Noble Investments

Acquisitive coin and stamp dealer Noble Investments says retail business is strong after lifting annual pre-tax profits 21% to £1.9m.

Managing director Ian Goldbart explains a 3.9% drop in turnover to £10.1 million for the year to August by an increased share of auctions, where only commissions, rather than the value of goods sold, count as turnover. He says the London-based company has been building up its auction volume to the point where it no longer needs to put its own coins, from an impressive hoard belonging to its Baldwins acquisition, under the hammer.

Shortly before its August year-end, AIM-quoted Noble bought Surrey-based stamp dealer Apex Philatelics for up to £1.25m and hopes to build on its £2m annual turnover from seven auctions. Goldbart says business was ‘very strong in September’ and showed a similar strength on the retail side in October, though no auctions took place last month.

He suggests recessionary times should see volumes maintained, as stamp and coin investors and some collectors generate commissions by selling. Goldbart blames the shares’ plunge from nearly £2 earlier this year to 65p last month on the need of two hard-pressed Icelandic to liquidate clients’ Noble holdings to meet margin calls.

He says the company is in a position to consider potential new acquisitions, but just now he is keener to recruit key individuals. Now 73.5p, the shares could reward a medium to long-term punt.

Save 50% off your first year’s subscription to Growth Company Investor magazine, and gain immediate access to all the recommendations online. Click here.