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Monkshood, yes that presentation has been on MANO’s website since February 2020. The company gives us similarly detailed information as at the 6 month point in each financial year (30th September) and subtracting each 6 month position from the end of year position enables us to get a more granular/frequent look at the conversion of unrealised revenue rather than rely only on the year to year results.
Forensic, thanks for that, I’ll track down the Liberum note.
Thanks Forensic/Martin
Have you seen the 2020 investor presentation, where they cover unrealised/realised revenues?
https://vimeo.com/386252528
Martin - Liberum have released an excellent in-depth note today focused on: 2016-2020 actual cash conversion to realised revenues of 112%. Ranges from low of 96% to high of 126%. Long overdue analysis! Obviously unrealised revenues increasing as Mano is more than doubling the number of new investments every year (139% in FY20). Buy recommendation and Target Price of 710p.
I posted the following comments on another board before the ************* outburst but I think it is relevant.
I compared realised revenue in each of the last four 6 monthly reporting periods with the unrealised revenues booked in the preceding period.
Realised revenues were respectively 109%, 129%, 29% (in the 6 months to September 2019) and 105% for the most recent 6 month period. The average percentage has therefore been 93%.
Readers on this board will realise that this is not a scientifically robust conversion rate, but I think it will do as a rough and ready indicator of the credibility of MANO’s unrealised revenues being something we might all be worried about.
In the most recent 6 month period MANO booked £5.3m of unrealised revenue and overall debtors at the balance sheet date were £5.9m.
So I think we should expect circa £5m to become realised revenue in the 6 months to end of September 2020. If the number turns out something like that I am going to stay relaxed and bullish about the future.
I was not convinced by the Share Prophet report and thought the rebuttal yesterday was reasonable in the context of previous information from the company. Took advantage of the price drop to top up with a few more.
Looked at Share Prophets website today and was rather shocked by the language that they use, very hard to take anyone seriously when they resort to such measures.
Completely understood Peter.
Best wishes
Forensic, my post wasn’t intended to pass judgement on Mano, just to provide some context and information. You’ve fully read the articles and reached your own conclusion on the merits of the dispute. As I subscribe to share prophets, I was just flagging up some information and thought investors here would be better informed if they read it. Hope all goes well for everyone invested here. GLA
share prophets are as corrupt as any company I know, they use pi's to manipulate prices, and buy or sell their shares in the company commented on before they inform you thereby making there money whichever way it is going. All the companies they promote pay them to do so, pushing a price up and then the company company drops a money raise, but they have sold out after the rise and before the raise which crashes the price. Keep well away from this share tip guru winifrith. you have been warned.
Peter - this Share Prophets outfit responded to Mano’s rebuttal yesterday. Having seen Mano’s response, their second statement is nothing like the first. It is very short and (with a bit of face saving language) largely agrees with Mano in most areas. The cash conversion profile is exactly what one would expect of a business in this sector. Their main gripe is with the PR agency. Again something of a deflection tactic perhaps. The spat is over.
Share prophets
Hi, I subscribe to ************* but I don’t hold any shares in Manolete. The ************* article of 10th July is very detailed in its analysis, and in the main is highly critical (and sceptical) of how Manolete books profits. Manolete “takes 2.8 years to convert a single year of net profit into cash” . Hence it appears to book profits in the financial year and accounts, but only collect cash much later and not within “12 months” as Mano claims. Hence why it has to borrow more money. Mano’s response doesn’t appear to provide any information to rebut this. Not an expert myself, but hope this helps. If you’ve got any decent sums invested might be worth subscribing to ************* for this article alone, and then you can make up your own mind.
Results seemed good, response to article seemed comprehensive, but the market is not impressed. I can't see any reason. I added this morning.
Comprehensive. They turned it into a platform to explain how good the business model is.