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"Think of the fortune Falky will make when the oilers start drilling for oil on the moon and he snaps up their shares on the cheap!"
Indeed, as we all know the moon was once covered by rainforests, lush flora and fauna.
Just to add to my last post, in Vodafone's case Free Cash Flow is only part of the picture for last year. If you want understand how Free Cash Flow relates to EBITDA and Net Debt, look at page 20 of the last set of results:
https://investors.vodafone.com/sites/vodafone-ir/files/2023-05/Vodafone-FY23-Results-Announcement.pdf
I can only give you examples from a description on the internet:
"Free cash flow is the money that the company has available to repay its creditors or pay dividends and interest to investors."
https://www.investopedia.com/terms/f/freecashflow.asp
Vodafone define Free Cash Flow as:
"Free cash flow is Adjusted EBITDAaL after cash flows in relation to capital additions, working capital movements in respect of capital additions, disposal of property, plant and equipment and intangible assets, integration capital additions and working capital related items, licences and spectrum, interest received and paid, taxation, dividends received from associates and joint ventures, dividends paid to non-controlling shareholders in subsidiaries and payments in respect of lease liabilities."
In Vodafone's case they tend to use an Adjusted Free Cash Flow figure with the adjustments comprising:
"Adjustments:
- Licences and spectrum
- Restructuring costs including working capital movements
- Integration capital additions
- Vantage Towers growth capital expenditure
- Other adjustments"
"Adjusted free cash flow is Free cash flow before licences and spectrum, restructuring costs arising from discrete restructuring plans, integration capital additions and working capital related items, M&A and Vantage Towers growth capital expenditure and other. Growth capital expenditure is total capital expenditure excluding maintenance-type expenditure."
Vodafone's Unadjusted Free Cash Flow was reported as €1.442 Billion, with Adjusted coming in at €4.842 Billion.
Doesn't say much:
https://www.ipo.gov.uk/p-ipsum/Case/ApplicationNumber/GB2310704.8
"Boys on the naughty list don’t get rewarded"
https://www.youtube.com/watch?v=yJGUhVrS-Gs
Off Book, so neither a Buy or a Sell. Because they're Off Book they wont be price setting trades, so outside of the Bid/Ask spread, but the price would most likely have been based on the On-Exchange price when the Trade/s went through.
Before Binance bites the dust?
https://www.forbes.com/sites/digital-assets/2023/08/22/buyer-beware-sec-insider-issues-disturbing-binance-withdrawal-warning-amid-crypto-price-collapse-fears-that-could-crash-bitcoin-ethereum-xrp-and-bnb/
"This statement needs correcting for the benefit of the easily led. From VOD’s own accounts, actual FCF is lower than the div payout."
Moleman, you're correct that actual Free Cash Flow came in at €1.442 Billion, but they did shell out €1.893 Billion in share buybacks and have knocked €8.203 Billion off Net Debt. I admit that I struggle understanding Vodafone's accounts, but I don't believe last years figures were that bad. I'd be interested to know what other negatives you want to highlight in respect of Vodafone's finances?
"Yes P.Drahi could be the elephant in the room which way will he have to swing with his holdings"
Only Drahi knows the financials in relation to his purchase's. I suppose it's dependent on the interest rate, on the debt, used to purchase the stock. I'm not sure how tax treatment works in relation to institutional stock holdings; For example, can they offset tax on dividends against the interest on the debt used to build the holdings? For all we know the dividends may cover the entire interest on the debt. One thing's certain, there'll be some sort of tax benefits unavailable to retail mortals like us.
"Bitcoin relies on mathematical FACT"
Like the 51% attack? The theory is it isn't possible to achieve due to the cost of building enough hashing power, but I'd dispute that. A nation state could finance building enough hashing power to hijack Bitcoin, or in the distant future Quantum computers could be a threat.
https://medium.com/hackernoon/the-history-of-51-attacks-and-the-implications-for-bitcoin-ec1aa0f20b94
Funny how this didn't make the headlines. If Abject hadn't mentioned it I wouldn't have been aware of it, yet it's potentially important from a shareholder perspective. You can bet if the news had been disagreement with the Union, the media would have been full of headlines talking about the threat of further industrial action.
