focusIR May 2024 Investor Webinar: Blue Whale, Kavango, Taseko Mines & CQS Natural Resources. Catch up with the webinar here.
Siemens are a client of RNWH's, and the UK's transition to digital signalling has long been flagged up as a big opportunity by RNWH in presentations - it was a prime reason for buying Giffen.
For example, even back in 2019 RNWH noted that the Government had awarded £450m to digital signalling in the National Productivity Investment Fund.
So it's encouraging to read in today's news that Siemens are now building a new £100m signalling factory in Chippenham:
Https://www.railjournal.com/regions/europe/siemens-mobility-builds-new-100m-signalling-factory-in-britain/
The gold price has surged above $2,115 this morning.
And two of CAPD's larger investee companies saw good overnight price rises:
- PDI rose 7% to A$0.23 and are near all-time highs (CAPD's holding is worth £23.5m)
- WIA Gold rose 24% to A$0.063 (CAPD's holding is worth £6m)
Yet again! Great stuff:
"With continued strong demand from businesses across the UK for the range of alternative finance products that the Group offers, and with positive trading momentum continuing throughout December, January and February, the Board has confidence that FY24 Revenue and Profit Before Tax ("PBT") will now be not less than £31.5m and £5.7m respectively, each ahead of latest market expectations(1).
(1) Current market expectations at the date of this announcement are of FY24 revenue of £30.8m and FY24 PBT of £5.4m."
Https://uk.advfn.com/stock-market/london/time-finance-TIME/share-news/Time-Finance-PLC-Notice-of-Trading-Update/93418784
Results will be on March 11th per today's RNS.
Encouragingly - as with last year - there's no specific trading update, so under disclosure rules the assumption to be drawn is that MWE are trading in line with expectations (as they were last year).
For reference, expectations are for:
- 4.2c EPS, or 3.3p EPS
- $8.2m net cash, or 20% of the m/cap
- 3.2c dividend, or a 7.1% divi yield
Https://uk.advfn.com/stock-market/london/mti-wireless-edge-MWE/share-news/MTI-Wireless-Edge-Limited-Notice-of-Results-and-Investor-Presentation/93418839
Incidentally, jolly speculator is incorrect - Miton's percentage holding only fell slightly last November due to MWE's total voting rights having increased just prior to their disclosure and therefore their percentage holding having fallen below the 5% threshold. So perhaps a little less need for the LOL type expressions and a little more research is necessary.
The gold price is now above a noteworthy $2,080, which should encourage further sector investment, thus benefiting CAPD.
Also, an interesting RNS from Intertek this morning. They've acquired Base Met Labs, a minerals testing business with a focus on gold, copper and other critical metals. No consideration was disclosed, and Base is relarively small with £7.8m turnover, but Intertek make positive noises about the sector as follows, which should reflect well on the prospects for MSALabs and Chrysos:
"André Lacroix, Chief Executive Officer of Intertek, said: "There is no doubt that, with a growing population and the rise in demand for raw materials, the requirement for leading ATIC solutions at every stage of the minerals and mining supply chain globally is increasing rapidly."
Cheers, an excellent write-up on Pulsiv.
Pulsiv certainly looks extremely exciting - if it succeeds it will be worth a multiple of its current valuation, particularly if it attracts American institutional interest. Great to hear of those advanced orders in particular.....
New video on "what Fonix does to facilitate mobile interaction and SMS payments for some of the UK’s leading brands":
Https://www.fonix.com/blog/mobile-interaction-and-sms-payments/
An encouraging snippet from Field Systems Designs Holdings plc's results this morning:
"There has been much recent negative media publicity regarding the performance of the Water Industry and their failure to maintain their infrastructure. Government agencies are increasing their pressure on solving residual environmental problems and consequently water companies are starting to accelerate their expenditure under AMP7 for the remainder of the cycle until 2025"
"The Water Industry’s seventh Asset Management Programme (AMP7) commenced in April 2020, and framework plans by water utilities were rolled forward.
