Member Info for f15jcm

The overriding takeaway here seems to be that management ran the company to the brink of insolvency and are now profiting from that very mismanagement. Can you really trust them going forward? Existing shareholders might decide to suck it up but would you really want to make a new investment here, now?

Actually, I agree with you, it's too complicated for me. I sold out at the end of August as I didn't like them not including the derivatives in the profit figures and I don't regret doing so as I'm still marginally better off for it. Buffett's Olympic diving quote seems applicable here. Best of luck

If only the company talked about FCF, instead they talk of 'Adjusted cash flow from operations', which conveniently ignores certain 'exceptional' cash costs, which crop up every year.

There are so many notes to this company's financials, I wonder if anyone outside of the boardroom truly understands what's going on. P&L and balance sheets always seem to get restated. The word 'restated' appears 12 times in Tuesday's results.

Maybe investors weren't ignoring FCF yesterday, rather they realised cash was down £11.4m since 30th June

Yes the derivative losses could swing the back but they would only do so if the things they are hedging move in an adverse direction. You can't have it both ways I'm afraid

£5m of Derivative financial instruments is under 'current liabilities' on the balance sheet, which means due within 12m

There is a section 'Derivative financial instruments' in yesterday's results. Changes within the business have meant that they have had to change the way some derivatives are accounted for. It's incredibly complicated and I'm not suggesting they are doing anything untoward but the headline numbers at the top of the announcement certainly don't paint the full picture and flatter what's actually going on IMO

If you have an open FX position with a CFD/spread bet provider and it is over £6m quid in the red, do you consider it 'non-cash' or is that just what you tell your wife? Sooner or later you need to pay up.

https://twitter.com/F15JCM/status/1595047618274816000

They are losing a fortune (of real money) on derivatives and the are not including them in the numbers. It's deliberately misleading IMO. Compare the loss figure in the 2021 preliminary results to the figure in the annual report and tell me it's not a bit fishy...

It's already below tangible book value. Wouldn't be surprised to see it bid for.

Worth pointing out that the buyback has reduced the share count by 7.2%. This means that despite the dividend per share being increased from 0.75p to 0.80p, the company will actually pay out less than last year. Buying back stock at this point in the economic cycle actually makes a lot of sense and is preferable to dividend payments IMO

I've just added another 74k shares. Closing in on the big 1m :)

Sold a few for the first time today since investing last January. 71% profit. I think BBSN will outperform the sector but with Alphabet recently announcing a decline in YouTube revenues, there are risks around

I'd go along with that. New CEO and CFO at the helm with a difficult period ahead also adds to risk

Been left behind by the rally so far. The business is performing well, I suspect we won't have to wait long before this one leaves the launchpad

Wasn't it! And I actually added on spreadbet this morning before the price rocketed. The market has certainly reversed course for the short term at least

Taken a position. Should outperform market on way back up if I've timed it right. I expect a dividend cut though

Best ignored. I'm always open to both sides of the argument but he's a worthless contributor

As long as it's selling for $50/t I don't care if it's manure

The cash will be there come year end. While the price stays down here, I will continue to buy.

Recently learned that gas prices aren't really relevant either as they only affect Nitrogen fertilisers as I understand it.