Member Info for rivaldo

The respected Techmarketview like CNIC's results today - "another set of good results":

Https://www.techmarketview.com/ukhotviews/archive/2020/11/30/centralnic-on-point-in-first-9-months

"Monday 30 November 2020
CentralNic on point in first 9 months

Results in from CentralNic, the AIM-listed provider of internet domains for the first nine months of the year, confirm the merits of its acquisition-led growth strategy. Total revenue for the Group for the first nine months grew by 118% to $168.5m (Sep 2019 YTD $77.1m) with adjusted EBITDA up by 68% to $22.1m (Sep 2019 YTD: $13.1m), all helped in no small part by the four acquisitions made in H2 2019 (see here, here and here).

Organically, revenue grew by a record 17% to $169.9m (pro forma YTD Sep 2019: $145.1m) supported by domain name monetisation and most importantly by the impact of the Team Internet acquisition. Since Covid its reseller business (supplying domain names to the likes of domain sellers like GoDaddy) has seen an uptick in small businesses and lone traders boosting their online presence.

This is however the lower margin part of CentralNic’s portfolio, which partially explains why adjusted organic EBITDA only grew by 4% to $22.2m (pro forma YTD Sep 2019: $21.4m). Investment in (senior) hiring will also have made an impact here.

Q4 has already continued in similar fashion with the $36m addition of Codewise and the assets of Krakow-headquartered Zeropark and Voluum. Both businesses should help improve margins - Zeropark is an Ad Exchange platform offering real-time-bidding solutions, connecting marketers with domain investors and publishers via its marketplace. Voluum is a SaaS online marketing management suite for small/medium businesses and brands, enabling online ad analytics, tracking, and media buying.

Another good set of results from CentralNic showing both how resilient the business has been during this year’s ups and downs and the logic behind its acquisition led growth strategy."

Another clue from the directors as to where the share price is going - DB and his wife have transferred £25k of their shares into their ISAs to protect future gains from tax.....

Https://uk.advfn.com/stock-market/london/surface-transforms-SCE/share-news/Surface-Transforms-PLC-Director-Dealing/83787418

Mark Watson-Willams on Master Investor updated on WIN this weekend - he has the same 350p target as Liberum:

"Wincanton (LON:WIN) – Really trucking now

Despite this third-party logistics group reporting its end-September interims with a 2.4% fall in revenues to £578.7m and a 27.1% fall in underlying pre-tax profits at £19.1m, its shares are in the ascendant.

The half-timers were published on Guy Fawkes Day and obviously displayed some fireworks of potential.

CEO James Wroath stated with the interims that, “I am greatly encouraged by the new contracts we have secured so far this year to become a key partner for some of Britain’s biggest brands and public bodies, and we continue to see a healthy pipeline of new opportunities coming to market. Performance has been resilient in the first half, we expect the good momentum with which we end the period to continue and consequently expect results for current year to be materially ahead of market expectations.”

Analysts at Liberum suggest that the group can continue to win even more business, giving hope of higher growth and margin potential. They say the shares are a ‘buy’ and are looking for 350p.

The shares were just 201p at this time last month. Last night they closed at 252.5p after hitting 257p during the day.

(Profile 07.05.19 @ 247p set a Target Price of 350p)"

The Government will today announce the creation of and funding for a “National Telecoms Lab”, which will be “a secure research facility that will bring together operators, existing and new suppliers, academia and the government to create representative networks in which to research and test new ways of increasing security and interoperability”.

I'd have thought this could be good news for CLX as a and perhaps the leading UK supplier of telecoms testing and measuring equipment:

Https://www.cityam.com/uk-to-outline-roadmap-to-removing-huawei-equipment-from-its-5g-networks/

Good news this morning - Cora Gold to initiate a new drilling programme in Mali:

Https://www.investegate.co.uk/cora-gold-limited--cora-/rns/commencement-of-new-drilling-programme/202011300700068281G/

Interims to 30/9 will be on 7th December:

Https://uk.advfn.com/stock-market/london/imimobile-IMO/share-news/IMImobile-PLC-Notice-of-Results/83785535

Strong results today for the 9 months to 30th September, and confidence that the results for the year will be in line with expectations.

CNIC are looking good for around 7p EPS for this year, with around 8.3p EPS forecast for the year about to start.

Cash flows in particular look excellent as usual, with net debt rising due to acquisitions. CNIC will almost certainly make more acquisitions soon, and can do so due to their high recurring income, with much of that income being paid to them in advance.

Nice tick up - the CPO price remains nice and high at $900 as of this Wednesday:

https://www.rea.co.uk/websites/reaholdingsplc/English/2450/cpo-price.html

Moving up yet again today. Buying now at the full 96.5p offer - the mid-price is up to 95.25p now.

News this morning that the cost of Britain's nuclear decommissioning bill will be over £130 billion.....and might rise further.

Remember that RNWH are heavily involved as core providers at Sellafield and Magnox:

Https://www.thetimes.co.uk/edition/business/nuclear-wastes-130bn-bill-qpjqmj83n

"The report highlighted new figures from the NDA, the quango in charge of the clean-up, which estimate the remaining cost over the next 120 years has risen to £132 billion from £124 billion a year earlier.

NDA accounts show this was driven by a £5 billion increase to the estimated cost of decommissioning the ten Magnox nuclear power plant sites, which is now put at almost £20 billion, as well as a further £2.5 billion increase to the remaining costs at Sellafield, Britain’s biggest and most toxic site, which accounts for almost £97 billion of the total. MPs said that the estimates were “inherently uncertain” and might increase further."

