Srt Marine Sys. Share Chat (SRT)

Well the bad news is all the staff are getting their salary every month, so they may need another fund raising or an expensive bridging loan to get through the next 12+ months

Webcast is on Monday - not today

So they have a MC of 40M and are now projecting a fall to 14M with revs pushed to 2025.

I think they will need to place and in the current climate, what does that look like - 5p, 3p or less?

Pre-open auction is showing down 40% but I do not believe that 5p is yet on the horizon! SRT had better be open about events surrounding Tucker's issues at this morning's webcast.

Looks like this is going to go towards 5p today. Already opening at 8p. Unreal

The management team should know by now that dealing with foreign Governments and inter Government finances always takes much longer than it should. Changing the year end was a waste of effort. Work out how long you expect things to take, then triple it!

But there is good news - none of the forecast income has been lost, just delayed, and much of the pipeline gets closer to formal orders. In a few months time this may seem like a brilliant buying opportunity.

All very predictable and they should have put in penalty clauses for delays in all their contracts to hedge such things. Stupid people that don’t don’t know governments delay and go at snails pace.

This is due to longer than expected customer contract completion administrative processes, resulting in significantly lower than expected revenues for the current year, which will aggregate to approximately £14m mostly derived from our transceivers division and thus resulting in a loss for the period.

This is going to tank hard

Srt-marine.com > investors> corporate governance

Can anyone point me to where I can find a list of shareholders?

Hi Monty,

Just querying your "one mini disaster after another." Apart from the Philippines, what other min disaster have we had? And we're not sure that is a disaster - indications were that it was still on schedule and still going to profitable.

Hi TT, well let’s see if Simon redeems himself by posting some net profits in the next results. I have a much higher level of cynicism that you regarding smooth talking Simon. I think a lot of investors that supported the cash raising just ahead of one mini disaster after another are probably on same page. I am invested and hope your optimism comes through in the SP in a few months time.

Hi Monty, I've been to a couple of AGM's at which Simon is the main spokesperson and I've viewed countless webcasts he presents - all available on the website.

I don't know your experience of him but he's definitely in the top draw for me. If he has a fault, he has admitted to being little too positive at times. However he is an excellent communicator as evidenced by the said webcasts.

I thought the upselling of prospects was quite sharp to get the 35p cash injection away. No we have this Philippines issue with CEO trying to clear his name. If we assume he will and SRT are totally innocent of any tendering malpractices then they should issue a much more comprehensive RNS that answers the following: If Philippines don’t pay after alleging illegal tendering what would be the effect on revenue and bottom line? Is SRT smart enough to set up their contracts ideally with advanced stage payments to minimize payment risks. The fact that these 2 simple easy to update shareholders data is missing is very concerning and I think understandably until much greater P&L clarification is forthcoming it make SRT almost non-investable. Whilst there is a most explanation, changing their Y/E strategically right now stinks as well. I don’t think Tucker is the great CEO some believe him to be. Anyway time will out as always. (I’m watching might invest but need data on liabilities from current events).

Monty, not to sure about your "the whole company tricked up from top to bottom" means but that is not what the latest RNS reported. It's only Simon and others outside the company who appear to be involved.

Simon is one of the best CEO's I've come across on the AIM and I've held some 60 odd companies in my time (some of them very odd!) Can't see him deliberately being corrupt but his loss would be a big loss to the company. For what it's worth I would support him.

Read extraders posts some three weeks ago for background. I think they explain the situation very well

PS. Thanks extrader for your efforts..

Agree it’s all very alarming indeed, wondering if the whole company is tricked up top to bottom. Per the dilution the cash top up was over subscribed at 35p per share so if the reasons and noises are per the RNS and no corruption in evidence then it’s very cheap. If the reverse then further to fall. Small punt only at say 23p is the order of the day I think.

What’s all this BS got to do with SRT?

Apols for the somewhat O/T , but it IS the weekend.

It may be cold comfort for SRT investors, but we're not alone in being caught up in domestic Philippine politics, where this time it seems ideology, rather than financial gain, is frustrating a public good that would benefit the poor.

It concerns the recent prohibition on Golden Rice, a genetically-engineered rice that can materially reduce blindness in children caused by Vitamin A deficiency.

The case FOR is here :

hxxps://www.nnc.gov.ph/regional-offices/mindanao/region-ix-zamboanga-peninsula/5767-golden-rice-a-staple-food-with-precious-benefits

The background is here :

hxxps://geneticliteracyproject.org/2019/11/08/golden-rice-the-gmo-crop-loved-by-humanitarians-opposed-by-greenpeace/

"Note that because the two academic scientists who developed the original Golden Rice stipulated that it be made available to poor farmers for free Syngenta, or any other corporation, does not own the intellectual property in developing countries and therefore cannot charge royalties. According to IRRI (the International Rice Research Institute) the terms of the licenses in place in the Philippines and elsewhere ensure that Golden Rice varieties will cost no more than their conventional equivalents. This means that farmers will be able to save and replant Golden Rice seeds."

The benefits are clear :

.."Vitamin A deficiency (VAD) is one of the most important issues in terms of global public health, according to the World Health Organization. It is a leading cause of childhood blindness in the developing world, and weakens the immune system, increasing vulnerability to illnesses such as measles, respiratory infections and diarrhea, often leading to death.

The condition affects more than 140 million pre-school children in 118 nations, and more than seven million pregnant women. UNICEF estimates that 1.15 million child deaths are precipitated by vitamin A deficiency each year..."

