Member Info for rivaldo

The Investor Meet presentation was encouraging imo. Highlights:

- "Good start to FY26"

- current acquisition prospects are "at larger end of typical targets"

- acquisitions have their insurance, software etc costs consolidated, resulting in higher margins

- CSSG's software is their own and is IP-protected, enabling centralised Group services

- CSSG now own £3m+ of properties, which of course adds further asset backing to the £4.3m cash pile, against the £11.6m m/cap, with a bank loan facility to utilise against these if required

- interesting that apartments above some properties are being converted and rented out. Two are currently rented, one more is to be converted a fourth may be converted. Assuming £250 per week rent this could be a nice little sideline of other income as four properties could bring in £50k per annum

- acquisitions are targeted to cost just 1 times EBITDA for locksmiths, rising to 3 for those with electronic security services

- manufacturers with large end-users are coming to CSSG as they have more locksmiths available to service those clients than their smaller rivals

- as a larger organisation, where one CSSG locksmith/security centre doesn't have a product in stock or specific product expertise, then another will

- BSEN 179 and 1125 regs are a boon to CSSG as experts in the field and in fitting the correct electro-mechanical hardware to fire escape doors. Martin's Law is important in this regard, and CSSG can do all this without sub-contracting

Today's H1 update struck me as very encouraging.

I've been watching for years and have today bought in for the first time. Very pleased to have bought a decent stake at between 137p-140p.

There may have been an initial overhang, but this seems to have largely gone as the maximum stock I could buy online not long ago was only 15k.

With H1 having delivered almost 60% of the year's forecast revenues - and 66% of PBT - expectations of meeting forecasts look pretty nailed on at the least.

And with a heavy involvement in Defence and Security SOLI should continue to benefit from the growth in this sectoe for some time to come.

That's an excellent update.

Great to see RUA expected to continue EBITDA-positive, even with Abiss revenues declining following the post-acquisition surge as already known.

The £3.2m cash pile - against the £7.4m m/cap - is being well controlled.

Contract manufacturing in particular is growing very nicely, with new customers and business development activity which should lead to further growth.

And in the background you have the graft and valve products which are moonshots in for free.

When the obvious overhang clears then things could get interesting.

A very encouraging H2, with an H2 PBT of £120k.

Net cash was up to £1.1m at 30th September from £0.51m at the interims! This against the £1.9m m/cap.

With a high and stable order book of £4.7m - mainly set to be delivered this and next year - IGE could just be about to enter a period of rewarding growth.

The commentary is certainly upbeat:

"trading in the second half was profitable and demonstrates a considerable operational turnaround"

"This growing forward order book confirms the strong intrinsic market demand for Image Scan's high-performance solutions to the security and defence sectors, aided by industrial sector revenues particularly for support services"

"The Group is encouraged by activity levels post year-end and what appears to be a much more buoyant market environment"

"The robust £4.7m forward order book confirms the underlying and growing market demand for our high-performance security and defence solutions, providing excellent revenue visibility into FY26 and beyond. Furthermore, we are encouraged by activity levels post year-end and what appears to be a much more buoyant market environment"

https://uk.advfn.com/stock-market/london/image-scan-IGE/share-news/Image-Scan-Holdings-PLC-Trading-Update/97142422

"Major" new contract win for the installation of EPOD systems with a new client....."to be deployed across Wilson’s full vehicle fleet" of "over 40 articulated vehicles", plus training and ongoing support.

This should contribute nicely towards the 2025 results to the end of December:

Https://touchstar.co.uk/blog/wilsons-of-kendal/

Extracts:

"TouchStar Secures Electronic Proof of Delivery System Order from Leading Haulage Firm, Wilson of Kendal.

TouchStar Technologies, a UK-based solution provider specialising in securing the logistics of people and product, has secured a major contract with Wilson of Kendal Ltd, a long-established haulage operator in Cumbria, for the rollout of its electronic proof of delivery (ePOD) system, “PODStar”."

