Member Info for GreenEyes1

The 50% increase on H1 2024 is distorted by supply issues from memory (last year saw a reduction in sales, recovered in half 2). The £700k PO is fantastic but much better if it turns out to be ongoing.

Negotiations on all fronts will have to be very tight lipped, which can look like a lack of progress, so investors have to determine which it is. After today the business looks to be securely underpinning the valuation and I have greater confidence that this is the bottom of the trough and the direction is one way from here. It could be a golden opportunity for anyone wanting to top up.

Anyone have any thoughts on the additional data being shared, is this simply more dialogue, or a further opening up of previously withheld results, phase 2 of the MTA or just corporate speak for negotiations?

I'm pretty gobsmacked at the muted response, it looks like tiny volumes from what I can see.

A couple of points left me underwhelmed, regarding valves and grafts described as "ongoing", this could just be a tight lipped response. Interesting that it specifically states licensing for the valves, I wonder if other options are off the table.

The CM I thought was positive, there's been some organic growth and there are a "number of potential developments".

Shame the SP hasn't reacted but the company is growing and underpinning it's value.

The RNS is forced due to the AGM, it makes some statements but I think is quite tight lipped on big developments. Feel much happier holding this in the volume I've got.

Certainly feels like an update that should move the SP on significantly, lots of hints on other areas and positive growth for CM, although I would like something bigger to land soon! Most importantly the announcement should restore some confidence in the company. Should be a good morning!

Your point on solving the animal content on existing HVs is pertinent, RUAs HV is not just a better product (how much better for the manufacturers in the full context we don't really know), but de-risks HV manufacturers from major supply disruption. Coupled with the claimed strength, durability and thickness benefits, this could transform that manufacturers fortunes too. I'm assuming that is generally what you were referring to!

When I put it like that I want to buy more 😂

If you'd seen some of the shares I've picked in the past you wouldn't bother making suggestions. RUA is the only one I have gone big on and I have big losses I want to recover, not compound.

Pubesz - that's half the story, I bought back on the second RNS, cost me about £85 quid which I won't lose sleep over.

Arguably you couldn't lose money on a share that is worth less than the cash and assets on the books, however if they don't land a significant contract this year (that is by intent rather than fortune as the new PO partly was) and the major chooses not to proceed with any kind of order on the heart valve (even if the results are good) then where will that leave RUA.

That said the pipeline opportunity is reported as being very good and the HV data was good enough to get the major to enter into an MTA in the first place, which is significant. I've been here before with the confidence though (re vascular: "when, not if"). I take their words with a very large pinch of salt, I think they have been as shocked by events as the rest of us.

However, I am still here, fully in, so I do still believe. I will regret not owning more when it does go.

Apologise for negative spin, but I tread cautiously!

Yep, I spoke way too soon 😂 it doesn't matter when you are waiting for the right news as opposed to trying to day trade the volatility.

Continued transactions this morning back up the leaky theory, although they are smaller in quantity, long may it continue!

Hopefully, but probably Popeyes purchase leading to some FOMO, although I expect plenty of selling the more it rises, until there's a decent RNS of course.

I sincerely hope they are worth a pound each by the end of the year.

Thanks Nick - no I'm not seriously concerned, just playing devils advocate really. I can see issues with an MTA when done badly but as this kind if thing is typical in the industry and the major will have a reputation to uphold, there is no reason to think RUA is RUA vulnerable. I had thought along the lines of data would align and differences would need explaining.

I very much think if the major likes it, it will be a purchase. I don't think they would want to utilise a product on licence if they intended it to be a major part of their product line. Of course if they did license on such a scale that would be great, but a nice pot of cash would be great too. Either way would presumably mean vascular coming back to the fore.

Thanks Intra, I have mulled this text many times and (to me) it is bordering on 'corporate speak' and that concerns me. Much of what they said would apply at any time in any business that is trying to grow, but it also lays it on thick which shows confidence also. At least they still reference 2M of current enquiries which offers a specific insight to pipeline (and does suggest the 100K PO project is still on track).

As Rodney Trotter once said, "Del thinks market penetration means sex under a barrow". The words can be interpreted in different ways and due to past experience and exposure I am maybe applying to much scepticism.

I have two thoughts on the wording specifically in relation to the £100K preliminary PO.

1. deliberate ambiguity to avoid panic

2. it is at a sensitive stage in negotiations and requires restraint

I sincerely hope it is number 2.

Thank you for your response, I am well informed of the case for investing, the skill now is in the patience and holding my nerve.

GLA

Thank you for the excellent responses, especially given I messed up cutting and pasting my full message in the first place.

Just for clarity - the news I was hoping for with final results was more Contract Manufacturing business (POs or contracts), it wasn't there so I sold half my holding to reduce risk, that was always my plan. When the second RNS came in I bought all back on the dip, (sold at 10.5 bought at 10.7 so no big loss) even though it may be a one-off PO. I have been invested for some years now so am no stranger to losses here. I think that is testament that I believe there are big gains to be had, providing I ride the out the doubts (in fact I have more than I am comfortable with post latest RNS's).

