Member Info for hereandnow

One of the things that has not been mentioned over the past year or two, largely because of the hullabaloo over MOUs ,LOIs, and the long awaited ‘transformational contract’ , is the Strategic Review which happened a couple of years ago.

The broad conclusion was for the company to focus on securing MSCs, targeting airports in tricky parts of the world. These have been debated and agonised over for years on BB forums. The other sector, which has been largely neglected is the Technology Division/training and yet this part of the business has had renewed focus on it and has grown apace.

Jan trading update 31/1/2018

‘The Group's Technology Division is expected to report increased revenues in 2017 to £1.8m, an increase of c10% on the £1.6m achieved in 2016. There have been fewer large, higher margin sales in 2017 and as a result the gross profit margin for the Technology Division was down to 19% in 2017, compared with 40% in 2016. As a result of the lower margins, the Division is expected to report a broadly break-even EBITDA result for 2017 compared to an EBITDA profit of £273,000 in 2016.’

So, traditionally small contracts, 20% margin, large contracts 40% margin. From this, one could assume the same going forward which would indicate a $2million profit on the large contract.

And then we have the planned investment and promotion of that part of the business, when it had been largely flat the previous two years,

‘The Technology Division continues to receive a high level of interest and enquiries from around the world for its technology products and solution offerings and the Board believes a planned expansion of the sales team will produce a marked improvement in this Division's performance going forward.’

Following this, in February, they appointed Stuart Gilbert as MD of the Technology Division. In March they announced the $4.5million contract to an existing client after a long negotiation. PF’s comment:

"I am delighted to be able to announce this important new contract award to an existing customer within the Middle East, which has been secured after a prolonged period of negotiations. This contract is one of several large-scale projects we are negotiating in the region"

How do you know Mike? Did you take him down the vet and have him chipped?

I love a good filter, it really is quite healthy.

Only been here a short while but it became v obvious there are 3-6 posters on this BB who have axes to grind/some sort of vendetta/ some connections to the founder/ just lost money on a very poor investment and are bitter and twisted, whatever, these days I have no patience for such detritus.

nothing like a bit of filtering.

when the company announces a series of good contract wins, the overhang dissipates and the sp triples , they will all go a bit quiet and disappear

It's very odd, normally the price shifts up and down to free up some liquidity, not here it seems.

why?

couldn't get an order filled this morning. Looks like we have found a floor around here unless the world runs scared again

TBH Slipper, I don't think they will be FATF approved. Think they still have some way to go BUT I think FATF will take them off their 'black' list and may give them more time to get their house in order. What the Iranians have done is probably enough to allow the EU to progress with setting up the SPVs

Results will be good next year, over £10million for the full year.

Never mind Iran or the extra MSC contract this year, I go back and look at SL which is performing well and the technology and training side of the business. Things have really changed there. The new manager has done a great job judging by his ability to close out the $4.5million contract and the numerous smaller contracts that have been listed on the website. I will put something together on that and post it when I get a minute. Piecing together all the titbits they have RNSd over the last year, this has come to cornerstone the existing value of the business. And what a fantastic way to get an 'in' with dozens of clients worldwide to get subsequent MSC and kit and training contracts.

I do believe the company is on the cusp of some great growth. Crossed fingers and good luck to everyone

For my sins, I topped up today, mine was the 65k trade earlier on, first buy since Q1 for me and I've sold none on this journey. In hindsight, well, hindsight is just that, isn't it!

got the feeling this is the calm before the storm?

WSG have changed banking, finance, supply chain and insurance to meet the challenges that USA sanctions have caused.
They have to to re-write the contract to accommodate these changes. This is being finalised aka in the spring with the original contract.
New sanctions kick in on Nov 4th, the EU are/have setting up SPVs to allow the world to trade with Iran.
The USA continues to isolate itself, the mid terms are at the beginning of November . Trump has repeatedly shown himself to believe in nothing except the deal, he is willing to change tack at any moment and throw anybody 'under the bus' to achieve his goals. Totally amoral, all about the deal, the glory and the ego.
I still see November as the key month here, all those ducks are lining up

Not at the moment, haven't worked out their cash position lately and I haven't looked at their other assets too much.

I'm hearing they are planning to drill Cooper next year but I guess we will get a stear on the 29th Nov

Ok, you do not answer my questions, not surprising.

Judging from your posting history, you are a troll, focussing on one stock and posting negative nonsense over and over again. I wonder why?

What a waste of a life. clearly you have some history here, connection to the company in one way or another, some sort of axe to grind, welcome to my filter list, I don't wast energy on trolls any more

If I was them, I would raise 500k in Q1 as a comfortable cushion and then whatever they may need to cover development costs at the end of the drill campaign. I suspect Apec will have taken them out by then.

They have survived and been financed by Brandon Hill and Lampe for years, they regularly ran cash down to next to nothing.

So , did you work for this company or were you a share holder? What exactly is your connection here?

I think you'll find the cost of customer acquisition has got lower, nearer the £40 mark than the £90 than you seem keen to repeatedly use and quote. They have a low attrition rate of customers. Existing customers make up 20% of recent orders i..e they bought more services which would have made the acquisition costs v low.

There is a race on, grow the customer base as fast and cheaply as possible to become cash positive before the £2million they have raised runs out. So far they seem to be doing pretty well, time will tell.

You can pour over historical failures and losses as much as you like, I'm more interested in the recent past, the present and the future. They have raised lots of money, they've cleared out the founder following his disastrous sell off of stock . There is clearly an overhang from the placement following the placement, the sentiment is awful amongst retail as this BB demonstrates.

I think we will see plenty of contract news over the coming months hence I have invested a modest amount. For AIM not that high risk as they have just raised enough cash for a long time, plenty of runway to turn this around.

spread is 1.99-2.02

tight, unusual

Ah , found it, half of what I ordered, 250k at 2p

Well, my buy has still yet to appear

Fellas, all correct and that is why I didn't invest. Things have changed massively since the IPO. You can hark on about the past as much as you like. It is irrelevant as to the present and the future, the company is in a very much better position now, is valued at a pittance, has re-structured its sales force, improved margins massively. The cost of gaining each customer is also way lower than your historic numbers. This will work its way through the accounts.

at 2p. it hasn't been registered yet, probably will be late reported. This will do really well over the next year.

https://www.wsg-corporate.com/news/new-contract-award-west-africa-2/

good to see, yet another contract, this time west Africa, kit and training