Member Info for mugginsthedog

Well, judging by the SP we really are at the beginning, less than half where it was 9 months ago. As I forecast SP back in to the 20’s – despite the criticisms and carping when I made the forecast.

This is a company that has gone backwards over the 9 -12 months – and that is not just the SP. Let’s look at some of the promises and compare with what has actually be delivered;

• Breathalyser. Supposedly all ‘sorted’ using existing technology in a breathless and heavily hyped (but car crash) AGM presentation. Still in testing almost 12 months later.
• Promise to break into cruise market. 12 months later – nothing.
• Numerous promises that no funding required. The reality, a discounted, dilutive fund raise. SP has now dropped even below the discounted fund raise price.
• No sales of waste water Covid monitoring. We were endlessly told that this was ready to go.
• Promised big increase in sales. After accounting for MW sales actual growth is less than stellar.
• Value destroying Modern Water merger (good for MW shareholders). Nice little earner for GB though. How long before MSYS goes down the same route?
• Mrs GB selling down shares.
• Contrary to best practice NXDs getting share options (and GB claiming that it is normal).
• Late accounts littered with errors that remain uncorrected. Bizarre claim by GB that there were no errors despite them being there in black and white.
• 2020 margins collapsing compared to comparative and in-house broker forecasts.
• Overheads massively increased, even before the new hires, with no increase in forecast revenues as a counter weight.
• China JV promised by end of June. Deferred for who knows how long?

The GB apologists really should take stock and see what is happening with this company. We really are getting very tired and irritated about general noise such as AI is the next best thing since sliced bread. Is that really the best that can be done? What about some delivery?

GB may say that he cannot control the SP but he should be able to control the company. If the company was performing then the SP would be performing.

Great technology but a management team that are simply unable to deliver.

How long before GB does a dodgy deal with MSYS like MW triggering a glut of unearned shares/options. More dilution for PIs

I am sticking around in the hope that a new management team can cut the waste, the inability to execute and fully exploit the great technolgy. Instead we get tweets, hints, promises of jam tomorrow but no actual delivery or sales.

It seems that there are a lot more sellers than buyers. Hardly surprising as this company is going backwards at a rate of knots.

Clearly his incessant drivel is highly ineffective at trying to divert attention from the lack of progress.

How about a couple more areas for Ratty to ‘research’. Like why are margins crumbling against both the in house brokers expectations and the previous year whilst costs are clearly out of control - even before they bring on all the new staff. Lots of overheads and costs but no sales.

The market has seen through the bluff, the tweets, the hints and recognise that the management team are incapable of commercialising the technology.

Ratty - even by your standards your so called ‘research’ is even more mind numbingly boring and irrelevant than normal. Just give it up and ask a few more relevant questions like why are there no more orders, why is everything late, how come the management team seem utterly incapable of commercial ING some excellent technology?

Rattys so called 'research' merely demonstrates all the opportunities that we are missing. Hardly helpful.

NU - I fear this is heading into the 20s again as I forecast (like the dilutive capital raise that I also forecast).

Great technology but management seem incapable of commercialising it. A great shame.

AC - as you are such a business brain perhaps you might like to explain in what world is lower margins good news?

If you had even the faintest idea about business then you would understand that declining margins are bad news for any business.

It only seems like yesterday that GB was claiming the results were delayed due to the football. Now it is for some mythical new contract. It cracks me up that there are some people who continue to be deluded - despite the lack of promised contracts.

I don't think that I have heard a company, at any stage of development, being pleased with lower margins. When you couple that with higher admin costs and and cash burn then this is indeed an unhealthy brew.

One might reasonably expect that there might be no surprises in the FSs, not least because TP did a research note shortly after the year end. The note included forecast financials for the next few years. Given that the note was produced after the year end one might reasonably expect the numbers to be very close to the final results. Indeed, the turnover was very close (act £4.48m vs forecast £4.40m). However, the costs are interesting.

I have compared the 2020 forecast as per the TP note dated 11.1.2021 (page 10) against actual. Although sales are almost the same the cost of goods sold per TP is £2.00m vs actual of £2.64m. Therefore the actual margin was very substantially lower. This is concerning and I can see no reason given for this.

Also TP admin costs were forecast at £3.40m vs actual of £4.17m. (both excluding exceptional costs). Again rather concerning.

Finally, it is possible to hide lots in accounts, particularly when there is acquisition accounting. For that reason I always like to look at cash burn. The TP note (page 11) says that cash used in operating activities for 2020 would be £1.4m. It was substantially worse at £2.10m.

Lower margins, higher costs and large cash burn is an unappetising brew.

It is very unfortunate that there are a number of posters on this BB who bully anyone who has even a slightly different perspective than their own. No doubt that they have their reasons but it effectively negates any meaningful debate leaving us with the endless ramping, speculation and meaningless dross masquerading as research.

I have read the RNS and quoted directly from them twice. To be frank they are riddled with typos.

What is a sales pipe?

How is it possible to make such a basic xx error - particularly with them being late. A Mickey Mouse operation. Cannot even do the basics right

Lets see why there is a delay. If it is for a big order or similar which is being finalised and will be announced at the same time then fair enough. Otherwise it is just incredibly unprofessional. Let's see which it is.

Possibly Hangzhou Sunup (Chinese shareholder)

Well here’s the post in all its glory

trillsg
Posted in: DVRG
Posts: 4,116
Price: 35.25
No Opinion
RE: Share issue24 May 2021 15:00
I wouldn't worry too much about it. They've only used half of the £3mill loan available to them and GB has said they are offered other forms of financial aid on a regular basis.

A few days later we had a £10m dilutive share issue.

Maybe you should ask the octopus for some share tips - I am told that they re rather more perceptive than some posters.