Proposed Directors of Tirupati Graphite explain why they have requisitioned an GM. Watch the video here.
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Plant Health Care has announced an expansion of their product label for Employ in California, now approved for a wider range of crops, which is expected to improve crop protection and yield for growers. The product, distributed by Wilbur-Ellis, has shown consistent efficacy in suppressing nematode egg production, a major concern for Californian agriculture. This development aligns with the company’s commitment to providing sustainable alternatives to conventional agrochemicals and marks a significant step in their growth within the high-value markets.
https://www.tipranks.com/news/company-announcements/plant-health-care-expands-product-label-in-california
For this years growing season too:
Jeff Tweedy, CEO of Plant Health Care, said: ‟Wilbur-Ellis has been successfully promoting Employ since 2019 and I am pleased that following this new approval, Employ will be available to additional growers in California to support their production goals across an expanded range of new crops in this high value market.
"The expanded Employ California label supports the Company's vision to be a leading global provider of alternatives to conventional synthetic agrochemicals. We are excited to continue working with Wilbur-Ellis to bring the benefits of Employ to a wide range of growers in California for the 2024 season."
https://www.lse.co.uk/rns/PHC/expanded-new-california-label-for-employ174-69c70wsr18xf8c0.html
PHC are partnered with six of the global ag tech companies, this must surely give them greater exposure to a next step equity position similar to say Sipcam-Oxon with Eden.
This in my view would be considered less of a dilution due to the overall benefits, that's of course if someone doesn't go the whole hog and buy the farm..
Cavendish not pulling any punches this morning, have they been reading this forum lol
'With such a profitable and proven biological agribiotech solution, we see Plant Health Care as a high-tech AIM-listed company that is at risk of being taken out before investors can enjoy the returns that are now visible after decades of development and investment.'
New research note out. Very positive.
That should be 15% up on 2023, not 2022.
Looking back, revenue for 2023 was originally forecast at $15.9m and came in at $11.2m.
How much faith can we put in the new forecast? It's jam tomorrow.
I think they will need one more raise. Perhaps 3-4p in the current market?
Even with the high growth forecast they need working capital. Almost all companies recently that say they are looking at non-dilutive funding options end up doing a discounted placing.
Very worrying that if they miss tragets slightly and grow at 25% they will need further funding. The first four months has seen good growth from restocking but is only $4.3m revenue. Annualised that is $12.9m, only 15% up on 2022 and would mean they need to raise more.
"Plant Health Care PLC reports a 72% revenue increase in early 2024, with a notable improvement in operating loss and steady gross margin, buoyed by strong sales of its sustainable agricultural products Harpinαβ and PREtec. The company’s focus on novel biological products continues to gain traction internationally, with significant sales growth outside the US, especially in Brazil and Mexico, and new product launches poised to further drive revenue growth. Amidst a challenging environment, Plant Health Care’s strategic moves in product development and market expansion signal robust potential for stakeholders."
https://www.tipranks.com/news/company-announcements/plant-health-cares-sustainable-growth-surge
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From the results
"The Directors have prepared a base case cash forecast that shows we will be able to operate within our existing facilities (including the financing secured after the year-end) for the foreseeable future of at least a year from the date of the approval of these financial statements. The Directors have modeled a variety of possible cash flow forecasts for the twelve months from the date of the approval of the financial statements.
The Group's revenue projections are based on detailed budgets built up by customer from each of the Group's operating segments, and specifically includes growth assumptions in the U.S. to reverse the decline experienced in 2023. The Group's base case shows a revenue increase of 39% in 2024 and 55% in the first half of 2025, which is an increase from the overall decline in 2023 of 5% (which was caused by the distributors managing their inventory levels in the U.S. market). The base case growth rates projected for 2024 and 2025 are comparable to the 40% and 28% overall growth rates achieved in 2022 and 2021 respectively, and the growth rates achieved in 2023 in the South America and EMEAA regions during 2023 of 29% and 41%."
Those read very well indeed, outlook is remarkable given where the market was 6 months ago.
Glad to see receivables back to normal, this was a worry due to large distributor payments.
Cash balance :
'At 31st December 2023, cash was $2.1m, increasing to $2.3m at 3rd May 2024'
H1 traditionally has a higher cash usage, pleasing to see they have maintained cash levels through this period.
