Member Info for Jettydog

We know from the figures released in June that MBO made a profit of £1.18m GBP in 2019 (not $1m as claimed elsewhere). This included a bonus from dropping the Bangladesh operation that cost MBO £780k in 2018. The company points out the revenue comes from “strong growth in the Group's mobile phone prepaid airtime reload and bill payment business in Malaysia via mainly mobile and internet channels”.
For 2020 the company stated “COVID-19 has not negatively affected the financial performance of the Group and the Directors remain confident on the prospects for the Group for the remainder of 2020 particularly in the mobile phone prepaid airtime reload and bill payment business in Malaysia”.
On the other areas “Its international remittance services and e-Money business in Malaysia …. did not make significant contributions to the Group in the year ended 31 December 2019”. Since then MBO have signed deals with MoneyGram and Alipay so starting from H2 2020 we should start to see this side of the business growing significantly.
The current market cap is £13m which I think is low given MBO also have around £5m in the bank. The trading update should be ready fairly soon along with finalised 2019 figures and I am looking for a growth in half year profit which will feed into a strong 2020 H2 and a great full year result.

Just so we are clear this is GBP not US dollars too!

The 1.18m profit figure relates to 2019 and includes the now sold loss making Bangladesh operation that was costing nearly £1m per year. So I expect 2020 to see much higher profits than £1m that is the real truth. Plus you suggest movement lower, the company has said Covid19 hasn't affected business and the MoneyGram and Alipay agreements means that MBO will now start to grow additional streams of revenue and profit.

It does show a financial impact in that it de-risks the future of this stock and the 2020 figures are likely to be good anyway compared to 2018 and 2019.

Yes I can live dummy sell a good number at 15.352p which is above the claimed share price. Lol

The were 4 sells at 12.25 amounting to 220,000 shares, they paused the climb for an hour or so but thing seem to rising again now.

Hey Munchbox, I kinda see the logic if you base it on what happened two weeks ago but this rise today is different, far more about growth and people taking a longer term position. Brave man but I wouldn't spend the money yet if I were you.

Let me put this another way people understand. If you had bought this share 12 months ago you are looking at 750% growth in your investment. I bought in June 2020 at 5p and I am very happy with my investment.
We now know revenue will grow and grow for the next 18 months and beyond. If you are not impressed fine, go invest in some perpetually loss making pharma, mining or oil company in the hope they one day strike it rich, plenty on AIM to choose from. Just don't hang round here and ***** because others are making money.

This is already a profitable company, £4m+ in the bank, profit in 2019 of £1.2m and the profit in 2020 should be much higher. This has been a £18 million market cap company since June. What the MoneyGram and Alipay deal do is lock in growth and secure the future. We know now that the next 18 months figures are all going to be good and tthe 35% growth in 2019 looks more like base camp than the summit.

I posted this on Tuesday when the usual doom and gloom merchants were out spouting their misery "Someone grabbed 200k plus shares for mid 8s, that will be great business over the coming months in my opinion". Fair enough I got it badly wrong, for coming months read 3 days. Someone also bought 250,000 for sub 9p on Wednesday, looking good now...

I am hopeful we will see the finalised 2019 figures and get a glimpse of how 2020 is going well before the September deadline.
This was always a good company but poor profit held it back a little, now we have had a sight of the future, between Money gram, Alibaba and who knows who else will join next the future is locked and loaded. We are pretty certain 2020 is going good, with these partnerships we know 2021 is going to be great, positive, positive positive.
Did I mention MBO have cash in the bank, is profitable, growing at 35%+.....

The individual deals are starting to add up into a company that is a major player in its market. These deals mean little old MBO is on a huge growth trajectory over the next couple of years.

I should go out more often. Two weeks ago it went over 50p when I was out and today over 20p.
Good solid profitable company, fast growth, on the agenda for the other massive financial players to partner with.
All the ones who, sold, waited, prevaricated must hate this. I pointed out the solid buying over the last couple of days and predicted it would be profitable.....

Buys and sells pretty close to even.

On a positive note liquidity is definitely improving on this stock as evidenced by the 250,000 buy late on the 3rd and the 50,000 sell today. In previous times they would have massively affected the share price.

Happily not me but a feature of all small float stocks. Where a live trade price cannot be quoted there is always the option of a market price and on this share that moves very quickly. You know the MMs made money on that deal.

Revenue is a means to an end but share value is about assets and profit. Please review the existing RNS's, when the share was 3p the 2018 figures showed revenue of £125m and a loss of £1.36m, not great. In the middle of 2019 they got rid of the Bangladesh operation that was draining nearly £1 million per year in losses. In the RNS of 15th June 2020 there are unaudited figures from the company for 2019 which show revenue increased 35% to £169.4m and profit of £1.18m. They also reported COVID-19 has not negatively affected the financial performance of the Group and reports elsewhere shows cashless payment benefiting from the current situation. Finally in July 2020 there is the Money Transfer Agreement with MoneyGram which should further increase revenue growth (MoneyGram traffic up 100% YoY).
Your basic question remains valid, how much is this company worth? The unaudited 2019 figures easily justify the current MBO market cap of £10m (based on cash of £4m and 10x profit on revenue of £170m), I personally think it low and the market cap should be £12-£15m. In the coming weeks we should get official confirmation of the 2019 figures and a trading update for H1 2020. I am expecting a further growth in profit and an improvement in revenue. So for full 2020 if cash passes £5m, profit doubles or triples on revenue over £200m how much is this company worth? What about the future, they have opened an office in the UK, more growth, more partnerships, more profit?
This is where you as an investor earn your corn. Do you invest in some perpetually loss making pharma, mining or oil company in the hope they one day strike it rich (throw a stick on AIM and you will find dozens of such companies). Or do you invest in a company with cash in the bank, good and growing revenue and profit. Historically this company was undervalued and investors missed a trick. Now it's finally getting closer to its correct value though still not there in my opinion. As the future blossoms I expect the share price growth to comfortably beat the market trend. Finally please do not take advice from anyone here or on Twitter, DYOR, the figures are all there, investment is a combination of risk and reward I think MBO is a great combination of the two, that is why I am invested.

A pattern is forming, early selling then buying from mid morning. Someone grabbed 200k plus shares for mid 8s, that will be great business over the coming months in my opinion.

One decent sized seller will do that on this share as one decent buyer will have the opposit effect, remember this went to 60p under buying pressure two weeks ago. The actual buy is around 8.75-8.90p and sell is 7.85-8.15p a spread of around 12-14%.
Even factoring todays paper drop, this share has gone up over 400% in less than 12 months.

Something similar happened on Friday, a lot of early selling dropped the price sharply, distress selling maybe. Later on that day investors then scooped up the bargain shares and the price finished up on the day. This share is such small volume that around £10k of selling has a big effect, the reverse of course is that buys push it up really quickly too.