The impact of COVID-19, and conflicts between water utilities and OFWAT in challenging their 2020-2025 expenditure budgets, caused many new orders expected by FSD under AMP7 to be delayed for three years, but now order intake and consequential turnover are improving rapidly"
Questor in the Telegraph are positive this morning:
Https://www.telegraph.co.uk/money/investing/stocks-shares/fever-tree-jet2-inheritance-tax-portfolio/
"Update: Jet2
While shares in Jet2 have doubled since they were added to our IHT portfolio in January 2018, they still have further room to run amid the prospect of an improving consumer outlook.
The travel company’s latest trading update, released last month, showed that it was making encouraging overall progress. A solid performance in winter 2023-24 bookings prompted a slight increase in financial guidance for the current year: the company now expects to generate pre-tax profits of between £510m and £525m, compared with previous guidance of £480m to £520m, as higher-margin package holidays account for a greater proportion of sales than in the previous year.
As for summer 2024 bookings, average load factors are currently 1.5 percentage points higher than at the same time last year. Although the number of package holiday customers is up 17pc year-on-year, they account for a similar proportion of overall bookings vis-a-vis the same point of the previous year.
The company also reported that it had taken delivery of five new aeroplanes, while six further aircraft are due to join its fleet before the end of 2025. They have the potential to reduce costs because they are more fuel-efficient than the aircraft they are replacing.
While annual or twice-yearly holidays are arguably a staple rather than discretionary item, Jet2 is still likely to benefit from an improving consumer outlook. Consumers may, for example, holiday more frequently or spend more on each holiday than in recent years.
Jet2’s shares trade at just eight times forecast earnings, so they continue to offer enormous capital growth potential and remain a core holding in our IHT portfolio."
A prestigious win with the Pro Football Hall of Fame in Ohio, which has "hundreds of thousands" of visitors every year:
Https://uk.advfn.com/stock-market/london/accesso-technology-ACSO/share-news/accesso-to-Collaborate-with-Pro-Football-Hall-of-Fame-to-Elevate-Visitor-Experi/93390029
"accesso® to Collaborate with Pro Football Hall of Fame to Elevate Visitor Experience with New, Interactive Mobile App
29/02/2024 2:00pm
accesso Technology Group (AIM: ACSO), the premier technology solutions provider for attractions and venues worldwide, has announced a new collaboration with the Pro Football Hall of Fame ("the Hall"), introducing a new, cutting-edge app designed to enhance the experience and boost engagement for visitors to the Hall's renowned museum in Canton, Ohio.
The newly launched app is now available for download on iOS and Android devices.
Utilizing a suite of guest experience tools from accesso, the multi-faceted app features a full venue audio tour (available in English and Spanish), an interactive museum map, trivia activities and direct access to news and app-exclusive information about the venue. A second phase of the rollout – planned for the fourth quarter of 2024 – will see further enhancements to the Hall's audio tours and the launch of an all-new digital archive. This archive will host digital records of hundreds of thousands of the Hall's valuable assets – such as player jerseys, footballs and helmets, along with documents and photos – broadening public access to the expansive collection, less than 1% of which is exhibited within the museum.
....The relationship with the Pro Football Hall of Fame follows extensive growth for accesso, with last year seeing the company's launch of the cloud-native, scalable, highly flexible accesso Freedom℠ Restaurant & Retail platform and its acquisition of VGS, with the rebranded introduction of the accesso Horizon℠ Ticketing & Visitor Management system. And recently, accesso partnered with California Mountain Resorts Company to revolutionize the skiing experience with the launch of an all-new integrated resort app network."
Glad to see that FIPP have taken advantage of the recent uptick in Exscientia's share price to offload the rest of their holding.
That's another £2.54m in the bank, to recycle into the rest of the portfolio:
Https://uk.advfn.com/stock-market/london/frontier-ip-FIPP/share-news/Frontier-IP-Group-plc-Sale-of-shares-in-Exscientia/93390764
A £14 million return for a total cost of £2,000 is pretty astonishing. Hopefully the likes of Pulsiv and others will bring in more in terms of capital return even if perhaps not quite as good in percentage terms!
