Member Info for Adastra

Strong growth with escalating demand - worth 180-200 on today's super t/u

Excellent update today from Luceco bodes well here as Luceco is the main components supplier, has a place on the BoD and holds around 10% of eEnergy. Combine that with a decent wad of earnout cash which should land anytime and this looks a peach of a microcap.

Results ahead of expectations, strong demand in the final quarter.

Well positioned for further growth in 2025

Doesn't get much better than that...rerate time.

Looking good for full year trading update next week.

IMO this could really (and sustainably) rise 10 fold given its exposure and opportunity. It's a prime mover with excellent feedback on its website. The backing of Nat West plus the c 10% held by its prime supplier Luceco (bought in at 5p a share) gives it real clout plus takeover interest. It's sale of the energy management arm cleared all debt and gave it cash to streamline. Revolving credit facility means it can engage with big NHS projects now as a listed supplier. I see a wedge of upside from this well under the radar level. Look at the level that management options have just been agreed ...9p 13p and 15p. Given the BoD have plenty of skin in the game, these incentives and Luceco holding and backing make my buying irresistable.. Great price.

What's not to like here.....In the sweet spot of comprehensive tools for energy management and reduction.

Cash in the bank after selling EMD and NAV in excess of MCap.

From the interims - We have strong momentum in the business and with the market conditions continuing to improve we look forward to updating shareholders on our progress in H2.

Plus Luceco its electricals supplier, owns 10% of the shares and management are option-incentivised to double current shareprice.

I think the appointment of joint brokers is inspired at this time. Why?

Different brokers have access to different networks of investors or specialize in different sectors or geographies. By appointing two brokers, Luceco can expand its reach to a wider pool of investors, both retail and institutional. Brokers often specialize in particular industries and multiple brokers can improve the quality and frequency of investor interaction. Joint brokers also enhances the liquidity of a Luceco shares by stimulating trading activity. Each broker can work independently to attract buyers and sellers, increasing the overall market activity for the stock.

The presence of two brokers increases competition, encouraging them to perform better in securing new investors, increasing share liquidity, or achieving higher valuations. It also signals strong institutional backing and a proactive approach to corporate governance.

All in all, very happy here, should now see sustained rise.

The interesting paragraph in the Q3 update for me was:

We are excited by the imminent launch of EV Chargers for Commercial Premises, as well as a Home Energy Management System for integrating Residential Batteries, EV Chargers, PV Solar Systems and Heating Controls.

Agreed. Even with a pretty frugal take on this year at an undemanding p/e of 12 you're looking at a 145p a share and forward towards the £2 later this year.

Compelling stats here. Consistently growing robust profits and dividends with prime focus on profitability.

Revenue growth over years 24 25 26 aiming at £234m £252m £267m but am expecting upgrades.

PTP should pan out respectively £24m £28.6m £32.7m

EPS again respectively 12.1p 14.5p 16.6p

That's a pretty good bottom line growth for me in a field of growth ie EVC Data Centres and solar plus all the requisites. Solid British company focused on growth with good asset backing and sensible debt.

Very surprised Volex hasn't had a pop at Luceco given its aborted attempt to acquire TT.

Agreed. Far too cheap given EVC outlook and many other incentives to go electric and energy efficient. Perfect time to buy into retrace upwards imo.

The EV Infrastructure Scheme provides support for organisations to install electric vehicle charge point sockets at their sites. The scheme covers up to 75% of the total costs of installing future infrastructure for EV charge points, with £500 towards each future parking space and £350 for each charge point installed. Eligible applicants can include businesses, charities, public sector organisations, and small accommodation businesses.

Remember that Luceco LUCE own 10% of eEnergy too which adds t/o potential. 3 most undervalued stocks set to thrive on EVC/Solar/Elect switch are eEnergy Luceco and Volex in ascending MCap. Wouldn't want to be out of any at this juncture and have been switching p/f accordingly in Jan as lows being hit and triggering my buys. Outlook sound.

No problem Hfx

This looks pretty good on DMOR.

Sale of Energy Management Division to Flogas completed Jan 2024. Under contingency terms estimated £8-10m due for earnings from Jan24 to Sept25 in 2 tranches - Jan-Sept 24 then Sept24-Sept25. The first of those should be due anytime so thats roughly 40% of the estimate which should be around £3m due anytime.

That's bottom line cash with another payment due end this year of remaining 60%.

Need more incentives like recent EVC now....

Government’s EV infrastructure scheme

The EV Infrastructure Scheme provides support for organisations to install electric vehicle charge point sockets at their sites. The scheme covers up to 75% of the total costs of installing future infrastructure for EV charge points, with £500 towards each future parking space and £350 for each charge point installed. Eligible applicants can include businesses, charities, public sector organisations, and small accommodation businesses.

Agreed. They have this in place for EVC. Similar ones for solar etc would be welcome.

Government’s EV infrastructure scheme

The EV Infrastructure Scheme provides support for organisations to install electric vehicle charge point sockets at their sites. The scheme covers up to 75% of the total costs of installing future infrastructure for EV charge points, with £500 towards each future parking space and £350 for each charge point installed. Eligible applicants can include businesses, charities, public sector organisations, and small accommodation businesses.

Onshore data centre expansion, school and hospital energy savers and below should mean multiple earnings upgrades.

Luceco - SyncEnergy

Government’s EV infrastructure scheme

The EV Infrastructure Scheme provides support for organisations to install electric vehicle charge point sockets at their sites. The scheme covers up to 75% of the total costs of installing future infrastructure for EV charge points, with £500 towards each future parking space and £350 for each charge point installed. Eligible applicants can include businesses, charities, public sector organisations, and small accommodation businesses.

SyncEnergy

Home charging:

Mode 2 (AC single-phase supply)

Mode 3 (AC single phase supply)

Workplace charging:

Mode 3 (AC three-phase supply)

Destination charging:

Mode 4 (DC current)

22kW-250kW+ -

Yes I contacted the BoD to suggest an analyst or site visit as they did in both January 2023 and November 2023. They elicited wider appreciation of where the company were at development-wise and really focused interest. Certainly exposed the company to a wider audience and improved both shareprice and holder base.