Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
With no Q4 report published to the date most of us had expected, it should either be brilliant or worse when it lands. Hope chairman is not looking for what to make an excuse if it is worse just saying considering delay. Have a feeling that Q4 report will be out by this friday, maybe with heading Full Year Report (that's why our chairman wants it be crispy). If the report is better, not bitter and out by friday, all of us needs to fasten our seatbelt for experiencing good or bad turbulence cause Mike may be thinking of creating momentum of share price rising continuously with support of tender result following week another Friday where both December and January production of shining diamond will be sold to create double whammy wealth to the company.
Make some space, Jupiter asset mgmt may buyback. Existing IIs holders may add more to their holding. New IIs may be on boarding us and those retail investor who is eying to get in thinking they will buy only after when itaconix does a placing less than the current price will be left watching on the sidelines when the share price starts to rise and may never come back to to the current level (considering the achievements itx is making).
Prior to delivery of order, itaconix received a PARTIAL payment of $60,000 from Croda which was in last October. I hope after the confirmation of order receipt from them, they will be making remaining substantial payment to Itaconix and many more orders of substantial value will be following soon with no exclusivity attached. Hence, the itaconix can build more client base around the world referencing to this order.
Mr. Gibson may be keeping a close eye on you Connie :)). Who knows IIs may be making their move to mark their presence in this company before or after Q4 (if BOD proves to meet their target) too. And if directors bought more shares, it will be icing in the cake.
BOD knows the revenue figures for Q4 before December because there were no tender sales in December. They must have already prepared the report before year end 2019. Based on existing Oct and Nov production volumes, they could have forecasted the Dec production volumes. Even if their was a change in production volumes in Dec, they could easily revise it. If the report shows that BOD has become successful in meeting their promises to become profitable by Q4, there is maximum chances of re-rate from current mkt cap of £3.5m.
Don’t know what percentage I guess the shareholder to BRD from SVS securities are/may be still locked. Despite that, nearly 30% of issued shares are in significant shareholders or directors hands and who knows 10-15% may be in minority sticky hands. Only 3.26m shares in issue. Comparing those high mkt cap non-producing mines (valued based only on their fundamental under the ground), BRD is producing mines generating revenues already and has more fundamental values the more it continues to dig underneath.
I like the BOD being confident on meeting profitability target in second half of 2019 according to report produce in Q3. So those who are staying on sideline to get in after Q4 report or those who think BOD may not be able to live up to their promises may get into stampede if share price rise/fall after Q4 report. Hence, get in or out before its too late.
Revenue to Q3= above $3.5m.
There was 1,149 carats on hand (includes 20.7 carat announced on 27 Sept) which was placed on October tender. The tender for sale of 20.72 carat shows revenue of $236,000. The remaining carats of diamond sale revenue was not announced. Considering the remaining carats was sold for $430 per carats, the revenue may have come above $450,000 ish. Hence, total we can predict around $686,000.
But this was just the tender revenue for those carats which was already with the company before the starts of Q4 production. Although, December production cannot be sold to show revenue generation for Q4 due to no tender. During October and November, they may have more production in which the revenue generated will be disclose in Q4 report.
Therefore, if we can predict that there were sales of $500,000 for both October and November. We can say, total Q4 revenue to be above $1m. Total revenue for the year ending 2019 could be in a range of $4.5m to above $5m. This is above 250% rise than 2018.
Don’t forget December production of shining carats will be brought forward for January tender along with January production of carats.
Predicting the full year revenue to be around $5m, can we expect total cost of production to be around $3.5m considering $300 per carat. Then Gross profit would be $1.5m. If other admin and salary costs are under $1.5m, then we can expect the company to be in net profit.
Current share price of 114p is around old money of .20p. Lots of rise can be expected before or after Q4 report? Act fast before its too late.
But in Itaconix, it looks like due to project delays and if this momentum continues with no rise in revenue coming in and same level of expenses continues, the money will be rather transferring from both active and patient investors towards the company for BOD to utilize it in their dream to bring success and paying themselves and team salary.
I hope Paul despite working under Simon for many years is not brainwashed by his style of running the company thinking that investors has tolerated in the past and will tolerate in the present and future. But his assurance (after the fund raise) to build new partner and bring growth in both sales and shareholder value is getting hard to be reflected. I guess it may be too early too say this when he is in running 6 months as CEO and hope their will be eventual turnaround.
