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I think they will probably wait a couple of weeks into April in order to firm up Q1 numbers. They are going to have to tell us how they did given the forecast of breaking into profit.
Prelims were out on 30 March last year.
Doubtful we will get much before mid April (prelims). However, I suppose there is a possibility of news on the EU authorisation of the nitrile gloves (meant to have been 3Q last year, then Q4). Whether will ever get to hear of the fate of the 100 then 60 trials of potential $40m recurring annual revenue is difficult to ascertain.
still waiting.......
Symphony env India had a stand at PlastIndia 2023 New Delhi last week, so maybe we'll get some news on that front & also on sales volumes which being jointly owned by Indorama Corp should be decent.
Cheers.
It’s worth remembering that the August subscription by Sea Pearl (owned by the daughter of the Chairman of our India joint venture partner Indorama) was at 18p (only a 5% discount at the time) with warrants at 25p. I reckon she knew what she was doing and will expect a decent return on the warrants, never mind the shares. The fact that the sp has drifted down on handfuls of sells by impatient PIs/traders is a reflection of the market rather than the company’s operational performance and those same dynamics will work in reverse to make this bounce back hard on good news imo. Impatient sellers will have to just watch or chase a significantly higher price when that happens. Personally, I am happy to stick it out. Don’t think I will have to wait long to be back in the black here. GLA
talk about yellow brick road never ending road to never never land except for management with their salarys and pensions its a f------ joke
we will wait ...............................................
The forecast for India is £250k per month by end Q1 2023. So presumably about £3m or so for the year. They have said in their 23rd December trading update that revenue for 2022 was £6.5m and if you look at their detailed table of revenue (outside India) it only adds up to £6.0m so implicitly I would guess they made £0.5m in India in 2022 which only really started in the last 3 months of 2022. About £200k per month. (Or otherwise the table is wrong.). So they would seem well placed.
The profit from India will be very welcome but it is a JV (46% for SYM) and tax in India is about 30% plus I think a 20% withholding tax in dividending any profit out to the UK. Every Rupee counts in India and I would imagine they are not getting any more than their normal 40% gross margin on d2w. However, it has the potential with Indorama pushing it to do large volumes and they are also doing d2p bread as well. I think for SYM it is very strategic if such a large country can go down the d2w type route rather than compostables or a total single use plastic ban.
More generally in the 23rd statement they seemed (not entirely sure) to pull forward their guidance for £14m revenue from end H1 2023 to end Q1 2023:
“Based upon the Group's trading performance in December 2022 and that trending for Q1-23, the Board expect Symphony to move back into profitability during this period.”
By my calculation breakeven (Zeus is the same in one of their broker notes) is reached somewhere around £12-14m revenue.
Whether SYM will achieve this and sustain/grow revenue is anyone’s guess. They have a lot of initiatives on the go but they consistently wildly over promise and underdeliver so it is difficult to have any trust. I can well understand Zeus suspending their coverage until some real results come through. They too must have been a victim of unrealistic guidance on revenues from SYM.
Hopefully there can be a positive update on the India income soon, confirming the forecast of £14 -15 million per year coming in month by month from now on, including this January? Such confirmation should send the SP securely upward.
Out today. Seems to be a consideration of the pre-close trading statement in December. Zeus (house broker) say they remain positive but are suspending estimates and valuations until full year results in April due to uncertainty over projects and profitability. Management have agreed with this action. Make of that what you will.
it will be whispered....
is there any news on the eu legal action ?
down again without news ,,, s l o w_ b u r n ......
This has been an extremely tricky share for many years now.. as in text book jam tomorrow - aka next year, next two years ...etc.. - however I've kept the faith here with a half decent core holding for years - alongside range trading parts of my holdings too granted - and actually have this in my top 10 tips for 2023 list.
Also, I'm putting my money where my mouth is in topping up here a few times in recent days
IMHO & DYOR
The directors have yet to exercise their (thrice extended) share options. These have exercise prices of 12.5p and 4.5p and so generally have been heavily in the money. The 4.5p ones still are. I can only assume that they are not prepared to risk their money (because it would tank the share price if they exercised and quickly sold - so they have to hold the resulting shares for a reasonable period) until they are rock sure as to SYM’s prospects.
Hopefully director buys to back up their ambitions
TRADING UPDATE POSITIVE , JAM TOMORROW . TIME SHOULD MAKE PROGRESS .
And despite the MMs marking the sp down on opening it has bounced back strongly with some chunky round number buys, so the market seems to like it so far.
Whilst it would have been good to have had a specific update about progress with Grupo Bimbo, there is nothing to suggest it is off track, indeed, on the contrary, within the £14 m pa forecast we still see the sharp increase in D2P bread packaging revenue to from next to nothing to £2.5m. That, in my view, will be in large part due to the new contract. The relationship with Grupo Bimbo is long standing, as I note from their website that they have been using D2W for a decade. It is the adoption of the D2P bread packaging tech which was new and it is still only six months from the announcement so, as the figures suggest, still too soon to impact much on 2022. They are bending over backwards to make it clear that we are on the cusp here of a significant shift to a much better commercial/financial phase. All imo only and Dyor.
best only look at the facts and not the forecasts forget the crystal balls,
Yes, it is very bullish - particularly as it talks about December trading and that the £14m annualised revenue run rate will be achieved in Q1 next year - which is hardly far away. However, as always with SYM, they have missed their numbers - and badly. We were not told about certification problems in their ME partner’s factory - we were led to believe it was up and running and what is going on with Bimbo? Only £0.1m of d2p bread sales when the Bimbo contract was meant to have started about six months ago. For me that is the most surprising aspect of the trading update.
A bit of a mixed bag with the delays re the Middle East factory and resolution of destocking issues being a disappointment. However, the outlook is very upbeat with profitability expected in Q1 2023 and the guidance of an annualised run rate of £14m in revenues maintained.
RNS 31 October - update:
‘The progressive and significant engagement with potential customers leading to an anticipated and encouraging forecast of orders and sales of our considerable technological virtuosity must have been delayed by the postal strike.’
Qd22, the RNS you quote from was released on the 31st October, not 2 days ago.