NFC.L Share Chat (NFC)

Thanks.

The failed takeover is history.

Revenue growth was lower during H2 lat year. N15 have the tech giants amongst their client base. They have been actively cutting jobs and costs. It is not just the tech giants either. What impact will that have on N15 this year? It seems the market is worried by the possibility of a profit warning or a downward adjustment in expectations if one prefers. Full Results out on April 25, we should have a better idea then if given a trading update.

Seen such a catastrophic outcome to a failed takeover. Heavens knows what would have happened if the S&S tak over had gone through, since the market were against it. And seem to have now lost faith with the management. Hopefully the final results will restore faith. The prelims were good.

I to would welcome opinion. Note to-day recommended buy , to put in an AIM-ISA to avoid Inheritance Tax. One of 5 AIM shares suggested by the Daily Telegraph,Money section.

We seem to be in a terminal decline here not helped by all the insider selling.
Can't find much in the way of recent commentary so don't what others think?!

Hi Robina. The differences between a fund manager and a wealth manager are many and varied. A fund manager accepts cash from a pool of investors to invest according to the guidelines that the fund has when launched. This might be in say geograpic or sector in structure, aligned to an index or theme such as smaller companies etc. A fund manager is usually paid as a percentage of the fund value and may restrict times and dates of disposals or acquisitions. Poor performance might lead to the entire fund being shuttered (Woodford was a good and recent example).

A wealth manager on the other hand is specifically engaged to look after individual portfolios. It is usually not worth considering looking after a portfolio where the amount under investment is below £200,000. The manager generally has a strong relationship with their client and complete discretion on the range of investments and timing of dealing. They charge a healthy commission (1.5%) when dealing AND a fee based on the capital value of the portfolio as a whole and charged every quarter. This management fee covers the research teams, custody of certificates, currency charges and both platforms and instruments that are not usually available to the private investor.

Of course, wealth managers get things hopelessly wrong from time to time and mine is no exception. These are rare and because they are dispassionate on what is within the portfolio, they tend to make rational decisions to buy, sell, add, reduce, whether to add and timing. They do not pretend to be watching like a hawk the nuances of the day, or an individual account. They do look at accounts on at least a monthly basis and sometimes more frequently.

I hope this helps.
I hope that begins to explain

Interesting what you say about engaging a wealth manager. Are they better than fund managers?! Problem with the latter is that most stayed invested in overheated and then rapidly declining stocks. As a PI it's difficult to ditch things either for for fear of missing more profits or conversely for realising losses.
Anyway, I've kept oil stocks (lucky that I sat on my hands) and shifted part of my portfolio to high dividend payers like PHNX.
Regarding NFC I'm massively down but des[ite a paltry dividend it looks massively undervalued so I'm hoping this rally will continue.

Well, that is kind of you, though not a consequence decided by me. Let me expand. For the last 45 years, my working life, I have tried to put a percentage of my monthly salary to work. I have made many poor decisions but rather more better ones and was able to engage a wealth manager in 2008 to manage my portfolio.

I have reached the point in my life where a generation has closed and I am the recent recipient of capital to approximate half of my invested wealth. This needs to be put to work as I prepare for the 20-30 year likely window for succession. Oddly enough this same time frame needs to see me and my wife (we), through a comfortable retirement. My portfolio is thus structured for capital growth at HIGH risk.

Inheritance allows us to be ambitious in our investment choice. Immediately before inheriting, the average invested sum was £10,000 per bargain. We have 75 holdings. Since initial receipt of cash, this has increased to 90 holdings (of which this is one), have disposed of 4 holdings and strengthened others. The average investment per holding has increased to £12,500 and am sitting on cash of slightly under £47,000. This cash will be sheltered in ISA (for investment) unless there is a compelling reason to add to my portfolio in the next few weeks.

2022 was a dreadful year in terms of my portfolio performance, down over 20%. It took a full 1% off my average growth over my working life to 13.5% compound. 2023 has started off well (often does in January) and I am up almost 2.93% overall. I am expecting growth this year of 16% including re-invested dividends. Currently running slightly ahead of expectation, but far too early at this stage to matter.

FWIW, I am expecting a long recession in the UK and a short one in US. It does not follow that stock marklets will continue to fall. Volatile in the first qtr, stability in 2nd and am bull market for 10 years from 3rd. Ever the optimist !!

The end of the M&C Saatchi saga should put the company back on track. No coincidence that the sp has made a significant upward move today. Hopefully the company will now be fully focused on achieving organic growth without distraction.

