Member Info for moneyspider

It did say early July and now we are in mid July - their communication to the market is poor. I suspect like all aim companies the small shareholders are last to know. The upturn in buying and price is a good indication of good news likely to hit the market tomorrow

I think you are looking at this wrong - I understand from the update that they indicated that gross margins would be high teens not net margin. So they will still be heavily loss making taking into account that their operational costs are 7.9%, add bad debt at 4.5% and sales costs, I can’t see this making a profit for years. So the value has got to be based on sentiment and the forward position in many years to come because currently it can’t be valued on earnings.

I think that you all have to realise that they will never get back to £10/share. When they were at this level they forecast gross margins of 20%+ and net margins being very positive. The reality is that they messed up big time, sold out low margin contracts and over accrued income. Pretty poor management. CEO has to take blame not CFO. We still have the same CEO saying all is well, but can't give any idea of when the business will be in profit. This business has no value until it can say when it will be in profit and cash generative (both of which it not). That's why institutional shareholders want out. This will be less than £1 after the next update.

V11JJJ - good spot, I had missed that, just need clarity of the % of the advance payment. Usually you can buy ROC's as you go or cash out in July - so still need a bit of clarity I think. My main concern is still the GP% needs to be much higher that 7%.

BK needs to outline how margins were indicated at 18-20%, now they are 7%, how the hell are they are going to make any profit as their costs are higher than 7% of turnover. Yes they have some cash, but that will only last a while in a loss making business and they have to pay their ROC bill in July, which will be around £8-10m! I am waiting for a while before I buy any more stock. Hopefully someone at the AGM can ask these questions.

They had no choice to do a new SAYE scheme, as staff would have no chance of making any money from the old one, I suspect they have cancelled it. It is disappointing however, that only 24 of the 136 staff see an opportunity to make some money from these. I have re-looked at their numbers and with the bad debt at 4.5%, operational costs at 7.9% I don't see how they will ever make a profit. Hopefully they can answer this at the AGM?

Blackrock sold half their shares - I wondered where Bayford got them from. Looks like a corporate move on this one.

Looks like they own businesses not invest in them so that could be the direction - nice fit with their energy businesses as well.

Bayford & Co has bought 6% of the business - who are they?

Bloody hell - somethings going on.

Just shown up over £100k buy. Got to be at the lowest point now - hoping for a steady rise from here.

It's about research. I was positive but then I thought that they would get to make a profit soon. I can't see that now as they have reduced the GP from 20% to 7-10% and increased the bad debt levels. Didn't have the info until I read the accounts. There operational costs are very high.

Where - the average AIM CEO is much less?. This suggests that he would rather take profit away from the company than grow his equity value.

Your right - I will short!

The accounts don't make great reading with the Gross Margin not even covering the operational costs, then you add bad debt in this will take sometime for the large institutional investors to get back in to this stock. They have to massively increase the revenue and get good contracts delivering a good margin to make it to a profit. I'm afraid this will take some time to prove the business is on the right track. A time to break-even would be an essential milestone that they need to declare. Talk of £12/share is a fantasy, as last time they told the market that their margins were 20% more than double what they have turned out to be. The board costs are much too high - most CEO's that have a large % of a business do not take a large salary.

I am a holder of YU shares and I expect overtime this to go well past the £3 mark, but I can understand why this is falling. As you all say, they have put the past errors to bed and have lot's of cash. BUT the problem is that the profit of 10% is gross margin NOT net margin. So when you take into account operational costs, Bobby's big salary (and the other Directors) and bad debt, they will need to prove that they are growing the revenue well above the £100m level or there will be no net profit. I just hope they can.

Will be heading towards £3 soon. Would be nice to see the new CFO buying stock!

Now that the RNS is out - with all the bad news out of the way, it will be time for one of the bigger players to buy them at this cheap level. OVO now worth £1bn (and is loss making) had a £200m investment and Bulb had £23m losses and £60m went into them for 20%, Won't be long before the market cap will be over £50m

Still well undervalued at this price.... should be well over £5. Great entry point to make a fast buck in the next week or so.

Trying to top up but not many shares around.....