"To: All BT/ EE members
Pay Offer 2023 and 2024
You will recall in resolving last year’s pay dispute, the company committed to a further review of pay from 1 September 2023. Following discussions with BT with regard to this review, a pay offer has been made which the CWU has agreed to recommend to you via a consultative ballot in the coming weeks.
The terms of the pay offer are detailed below:
• A 2.5% pay increase that is fully consolidated and pensionable from the 1 September 2023 – this is in addition to the £1500 paid on 1 January 2023.
• A further 4% pay increase that is fully consolidated and pensionable from the 1 April 2024.
• These awards will flow through to those allowances specified in the NewGRID Agreement as automatically linked to the annual pay review.
• The date of the next annual pay review will be 1 April 2025.
• The pay offer provides pay increases from January 2023 to April 2024 of between 10%-14% and from April 2022 to April 2024 of between circa 14%- 23%.
The pay offer for next year provides a level of certainty for you. Inflation is showing signs of decreasing and whilst we are still in difficult economic times, the analysts’ forecast is that it will continue to fall to less than 4% by next Spring.
The pay offer is subject to a consultative electronic ballot and therefore you will get to vote on the deal. We recommend you accept this pay offer. The timetable for the ballot will be notified to you in the coming days. Please ensure we have your correct email address and look out for further communication.
If you have comments on the pay offer please email: btpay@cwu.org
Yours sincerely
Andy Kerr
Deputy General Secretary (T&FS)
1:01 pm · 21 Aug 2023"
https://twitter.com/CWUnews/status/1693594061402202348?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ctwgr%5Etweet
"It’s impossible to have a grown up conversation about the head winds and possible head winds in front of BT which do reflect the share price, without Fleccy"
You've said a lot about me and nothing about headwinds, let's list a few obvious ones:
CWU
La Patourel class action Court case later this year
Competition from Altnets and VMO2
I consider the negatives, weigh them up and don't mind discussing them, but it only amounts to my speculative opinion as to what may or may not happen. As far as quoting BT's transformation and cost saving statements, it isn't like I'm speculating or making stuff up, everything I say is from the horses mouth. If you guys spent as much time building valid arguments as you do having a go at me, maybe I'd take you seriously.
Just to add to previous posts, it isn't clear how a China slowdown would affect the UK economy, HSBC and Standard Chartered may be impacted and any financial firms with property investments over there maybe, but a collapse in the Chinese currency would export deflation and reduce inflation in the developed economies. There are so many variables it's hard to know what would happen, but I stand by what I said previously that I don't see anything happening in China affecting BT's profits, and if it knocked the share price then you know my view on that.
"maybe ...an option to review the share price history over these periods to see City behaviour , to add to what you "seem to remember""
Here's the thing, BT dropped to below 80p in March 2009 and closed at 499.8p on the 27th Nov 2015, a 524% increase in the price, so just because BT is currently sitting around 113p doesn't mean it wont be much higher in years to come.
"You bet LONG and do not hedge your investment as such ....your hedge is your own Guarantee to yourself that at some point you will be successful"
I have no leverage, I listen to and read what BT say, and I balance the probabilities based on my interpretation; Unlike the institutional investors who have to show annual profits and pay expenses/wages, I only have to profit once. Retail and institutional investors aren't comparable and are driven by different forces; The market makes money out of me when I sell at a loss, why would I sell a stock I have confidence in, when I consider it to be cheap and paying reasonable dividends at a good yield? And should I choose to reinvest the dividends, that reinvestment is locking in the current yield at the current price for that tranche of purchased stock. The argument that the dividends could be stopped could be countered by the argument that they could go up, although I think it's more likely to remain static for a while in BT's case.