Looks like share price is heading back on track

Qd22, allowing for money set aside for Mach49's earn out, Next15 made a loss. The 60% of earnings billed in dollars is not that great, when compared to the total earn out for Mach49. Thankfully now capped but still @ $300m @ 85% cash 15% equity. Failure to come up with a reasonable but almost certainly lower cap, at the time of the deal has cost them dear. If they did not protect against further sterling depreciation, when the max cap was agreed in February, then will be costing much more. If so, they should be wondering what their Nomad was doing.
If the current takeover offer comes to nothing, would not be surprised if NFC becomes a target themselves. Especially so when Pound Sterling drops below parity with the US Dollar.

Agreed. For ease:

"Financial and Operational Highlights

Group net revenue growth of 65% to £274.0m (2021: £165.9m)Organic net revenue growth of 31%Adjusted profit before tax up 73% to £60.7m (2021: £35.0m)Adjusted diluted earnings per share increased by 68% to 44.1p (2021: 26.3p)Interim dividend up 25% to 4.5p per share (H1 2021: 3.6p)Significant new client assignments including Morrisons, VMware and VerizonAcquisition of Engine Acquisition Limited (“Engine”) in March 2022, which has been successfully integrated into the GroupIn May 2022 we launched a recommended offer for M&C Saatchi plc (“M&C Saatchi”), which valued the business at approximately £306m
Current trading and outlook

The Group’s strong trading in our first half has continued into the third quarter of our financial year. Whilst we are mindful of the current macro-economic and political backdrop, we remain confident about our outlook.

53% of the Group’s revenues are from the US market, with a further 7% of revenues coming from clients that bill in US dollars."

With currency so dire it's good they remind us of the $ revenue.

Strong results!

https://www.proactiveinvestors.co.uk/companies/news/984543/next-fifteen-confirms-its-m-c-saatchi-takeover-offer-is-final-984543.html

Perhaps it's now falling in sympathy with SFOR. Either that or the bot that runs round clobbering everything I invest in has now reached NFC.

I also thought that S4 Capital were a player here but their recent share price collapse put a stop to it. Sure it will improve shortly. Not disappointed in today’s news re M & C though as I have shares in all three.

Nice rise today - in concert with SFOR possibly?!

https://www.proactiveinvestors.co.uk/companies/news/978808/next-fifteen-sees-profits-soar-978808.html

https://www.proactiveinvestors.co.uk/companies/news/970968/centralnic-darktrace-and-next-fifteen-are-among-the-top-picks-for-2022-for-this-investment-bank-970968.html

https://www.proactiveinvestors.co.uk/companies/news/961909/next-fifteen-communications-group-trading-update-shows--remarkably-strong-period--961909.html

https://www.proactiveinvestors.co.uk/companies/news/949225/next-fifteen-to-see-good-year-of-growth-says-broker-949225.html

Nice to see this bad boy finally getting a rerate. Onwards and upwards.

I’ve been reading up on this company prior to investing. Stockopedia has forecast consensus net profit after tax for this year at 30m, however there will be an impairment charge of 10m to hit the books, so I can’t imagine stockopedia has this right, any views on the likely result (I note a statutory H1 3.4m loss so far this year so again 30m seems way off)?

ANOTHER BLUE DAY , good to see ,
had planned to look in more today ,and not watch ncyt until Sepember as was thinking a good month there in September
then rns there today on, New test differentiates COVID-19 from common winter diseases
hoping for more god news here at nfc ,and this buying to continue

A good day, hope they reinstate a divi soon.

today has seen a nice rise at nfc

This stock just sits here like a stale turd in a toilet bowl.
When are they going to do something here?

6 Apr '20 - 13:33 - 315 of 315 Edit
0 0 0
Huge Trading Volume earlier today all listed as buys in 3 minute time slot
'
Date Time___________Price______Shares_________Value
'
11:03:12 06-Apr-2020__285.00 __2,550,000_____£7,267,500.00
11:02:01 06-Apr-2020 _285.00___1,059,865_____£3,020,615.25
11:01:47 06-Apr-2020 _285.00_____501,000_____£1,427,850.00
11:00:00 06-Apr-2020__285.00___1,000,000_____£2,850,000.00
'
Shares in Issue 87m
Daily Trading Volume stats from Jul 2017
;
Max____________2,096,198______22/08/2017
One in 100 day___849,948
Q3________________78,603
Median____________30,267______middle of sorted sample
Q1________________14,120

FCA Moratorium on publication of results and we have a FY style Trading Update which reads reasonably well.

