Member Info for jointhedots

doni - many years ago VT naval support where also apparently very highly thought of by their military customers, the government of the day indicated they wished to see a more consolidated shipbuilding industry with the 2 merging to leave only Bab**** to compete with. Bab**** later bought out other VT assets

Guys you've got it wrong, there is no real competition. contracts are carved up to keep both companies going , if the government decides they only need one major company going forward - that's it in all military sectors.

Your assertion is correct that having 2 competing companies is financially logical for the government - but what has that got to do with government actions. The industry needs to right size to fit government needs over the long term and governments will not want to be leaving a company with no contract say in 2030 if they want to cut costs - so what do they do? I'm not saying that is the case, as the future looks great for Bab**** and the governments commitment - but don't rule anything out.

Order books in the sector go years into the future, but make no mistake forward strategic planning go well beyond that.

lex1 - sounds good except it isn't true is it?

BAE own Portsmouth and a Scottish shipbuilder where they had contracts for the Aircraft Carriers and T45s etc.

Have Bab**** bought those bases?

I'm a shareholder here, but the truth is important, unless I've missed something, BAE are a potential predator here; we only need the government to come out and say it's a good idea as the did with VT Naval Support and talks will begin IMO.

Your comment:
"My intepretation:
So it seems to be that LoopUp doesn't actually expect 2021 total revenue to drop to £34m, it's just the current ARR and the markets are mis-interpreting it.

I am thinking that progressive research has it wrong for next years drop in 2021 revenue and maybe I do in the above DCF. I have a feeling that it is going to be higher than the current ARR. Maybe because the contracts are gong to start converting."

First point on revenue, they have said they CANNOT forecast 2021, so you are absolutely right, all they are saying is what is going on now and that been taken as indicative of the whole yeaer . I expect the revenue for 2021 to be much higher based on the current and likely future events. I can say it, but the company in all honesty can't even if they are more optimistic than the RNS and your response indicates

When a company issues what is essentially a warning this is an obvious reaction, at this stage what on Earth can they do to foresee an end to the C19 problem and return of normal trading - but it will happen.

The business is not under any threat or bleeding cash

But in these circumstances many shareholders usually quit and run for the hills screaming never to return (I've not seen much of that on this BB), they must go, the sooner the better and clear the path for others to profit.

I bought more this morning, it may turn out to be very astute or an absolute disaster - we all make our own call on this and I'll live with mine.

raggysimon - I don't think you've quite got it, it is not in competition with MS teams it is bundled with it (wrapped around it) and makes it more attractive to some customers for an additional cost for the service. It's really MS teams +, so it's always going to be the more expensive option

WRT to other products, I don't know which is the best but I wondered if Loopup could expand their offer to wrap their services around other products to cover more bases- I assumed their MS contract/cooperation prevented it but technically there is likely no reason.

Overall I think the company has plenty on their plate though, the opportunity is vast so no need to look for new pastures unless it is very lucrative.

Few are brave enough try to catch the falling knife when it settles today demand will return with bargain hunters, clearly we'll end up with a fall on the day but I suspect the SP will be higher than the current level.

More importantly, I hope we've seen the bottom of the trough today , but who knows.

The company really threw the kitchen sink at that one yet the underlying business is still in tact.

Painful today but maybe they wanted to clear the problems (actually mostly unquantified so the market can't react appropriately accept assume worst case) to allow a recover later.

No putting a gloss on that RNS though, I think someone should fall on their sword for that one.

Clearly many investors are confused about the unique selling points and mode of business of Loopup and I suspect that puts potential investors off - if you don't understand something why should you invest.

The linked presentation by Steve Flavell from 2019 explains it at at a level we should all appreciate - old but still very relevant and lots of information presented at a very steady rate. It's actually a very simple business proposition.

https://www.sharesmagazine.co.uk/video/loopup-loop-steve-flavell-co-ceo

The regional war is over - I think we all know that does not mean they have made up or sporadic trouble won't break out , but the Russian presence also means neither political leadership or Turkey can escalate anything, they all need Russai. For AAZ that allows them to get back to normal business. With the added benefit of the recovered assets which it sounds may include regaining now established Gold mines and with new deal terms with a willing government (near term revenues maybe?).

WRT the Irish venture, all new ventures these days seem to require jumping through a mountain of hoops to satisfy every man and his dog - the great thing for AAZ is they have the cash and time to see the planned project through as it is a bolt on and not required to generate income for some years.

No one is comfortable with an investment in a war blighted region, so the SP is somewhat battered, but that is now behind us and to me it looks like AZZ might just come out of it in a much stronger position. SP rises will follow in due course as investors gain the confidence to return.