"Fleet-Wide Deployment and Long-Term Value

The proof of delivery software is set to be deployed across Wilson’s full vehicle fleet. This will include both training and ongoing technical support by TouchStar to ensure both a smooth implementation and a measurable ROI.

Harry concludes: “The thoroughness of our initial search for a competent supplier has paid dividends. In TouchStar we have found an organisation whose professionalism extended beyond the excellence of the PODStar product itself, right through to the installation and support aspects of the project. As we roll the system out to our fleet, we’re sure that our drivers will appreciate the simplicity and user-friendliness of the system. We look forward to a long-term relationship with TouchStar.”"

Terrific news from TVG this morning. It's not often you see a company describing their vaccine trial results as "outstanding".

It's so encouraging to see so many companies in FIPP's portfolio apparently thriving and producing quality news flow, with a number of them already at commercialisation.

FIPP's £16m m/cap will look like very small beer, potentially in the next few months as regards 2D, Pulsiv, TVG etc, if just one or two investments lift off given that there are so many other shots at successin the portfolio.

Zeus today calculate historic 6.3p EPS for last year, presumably adjusted for amortisation.

They forecast £5.2m net cash at June '26, with 4p EPS given increased investment in growth, but this excludes any acquisitions at all, which would likely lift EPS substantially - the difference between 6.3p EPS and 4p EPS is only £180k PBT!

They forecast a 2.5p dividend this year and have a 100p price target.

Zeus conclude:

"Zeus view: Today’s in-line results reflect strong underlying trading in the business against a mixed market environment and progress being made on the pipeline of acquisitions. While the number of acquisitions was marginally below target in FY25, the forward M&A outlook is strong and underpins expectations of compounding growth over the medium term.

With an opportunity to roll-up a large pool of locksmiths at attractive multiples and generate material synergies, we view an FY26 EV/EBITDA multiple under 7x as highly undemanding given this assumes no future acquisition contribution."

REAT were one of two companies featured by Hybridan in their "Takeaway" report to clients on Friday:

"Financial Calendar: Year End September, reported 29 January 2025, Interims March, Reported 27 May 2025

Three Main Shareholders:

Octopus Investments Nominees Ltd 19.36%, Dowgate Wealth 12.48%, Harwood Capital LLP 10.94%

Key Investment Points: Acquisitive & Organic growth, Momentum Building, Strategy

This week’s Trading update for the FY September 2024 from this acquisitive facilities management services provider, reported business is ahead of expectations. Revenue of £25m would be a 21% increase with the EBITDA up 42% from 2024 to £3m. The organic growth momentum is improving and is being accelerated by the elevenmonth contribution from 24hr Aquaflow. The more leaks and floods the better for this commercial drainage and plumbing services business which was acquired for up to £7.4m with cash paid of £4m and supported by a £1.1m placing at 81p.

REACT reported a sequence of contract wins across its four divisions: 1) LaddersFree, a commercial window cleaning business which reported securing national retail accounts with well-known brands including The Works, BP Forecourts, and H&M. 2) Fidelis, a contract cleaning and soft facilities maintenance business and reported several new multi-year contracts with industrial and manufacturing clients including Danatrol, Flexi Coventry, and Haldex. 3) REACT Specialist Cleaning business, which primarily provides emergency and specialist cleaning situations reported new customers including the NHS and construction firms. 4) 24hr Aquaflow performed well with contract wins including a multi-site residential agreement with Smart Managed Solutions and CCTV inspections agreement with Homes England.

This performance highlights the resilience of REACT's financial model, which is underpinned by a balanced mix of high-margin, time-sensitive services and recurring maintenance contracts. The net debt increased to £5.3m from £4.8m in March which included £2.9m drawn from a £3.5m term loan used to fund the acquisition. Until debt is paid down further acquisitions would likely require shareholder support. The enlarged groups’ stronger Q4 trading, increased the working capital requirement which can be funded from cashflow.

