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We have heard through the grapevine that seed sales are soaring, although opti only gets a small percentage of royalty due to many ingredients it all adds up.
They use good photography and modern advertising like instagram.
As a rough ballpark on 9/09/19 they had 46856 hits.
Today its over 72K
https://www.instagram.com/seed/
position being taken on SBTX, up 8% today.
excellent explanation shandypants, nice to see revenues growing at an impressive pace. I've been following the H and B online sales, and they are also listed as a top seller.
Although not brilliant for us it is re-assuring that if the company needs access to finance, it can easily sell another couple of percent in SBTX. Far better than the dreaded rights issue.
Seems a few other investors are also coming to same idea as seeing a slow rise todaY.
Right re-read the RNS again and I think it is very poorly worded, hence the confusion.
Spike is still right and Elrico is wrong on his blog - the £514k is money invoiced but not yet received, so is already included in the revenue figure.
HOWEVER, it is the OTHER INCOME figure of £617k that is poorly worded. This includes selling of Skinbio shares so is not really income as such, more of a fundraise, BUT appears to include other income such as exclusivity payments.
I know OPTI sold £250k of Skinbio in H2 , not sure if that's the only time shares were sold. If so other income is c£367k.
I think this is why TW has stated rev is higher and why he is buying.
Personally am surprised OPTI broke down these payments (other than the Skinbio shares) and didn't just lump them into the rev figure as this has not been excluded on previous figures.
Total sales for the year were £808k with other income of £617k, including, inter alia, income resulting from the partial disposal of SkinBioTherapeutics plc shares, bringing the total amount of income for the year ending 30 November 2019 to £1,426,522 (2018: £541,614).
"spike well that would also make TW wrong as he also said similar in his bearcast from a few days ago,you will need a subscription to listen"
I subscribe as well - TW is claiming the debtors are not booked to revenue, he is saying that not all of the 'other income' is related to share sales of probiotix, but a portion relates to non-product sales. TW basically say full year revenue is really £1million as opposed to £808k. I don't really know how he knows this, he could be right, but it would be a bit unusual from an accounting perspective.
spike well that would also make TW wrong as he also said similar in his bearcast from a few days ago,you will need a subscription to listen,
Tom Winnifrith Bearcast: I'm sitting on a dynamite resignation letter + No Gold you are ( as usual) wrong Steve O'Hara is NOT a liar
BY TOM WINNIFRITH
The resignation letter from a NED at an AIM listed company is a shocker. So far there has been no RNS. If the company does not come clean on what is in the letter I shall publish in full on Monday as it opens up a serioes of cans of worms which raises far bigger scandals I suspect. I discus this at length. I also look at Plutus Powergen (PG), Zinc Media (ZIN) and in great detail Optibiotix (OPTI) where the professional cynics have got it wrong and need to apologise. I have bought more shares on the back of today's interims and explain why.
https://www.*************.com/views/46913/tom-winnifrith-bearcast-i-m-sitting-on-a-dynamite-resignation-letter-no-gold-you-are-as-usual-wrong-steve-o-hara-is-not-a-liar
Jscsc - the lemminginvestor blog is wrong on that point. The debtors are included in the revenue figure, they have to be - basic accounting.
Today's Daily Mail online:
could this pill packed with 'good bacteria' really fight your flab? https://mol.im/a/7909717 via http://dailym.ai/android
The firm is Pro-Ven. 5 strains of probiotics. On sale next mth £29.95 for 30 capsules. Lost average 3 lbs. But with 7lbs in over 50s. Bad cholesterol decreased 8.6%. Some lost 11 lbs in trials.
thats why he said 800 odd K end of company year, over a million annual year.
Its just unfortunate that company year falls before the annual year payments due.
We are going to get the same next year as well.
At the end of H1 sales were £148,000. O’Hara promised a second half uplift of 5-6 times. And in a Proactive podcast after the 30th November year end he said he had hit that target and sales were c£1 million. Sales came in at £808,000 so he lied, right? No.
Sales of product, milestones etc came in at £808,000 but there is a number of £617,000 of “other income” on top. Most of that is sales of Skinbiotherapeutics shares. But a good whack refers to income from signing exclusivity deals and similar structures which is not a product sale. So total revenues excluding share sales were 5.6 times higher in H2 than they were in H1 (within O’Hara’s range) and overall revenues excluding share sales were c£1 million as promised
https://www.*************.com/views/46966/optibiotix-i-ve-bought-more-shares-after-badly-written-trading-statement
This is a perfectly normal cycle of a growing business as the partnership develops and terms change to suit. In reality, the £514,000 figure can be tagged on to the £808,000 figure equating to £1.322,000. The £514,000 figure cannot be accounted until invoiced terms are met, i.e; 90 days, 45 days or 30 days, so until paid in full, the figure sits in the debtor's column.
https://lemminginvestors.blogspot.com/
JSCS - I agree with Spike 100%.
I have re-read the RNS and revenues of £800k are clearly stated. The cash position is also stated - see below.
In it it refers to the £514k debtors and also the £370k creditors (money that OPTI owe but have not yet paid).
So in effect OPTI is waiting for the £514k to be paid (invoiced but not yet paid) and has to pay out £370k - net c£140k.
I notice OPTI has added the debtors to the cash position but have excluded the creditors presumably to show the highest cash figure possible. A little misleading IMHO
As at 30 November 2019, the Company had £687,699 cash in the bank with debtors of £514,000 totalling £1,201,699. Once R&D tax credits and recoverable VAT repayments are received, the balance is £1.394m (2018: £1.67m), excluding creditors of £370k. This is an increase of £154k from H1 (H1 2019: £1.24m). We have the option to further reduce our holding (circa £7m) in SkinBioTherapeutics plc if growth capital is required.
No it isn't spike501,read the RNS again
Belgrano - you can’t add the 514k to the 808k - it’s part of the 808k.
If they aren’t paid it would be deducted from revenue next year but there is no reason to assume it won’t be paid.
and if you add that to 808k 1.322M , thats actually exceeding expectations, plus the sbtx shares sold.
However to maintain balance its not actual cash received yet, so if the debitor was to go bust or refuse payment it wouldn't count.
Little wonder TW is topping up..he's no fool, despite what some think.
I agree Spike - it appears to be unpaid invoices IMHO - most large companies have a 90 day payment term.
So goods supplied and invoiced but not paid in period. So £514k is in income statement but not cashflow statement
I suggested a friend try slimbiome , she is delighted with the product and it works. I am pleased that Opti and Holland and Barret are selling slimbiome at a competitive price, although they have very little competitors.
Shareplease - the debtors of £514k must have been accounted for revenue in 2019. Debtors is an asset and for an asset to have been generated there must have been a corresponding entry in the income statement - i.e revenue.
My take on this is company year ends nov 19, expect many payments ie: royalties have to be received by year end.
Most companies dont pay bills before they have to, so will leave it till the bitter end, but could be out of our accounting year so count as debtors. If you take that into account, year figs were very good indeed. However cannot be counted as not received.
It can be either. The contractual terms and delivery determine revenue recognition not cash payment.
I would have thought most of the debtors are from invoices raised late in the year but yet to be paid where revenue has been taken.
I know that the revenue for the full year was £808k, ( which the market was disappointed with ) but I’m having a problem with the £514k debtors. With my limited knowledge of accountancy, if the £514k can’t be accounted for in 2019, does that then mean, when it’s paid, it will be added on to the first half of 2020, if so, then the first half figures should be very impressive.