Member Info for Discodave4561

CNA seem to have an agenda for slagging off their competitors!.Could be good news for YU to acquire customer books, if only they had cash available!, or could be very bad news for YU.What's their capital requirement obligation, particularly as their net cash appears to be at a low point in the Wc cycle.

https://www.thisismoney.co.uk/money/markets/article-15229085/Fresh-wave-energy-companies-collapse-winter-warns-boss-British-Gas-owner-Centrica.html

Sparky Pal

I’m just posting my views, just like you are. But the big difference is I don’t believe what paid brokers or paid rampers say, I go on the facts.

Why didn’t you challenge the £100 a share that was constantly being ramped on here?. Because you can’t handle anyone challenging some of the crap that’s posted here and defo can’t handle an opposing view, you get all rattled don’t you!, love it :)

Sparky Pal

Why can’t you post your views on the impact to YU of a recession?, you posted you believe there will be a recession so what will be the impact on a business that only has SME customers?. If you are saying that a recession will be positive for the income and earnings at YU then you are a bigger fool than I thought.

Facts - they missed their Rev forecast, cash post interims was £56m, H2 v H1 eps growth needs to be nearly double what it was last year, debt is now £20m. Why take out a further £15m of high interest debt if they have so much net cash available - simple answer is they haven’t got £109m, they haven’t got a lot of free cash to either invest in the business or buy back some shares.

Why are you not buying?, oh hang in there last time I said that you then said you had bought some when it’s clear you didn’t and I still say you don’t even hold any, how’s newinvestor doing with his close to 3% holding? pmsl

Sparky Pal

Net cash August post ROC would be c £56m to £65m, Cash collateral payback was £50m, where’s it all gone!!!

Sparky Pal

ffs it’s Schroders!

Recession - so you are saying that a recession won’t impact on YU customers, that they won’t seek cheaper suppliers, that they won’t go out of business, that they wont default on their debt, are you for real, a recession will hit YU business harder than most as they only supply SME’s if you think it won’t then you are living in fantasy land.

You believe this is worth £26, well the market is definitely saying they don’t think so, so too the ex CFO, who sold out over half his shares and I expect will be selling the rest.

Oh and the business itself doesn’t believe the shares are undervalued otherwise they would be buying and they aren’t - or is it they haven’t the spare cash?, you decide which, I have!.

Last time you kept saying JPM would be closing their position, they then more than doubled it. And you stayed dead quiet.

The stars are not aligning, this will not go boom like you keep posting, look at the chart.

Let’s see once the Don sorts Putin out what happens to your precious YU, back to no profit again.

Sparky Pal,

So tell everyone how a recession in 2026 (your prediction) will be a positive for YU?, really!

Yes PM have increased slightly but still aren’t back to where they were (from memory).

Zero mention about JPM more than doubling their short 2 days after their interims, why do you think they did that?

So they failed to hit their revenue forecast and preferred not to mention it, their H2 v H1 eps growth will need to be +18% whereas last year it was only +10%, and that was with UK gas being about 20% higher than it is now. Okay they imply higher value contracts will start to feed through, let’s see, it’s a tough ask imo.

Oh then there’s the sneaky introduction of any loan on top of the previous £5m, a further £15m loan facility. With net cash list the interims only £56m, sort of confirms further imo that their distributable cash is getting tight in terms of their cash / liquidity covenant. mmmm.

Don’t know

But I do know some mug punter that bought heavily into the dog SNG, unbelievable never thought I’d find one admitting it!

Will retract what I’ve posted, brain dead today.

Sparky Pal

You’ve referred to FY24 data ffs which is also misleading and out of date.

Why didn’t you report IPC’s post where he said debt was only £5m?, yes he corrected it later but what’s good for the goose and all that.

Yes I made a mistake, but the point was it’s got negative NTAV.

Oops yes I got to many zeros

NTAV IS MINUS £2.89m

Sincere apologies :)

It’s still negative though :)

Sparky Pal

You are an idiot you really are.

