Member Info for Darkcloudcover

JPM offloading a chunk...... I hope they don't know something. I was kind of settled waiting this out until next year. Arrrgh!

I was in Micro too JG. Unfortunately averaged up from 378 so didn't get the 98% or so uplift, but was still a pleasant surprise. Maybe 2nd time lucky, eh?

Good luck

There has to be something going behind the scenes.....this has always been grouped with travel shares (and probably wrongly), there's a definite disconnect between these and now also the wider market. Quite exciting really.

IG have just announced Asos will be making a trading statement next week (Thursday), but there's nothing on ASC investor relations....?

Anyone know of this release?

Has anyone had an email/message from their broker today for this?

I’ve just noticed an email from 15.30 today saying there’s a corporate action event to view in my account (I can’t seem to open the attachment on my phone).

AJ Bell (youinvest) is the platform….

Anyone?

Thanks. Is any debt maturing soon?

So, the headwinds are basically the inflationary environment, right? Forget the past couple years' performance as that was skewed by the pandemic, but they are still looking at growth and making a profit. Shipping has reduced drastically in the last 3 weeks ($19,000 containers are now $10,000 - still elevated, but coming down fast). Has oil and fuel peaked? It's hard to guess what they've modelled into those forecasts, but if logistics as a whole does really start to normalise in the next 6 months this is a no-brainer at these levels, is it not?

I mean, 50% below fair value doesn't come around too often

What a drop! This is either a gift from god right now, or a dog from hell!

Very tempted to start scaling in...Anyone got their debt figures to hand? How much? When it is secured until?

Sorry, being lazy. Trying to do my 'other' job at the minute :-)

Yeah, I agree with Henry. According to the RNS info, the plan is being delivered on but we could be swimming against the tide for a period now. Just how long this bear market affects the SP is the question….1, 2, 5 years?

My personal wish would be for the debt to slowly but surely to get paid down whilst the broader market is depressed and then this behemoth can enjoy some plain sailing up into double digits again.

Well, that’s what I’m hanging on for anyway.

GLA

And now the chairman's off-loading shares....ffs

This is painful to watch! I'm in a position now where I'm going to have to witness this play out, for probably years! Arghh!
Fortunately my average is extremely low, but that does mean I have no option to sell and buy in again lower (famous last words). I felt certain this would re-visit the 300's soon and I could disembark a happy man. But no, loads of capital tied up forever more... Key zone 207-212....please let it hold

Maybe HSBC's new 'Buy' rating with a 315 target will help it along.......which normally means the opposite will happen in the short term! ha ha

Down just shy of 16% from the recent high on that report?! I'd like to think there's no corruption or it's not being manipulated, but really? All from a profit margin squeeze of a couple of percent.....I'm not sure this adds up in a 'legitimate' world!

Yeah, market seems to like it as well.

Dare I say the dividend is now back on the cards fairly soon? Their last statement on it said they were waiting for the merger to complete before doing so.....that could put a rocket under the SP. Fingers crossed!

Yes, the general market still under pressure compared with pre-pandemic so probably keeping a lid on this.....but to have revenue at 2019 levels and passenger numbers still with another 20-30% to catch up, surely the SP will drift upwards from now on. Especially as fuel is hedged between 100 and 70% for another 18months...not to mention the wage inflation they are also covering with the rate increases. Happy to keep holding here.
GLA

Exactly, I said surely it (wouldn't) be good......

Surely a counter bid wouldn't be good for Nex SP, seeing as it would have to be so much larger than their originally offering....?

Do we think this has formed a base yet?

It's certainly better value now then when Shares Mag called it in the 50's.....management seemed positive about the future and being able to pass on cost increases.

Very tempted

That was my understanding too Dave, merger complete first

I don't know about everybody else, but when I read the report at 7am this morning, it felt as if the CFO's opener was so much more positive from the get go......maybe he should of written Stephen's too! ha ha

Anyway, it's a 'turnaround plan' which is perfectly on schedule and has 2025 written all over it for substantial shareholder value IMO. Well, for those in at these levels anyway...

---------------------------------------------------------------------

FY21 saw us make solid progress across the business.

"I joined Micro Focus because I could see a significant value opportunity. We have many customers in many attractive markets spending record levels on enterprise software. The challenges faced by the Company have been well documented, and a lot of the heavy lifting has been done and we are entering an exciting phase of our development."

Chief Financial Officer's report

Introduction

Since joining in July I have been pleased with the progress made against our strategic objectives, highlights include:

· The rate of constant currency revenue decline has halved year-on-year driven by material improvements in our customer propositions across the product groups, supported by the roll-out of a consistent global sales approach.

· The go-live of the new enterprise-wide platform has meant the transition of our entire employee base to one single IT platform providing a foundation to materially simplify the Group's operations.

· The sale of Digital Safe for $375m demonstrates the value of our portfolio and highlights how improvements made to the underlying assets over the last two years can deliver incremental value to shareholders.

· On 17 January 2022, the Group announced the successful re-financing of approximately $1.6bn. Following the consummation of the transaction, the average maturity of Micro Focus' debt has been extended from 2.7 years to 3.6 years.

My priorities over the next two years are to support Stephen in our delivery of the turnaround of the business which manifests itself in three ways. Firstly, prioritising investment in products to improve our revenue trajectory. Secondly, to utilise our new enterprise-wide platform to reduce the cost of operation. Thirdly, to optimise cash generation and ensure we use our cash efficiently to generate future revenues, reduce debt and continue to pay the dividend.









To this end, on 30 November 2021, the board set out the financial objectives for the business exiting FY23. These are:

· To achieve flat or better revenues;

· To remove c.$400m to c.$500m gross annual costs from the FY21 exit cost base to leave between c.$1.5bn to c.$1.6bn (allowing for cost inflation); and

· To generate an Adjusted free cash flow target of approximately $500m.

We remain on track to deliver against each of these and believe these outcomes will deliver significant value creation for our shareholders.

Statutory results

I like this as well

"Actions to moderate the rate of decline in Maintenance are progressing as planned and operational metrics highlight early indications of improvement in the underlying renewal rates."

A forward looking statement indicating the curve is still flattening