The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
The original agreement ended and although there was a good chance they would sign a new one it needed to be done. They had no contract with the Americans when they completed the last milestone. The RNS said they had completed the final milestone yet you chose to tell the board different. And now appear this morning Smug by your own admission. My beef is that you are so smug frequently.
Why have you a smug grin. You were wrong about the contarct at the time of the prelims and I was correct. When they hit the final mile stone they were out of contract as I 18Bagpuss - I saw your posts on ADVFN too. I think you’ve got the wrong end of the stick. The company said after the 8 October preliminary results presentation that it is in discussion with the partner about further contracts in addition to the existing agreement so today’s RNS is completely consistent and raises no causes for concern.
Have a nice Christmas.
Tenner was pretty confident of the 6.7. Edison also have maintained that, presumably under guidance, There has been no "profit" warning so I think trying to argue the revenue down now is a bit speculative.
However....bear in mind that the EBITDA loss will still be significant and a substantial part of the revenue wont flow through to cash for reasons already discussed on here
NIgWit. You always suggest others don't understand well I understand the fact that ALL other Nano collaborations over ten years (and there have been many eg Tokyo electron, Osram, Merck, Dow, Kyulux, Wah Hong, Professor Graphene or the guys in the shed with the crop lights) have all so far failed to generate any material income...
...I always hope the next one will be different like the new US corp or plessy which is why I still have shares but its difficult not to be sceptical with such a poor track record...
ok they did a press release in the US but that's hardly bothering to tell us via the normal channels for a listed company if as you suggest its such good news.....
anyway the market has just dismissed it so perhaps its not as incontrovertibly good as you say....
Look at Non current liabilities. You will see the deferred revenue. It’s not recorded as a loan but it’s still a liability. When future revenue arises to the US partner it won’t be paid in cash. You will have credit sales debit this account. And this means to the original point the cash flow next year won’t fully reflect the way the P&L looks.
Jplay. They have been spectacularly over omtimistc and have failed to deliver in display. In fact they have not yet delivered anything commercially. Yet ME especially has benefited handsomely from remuneration and share sales. Some would say that’s not earned until he has actually delivered a viable company.
My point is that it’s all well and good you talking about the fantastic share price movements but for some longer term investors than you it’s been a disaster. 17p is less than 10% of the peak share price. And I bet had you found this stock earlier you would have been in at over a quid too. Cheers
bear in mind on the cashflow debate that the credit for a certain amount of sales next FY will be to the US customers funding account not cash. I agree it’s not clear even with that though they will need more equity raise cash.
For many people the pessimism isn't excessive its a counter to historical over optimism and failure to commercialise anything from the company.
Anyway lets hope its a good 2019 for Nano.
Thanks for your contributions.
Thanks NigWit
I do see the announcement says that
"it has completed a significant milestone established as PART of the Material Development and Supply Agreement announced in February 2018 with its undisclosed US Customer (the "US Company")"
Personally I think they could have made it clearer that the discussions are not overall about the relationship but relate to incremental possible services..
I'm afraid I've been invested here for over 5 years and have suffered many let downs so cant help but expect the worst!