From their H1 balance sheet:

Net assets £80.96m

Intangible assets £2.89bn

Thus NTAV MINUS £2.81 billion

Sparky Pal

You are clueless, you believe a recession won’t impact YU!, are you for real?.

Broker notes are simply a forecast, but you believe every word, you aren’t capable of thinking for yourself. CAV say £26 by 2027, now the market clearly doesn’t believe that forecast and if there is a recession then YU earnings will be negatively impacted, if you believe otherwise you must be on some other planet.

Love the fact you lose your rag, you are a mature individual that behaves like a spoilt child. You are incapable of taking on board any contrarian view point.

£2.8bn negative NTAV is horrendous is it not!, so forget the £26!

Balance sheet is very weak with a negative NTAV of £2.8bn (I’m sure someone will confirm my calcs - oh hang on no they won’t!)

IPC

Agree we don’t know the value of the liquidity covenant but to simply ignore any covenants as though they don’t exist is a bit like burying your head in the sand. From memory there was also a profitability covenant too,.

It’s quite enjoyable to be living rent free in you little head, beats the park bench any day of the week :)

You do get wound up don’t you, not a very good approach in this game.

I await the news that Cav are also their nominated broker, (slightly tongue in cheek!), after all they told Bobby boy to stop moaning. Algo are working on broker notes by the looks of it, nice rise today (see I’m being positive), but as for £26 TP, can’t see it personally.

Sparky pal

Any comment from you on why they missed their revenue target?

Any comment from you reference their new £15m debt facility.

Any comment from you as to their true net cash position?

And you posted you thought there could be a recession in H1 2026, well someone at the BoE thinks the same, so how will that impact YU?

As posted you ramp incessantly and I will counter and challenge all the crap you post up, repeat repeat repeat with no actual views other than the recession, oh no!.

There is a "rising" risk that the UK economy could see a "more forceful downturn" due to higher borrowing costs, a policymaker at the Bank of England has warned.

Alan Taylor, a member of the central bank's nine-strong Monetary Policy Committee, said there was a small but growing chance that the UK will witness negative growth and "recession dynamics start to kick in".

That should have read - Shell are taking all the energy hedging risk (nothing to do with tax credits don’t know why phone did that).

IPC

Nope. Debt facility is £15m they’ve drawn £8.3m, and then does the previous loan £5m mean they have debt facility of £20m?.

Sorry but they paid corporation tax because they’ve utilised all their tax credits now and because they are profitable!.

So you think taking out debt when they allegedly have £109.9m net cash is acceptable?, sorry but a business that has that much available cash would not take out high interest debt to fund growth in a small part of their business. IMO they had no choice because of the liquidity covenant, do you really be,I’ve that Shell are taking all their tax credits hedging risk for gratis, with energy supplied up significantly from the SmartestEnergy days when their cash collateral was £50m, they now have £56m net cash post interims plus 3 months of cash generation which would then be circa £20m max, so their net cash now could be circa £76m which is some 31% lower than their £109.9m.

IMO a cash generative business would not take out debt to fund growth if they had sufficient net cash at hand. They clearly have to grow alternative high margin income /profitability as energy is / has normalised and as I’ve stated the energy supply business was only profitable because of the energy crisis.

So will repeat my views, why take out a £15m loan if they have all that cash on the BS? - why, because it’s not distributable and it’s not £109.9m following the ROC payment.

Perhaps the liquidity covenant is getting tight!.

IPC

Not a typo on my part, it’s there in black and white in their interims:

“The Group continues to benefit from a strong net cash position of £109.9m (H1 24: £86.8m) which is net of £8.3m of borrowings related to a specific £15m facility ringfenced for smart meters. ‘

As I posted I was under the impression Rawson took out a £5m loan some time ago for smart meter investment. Now it looks like they have taken out a £15m loan facility (and drawn £8.3m)