Can anyone who is optimistically looking for prosperous future of 7digital enlighten me what sort of news can we expect imminently in the coming days. I am feeling clueless on this company.
may be BRD also updating us on cost saving such as linking up to electricity grid and third pan installation could propel the share price forward and later Q4 reports excellent revenue generation creating fireworks
Not pumping as some may think, just the fact:
2018 Tender sales
Q1: $590,814
Q2: $267,000
Q3: $614,000
Q4: $484,428
Total full year revenue was: $1,956,242. (Hope I am not wrong on figures)
2019 Tender sales
Q1: $686,275
Q2: $1,082,000
Q3: $1,786,000
Total revenue to-date: $3,554,275. Excluding Q4.
Teichmann contract finalised with crushing circuit upgraded in August. Also they hold majority of 19% shareholding.
Company is doing their best to significantly reduce their cost in several areas.
Third pan will be introduced to improve diamond recovery in November according to Q3 production update. Although no, update given on it.
Sale of 20.72 carat diamond for $236,000 at the end of October which amount will be added to Q4. Also we saw small bucket full of crystal diamonds in BRD twitter.
Mr. Wayne Gibson and Mr Michael Conitzer increased their holding above 4% and 3% respectively with full confidence. Can we expect that II’s must be keeping a close eye on this company and may act to mark their presence on this company before Q4 result early January.
What re-rate on share price can be expected before Q4 update?- We will see soon.
As CEO mention, "use of ITX polymers in increasingly broader categories of consumer products has established a foundation for many years of revenue growth". Hope the current level of orders continues and also achieve massive commercial levels of orders along with new contract from different companies. No doubt, if their is increase in revenue, FT.com could be right with its forecast of ITX share price to be 70p in the next year.
https://markets.ft.com/data/equities/tearsheet/forecasts?s=ITX:LSE
I am not trying to deramp and neither want to ramp it. I am just the investor like most in here.
The company raised £3.3m in August 2018 saying to fund the commercial development and to meet working capital needs as the GROUP MOVES TOWARDS PROFITABILITY. For that, they started using the raised cash to make the net balance at 31 Dec 2018 to £2.1m. Good thing- they divest the company interest in Alkalon to bring cash to the company of £.25m. But 30 June, 2019 reported net cash available at the company of £1.5m. So, equivalent of £2m was an expenditure.
Revenue for the first three quarter is £.7m. Can we expect to receive big orders in the future from two big companies that company had received deals from?
The worse thing is the company was trying to interpret it to the investor saying we match the full year revenue of 2018 within three quarter. Further they inform us saying that the board BELIEVES the year-end cash will be in line with expectations due to significant improvements in working capital utilization. How much is that? And if it does not then, do they mean that company will be going for another fund raised?
Although, itaconix has been recognised as top 50 companies to disrupt the world considering its polymers products. I am sure there are other companies in the world who may be direct competitors and working equally hard to take a piece of pie.
And no, substantial revenue with only expenses cannot push the share price upwards. CEO being heavily invested could be of assurance but is not helping. Consequently, investor are hesitating to invest. It has been more than a year since they raised the fund stating it will help company to move towards profitability. I cannot see any sign of it in this way of mentioning £.7m revenue in first three quarter.
I welcome reply with supporting information if I am missing points from those who believes this is under-valued. But if you ask why have you invested then? Because I was deluded with the prospective of company generating more revenues which is looking hard to come and I hope I am wrong on this and soon the Itaconix start to make more money to be profitable.
Gizzard, possibility of sp touching to .02p and may be going down too until good news is release if no good news tomorrow referencing we saw seller willing to sell below placing price few days back if I am not wrong.
No, need to blame someone as ramper or deramper and I am just telling the probability of consequences if BOD didn't produce result that we all are expecting tomorrow. Otherwise explain to me why sp will not fall tomorrow despite no good result. Please don't say euz have good asset which we all know and investor are not buying into that anymore. However, I am happy to say if bod produce good information tomorrow we will be sky rocketing for a day or two and stagnate as I am sure that good information would not be enough to continue pushing so north.
The more retail investors buys in, II's are taking a chance to exit. Massacre awaits if no rns information that investors are looking for is released before or after the agm.