focusIR May 2024 Investor Webinar: Blue Whale, Kavango, Taseko Mines & CQS Natural Resources. Catch up with the webinar here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
So you thought that you would go online and tell everybody at what point you have set automatic sells at, just so that you could outsmart one of the greatest investors that this country has produced? Everyday I come to these boards and every day someone posts something that is even more astonishingly mental. You're not Tom Winnifrith are you?
the next couple of days be careful because in my opinion Mr Woodford known to his pals as Neil will become a massive seller of this co. My limit sells are set just before where I think his are?? GLA
mind you, agree that it would be nice to see cfo get ditched.
Hi Spikey I think the recent RNS' have N. Woodford's fingerprints all over them. He still must be north of £10m down on this investment. Because UTW has overpromised and under-delivered. Whatever, a good day and a far cry from 150ish two months ago. Not sure there is much to stop this going to 220-240 by the time of the next update assuming the new COO runs a tight ship. GS
of steam someone or some or more sell into the rise in a reasonable size way, at 15.56 150000 got dumped which slowed it down then at 16.16 50000 got dumped and then at 16.29 another 2500000 got dumped Lets hope he or they are nearly empty and if they are 230 240 not far away one would think. This share gets a massive endorsement in stockipedia.com
other thing i quite liked myself about the update was the way in which they seem to be emphasising that they are switching focus a bit from recruiting tons of additional staff to get brand new customers in, to slower rate of sales force growth but with what sounded like more focus on developing and deepening relationships with existing customers, through better trained / more experienced sales staff (consultants) who have an understanding of that client, with more possibilities in time to sell some other added value consulting services. i might be reading too much into that, but sounded a more viable way to keep growing income streams that simply piling it high and selling it cheap to anyone they can think of.
swings around, don't it.
http://www.stockopedia.com/content/small-cap-value-report-28-oct-2015-gbo-utw-109896/
Yeah my instincts were screaming buy, but like, it was such an obvious buying opportunity that I just thought I must be a trap because otherwise everyone else would be right? Anyway, its bounced up by ten points so I think the large order theory is correct, well spotted.
It is not nice unless you are buying (I am), but I think the best approach is to do something else if you are not. The spread is tight, and when that happens with a falling sp, the mm's are generally trying to fill an order. Turn it around. Good results, strengthened BoD, much more clarity in the numbers and the accounting, positive statement re future trading, good dividend etc etc. This is a real, money making, bricks and mortar sort of business. I use them at my company and they really exist and really do a good job.... Give it a few days and there will be a broker's note, a write up in IC or the FT or somewhere, and RNS with an ii shareholding increase and this will pass. And in the time it has taken to write this the sp has recovered to 168/170 GLS GS
In the time it took me to write that, the share price crashed to 163 and still falling. Does anyone have a F$%£&(& clue what is going on? is this some sort of twisted fear of the dividend going up too much or something?
I'm sorry, share price crashing from 187 to 166 DURING ONE DAY, right after a very positive trading update? profit is up, the accounts are much clearer, everything is good. What the hell is going on with this messed up market? what do people know that we don't? after the Globo scandal I don't trust this at all. something smells really off here, there is nothing in the publicly avalible information to justify this over 10% drop in value.
I think it is difficult for the non-accountant to understand cash flow changes by looking at changes in several balance sheet items. I think what is happening with UTW is that a big chunk of what they book as sales in the year is payable in future years. If one of their customers signs up a three year contract with an energy supplier then UTW book all the estimated revenue over the life of the contract in the current year. I note an accrual for future income of £23M in the Balance Sheet (an increase of £13M over the previous year). I reckon the admin and sales expenses associated with getting the customer to sign the contract are largely paid out in the current year. This leads to a cash outflow when sales are increasing by significant amounts. This is what we have seen with this latest set of figures and this is why UTW are in the process of seeking to get more up front payments from the energy suppliers otherwise they may need to increase loans from banks again. If UTW were less aggressive with their accounting they would only take credit for the amount they estimate they will earn on the energy supplied to customers in the current accounting year and disclose in a separate note what income should accrue in future years on signed contracts. UTW’s accounts would then look quite a bit different and they wouldn’t have any retained earnings. It is factors like this that stop the share price racing ahead. Eventually the cash should start rolling in and when it does I think the shares will rerate.
