Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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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!
Wishing Thorndon all the very best and hope he is well. He has been an invaluable asset to the Board over many years hunting down ITX niche brand wins/early mkt penetrations that now leads us to the likes of Henkel, Unilever and I hope P&G in future too (unless anyone knows we are already in their formulations already!). Thanks buddy, we appreciate the time and great effort you have placed in ITX sleuthing to track down the best part of c.150+ global brands.
Profit taking was inevitable, particularly given the sharp rise and the near to tax year end. We may get more happening over the next week, however when the new tax year starts, I expect this will provide the next impetus in the SP upwards
Missing Thordon’s regular contributions to this BB.
Only one post anywhere since 16th February.
Fingers crossed that all is OK…
The inevitable fall back after a big rise - the next step is the interesting one - hopefully a slow recovery towards 260p - then we know the SP is making progress.
Unbelievable at the moment.
MM taking out sells (possibly stop losses) as I cannot purchase any at the moment, another large order being filled?
NT for anything at the moment on HSD was looking to add at these levels, before the Finals.
ATB
AJP
It was financial free green jam not red jam
The other thing in my mind right now is whether the ITX market guidance for 2024 and 2025+ stated by the company is a mid point projection or not. I suspect its just the run rate expansion for existing mainstream products plus continued formulation development revenues added together to be prudent. The reason I think this is that if you had 2 to 4 additional transformational new product channels the company would be unlikely to mould that upside into the core revenues. So all these major upsides are a bonus for 2024/25 if they come off and generate market traction and sales. I also think this is the reason last year we saw the large professional investor 10m USD round with no effective discount to minority share price at the time when normally you would see a 10 to 20% disc on share price for the new money.
General market sentiment has been low going into tomorrow’s FOMC update. Tomorrow being seen as “local bottom for risk” and that market sentiment will swing up again.
That plus the Itaconix update in “early April” will likely see quick upward movement to 300p and hopefully beyond
Have been doing a bit of digging, can someone else please confirm the connection.
https://www.glossy.co/beauty/unilever-bets-on-bond-repair-category-with-k18-acquisition/#:~:text=Throughout%20the%20first%20quarter%20of,%2Din%2D1%20Super%20Serum.
https://www.sheamoisture.com/ca/en/jamaican-black-castor-oil-strong-hold-styling-gel/764302020653.html?bvstate=pg:2/ct:r
https://www.sheamoisture.com/ca/en/jamaican-black-castor-oil-strong-hold-styling-gel/764302020653.html?bvstate=pg:2/ct:r
Other products (sheamoisture)in that range also shown on last link.
"K18 is just one part of the growing bond repair space, which includes a growing number of brands like Bumble & Bumble, Living Proof, Ranavat, Kerastase, Redken, L’Oréal Paris and Paul Mitchell. "
We are also in Living Proof and Paul Mitchell for sure,
https://www.livingproof.co.uk/full/texturizing-foam/03421.html
https://flawlessbody.co.uk/products/paul-mitchell-awapuhi-no-blowout-hydrocream-150ml
ATB
AJP
Hi AJP, I didnt see that big trade! There is definitely someone hovering up some larger chunks of stock in the background that we did not see previously in the trading patterns. I took a look at the Canaccord Genuity (CG) web site and noticed they have Wealth division for high net worths etc and a few funds under management that focus on micro and nano capitalised stocks. I think the reason Finacap was ejected recently as dual nominated fin. advisor is that CG has greater capacity for establishing more of a wider investor presence for ITX. So, I think now the share is at a modest base camp (so to speak) essentially based purely on the existing launched products cashflows and we await for more news on the new transformative upside market opps. update early April? (3-4 of them) that may drive strongly the SP in April onwards. I think that's the reason someone is covertly adding bigger chunks of shares is my view with the view to another strong uplift beyond 250p (5p in old money) in the rest of 2024. Remember ITX has significant intangible asset value off balance sheet for these new market access R&D innovations (R&D projects in waiting to launch). Back in 2023 John said there was a rich $30m pipeline of potential customer/new development orders they are tracking with and that aligns with the doubling of the "formulation development" sales from memory at the time but I would have to look back at all the RNS's to confirm.
Hi D
Think there are many keeping their powder dry waiting for the 2023 full year results due to be released sometime in the first two weeks of April.
Think that when you have risen over 100% in the last month that there is always a natural pause to take breath. Mind you is there someone in the background scooping up all the easy sells, as in yesterday?
Late trade yesterday scooping 6275 shares @ 257p circa £16k
https://www.londonstockexchange.com/stock/ITX/itaconix-plc/trade-recap
ATB
AJP
Appears to have completely dried up here. Any idea why?
No sure if this is in addition to our current staff or a replacement, but we currently have four positions that need filling, one of which is another Laboratory Technician, we will be needing a bigger premises soon to accommodate all these additional people?
https://itaconix.bamboohr.com/careers
ATB
AJP
Https://youtu.be/PwkKWz2S9Q4?si=-eONHDEXd_1SUnEL
The link would help to be fair🙄