Operating cashflow remains strongly positive, due to the repeat and recurring revenue which continues to account for more than 85% of total revenue.

The Trading Statement upgraded forecast for FY September 2025 to an EBITDA of £3m compared to £2.1m last year. The PBT forecast taken from the Alpha Terminal is £2m and an EPS of 6.7p, growing to an EPS of 9.3p for FY 2026.

This gives a prospective P/E of 7.7x dropping to 5.6x. The EV/ EBITDA is 5.8x for 2025 and would drop to 4.2x by September 2026.

Hybridan Comment: The transformational acquisition (me - of 24Hr Aquaflow) and increased trading momentum would justify a higher rating."

Good news in yesterday's Sunday Times for BEG regarding an "avalanche" of work coming in from the education sector:

Https://www.thetimes.com/business-money/companies/article/private-school-finances-are-a-mess-now-its-boom-time-for-consultants-jkcwpxbv5

"Private school finances are a mess. Now it’s boom time for consultants

Since last year 81 independent schools have shut and 25,000 pupils have left the sector. It’s triggered an ‘avalanche’ of work for advisers"

"However, the upheaval caused by Labour’s tax changes has proved a source of lucrative work for consultants and lawyers as schools scramble for specialists to help shore up their operations and adapt to the new reality.

Martin Barron, a partner at BTG Advisory, part of the business-recovery specialist Begbies Traynor Group, said there had been a “clear uptick in engagement” from independent schools since the new tax came into force.

“We have seen more requests for restructuring, refinancing and business review advice across schools of varying sizes, primarily driven by a reduction in pupil numbers,” he said."

"As a result of all this, mergers and acquisitions have become rife. Barron of BTG Advisory said his firm was “seeing growing consolidation within the sector as schools respond to financial pressures and explore options to secure long-term stability and viability”."

Worth noting that this new appointment for RNWH's subsidiary Shepley Engineers is part of a colossal £4.6 billion framework for the next 15 years at Sellafield.

There should be plenty of work coming Shepley's way for many years to come:

"Lot three, also covering retrievals, went to Nuclear Decommissioning Solutions (NDS), which brings together Altrad, Cavendish Nuclear and Shepley Engineers"

https://www.google.com/url?rct=j&sa=t&url=https://www.constructionnews.co.uk/contracts/sellafield-ltd-appoints-suppliers-to-4-6bn-decommissioning-framework-31-10-2025/&ct=ga&cd=CAEYASoUMTM4Njc4NDE1NTA0ODcwNDY0OTYyHDZjYmE5ODQ0YmNhNmExZjg6Y28udWs6ZW46R0I&usg=AOvVaw0trAVkCf2Kd4A1XYRkKL3W

The Greens are certainly ambitious - this is a big step as a £50m acquisition.

In particular, the RNS states that M+C Saatchi Performance would be "materially accretive to underlying Group earnings per share" (with any placing shares only representing at most 50% of the consideration).

And it would give BBSN substantial heft:

"The combined business would be one of the largest independent performance marketing companies outside the US, with a market-leading presence in UK and APAC with no substantial regional overlap".

https://uk.advfn.com/stock-market/london/brave-bison-BBSN/share-news/Brave-Bison-Group-PLC-Response-to-Press-Speculation/97129658

Prelims to 30th June are out, and they look good. In particular:

- 5.72p EPS is well ahead of forecasts (which were for 5.0p)

- importantly, "Trading in FY26 is on track with the new stores performing well"

- everything else is as per the trading statement, including a 2.4p dividend

- the £4.3m cash pile will be boosted by £1.67m more sales proceeds, against an £11m m/cap

- the pipeline of potential acquisitions has "grown significantly"

- both divisions are trading well

In particular, we can expect more news flow soon:

"The next few months should see a run of acquisitions which together with continued organic growth will deliver a step-up in turnover"

Https://uk.advfn.com/stock-market/london/croma-security-solutions-CSSG/share-news/Croma-Security-Solutions-Group-PLC-Final-Results/97129536

Thomas Charlton has bought a further 15,750 shares since 1st October when his holding was 965,000 shares (as per TST's web site).

