Member Info for dab808

'The Placing has been undertaken with new and existing institutional investors in the Company. Kromek Directors are participating in the Placing and Directors' Subscription.'

I read this statement as the main placement is done subject to existing shareholder approval, the open offer to all shareholders is optional.

160m shares at 5p! What a shambles. Desperation to raise capital at this price. Huge value destroyed for all current holders. Our CEO should fall on his sword for this. He certainly doesn't deserve a salary or payoff.

Interesting that Thalassa Holdings have decided to sell a small percentage of their holding so close to the trading update and in advance of the significant growth story to be told to the market through the next few results updates.

They built their stake in late 2019 (price then about 35p) to April 2020 (around 60p). The have obviously sat on the rise until now, then taking a small profit. Maybe this is a prudent trade, perhaps they want some profit for their efforts. One to watch moving forward and it could be that they want to move more considering the price is not moving up. If they keep selling into the rise it could hold us up a little, but I am sure they hope for larger gains and I am sure there are more buyers than sellers given the businesses trajectory.

After a good volume day yesterday, we went further today, 80,000 shares in the last two days. There are a few sells but buyers seem to be on top. The price has not moved so there is some resistance at this level. The fact there has been both buyers and sellers and this new entrants in at this price, hopefully allows us to push higher on news without those who have already sold holding us back. Tick tock, trading update soon.

Impressive is a great word. Particularly against quite an interesting macro environment. The published outlook is more upbeat than Speedy's softening stance. I'd hope for an improvement in the SP to bring us to a more average p/e ratio, but we might need to get through the remainder of this year and have an outlook on 2024 interest rates before we see a major rerating.

Welcome Jeffrey_Scott and congratulations on your first post on LSE. Welcome to Newmark Security. It has been a lonely place for Hedgehog and I so it is great to have a new contributor. Hedgehog has been posting a significant amount of valuable content is the last 12 months that is worth reviewing, and the last 6 months has been quite a ride with the price rising from 25p to nearly 60p. There is so much further to go given we still stand at a market cap of £5m and will likely post profits of more that £1m with an outlook that is likely to be very positive. Good luck here if you have taken a stake, and given the trading update is less than a month away it is a great time for a top up too :)

Looking back over the trading of this share at these levels, I cannot see why we will get many sellers running into the next trading update. Who wants to sell when you are expecting a £1m+ profit and you expect sentiment to be strong for the year ahead. Most volume/buyers have entered in the 50p range some as high as 75p, very few in the 25-50p range. You then have the long term holders, these aren't going to bail when the outlook is so strong. I could be wrong but we have sailed through the 30's, 40's and now we look to enter the 60's. Last chance below 60p to buy (I have just topped up at 59p with another small add).

I had an update from Marie-Clare today who responded to an email of last week. As anticipated we should expect a trading update from around mid-May, she is going to see if the date of the release can be announced so we know the exact day. Obviously she cannot comment on performance ahead of the release. New auditors are embedding well, she sees no reason that finals won't be later than the end of September. I recommended that given the new strategy and successes that we ought to look at engaging Equity Developments to write up a note. She said she'd take a look at that. Released with the results I think it would he really useful to have something investors can pick up that will give projections and strategy considerations. Whether it moves forward is very much dependent on time/cost. I provided thoughts on the most recent presentations and that we need to find someone of embedding our market cap with the emphasis that we are under valued given our revised strategy, return to profit and growing markets. Again she agreed to work this in somehow, some of your comparison Hedghog are mind blowing. She seemed upbeat, if you can tell that from an email. Exciting times. DYOR etc...

It is fair to say that based on this volume we are heading out of the single digit share price territory. 30m shares traded in the last 3 days plus more today. We went down so quickly in the last month a rise back to 10p seems reasonable in the next few trading days if the volume continues. Let's hope for some weekend press coverage.

Good post. If I were Siemens or Philips, I'd be buying a good chunk of KMK either now or at some point soon.

I've enjoyed trading this in the 80-100 range but can now see us breaking out to the upside. Let's face it, the majority of Deliveroo customers are not the ones significantly impacted by Cost of Living, yes some will have thought twice but most have carried on ordering, With some expected food deflation to come, lower fuel costs and pay rise's in the mix, we should be through the worst, and now have an opportunity for things to tick up. With business costs under control and a focus on value add revenues such as promotion and advertising there are again further upsides, we'll experience some resistance around 120, could now be in a 100-120 range.

We have had a number of cash raises over the years, almost doubling the shares in the market since float (2013). With cash burn now under some control and the investments in the products made, it is time to earn some money for shareholders, not dilute them further. Confidence will be a big thing here, most existing shareholders have little but I hope the tide is turning, the volume in the last few days speaks for itself, and we'll have some shareholders already in profit. It'll be a while for me.

We really needed that statement. Cash burn under control and revenues rising. We could finally be heading out of choppy waters. Only time will tell.

