The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
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I agree very low sp for a business that has so much upside, I personally don’t think John would sell at any price short on f 15p old money, he’s got a long term goal and has to much invested in this to let it go unless the price is high and realistic
It's pretty typical of this share and many others on Aim to float back down after a big rise , wonder were it will settle £2 ? Surely not £1.50 , if it does I might buy the company myself lol , but in all seriousness , very low SP = offer here . imo dyor
Must admit I sold about 25% of my holding around £2.40 last week as a pull-back is almost inevitable. The money is sitting in my account ready to buy back in when/if we get to £1.80. People sell for all kinds of reasons, even if you believe the general direction is up.
Nice buying opportunity, I have purchased some more today. Have been invested here for some three years, there is always a pullback before another significant rise, of which I am pretty confident.
Good for you Ricky to skim a little after the rise but this does not takeaway the compelling 2024 investment opportunity from here on in
Bills overdue now.
Silly question maybe 🤔 but why did you sell now not after the results in April?
That was me.
Needed the money for house repairs but finished selling now. I still have 80% left for a much higher price.
So what is all the selling about?
It's the near term revenue line growth expectations and how many new key supply accounts we are winning that are together the key value drivers for me rather than 2024 profitability per se. Great profits will flow naturally from continuing diversified sticky client access/channels. So the status of mkt traction across ITX expanding portfolio is what I will be interested in in the forthcoming results discussions. This will spark new investor interest/demand and potentially wider corporate activity.
Hi Luthrin
Then the figures may well be better than I have forecast, this was only a rough set of numbers and are I guess open to interpretation, but where I was coming from was that the overall figures should not be a million miles away from breakeven?
Good to get others thoughts on what we should expect, as we can see from the recent posts on links into new products being produced by the big boys, that we are also making inroads there, which can only be positive.
Not long now, my guess would be 3rd or 10th of April for the finals, should be very interesting?
ATB
AJP
AJP: ITX had cash and cash equivalents of $10.9m at 30 June 2023 and $10.0m at 31 Dec. As far as I'm aware, money market and T-bill rates over the H2 period were consistently above 5%, so interest income ought to be significantly higher in the second half.
However, this assumes that the CFO isn't indulging in period-end window dressing and that the cash wasn't being used for working capital purposes in the interim.
Hi JD
No problem, was tucked away at the bottom of the RNS.
Have had a stab at the figures for 2023, back of the cigarette packet job (lol)
1st half 2023
Revenue -$4,032
Cost of Sales – ($2,899)
Gross Profit - $1,133
Admin Expenses – ($1,863)
Group Op Loss – ($730)
Interest Income – $48
Loss for the period ($694)
Reclassification items $439
Total Loss for the period $225,000
2nd half 2023
Revenue - $3,900
Cost of sales – ($2,400) no raw materials all in 1st half
Gross Profit – $1,500
Admin Expenses ($1.900)
Group Op Loss – ($400)
Interest Income – $40
Loss for the period ($360)
Reclassification items $400 marked slightly down from 1st half
Total profit for the period $40,000
Looking forward to see how our GPM has improved, profits this year ?
Thoughts
ATB
AJP
AJ - Quite right and my apology
Hi JD
From last trading update.
"Further details of FY23 trading and the outlook for 2024 will be provided when the Company announces FY23 results planned for early April 2024."
ATB
AJP
AJ - wishful thinking, I'm afraid.Final results always in June. Only exception was April 2022, when they announced a fundraising exercise, shortly after.
Scarcity of shares around to buy and the 'cashing-in profit' sentiment will continue until June, probably.
Many investors seeing a doubling of the SP in a month can't believe their luck, so have cashed in, accordingly - can't blame them, really.
Will drift further I expect, unless a good news RNS is about to be launched- but us LTHs know the true value.
GLA
Dishwasher product (Europe)
https://www.ecosplendo.co.uk/claro/eco-multi-tabs
• Polyitaconic acid sulfonated sodium salt
https://itaconix.com/wp-content/uploads/SDS-Itaconix-CHT-122-rev-EU-2-1.pdf
ATB
AJP
Washing powder in Europe, not seen this one before?
https://www.rossmann.de/de/haushalt-eco-freude-vollwaschmittel-20-wl/p/4305615834917
Sorry in German, but you get the gist. (Sodium Polyitaconate)
Rossmann
Pharmacy chain
Dirk Rossmann GmbH, commonly referred to as Rossmann, is one of the largest drug store chains in Europe with around 56,200 employees and more than 4000 stores. In 2019 Rossmann had more than €10 billion turnover in Germany, Poland, Hungary, the Czech Republic, Turkey, Albania, Kosovo and Spain.
ATB
AJP
With the results due out on the early part of April, will there be an AGM as well?
If so I would expect an RNS out next week to advise?
Sure there will be a bit of movement back and forth till then as investors try and get their positions sorted out.
Back to the research on products
ATB
AJP
Perhaps. But I really cannot wrap my head round why anyone would sell below placing price.
You are probably right Elsol. Either way I’ll be hanging on. 18M net profit on a 100M sales would be very nice. With a 40% dividend payout on that amount would be 7.2M would be ca. 0.50 per share, assuming no further share dilution. It’s a waiting game for sure.
To be honest, I think ITX will be merged/acquired with/by another speciality polymer/chem business well before we hit $100m revenues. There are too many globally diverse / big tier or regional mid-caps or smaller niche ECO focused players out there - all hungry for strong reliable market rev. growth, product/brand diversification and higher margin potential (chemistry functionality with added value possibilities). A business combination will generate significant synergies IMO. Not least customer access & leverage/overhead reduction/marketing power/noise and portfolio/R&D synergies (co-promotion of adjacent products). In any case, a key catalyst will be displacement of existing incumbent ingredients. This could happen sooner than one may think. Any takeout of the company will need to reimburse all the costs to date invested plus a handsome bid premium but the longer we stay alone the bigger the rewards for shareholders. Just hang on to your shares is my recommendation.
P&G had a net margin of 18% in 2023.
The CEO John Shaw, I think in his last interview, stated a goal/ambition a few years from now (let’s call it 10) was to be a $100M company. I really hope that happens - he sounded quite bullish. If it does, I think we can at that point be considered to be a quite mature chemical ingredients business. I wonder what PBT & PAT margins might look like then?
Sorry about the typo my friend but the message remains the same!