The recent judgment by the Court of Appeals - to put a moratorium on the use of Golden Rice- is applauded by Greenpeace in these terms

ttps://www.greenpeace.org/philippines/press/63501/greenpeace-statement-on-peoples-win-against-genetically-modified-rice/

.."We reiterate our stance: the involved companies and agencies have yet to show concrete evidence that these crops would be in the best interest of Filipinos, our environment, and our agricultural sector..."

It's not quite clear who benefits from this verdict - apart from being a 'win' for Greenpeace's worldview, which seems to be that 'the environment' matters more than the people (witness its IMO equally irrational stance against nuclear energy, even more bizarre considering its potential as a transition contributor to 'net zero').

This is all sadly redolent of the apocryphal comment after the My Lai massacre in VietNam in 1968

'In order to save them [Ed.: from Communism] we had to kill them'.

Shame on you, Greenpeace!

Rant over.

Oh Dear indeed! I have been invested here for well over 3 years and only in profit by a smidgin and very briefly at that. However I bought the story - as a lifelong yachtie it chimed with my interest in things nautical and jam tomorrow did look like a likely outcome. However yesterday I thought it had been too quiet for too long on the SRT front with the sp drifting down all the while. I thought I had better take a look at all the recent announcements in detail for myself instead of relying on reports from others. Something about the way the RNS re changed year end was worded did not sit comfortably with me one bit and still giving it benefit of doubt I thought read the next announcement immediately. Most of my working life was in credit insurance and changes of year end make me sit up and take notice. Then I saw the Malayan newspaper article (Thanks goodapple) and that was just too much for me and I got out entirely at 24p. I see it went down again today albeit it has come back a bit late on but I would have thought there should be some much more definite reassurance. I still buy the idea the technology is good and maybe if it goes as low as I fear it may it will be worth a punt on the possibility of a bid. After the record -dilutions and all - I will be very cautious. Fortunately it was only a tiny holding in my portfolio.

Hi Ecologist - that was the point of my earlier post about my discussion with the FD - your experiences echo mine; I was concerned that SRT would be getting into that to win contracts, but he was adamant that all there has been a culture shift and most emerging nations try to be squeaky clean. (Not sure about Nigeria!)

"If the EU flexes its muscles, this mess may get sorted out, AFAICS."

Shame we're not still a member.

Extrader, thank you for passing that on, it is very helpful.

Simply my take:

Having worked in Africa and Asia for a combined 35 years, doing business is never simple and too frequently there is someone attempting to be 'on the take'. Some people / companies are ready to grease palms (= graft or bribes or dash or bakhsheesh) in order to win contracts with the cost of bribes being factored into the contract costs.

All that said, I am in no way suggesting that our company is in anyway involved in corruption. Indeed the RNS, tells us that SRT, the company, has been exonerated. But the sword is hanging over Simon's head and I cross fingers that he is soon exonerated too. (And I have a problem understanding how Simon alone can be under suspicion).

Meanwhile, the sp will continue to suffer until the situation is cleared up.

See also part 2

https://www.rappler.com/newsbreak/investigative/big-fishers-close-in-small-filipino-fisherfolk-battle-municipal-waters/

If the EU flexes its muscles, this mess may get sorted out, AFAICS.

NAI, DYOR etc

Hi all,

Hat tip to rwh3ue on s'pedia for this.

See hxxps://www.rappler.com/newsbreak/investigative/officials-private-interests-spoil-effort-track-big-fishers/

.."SRT Marine Systems (LON:SRT) I hold

ST is one of my largest holdings and I follow events closely. I too read and contribute on ADVFN where some posters are extremely well informed and their opinions worth listening to.

The current news flow is all about the negative stories of misdeeds around the contract for vessel monitoring in the Philippines. To understand what is going on you need some background. SRT, as is always their modus operandi, spent years gaining the trust of the customer and an understanding of what they required. When the tender for a vessel monitoring system VMS was issued much of the detail was based on the known capabilities of SRT's offering. These included the fact that the operational cost was significantly lower than any competing system and the functionality was superior. In an obvious attempt to influence the contract award, the French government offered a loan to pay for the system as long as it was awarded to a French company. It just so happens that CLS (French) were also keen to provide a system.

When SRT were awarded the contract, the French withdrew the loan offer. Despite this the Philippines stuck by their decision and found it possible to include the cost in their budget. The project went ahead and was successfully implemented while President Duterte was still in post.

The next big step was to be the roll out of transponders to all of the fishing boats in the country, I think up to 50,000. That is when it became a big political issue

There are vested interests that do not want to be regulated. They are the big commercial fishing companies and the families that control them. In essence they want to continue to fish waters within an exclusion zone of 15km. They are able to do so now because there is no official monitoring. The new VMS would change that. Small fishermen depend on the fish that the big boats take and that is why current President Marcos wants to proceed with the rollout. The EU have a role to play here as they can issue a so called red card if fish exported from Philippines cannot be shown to be compliant with IUU regulations.

It looks to those who follow SRT closely that battle lines have been drawn and that the commercial side are using the allegations of impropriety as a weapon to maintain their ability to fish inshore. It is no coincidence that some parties in a position to decide matters are related to people who own the commercial fishing companies.

From my perspective, SRT acted properly and have nothing to hide, but the vested interests will use their power and money to try to prevent a mechanism designed to stop illegal, unreported and unregulated fishing.

Don't just take my word for it. Read this article in Rappler who investigated the story and published on 5 April..."

Steady the Buffs!

GLA an