The Mello presentation is well worth a watch. I thought the management came across well, the outlook was generally very positive, and the particular advantages of the company were stressed:
- recurring revenues up to a whopping 87%
- free cash flows of £2.1m and £2.3m adjusted EBITDA against a £14.9m m/cap
- further acquisitions being considered
- REAT have the advantage as business purchasers due to their size and reach
- similarly REAT have the size advantage in being able to serve clients nationwide as those clients expand and grow
- REAT are installing systems this year in LaddersFree which will greatly enhance efficiency and enable cost savings
Plus we now know that "the first few months of FY24 have delivered a record trading performance for the Group", and "Momentum from FY23 has continued into the new financial year".
With 0.136p EPS forecast to this September, rising to 0.156p EPS for the year starting in only 7 months, REAT are cheap on a single figure P/E, let alone on the FCF as outlined or given the huge recurring income.
Watch from around 1hr 21m:
Https://www.youtube.com/watch?v=G257dlrOBXg
Darren Carter has been buying in substantial amounts - he's increased to 10.29% (from 7.27%) and now has 5.04m shares:
Https://uk.advfn.com/stock-market/london/sysgroup-SYS/share-news/SysGroup-PLC-Holdings-in-Company/93384596
JS notes that they're looking to become a $100m revenue business:
Https://www.youtube.com/watch?v=PwkKWz2S9Q4
"Itaconix PLC CEO John Shaw takes Proactive's Stephen Gunnion through a trading update that shows record 2023 revenue of $7.9 million, marking a 41% increase from the previous year.
Shaw attributed this success to the company's advancements in the detergent market across North America and Europe, emphasizing cost and performance benefits alongside sustainability. A significant growth of over 89% in European sales, reaching $1 million for the first time, highlighted the potential in the European market, particularly in dish detergents, where Itaconix's low-cost formulations are gaining traction among major retailers and private label brands.
Shaw also noted the company's development in offering plant-based polymers without imposing additional costs on consumers, a strategy dubbed "free green," which promotes sustainability without financial burdens.
The revenue growth stems from a balanced mix of new customer acquisitions and increased recurring revenue from the existing customer base. With a focus on expanding its product portfolio, Shaw mentioned ongoing developments in leather chemicals, paint, and plant-based superabsorbents, aiming to reach a $100 million revenue target in the future.
Looking ahead to 2024, Shaw expressed optimism, citing stabilized costs, minimal disruptions from shipping issues, and the introduction of new brands seeking Itaconix's reformulation expertise, promising continued growth from the momentum built in 2023."
ITX have huge potential from here imo.
At this stage of their evolution they're more likely to be valued at a multiple of their high recurring revenues given that this is where their core investment attraction lies in terms of "stickability" etc.
Such a multiple could conservatively be say 5 times revenues - so to achieve a £60m valuation (compared to their current £22m m/cap) ITX would only need £12m revenues. Not such a big step from where ITX are today, especially when the company scales up and begins achieving profitability on the back of increasing recurring revenues and relatively fixed operating costs.
This sounds pretty revolutionary (to this non-techie anyway!):
Https://www.eejournal.com/industry_news/pulsiv-to-deliver-groundbreaking-usb-c-reference-designs-finished-modules-with-more-than-95-average-efficiency/
The end markets are huge - "a new class of sustainable USB-C chargers, adapters, and in-wall sockets" - and imminent, given the first solution "is expected to be announced towards the end of March 2024".
Pulsiv might have done themselves a favour by putting at the end of the press release a brief bio of their partner Innosceince, since Innoscience are:
"the largest 8-inch Integrated Device Manufacture (IDM) fully focused on GaN technology in the world. We fully control and own the world-wide largest dedicated 8-inch GaN-on-Si wafers manufacturing capacity"
Https://www.innoscience.com/
Pulsiv's own press release isn't yet on their web site, so perhaps this suggestion might yet come to pass.