A couple of hefty buys @ £5.00 this lunchtime.
It's time this share price got moving, it's been left behind the others on AIM this month for no reason.
GLA

All looks good to me, wish I had some top up money!
Tree shake this morning, dilution is minimal.
Dividend up 15%!

Interims Highlights
-- Group net revenue growth of 11%
-- Adjusted profit before tax up 14% to GBP17.2m
-- Adjusted diluted earnings per share increased by 7% to 15.2p
-- Net cashflow inflow from operation increased to GBP19.3m (2018: GBP7.7m)
-- Strong balance sheet with net debt of GBP3.6m (2018: GBP25.6m)
-- Significant client wins including M&S, O2 and Purplebricks
-- Acquisition of Health Unlimited, a NY based healthcare agency, for M Booth
-- Confident of meeting market expectations and return to high single digit organic growth in the next financial year
'
Interim dividend up 15.7% from 2.16p to 2.5p per share
15.7% increase on the interim dividend for last year.Paid on 22 Nov XD 25 Oct 2019.
'
Acquisition
Health Unlimited is a global health consultancy and communications agency.
The initial consideration for the acquisition is approximately $27.7 million,

I hope there hasn't been a leak ahead of tomorrow; because this has been murdered recently.
All the updates this year have been good so far.
GLA

Scheduled for 1st October 2019

my own feelling is it's Hargreave Hale selling down after some major gains, I've noticed that the percentage of this across their total all share holdings has dropped from 1st place down the order over the last 2 or 3 months. They are probably trying to do it without upsetting the sp too much, hopefully when they're done we'll have the uplift, it's a long term share for me

On the drop.

Certainly the close of play trades are all buys with �70k max , make it look tempting after the high of 450p. May even add a few. But as always do your own research. GLA JJ

Another acquisition in the NFC style of Elvis Communications for £5.5m cash. A digital agency focussed on consumer brands clients Cadbury,Honda,Stella Artois ,Budweiser,Corona and Kenco. Again debt free and earnings enhancing. As a long term growth investor I shall sit back and enjoy the ride.

Good to know d. NFC have been doing a bit of their own fishing. Recent RNS have been interesting:- 11July17-acquisition of B2B digital agency Velocity Partners Ltd,with their founders and their expertise remaining,70% revenue from US clients,debt free,and earnings enhancing for NFC this financial year. 12July17 - acquisition of B2B market research consultancy Circle ResearchLtd, again founders remaining . Clients include Vodaphone,Google,Masrecard,BSI,SITA,Maersk and Facebook. Debt free. And earnings enhancing this financial year. Must trawl through my funds to see if NFC lurks beneath the surface

yes, and a cracking fund that one is, fared me very well through the years, Naked Trader also in here

This one is in the top 5 holdings of the Marlborough UK Micro-Cap Growth Fund as well.

Decided to catch this one. Just seen my modest buy is given as a sell ! Never mind ,Harry Nimo,the veteran guru of the Standard Life UK Smaller Companies fund keeps buying NFC shares on the basis that NFC is orientated towards the tech giants such as "Google,Facebook and Amazon which are growing quickly and should boost Next 15's future returns". So as ever in this game fingers crossed. GLA. JJ

Any views anyone?

Still represents decent value looking forward with forecast expansion overseas and a consolidation of newly acquired Incredibull. Trading update Next Fifteen Communications Group plc, the digital communications group, is pleased to report that the positive start to the new financial year seen at the preliminary results in April has extended to the first five months of the period. Driven by continued strong revenue growth from our North American businesses, the period has also seen sustained margin improvement in the UK and Asia as the Group’s work to simplify its non-US operations progresses. In terms of business development, the recent acquisitions of Animl, Encore and Morar in the UK are making a growing contribution. The Group also announced on 2 July 2015 that it had acquired the brand-marketing agency, IncrediBull, which will become a part of Text 100 next year. Next 15 has now made four separate investments to strengthen its UK business in the last seven months. Elsewhere, we have accelerated our plans for Agent3 to enter the US market in the current year after achieving early success in Europe. Since the year end the Group has added notable additional business from Google, Unilever and Carnival Cruise Lines. These wins, combined with the performances noted above, put the Group in a strong position to deliver on the Board’s expectations for the year to January 2016.

Impressive results.