The underlying business feels much more solid now with multiple revenue streams, not quite there yet but certainly on the way.
The “going concern “ was already known about. Instead look at the projected 55% increase for 2025, increasing demand from Mexico and Brazil, new products being launched, France about to buy stock. Fantastic RNS
Largely a repeat of the earlier trading statement.
Revenue up 72% in the first 4 months this year. Looking good so far Brightside aye?
In addition they have a geopolitical and climate change tailwind for their high performance, safe and sustainable products. All good.
Company looking at ‘non-dilutive’ short-term funding. Suits me and suggests breakeven is close.
FWIW Tend to think they’ll show phenomenal revenue growth this year and next.
Back in the coffee can for now though.
So much for $25/$30m turnover in 2025. Mr Market will not take kindly to the warning that more funds are likely to be needed.
Released after market close on a Friday and with a material uncertainty on going concern. Not good.
''In the reasonable and plausible downturn scenario where revenue growth is 25% or below, the Group's ability to fund its operations within current resources will be impacted and further funding will be required which is not guaranteed, this will have a direct impact on the Company's going concern and as a result a material uncertainty exists, which may cast significant doubt about the Group and Company's ability to continue as going concern and therefore they may be unable to realise their assets and discharge their liabilities in the normal course of business.''
The new product is formulated with a peptide derived from Harpin protein – PDPH. It is registered to control one of the biggest threats to Brazilian soybean crops – the nematode Pratylenchus brachyurus in soybeans. According to the manufacturer, with this technology, the plant can selectively respond only to harmful microorganisms that impede its development.
https://news.agropages.com/News/NewsDetail---50312.htm
Wilbur-Ellis Company
https://www.youtube.com/watch?v=_BqSG95n8ic
Most holders save the recent few will still be underwater, the major fund raise in March 21 for example was at 14p, the one after that for $3m or so, 9p.
'Plant Health Care plc, a leading provider of novel patent-protected biological products to global agricultural markets, today announces its intention to raise up to US$10.0 million before expenses by way of (i) a placing of new Ordinary Shares ("Placing Shares") at a fixed price of 14 pence per new Ordinary Share'
https://www.lse.co.uk/rns/PHC/proposed-placing-and-subscription-0l1wzzjorubyp3k.html
The overstocking issue seems to have affected different companies at varying levels with a bounce back in biostimulants being helped by a more general move towards these technologies, i.e when old stock of conventional products has gone is being replaced with more sustainable alternatives.
Chatting to a fellow investor, his interest has been the number of conventional products being withdrawn from the market this year, I'll try and post some examples later this wk.
I can’t see a strong resistance until we get into the 9P zone. Given that we’ve just started a new bull market, the upside here, if justified with fundamentals and positive news, is excellent.
Holding tight.
This is doing well and an interesting share keeping my eyes open on this
A few US listed Ag companies are breaking out of trading ranges, or close to: Corteva, FMC, Nutrien.
Commodity prices also showing strength, consumers in EU are experiencing potatoes shortages in some regions:
'On April 16th, the Mintec Benchmark price for English white potatoes hit an all-time high of £570/MT, marking a 90% year-on-year (y-o-y) increase. Market sources anticipate a continued upward price trend due to tightening supply in the coming months. '
https://www.mintecglobal.com/mintec-customer-blog/uk-potato-prices-at-record-highs
Helps farmers justify investment, soil health and so on ..
Given the rise in SP today, I suspect the seller (Griffiths?) is now out. I hope so, I’d feel much happier if he and spreadex departed the register
I would expect something this week, odds on the sell side volume was his given he has been a constant seller.
Has Griffiths gone,or below 5%.Thanks.
Interesting developments last week, top five holders now have over 51% of the equity.
Ospraie AG Science 17.00%
Scobie Ward 13.10%
Janus Henderson - Law Debenture Corporation Plc 9.76%
Newlands 6.00%
Michael Hennigan 5.57%
Total 51.43%
Very interesting article from just over a year ago to help support a decision of whether to invest in Phc or not:
http://www.nae.edu/19579/19582/21020/266337/266373/Peptides-as-a-New-Class-of-Biopesticide
Interesting sudden jump back up almost to pre Nov drop level