad, do we have another Carillion in the making??
crab@SAAvn.co.uk is offline  
Reply With Quote
Old 27th May 2018, 17:34
  #8 (permalink)  
 
Join Date: Oct 2006
Location: UK
Posts: 4,237
Not really. Being an American company it has Chapter 11 Bankruptcy protection. As CHC demonstrated last year this enables you to wriggle out of catastrophe.
Fareastdriver is offline  
Reply With Quote
Old 27th May 2018, 18:41
  #9 (permalink)  
 
Join Date: Apr 2000
Location: EGDC
Posts: 6,738
I was thinking more along the lines of the UKSAR contract which apparently is the only thing supporting the rest of the business - if that falls over, the taxpayer will have to pick up the bill.
crab@SAAvn.co.uk is offline  
Reply With Quote
Old 27th May 2018, 20:04
  #10 (permalink)  
 
Join Date: Dec 2014
Location: Out West
Posts: 189
NRDK. I take it you don't invest in stocks and shares? You buy them when they are cheap and sell them when you have made a profit. I bought $20,000 in January when they were at $6. I sold them early last week at $18 - before the fiscal announcement (no brainer). When they dropped from $18 to $12 I bought some more. They were $60 a few years ago - before I owned any.
Same again is offline  
Reply With Quote
Old 27th May 2018, 20:16
  #11 (permalink)  
RMK
 
Join Date: Aug 2008
Location: London
Posts: 152
I had a look at their financials and in brief that doesnít look good. It has quite a few hidden warning flags and signs of distress (Iím a finance professional; Iím not in your industry).

Of note, they are deferring $190m of Capex into FY2020 and the majority of their debt is PIK with tenor of 5yrs or less. As the weighted average tenor of their debt decreases, the discount at which it is priced provides yields that will attract the high-yield special situation desks Ė in that scenario, you donít want to be an equity holder.

Not meaning to turn this into a thread more at home on a Bloomberg and I understand many of you may work for this company or closely know persons who do. However, Iíd be wary of dollar cost averaging or ďaveraging downĒ if you own this stock.
RMK is offline  
Reply With Quote
Old 28th May 2018, 06:08
  #12 (permalink)  
 
Join Date: Dec 2014
Location: Out West
Posts: 189
I didn't say that I think BRS is a good buy or hold. I mostly invest in shares with reliable, stable companies that pay a good dividend. That way I don't have to worry about the price as I reinvest. Bristow are merely a punt that I have made a nice profit with since I first bought them. If you can't afford to lose an investment then don't make it.
Same again is offline  
Reply With Quote
Old 28th May 2018, 06:10
  #13 (permalink)  
 
Join Date: Apr 2000
Location: EGDC
Posts: 6,738
RMK - when you say PIK, I assume it is this
A PIK or payment in kind is a type of high-risk loan or bond that allows borrowers to pay interest with additional debt rather than cash. This makes it an expensive, high-risk financing instrument because the size of the debt may increase quickly, potentially leaving lenders with big losses if the borrower is unable to pay back the loan.
you are talking about..........
crab@SAAvn.co.uk is offline  
Reply With Quote
Old 28th May 2018, 07:51
  #14 (permalink)  
 
Join Date: May 2002
Location: Wanaka, NZ
Posts: 1,520
Presumably BRS Executive bonuses are linked to profitability and share performance, and the execs haven't been paid a bonus in while, yes?
gulliBell is online now  
Reply With Quote
Old 28th May 2018, 13:57
  #15 (permalink)  
 
Join Date: Dec 2009
Location: Moo moo land
Posts: 259
Originally Posted by gulliBell View Post
Presumably BRS Executive bonuses are linked to profitability and share performance, and the execs haven't been paid a bonus in while, yes?
https://www1.salary.com/Jonathan-E-Baliff-Salary-Bonus-Stock-Options-for-BRISTOW-GROUP-INC.html
https://www1.salary.com/Chet-Akiri-Salary-Bonus-Stock-Options-for-BRISTOW-GROUP-INC.html


