Member Info for Only1Gibbo

Not on a daily basis H&N, although I did pick up that they gained a new record when the MSC Virgo, an Ultra Large Container Vessel (ULCV) Sailed away from MPS Terminal 3 at Tema Port on 4th of August with over 12 thousand TEUs onboard.

This is what I was on about yesterday, Tema is able to handle the largest container ships, enabling it to operate at huge scale and giving it a major competitive advantage over smaller ports.

https://www.linkedin.com/pulse/another-record-breaking-meridian-port-services-tema-mohamed-samara

H&N, it isn’t just the adding of a list of contacts to the rolodex that the training gives us, but the chance to show them how good we are. With our airport security training being rated as outstanding by the CAA it gives us a great marketing opportunity.

Disappointed? yes and no. Obviously I'd like to have to seen a number of MSCs signed in a non COVID world, but would I want to see us sign up to an airport MSC with an initial capex outlay with an uncertain PAX level given the pandemic? No, not unless minimum revenue clauses were included.

But what I am very pleased about is that the team have been agile enough to adapt to uncertain and challenging conditions and focus on CV19 tech until they can make progress on the MSCs. Not only have they managed to keep the wolf from the door, but have expanded key areas of the business to provide a more than creditable revenue and profit growth, and that is despite losing Lunghi revenue for more than 3 of the 6 months.

Don't under estimate the potential of a deal with Menzies. A huge opportunity to sell into any number of 200 airports around the world, major ones too. The airline industry is suffering, it needs solutions to enable the CV risks of air travel to minimised. Our trial was first with Air France and then rolled out to other airlines. Hard to imagine it being rolled out for further trials if Menzies or Air France hadn't been happy first time around. Longer term it gives us the potential for introductions and an opportunity to impress in many airports around the world. The longer term benefits could be huge.

As I see it, WSG is a relatively safe stock, with plenty of CV19 tech upside if there is another severe wave of COVID again over the winter months, and huge upside via MSCs once the pandemic abates. We know that Vincent was advertising for staff pre-pandemic, so it looks like a Francophone MSC is well progressed. Then we have the African contract . I suspect they're will be a few crying into their beers when they realise they missed the opportunity to load up at these prices when that lands. And then the potential jewel in the crown, KSA. With the pedigree and connections of our JV partners in KSA we have a fantastic opportunity ahead of us.

HB, excellent post. One thing though, you mention a 40% margin in respect to Tema. I suspect you have way under cooked that. The 40% gross margin was that of the Group, we have known for some time that manages services have tended to provide higher margins than the technology side of the business. You did however highlight a key point, that Scanport are now employing the staff. Don't forget that WSG didn't provide the equipment either, so you have to ask what exactly are the costs we are bearing? Obviously there are some, but I suspect that margins at Tema are probably nearer double the figure you have quoted as a result.

Fully agree with your sentiments re PF and the team. To pull a 24% increase in revenue out of the bag following a 63% increase in revenue in 2019, during an global pandemic, whilst losing all revenue at Lungi for more than 3 months is nothing short of an outstanding performance from the whole team.

A global average, where some ports will do better and some worse than the average.

Tema is a new port with state of the art equipment, which gives it the competitive advantages of expediting turnaround times for vessels in harbour and to be able to receive the largest vessels. As a result it stands to become a key port in West Africa. No co-incidence that Hapag-Lloyd, the world's world's fifth largest container carrier declared Tema Port as trans-shipment hub less than four months after opening the new terminal. Being built by Maersk , who have been the world's largest container ship and supply vessel operator in the world for the last 25 years, puts the new Tema Port in an enviable position to expand operations from 1m to 3.5m TEUs over the next few years.

I thought the first one was pretty easy tbh. Of course the answer is 2.

That's a tough one AIMing, can I have one on sport instead please?

I can see why Bozo wants to get you all back to school as soon as possible.

How have you come to the conclusion that the business is in the best shape it has been for years if the webinar, as you put it, was such a disaster?

Guess we can just add you to that long list of traders talking it down for your own purposes.

Ahh, so you think the whole purpose of such announcements is to enable those that have never invested in the company to buy in just before the contract announcement so they hold them for the shortest possible time before selling them again, so that they make all the capital gains, not those that have actually invested in the company and who actually might like to know what progress is being made on their investment?