IMO the RNS was very positive, so much so I have been trying to buy more, been trying since market open without success .
Look how few trades since market open - looks very much to me that some one/entity is being accommodated.

Looks like a few posters this morning are trying to create a negative view of the update - it was full of positives and statements of the problems they've coped with. Healthy cash balances, profitable, great expansion opportunities, yet it was a disappointment - give us a break!

Ian.B - on your point about usage, time will tell, but one aspect that must now be considered is that companies have realised they can let employees work from home, even if it is not all employees of all week, the cat is out of the bag and one of the range of things that attracted me was the potential that a trend has now been set.

Is it not a case of right place, right time for Loopup, irrespective of if they are best in class or poor - clients want their services. I really don't know if their service is great or rubbish, I based it on their longevity and growth and client interest that they were competent.

Anyway, if we step back a little and think about home working, most companies will still retain offices and the need for support there will only increase at those locations, furthermore most office space is under rental agreements that can't be just dropped, and so demand will surely strengthen as companies can escape those contracts or downsize (many companies will have become more streamlined) and have the freedom to make the choice.

It throws up interesting opportunities for loopup, some maybe not even yet recognised IMO.

Lamp - I'll second that previous comment, " good luck with your next investment."
Sometimes it doesn't work out, but don't look back or trouble yourself, the future awaits us all.

Hi Bigsmoke, good to see you interested in this opportunity, I've only recently started looking at it when looking for investments that benefit from the turmoil and still offer value (hard to find) - I never give up and you appear the same, even after investing in companies with deceitful or delusional managements (I guess we've all made mistakes).

One of the things I liked about the update was the straight forward honesty, no sugar coating anything in the trading update or ignoring potential problems. Once or twice burned, t's very important to me that the management are not dishonest or as is often the case delusional.

Is anybody surprised that the SP looks strong today, I'm surprised it hasn't moved sooner.

Loopup is one of the batch of companies that benefit from the lockdown. Unfortunately the uncertainty of outlook that the RNS highlighted (over cautious IMO), even though it was/is clear that home working and the need for less travel has super-charged the demand for certain aspects of the companies offering, caused or helped the SP to tank.

Joe Biden should herald a more cautious internal outlook in the US and more home working there and concurrently he'll drop the isolationist attitude of the nation that DT has championed. Surely good for international trade and hence interactions going forward - the company highlighted a weak area was that international service minutes had dropped - maybe they'll pick up!

As I recall they also highlighted Pay as You Go minutes usage had dropped and led to a drop in margin, that may have been misinterpreted as they have been replaced by contracts which unless I'm mistaken means more repeat business ( = repeat revenues) and new revenues will be additional rather than replacement. If so visibility and stability of revenue and growth will become ever clearer.

Noel - good link provides new information on what happened.

Looks like the 3 that got out where working in a different area to those buried. The stock photo shows fractured roof and no support - it wouldn't take much to fall to cause serious injury, so could be quite isolated.

The company's SP seems to have been trashed purely for suggesting it is difficult to project growth levels (still project it) and telling it very clearly how the business is performing well but also areas of weakness (presumably they will recover when C19 is sorted) It clear why demand has dropped and Lookup benefits from the option chosen by clients.

So my question and concern is why was the SP trashed in November? It seems massively overdone for a company expanding and enjoying sales success

I must admit I'm a little surprised but pleased with the positivity, expected the SP to get trashed today with the trolls moving in.

I was tempted to buy but caution won over because I really have no feel for the scale of the problem or consequences operationally or financially. So I'll stick with my current holding for now , the business proposition is still in tact, though maybe a little tarnished.

Mike:
"Hopefully the families are helped and everything checked again."

We don't need to hope, there are processes for this.

The families will be looked after TSG is a decent company and the authorities and work colleagues would expect nothing less. The workplace will be made safe as is the process every day, if a workplace is not acceptably safe they should not work in it, that's a general principle everywhere. The issue now to address is what went wrong and what is required to set it right - we don't know the detail so what it entails.

WRT the workpace it will

Worst case IMO, V25 is very concerning as it is virgin ground that should not be full of voids or in poor/faulted ground (as per RNS's). It would be interesting to know how much of the roof has fallen

Looks like we'll be waiting a few weeks at least for stability, but at least the news is out.

Of course they will close the mine whilst an investigation is undertaken, other parts of the mine may be able to operate or operate under restricted conditions.

Remember it is a collapse of ground and there is the possibility that the roof may collapse again.

From an investment perspective, it all depends where the fall occurred (have they lost workings and what level of incompetence is assigned (hence punishment for the company). It could be the new area or the old main section (where I believe they lost working before through a collapse), hence working lower grades.

I suspect it may be a while before we know, hopefully the mine can get back to normal reasonably quickly and when the outcome is known, the poor guys didn't die through neglect.