I find RNWH to be very attractive, due to the combination of (1) low risk due to its modus operandi which spreads and minimises risk, (2) possibly imminent earnings-enhancing acquisitions, and (3) involvement in so many sectors which are about to enter government-backed relatively high growth periods lasting a number of years, including:

- water/flood defences
- road/highways
- rail
- electric vehicle charging
- 5G telecoms

Very good start today....buying coming in at 508p now.

I feel CNIC can go to 200p and maybe 300p in the medium term, as a global sector leader with both high recurring and sticky income, if things go smoothly. Plus the cash flows (much of it being received a year in advance) are terrific.

There was a very good finish yesterday, up to 92.5p, with late buying at the full 93p offer and the highest since May. And it's encouraging to see the first trade today being a buy at 92.642p - nicely above the 92.5p offer price.

The CEO is interviewed here:

Https://www.heraldscotland.com/business_hq/18898511.calnex-surges-maiden-financial-results/

He notes that "savings in travel and events costs due to Covid-19 restrictions .....would be replicated in part in the second half of the year", despite Cenkos' new forecasts not allowing for any savings being made in H2.

TC also confirms that the pandemic had "no impact", and that there are "no worries" about Brexit.

In summary:

"The need for new test instrumentation is being driven by the transition of the telecoms industry to 5G, along with exponential growth in data creation and the migration of industries to cloud computing."

Great to see confirmation this morning of Kantaro's antibody test FDA approval. The market might get somewhat excited about this once the realisation sinks in that EKF have exclusive rights to market and distribute it "in the UK and Germany and non-exclusive rights in Europe".

And also we have news that EKF are £7.7m better off after selling shares in Renalytix - and still hold another £4.6m's worth. Proof of the value EKF can generate from very little to start with.

Plenty for SUR in today's Government Spending Review just announced by the Chancellor:

Https://www.edie.net/news/11/National-Infrastructure-Strategy--Government-to-deliver--revolution--tied-to-net-zero/

"Buildings

Currently, 85% of homes are connected to the gas grid, but the Government notes that these homes will need to stop burning natural gas to reach net-zero. By the 2030s, the UK will have to install 1.7 million new heating systems annually, up from the current 30,000 annual installations.

The NIS confirms that a £320m Heat Networks Investment Project has been issued by the Government. However, the strategy doesn’t give a certain date for introducing the Future Homes Standard – stating it will be issued in “the shortest possible timeframe before 2025”.

The Government is also aiming to deliver 600,000 domestic heat pump installations by 2028 and will invest £81m to create a hydrogen neighbourhood and village.

Transport

The NIS notes that the Transport Decarbonisation Plan “will be the biggest piece of work the government has ever done to tackle greenhouse gas emissions from transport”. It will build towards the new 2030 phase-out date for the ban on sales of new petrol and diesel vehicles.

The NIS confirms an accelerated rollout of electric vehicle (EV) charge points. By 2023, the Government “expects to see a high-powered charging hub at every motorway service area, installed by the private sector”.

The Government will also invest £950m to futureproof grid capacity along key roads and motorways to enable EV uptake. A £90m local EV charging fund will also support on-street charging across England.

Additionally, the Spending Review confirmed the government will continue the Plug-in Car, Van, Taxi and Motorcycle Grants until 2022-23. These funds will increase by more than £200m to a total of £582m....

...In total, more than £5bn will be spent on public transport and cycling infrastructure, with £1.3bn earmarked for EV charging."

As well as the Northern infrastructure bank and spending on road and rail, more excellent news confirmed too for RNWH on flood defences and electric car charging points:

Https://www.thesun.co.uk/news/politics/13295175/spending-review-levelling-up-fund/

"£5billion for flood defences was announced too, alongside £1.9bn for electric vehicle charging points and infrastructure."

Miton increased again, and now have over 6% with 4.1m shares:

Https://www.investegate.co.uk/enteq-upstream-plc--ntq-/rns/holding-s--in-company/202011231421282127G/

The directors have also now bought 664,000 shares since the interims.

And the oil price is rising in (early!) anticipation of the global economy restarting given the successes in vaccines.

Hopefully a baseline has now been established here. NTQ will undoubtedly be trading steadily at best for a little while, but not far off the entire m/cap is backed by the well-managed cash pile, and the IP and tech is in for free. The large potential upside remains in place.

Early highlights from the Chancellor's speech - great to see a new National Infrastructure Bank being set up in RNWH's homeland of the North, and also the focus on rail and road spending:

Https://www.insidermedia.com/news/national/spending-review-reveals-covids-economic-impact

"The Chancellor also announced a new UK infrastructure bank to be headquartered in the north.

He promised a £100bn infrastructure investment – the highest in 40 years which will focus on housing, broadband, mobile connectivity, roads and cycle lanes.

A new "levelling up fund" worth £4bn was also announced with local areas able to bid to fund projects of up to £20m which can be delivered in the current Parliament and "command local support".

Sunak said the initiative was about funding the "infrastructure of everyday life" including new bypasses, upgraded railway stations, better high streets and town centres."

Interesting new article from INSE about the Government's "Green Industrial Revolution" - I hadn't realised that INSE are working with their clients re switching to electric vehicles....

Https://inspiredenergy.co.uk/green-recovery-uk-governments-ten-point-plan/

Extract:

“In terms of the other measures announced, we welcome any serious incentives to move businesses off gas onto low-carbon heating such as heat pumps, and the news around the future generation mix supports the recent boom in businesses switching to green electricity contracts.

“Similarly, we’re also working with several clients on the benefits of switching to electric vehicles – a recent example showed that for one client, electric delivery vans were more cost-effective for them in the long run and the ranges were compatible with their daily needs.

“In all, it is a positive move, and we look forward to further policy announcements – particularly the Energy White Paper – later this year”