Seems some have. Also appears to be Mystery "other" payments of half their salaries
lowfat is offline  
Reply With Quote
Old 28th May 2018, 16:00
  #16 (permalink)  
RMK
 
Join Date: Aug 2008
Location: London
Posts: 152
Originally Posted by [email protected] View Post
RMK - when you say PIK, I assume it is this you are talking about..........
Full PIK is rolled-up interest and principal; "cash-pay" is where you make some manner of interest payments, but principal is rolled-up. There are generally blends of these with instruments that PIK-toggle (turn it on/off) or start as PIK for a few years and revert to cash pay. It is seldom this straight forward however.

The overriding idea is that these debt structures are generally used for high-growth businesses; that is not the situation here. Their capital structure is not suited to their situation..
RMK is offline  
Reply With Quote
Old 29th May 2018, 07:18
  #17 (permalink)  
 
Join Date: Nov 2008
Location: UK
Posts: 26
Originally Posted by Same again View Post
NRDK. I take it you don't invest in stocks and shares? You buy them when they are cheap and sell them when you have made a profit. I bought $20,000 in January when they were at $6. I sold them early last week at $18 - before the fiscal announcement (no brainer). When they dropped from $18 to $12 I bought some more. They were $60 a few years ago - before I owned any.
If you are going to lie on the internet you are going to need to try and make it more convincing.

Just searching the BRS stock price charts, the lowest they were in January 2018 was $14.09 on 2nd January

https://seekingalpha.com/symbol/BRS

Perhaps you meant January 2017? Nope the lowest they were then was $17.75. Tracking back through the charts, the lowest point hit $6.80 this time last year on 30th May 2017. Perhaps that's what you meant? You're getting yourself muddled up with buying in May 17 and buying in January 18

If you're going to lie on the internet, at least do your research beforehand

In addition, be very careful, I remember when CHC's share price plummeted and it was considered to be the 'perfect' time to buy, they then plummeted some more and then some more and then some more again. Even when they dropped to below $1, it was surely worth a punt yeah? They then dropped to less than $0.10 and the company went into Ch11 soon after. The model appears eerily similar, Bristow's are clearly burning cash YOY and quarter on quarter.
Mitchaa is offline  
Reply With Quote
Old 29th May 2018, 13:07
  #18 (permalink)  
 
Join Date: Jun 2003
Location: Omnipresent
Posts: 341
Originally Posted by gulliBell View Post
Presumably BRS Executive bonuses are linked to profitability and share performance, and the execs haven't been paid a bonus in while, yes?
What about the 2m USD bonus to the initial UKSAR BUL before her departure back across the Atlantic for cost savings/social media appearances.....

Crab, it is absolutely a worry that certain financial criteria needed fulfilling to bid on the UKSAR contract yet now the books appear to have been cooked.....
Hedski is offline  
Reply With Quote
Old 29th May 2018, 15:05
  #19 (permalink)  
 
Join Date: Apr 2000
Location: EGDC
Posts: 6,738
Hedski - considering that the financial security and strength of the bidders was a main part of the selection process, it is disappointing that there wasn't much in-depth scrutiny of the underlying business figures.

Although, considering some of the accusations made recently about the Big Four accountancy/auditing firms, it was probably a professional handshake to sign off the accounts.

Not helped by the fact that MoD wanted rid of SAR from their (equally dodgy) books.

RMK - I get the impression that the PIK is more used for take-over funding where only those investors capable of or willing to take much higher levels of risk get involved because the possible interest rates are much higher.
crab@SAAvn.co.uk is offline  
Reply With Quote
Old 29th May 2018, 15:20
  #20 (permalink)  
 
Join Date: Jul 2000
Location: Used to be God's own County
Posts: 1,463
right then,
buff-up those S-61s, I feel an 'even newer-super-duper SAR' bid in the making
EESDL is offline  
Reply With Quote

Thread Tools
Search this Thread

Contact Us Archive Advertising Cookie Policy Privacy Statement Terms of Service