Member Info for Lee1235

I don't think this is 10 years. There was a working assumption its 20 years but now things have changed

"The new regime still requires that entities estimate and justify the useful life of goodwill. However, goodwill is considered to have a finite useful life and therefore all goodwill needs to be amortised. Also, if an entity is unable to make a reliable estimate of the useful life, it must not exceed five years. These same changes also apply to intangible assets"

I know cash is king but market tends to react like it did in July over paper work / admin losses D:)

Markbell - The problem - they do also have that or slightly higher amount on the balance sheet for "intangibles" so last year it was closer or just above 12 Billion "intangibles" so depends how the impairment test fairs

Check out the report from Feb 2020 as it give a great breakdown of all the info here. Its actually a lot of info really

The write off is different to the amortisation. With that they have revenue to match it against etc which means no impact on margin. if you write off value its a direct impact on the operational profit.

It's hard to figure out to be fair. I wouldn't see why the BOD wouldn't complete the write down in 1 go, ie back in July. To be naive enough to spread it over a year should mean the CEO walks. Common sense to take the hit and rebuild. Then again if cash is ok and they reinstate a divi, a write down may have little impact on SP

Depends on what people are looking to sell for vs what other people are willing to buy for.

So look at the bid - ask / spread etc

Agreed. I would be happy with a double bagger here. I think that's possible in the next year or so.

i was actually offered a job at MCR in Newbury a few years back but turned it down to stay where i was D:). i wish i accepted it now as least i would know more about the results haha

I am hopeful of that but then i never have any luck.

I actually started investing in MCR on the 6th July so the day before the start of the massive decline haha. I held strong throughout so looks like i am staying in a while.

For point 1 - why would it be a value trap if the divi is reinstated? I don't follow that. The SP is much less than 1 year ago and fundamentals look better today.

for the 2nd point - its worth holding as long as the update is positive, divi included, debt reducing further or if there is talk of the future / progress on the transformation project. If the management team can stop the revenue decline then there is a lot of potential long term. I will be watching for how this looks for future.

Why is it such a problem now? It's not they increased debt lately? They reduced 400 mil debt during the last year. Is that not a sign of intentions? If revenue was dropping, cash was dropping and debt increasing then it's a concern. But they have cash and no loan maturities until 2024. Revenue seemed more stable in the last 6 months according to trade update

I thought the numbers next week are for the full year? Ie November to october 31st.

We had the trade update in July, then in November on expected numbers. Next week will be the final audited numbers for the period we already seen what they expect.

The numbers shouldn't be that different to the trade update and only things i can see impacting this:

Massive **** up with the audit numbers
Further write down - possible but not a massive problem if the divi is reinstaned
Divi reinstated
Concerns about future trading

Im less concerned about the CFO going. Seen he has a new job at some company called Qontigo. I doubt he was forced to leave and they had to announce it as the new company needed to announce his recruitment. Looks like they where looking for a CFO a while...

Clemoc lets not get into childish fighting like that.

Let's all agree we have different approaches here, deramping is not what we should be doing. We should all look out for each other. Like you say it's all about making money. I want every guy or girl on here to make money on MCR and thats it.
We should all support that and try help each other. You try cause panic and that's not good for investing so refrain from that unless it's actually right and I wont name call.

Did Clemocs kid get hold of his computer again?

Please don't tell my mam and dad that I'm mean

Sure in sitting tight. I dont need the cash I have in MCR for 30 years so really it doesn't actually matter to me short term. Still when money invested you cant help but check on it and the short terms swings. Also helps grow some balls for this games when it drops and you dont sell haha. Clemoc needs to learn that short term swings dont affect investors like it does day traders...pudding

Why does impairment matter? It doesn't impact cash, it balance sheet reversals and you must be a fool to think it does.

I checked your posts on all boards and really you should stay away from the market. You seem to panic over every share, deramping every share you follow. Something wrong with you if you think the shares you invest in are terrible.

I worry for you. Please call the Samaritans on 116 123, email jo@samaritans.org, or visit www.samaritans.org to find details of the nearest branch.

Mark bell.. wouldn't we see a profit warning RNS if it was likely to ben impact on profit vs what was announced in November? The info would be known by the BOD and is something that would impact the share price potentially

Dont waste energy replying to currency trader. Guy sold out when it was 3 quid and has been bitter since. Clemoc in drag

Agreed. I'm no expert but at least I try think before I post. At least read a bit and see what what's actually happening lol.

He is defo a short. 90 per cent off posts are based on that, even sometimes tries be subtle. At least be honest and at least give some explanations so we can understand all views

So so so ****ing stupid. I made 30% on BB yesterday. How many people made more than this? people in from the start on this.

You really are a numpty.

It's no short attack now. General market is poor today, happens. Shorts may try again but they wont get it too far down considering results are not far away now.

I was much more concerned when the market was going up and MCR down

Plus just join the wallstreetbets stuff to make some quick cash to offset

Honestly you just deramp daily. No real clue about the stock market and just give terrible advice. I would go invest in something else, like a an Emu farm

No one should listen to you.

Its the CFO who is going. He wouldn't take the blame for writing down goodwill. Anyway time will tell.

To be honest if they had risk with this im convinced they would have done it already. Also write downs don't impact cash, just Accounting ****e. Whilst the share price is low its not a massive problem is it. If the price was higher and the company was saying they had to reduce their assets then your more ducked.

I do have experience of this. In December last year my boss and i agreed to wipe out around 250k of crap on our company balance sheet so we didn't carry it forward into the next financial year D): Taking the hit works

Most info is known already.

Revenue / margin / debt was announced for same reporting period already in November. Only issues for now would be write downs or a major **** up with either the final months results or with the auditors. I doubt the last part is an issue, even with CFO going . That leaves write-downs, which doesn't impact cash and to offset that they would offer a Divi.

If its write downs - CEO would need to go considering the write down from July. Don't you also think they would do it in 1 go if there was a risk of this type of stuff happening? Board had the balls in July so why would they leave some write-downs for the full year?

MCR have paid debt down over the last year, isn't it like 400 mill paid down in a 1 year? During a global pandemic?

Plus to some extent growth doesn't matter. Cash is king so as long as a company is generating cash and is paying down the debt then there is no crisis.