There were lots of positive words on contract manufacturing but it did not explicitly state that the 'global enterprise' that sent over a 100K PO was progressing, so it is possible to interpret that it has fallen away. Also, they have stated a doubling of contract manufacturing for some considerable time now, usually in the medium term but this is from the April 23 final result - "New and existing customers are actively reviewing projects with RUA that could double the current scale of the business over a two-year period" there's been little movement except for the currently one-off PO for £400K (which saw me re-invest) although they are still within that particular statement of April 23, they have been talking this since before then.

I think the starting point would be a big step towards break even, which in turn would improve their negotiating position on Heart Valves and Vascular. I am still of the opinion that good news will put a rocket behind the SP, my concern is are we being gas-lit to some degree. Of course they cannot be overly transparent, but what is it that is stopping a major breakthrough. I bought back quickly because I want to be in at this price, not multiples of it. The surest way to expedite a major breakthrough would be for me to sell first!

On an irrational point and in no way an accusation but reference to MTAs in general - what's to stop the heart valve major understating the value of the their heart valve tests, either as commercial sabotage or to buy cheap!

Most of my message hasn't posted, cannot be bothered with rewriting, so apologies for the garbage but please ignore.

It's very easy to link one to the other, but it is not explicit, is the contract for which they received a £100K for initial development work likely to lead to come to fruition or has that died away, they are not clear enough and that leaves me suspicious about what is happening (is this a growth company, because last year they grew 3%). And this is the problem with RUA, they sound plausible but ambitions needing turning into realities.

The longer this drags on the more investors will sell at 13/14/15p and hold it back, that said it is only going to break when they actually land something, a big Contract Manufacturing order would be a good start. A one off £400K kept me interested but that sounds like a fortuitous win.

1/2

I think there is a bubble forming here, with dissenting voices given slightly hostile reactions. It doesn't help anyone when the risks are not discussed, and it is those risks that command the

With no volume any "leak", from the customer or RUA staff as to the results, to their friends who may want to buy shares before any announcement, could have a pronounced impact on the volume. Worth looking out for, unless both parties manage to keep it water tight.

i asked sellers to share their reasons an no one answered, either they are not here or they are to shy.

i sold (reduced my holding to reduce exposure) because the first rns was a load more word salad from rua. i bought back in after the second because that was the news (of sorts - it's not currently annual) that i wanted to hear that meant i would hold (helped by the massively reduced cash burn in the second half of the year). that cost me only tens of pounds so i got away with it (i hold 100k). i certainly wouldn't be selling £200-£400 pounds worth of shares as a lot of the trades are.

i'm not looking at data but didn't most of the selling happen after the second rns once the price exceeded the placing price - which in my opinion then led to panic selling. this points to a large number of investors who will sell on any gains that are not the result of a strong rns. it puts 13p out of reach until some good news is reported.

i still think the upsides are fantastic (from this low point) but the sensitivity on the bull****-o-meters need re-calibrating here. there is still a lot of risk, mainly from not achieving the objectives.

"Cash balances at the year end of £3,931k (2023:£1,484k) resulted from the successful equity issue during December 2023"

Second half cash burn £526K, so reasonably a million a year. The new £400K PO is not to be sniffed at but needs to be recurring. This is why the new contract is so important, I think that it was worth up to a million a year itself.

But interested in hearing from those that sold as to their reasons.

Actually not entirely clear which year the 100K PO came in / when it is invoiced.

Just wondering what reasons any sellers had for selling are?

Yesterday I sold half my shares in this company at the open, not because I believe there will no longer be a renaissance at some point but just to reduce my exposure as I feel the longer they go without increasing revenues the greater the risk.

Then the second RNS appeared. Had this been declared in the final result RNS or at the same time I think the market response would have been a lot better (and I probably wouldn't have sold). But still the SP is down.

It is probably not possible, but more information around the new PO like reasons for the urgency and likely size of annual orders if it does result in more work would have helped. It bodes well that this is an organic order, it shows they are a quality supplier.

I said before BB has previously expressed frustration at the speed the industry moves but to say nothing on the new potential customers (PO of 100K for preliminary work) other than 'significant headway' on objectives or 'new business opportunities being explored' must leave investors wondering if that is because they are falling away from committing. The wording is actually very woolly.

I'm especially sceptical as after a new 100K PO that represents 5% of their revenue they still only grew 1%.

I think market activity also points towards a very high number of investors who will sell on minimal gains, their rush to take gains has possibly caused a panic driving the price down. This will hold RUA back on any good news.

If it takes two-three years to secure a new customer for contract manufacturing, will they reach profitability in time before the money runs out.

As usual the RNSs are summarily positive but lacking detail.