I'm not making excuses, I'm merely pointing out the commercial realities which sadly you seem completely oblivious to.

I'll ask again, what exactly do you think the staff we have had out there have been doing during their time in country?

FW, you’re really not getting it are you. Let me try again. Not having an entity doesn’t stop them from scoping, negotiating and winning business. They just need it to formalise contracts. Having the entity in place 12 months ago wouldn’t have miraculously caused contracts to be signed any earlier. It would just have resulted in additional costs of maintaining a legal entity in country .

Out of interest, what exactly do you think the staff we have had out there have been doing during their time in country? Twiddling their thumbs waiting for a legal entity to be set up and PF to blindly fax a contract bid and hope that it accepted before they do any work!

FW, then clearly you know and understanding nothing.

First, prior to setting up such an entity advice would need to be sought to ensure that efficient tax structures are put in place to ensure that revenues can be repatriated in the most efficient manner. Advice received may be dependent upon how operations and contracts are proposed to be structured.

Second, there is little point in setting up a legal entity any earlier than is actually required as the mere existence of the entity will result in unavoidable costs. For example, the need to maintain accounting books and records . These are usually required to be kept in country and in the local language, so someone has to be employed to do that. They will also require to be audited, another cost. A tax return will also be required involving the use of professional tax advisors familiar with the local tax regime and authority. A legal entity often requires a director to be based in country, in some cases a native of the country. Someone will have be be employed to fulfil that task too. I could go on.

Third, if having set up the legal entity a contract is not won, then there are costs of maintaining a dormant entity until the entity is liquidated, and then the costs of professional advisors to complete the liquidation.

I'm clearly different to you. I took the fact that they are actually proceeding with setting up a legal entity in KSA as being a very positive indication that discussions are well advanced and very positive.

My advice would be read the statement you have posted again "registration was required before contracts could be won and signed". Think about it. Says nothing about negotiating, does it?

Yrabs, yet another trying to talk it down

22 July “so depending on webinar, could be many exiting.... me included, whatever the loss”

Yet 24 hours later, whatever the cost had become he thinks he will be off

23 July “I have not had my new log in from ITI yet, but when I do, I think I will be ofsky.”

Now on 29 July he’s still merrily posting away every few minutes trying to get that SP a penny lower to add to his holdings. 14 posts yesterday, 3 more this morning.

SirSwish1982 - 23 July “Wish I’d heard that webinar 9years ago, I’d never have trusted my cash to dads army then.”

SirSwish1982 - 29 July “My buy showing as a sell”

Says it all really, just a bunch of traders trying to talk it down for their own trading purposes. Pete was clearly right.

It might even rise Mike. Don’t forget the Menzies opportunity was only RNS’d on 3 June with the following statement “Using the Westminster fever screening solution, Menzies Aviation will continue to conduct operational trials with Air France and other clients' flights' over the coming weeks in order to fine tune an effective delivery to this added layer of safety and security”

So with the trials not ending until towards the end of June at least, maybe even later, it unlikely that there was significant revenue, if any, in H1 from this opportunity.

What we don’t know of course is whether this is just for Stockholm or whether Menzies will roll it out to other airports that they service. What we do know though is for it to be RNS’d it should be material. By contrast the investment bank contract for $0.6m announced on 26 May wasn’t deemed large enough to RNS. (We also don’t know if they managed to deliver and install the equipment for that contract even in the 5 weeks before the end of H1 to enable them to recognise that revenue in H1)

Flights restart 22 July

https://newsaero.info/aeroport/sierra-leone-les-vols-internationaux-reprennent-le-22-juillet-?true=3012

Flights restart 22 July

https://newsaero.info/aeroport/sierra-leone-les-vols-internationaux-reprennent-le-22-juillet-?true=3012

I wouldn’t be surprised if the supply chain had become more strained during Q2 after existing stocks at the start of CV19 had been purchased during Q1. As I say it would be interesting to know the order book level and current lead times for delivery and installation.

Mike, Menzies is now listed as a customer on website.

My thoughts too AIMing, but maybe there is a healthy order book for CV19 equipment building up? It would be useful to know what that number is looking like.