Sold up. Don't quite know who to blame but neither the management or the unions can save this business now.

Business customers are leaving and will never return, this announcement will mean more business tendering for new parcel contracts and more customers being lost. If I have a million parcels to send out to customers a year, I need reliability, IDS does not provide that so I am off to a competitor. Letters small and large are now too expensive, making the business case for investment in secure digital delivery of comms easy to push through. Most business now have a target to reduce their volumes and thus price increases are not working.

For everyday customers. Letters and cards are so expensive to send, these volumes will reduce as people look to digital and Amazon. For parcels you can now walk into local shops to print your labels and post your parcels, no need to use the post office.

I was just about to publish a similar thought Hedgehog and it was my rationale for buying more this week and my posting on Saturday, albeit I was a little under the influence so it was a fairly short post.

I've purchased another 15,000 shares so far this week. A shame that a seller off-loaded 10,000 otherwise we might have seen a move upwards although I am happy buying at this price. I firmly believe this will be the trading update that brings in some wider interest. Announcing £1m+ of profit, a view that trading is good and the pipeline is strong and we are now a software as a service business should encourage a few to dip in. The 24 month view, in what hopefully is a benign macro environment is compelling, a 4x bag will be fair value, x8 -12x will be a growth valuation.

Happy days.

No surprises in the update. 14% revenue increase so not all bad. Hopefully we have constrained costs to a level that demonstrates control and opportunity for the future.

The last 12 months has been very trying and I can't image where the price would be without the buy backs.

I am thinking I might want to purchase another 0.5% or 25,000 shares in the next week or so to further allow me to take advantage of the value here. Happy days x x

Only the start of the rise. 4x more and we will reflect the value of the business today. I am now nicely in profit but not giving any of my shares up until we hit a much more realistic valuation. The next results will only paint the picture of further profitable growth and we'll re-forecast again to 8x from here. Well done Hedgehog. The news will spread of the value and re-rate required here!

A really simple angle of questioning from me as I personally buy the fact that we can increase revenues. However what we have been poor at is managing our costs, so my questions are linked to:

18/19 income £14,517, administration costs £9,031, R&D costs £2.7m (subsidy/income £2.5m)
19/20 income £13,120, administration costs £10,611, R&D costs £5.3m (subsidy/income £2.8m)
20/21 income £10,400, administration costs £10,935, R&D costs £5.5m (subsidy/income £4.5m)
21/22 income £12,100, administration costs £12,200, R&D costs £5.6m (subsidy/income £2.2m)

You highlighted why costs had increased by £1.3m over 2021/22 but do you realise that costs have increased by over £3m since 18/19? You cannot sustain increases in costs of this nature. Will you commit to a wholesale review of the cost base in order to bring costs to a more realistic level? What level of administration expenditure do you consider reasonable to income? How are you going to improve the ratio/income so we have a sustainable business moving forward?

What proportion of the R&D costs in the last two years (£11.1m) are attributable to COVID ventilators and pathogen detectors? What do you believe is a sustainable level proportion of R&D investment given our current income? (% term would be great). Again linking to costs, how are you going to improve the ratio/income so we have a sustainable business moving forward? Why have we moved to such unsustainable levels or how can you justify this?

Safetell is winning new business and is on the turn around, it does contribute cash and is expected to become more profitable. We are fitting screens in a £1.7m contract with Tesco stores and we also have a Morrisons contract (initially 20 stores), significant opportunity across retail. Doors are starting to move, fitting, maintenance contracts (not manufacturing).

Research & development costs are not expected to increase as revenue increases. We have made the majority of the new investment we need to make and it is more about continuous improvement. We will expect to make the usual R&D offsets, more importantly is we have around £5m in tax credits. This will ensure we can retain/distribute profits without the taxman taking a significant chunk for a while.

Back to cash and inventories - supply chain issues expected to continue for another 24 months. We have plenty of room on our facilities, but higher stocks impact our cash.

We discussed the clocks position and the fact we have a huge growing opportunity with SASS. The projections show that give us 55,000 clocks by 2025 are realistic and we are on track. This is where significant revenues will be generated.

We discuss that we as investors would like for forecasts, here there was some reticence due to the headwinds faced with Brexit, Pandemics, Inflation, and War but they heard this is something we would like.

We discussed how we can promote ourselves better, more RNS's for information. If we are to raise money then a stronger share price is better no matter which route you go.

The proactive session. Pretty much the same presentation as the Meet the Investor open to investors to go and review. Marie-Claire and Paul presented well, however as an investor I felt there was no sell! The other 3 companies all were raising case so why were we there? We delivered the right messages we told the audience what we do, that we are growing, we are back to profit, that revenues could double/triple, with a US business that is flying, with a new software business model that is high margin, but we failed to show them the killer graph that despite a £20m revenue, growing revenue, back to profit and expected strong 2H, that we are trading at 45p which values the business at just over £4m. DYOR and that but come on, we need to get that message across!