have been discounting the buying to 170 and now its lower they seem to have ended up with a overhang of shares somehow ?? In fact now its only 168 to buy not sure eventhey wanted it this low unless there is a couple of big buys on the darkside onl,y time will tell but I would imagine Mr Woodforde is not very happy unless of course he dumped a bundle this am??. and caused the fall ??
I am really not trying to be difficult, but the clearest explanation is in the accounts RNS where, in the Consolidated Cash Flow Statement you can see net in and outflows, in detail. The actual figures are: Cash and cash equivalents at the beginning of the year: £15.82m Cash and cash equivalents at the end of the year: £6.49m Change in cash and cash equivalents over the year: £9.33m GS
I note that UTW don't contract with the customer but with the energy supplier. UTW therefore rely on the contract between the supplier and the customer. UTW estimate how much energy the customer will use over the contract with the supplier and book all the revenue as the contract is signed less a provision of 15%? As the contracts get longer this enables UTW to book increased sales in current year. In other words part of the increase year on year is due to increasing lengths of contracts. By the way my wife and I are both shareholders in UTW. Just seeking a better understanding of how UTW operate. In my previous post the calculation is 9.8 plus 6.7 less 6.4 equals £M10.1
Thanks for your reply. Their report says 'Net debt at the end of the year was £6.7m which compares to net cash at the end of July 2014 of £9.8m. During the year we acquired t-mac Technologies and £6.4m of cash was expended as part of that transaction.' I was looking for a SIMPLE explanation on where they had spent the balance ie 9.8 +6.7-6.4= £M10.1. Is it that much of the increasing revenue is due well into the future whereas the increasing expenditure being incurred to generate it is being paid out now and needs funding by increasing loans?
"A decent trading update and another sensible set of figure in 6 months and imo this will be rerated." maybe that's a fair part of the issue this morning? aim 'investors', well the pis at least, tend to want their jam tomorrow, not jam in 6 months time.
Typical AIM - good results, poor sp performance. If you were trading this share, hopefully you caught the spike this morning. If you are not, then the sp now looks a bit like a top up opp. I think I see the hand of Mr Woodford here. Finally we have a set of accounts without an unpleasant surprise. A decent trading update and another sensible set of figure in 6 months and imo this will be rerated. As to the likelihood of that happening... well (Mr Woodford again) Brin Sheridan seems to have a safe pair of hands and I suspect is on the board now because at least one large ii felt that it needed strengthening. It is not the FD I had hoped for, but if you check out his track record he is financially sound. If it is down to him to deliver the numbers, I think we will get there. So I am still long and increasing at these levels. GLA GS
Actually cash and cash equivalents have dropped by £9.5m (approx) in the year. Not £16m. You can see where this has gone (acquisitions, loan repayments etc) in the flow of Funds statement in the accounts where it is broken out in detail. GS
Renewals of current portfolio maybe?
The results look good except for cash flow where there has been an outflow of circa £16M of which £6M relates to an acquisition. What is the rest?
Agree. The results are excellent yet here we are again, another AIM share that is just manipulated beyond belief. If there are no big buys by the end of the day I will sell out tomorrow rather than keep being taken for a ride by MM skulduggery. This should be flying today.
Would to be get on the main markets as soon as they can. Its like the AIM markets deliberately hold companies underwater.
This is the curse of shares on AIM - not enough interest paid to them by most big institutions and subject to constant manipulation. No wonder AIM shares have underperformed the main market for years. Having said that I bought some more today, after the price fell back, because I cannot see how the SP won't eventually return to the levels of the end of last year. As usual, it's a case of waiting for the shenanigans to subside and real valuations take hold. GL