The main reason for the larger increase in his stake to 12.38% is the large share buybacks which of course have reduced the number of shares in issue:

Https://uk.advfn.com/stock-market/london/touchstar-TST/share-news/Touchstar-PLC-Holdings-in-Company/97104256

In a podcast from thisWednesday. Listen from 51 mins in:

Https://www.youtube.com/watch?v=Kjsd0CyLLmc&t=10s

Here's the conclusion of the IC tip:

"Lastly, Capital’s exposure to gold is not just in the operating business. It has also put cash into junior companies, and for the third quarter alone the gain on these was $22.5mn, with the holdings worth $74mn as of 30 September. This can obviously go the other way, and there are some unlisted assets in there that would be hard to shift in a downturn, but currently the portfolio looks like an asset.

It appears as though Capital has come good just as miners open some of their growth spending taps. The valuation and dividend should follow the market higher.

Https://www.investorschronicle.co.uk/content/df1a1182-0064-4442-bad4-ed8b1a744ef5

"Ideas of the Week

A picks-and-shovels mining play ready to rebound

As spending increases in the sector, companies such as this are reaping the rewards

Published on October 30, 2025"

"Boyton believes there are richer pickings coming through. “We’ve got really good runway now for a couple of years, minimum, ahead of us, with the amount of money that’s flowing into the sector,” he said in an interview with Investors’ Chronicle earlier this month.

He said some customers were looking to increase mine site spending 20 per cent year-on-year coming into 2026. Mine plans are shifting because of record gold prices, which mean ore that would have been unprofitable to dig and process is now in play.

There are also plentiful opportunities alongside the existing Nevada contracts, for both drilling and lab work. This is because Capital is expanding its lab that serves the complex, while Barrick also has a major new project outside the existing Nevada complex, called Fourmile.

While not yet greenlit, it will need serious drilling work to upgrade the existing resource to a reserve, considered a more reliable estimate of how much gold is within the deposit.

Drilling down

Capital only started drilling work in the Americas last year. Its roots and the majority of its work remain in Africa. Alongside Barrick, AngloGold is the key client for Capital. This $35bn company has most of its assets in Africa, alongside Brazilian and Australian operations. West Africa has plenty of established and hopeful gold miners.

This is the bread and butter of the Capital business. It owned 134 rigs as of 30 September, with an average utilisation rate of 76 per cent and average monthly revenue per rig for the third quarter at $198,000. That figure was flat quarter-on-quarter but should creep up as the market for exploration gets tighter.

Serious growth in that business is tough, as it means Capital has to grow its fleet. Going out now and ordering a serious number of drill rigs would not result in an immediate uptick in earnings either, given a wait time of about six months for delivery currently and high demand. It’s not just miners in a bull market at the moment – rig manufacturer Sandvik (SE:SAND) is up 43 per cent year-to-date.

That’s where the lab capabilities come in – and not just in the US. Boyton says expansion is coming in West Africa, as there has been a shift in focus there by a lot of mining companies that have moved investments from Mali and Burkina Faso to neighbouring countries, like Guinea. New territory means more drilling and lab work."

Indeed Juxtaposition - and it seems to have triggered a nice rise. Perhaps an overhang has ben cleared.

It's really strange that the last part of the broker valuation summary won't post! I'll try once more and abandon it if it doesn't work....

"At 46p, the shares are trading on an undemanding PER multiple of

...and again. Good to see buying at 2500p now.

Nice 100,000 buy at the full 53p offer price just reported.

LOL Juxtaposition - here's the missing part of Dowgate's conclusion....

"• Valuation is compelling in our view, following the more robust Trading Update and signs of strengthening trading. At 46p, the shares are trading on an undemanding PER multiple of

Agreed, good to see the Oak Bloke aso keen on BEG. And with acquisitions the upside could be somewhat bigger than 50% imo.