Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the video here.
Yes, a big contract and good timing too - the SP was drifting down on no news.
This does show the time it takes to get these contracts confirmed though as the RNS states that "The Contract award follows the successful installation of a first solar trial site." So you do a pilot on 1 site and if ok then a larger contract can be signed.
I suspect there are many other similar scenarios currently being implemented. For example we know EAAS have a big presence in schools. A number of academies manage 10 to 20 schools. I suspect these organisations would start with a pilot in 1 school before committing to an academy wide installation.
Hollywood Bowl recently announced decent results and were bullish about prospects. This clearly bodes well for XPF being in the same leisure sector.
Things seem to be progressing well and the newer venues will now start increasing revenues and profits as they become more established. It is only the SP that is depressing! One day Rodders.
Yep, good results and no surprises. Cashflow looks fine and cash has only declined due to the divi and share buyback.
Bizarre SP action this morning. Thought they'd be a spike up early doors but the opposite has happened, albeit on very low volumes. Managed to buy a few more at 85p, something i thought was impossible at 7.30 when i read the RNS.
Really can't see why this isn't trading in the 120p range.
A solid business? It has never made a profit and now we are told revenues are no longer increasing. Neither indicate that it is a solid business. However, i do agree that in the medium term this could do well, however, many AIM investors are too impatient, hence the drop
YE results to be reported 30/4. Will we get a Q1 update then too, and if so can we believe them!!
I must admit selling a few in the mid 7s after the presentation because despite being massively undervalued it was clear that there was no imminent news on the horizons.
The sale of EMD was for a decent price and sorts out the balance sheet, and this has not been reflected in the SP. However, going for larger public sector business will take time as these organisations are slow decision makers and risk adverse.
Can't see mid year results (30/6/24) being stellar as we have essentially lost 2 months sorting out the sale.
However, longer term this should be a double digit SP and thus i have bought back all i sold (plus my original 5p shares) at c6.5p
Yes, amazing that one person can repeat the same potential issues so many times - even over the Easter break. I mean , get a life.
There are many companies i think have a 'questionable business model' - personally i don't invest in them and avoid posting on those BBs.
Decent increase in profits on flat revenues, but with improved margins and a reduction in debt. Divi up too.
Good start to 2024, so all looking positive.
RNS not being displayed on LSE (again)
Some interesting discussions over the last few days.
For me i'm somewhere in the middle - disappointed that overall PBT is a small loss but encouraged by revenue and EBITDA growth, EBITDA margins increasing and a healthy cash generated from operations figure.
Whilst EBITDA can be 'fudged' a bit it is still a useful, and dare i say it the main, indicator for a growing company where they are reinvesting all income so the PBT figure will always be low.
To say EBITDA is not important is also disingenuous. Many companies sell all or part of the business based on this, often between 7 to 10 times EBITDA. Two companies i own did this recently, Croma and EAAS.
Eaas is a good example. A growing company (rev increased from £22m to £33m 2022 to 2023) but due to cashflow issues and therefore high funding PBT is only c£1m. Total value of business was low at c£20m, yet they recently sold part of their business for £29m based on an EBITDA multiplier.
I suspect if either Escape or Boom was approached both would command more than the current SP so the growth is adding value.
Cash generation is key for me - in the results just published cash generated was c£9m, of which c£6m was used to invest in the business (new sites and buying franchises etc) and c£2m on finances (paying for leases etc). Therefore, bottom line cash increased by c£1m.
To say where has the gross profit gone maybe compare this to revolution bar group, RBG. It had revenues of over £150m and made gross profits of £117m, however, failed to make an overall profit. Both companies have a similar business model, however, compared to RBG i'd say XPF are doing quite well
Agree - we know PBT is c£62m and it was £52.4m last year so that's an impressive 18% increase.
I think the focus on online is a little misguided. Stamps are rising to 135p and delivery times are unreliable. Factory sells many cards at less than that.
The click and collect option and the in store add ons (chocolate, balloons, candles etc) are still quite immature and should add more value.
Happy for online rev to increase and also gettingpersonal.co.uk, but this is a small % of total revenues.
Incidentally a 3p div would be c£10m, which seems very affordable.
We know these will be good, at least 10% better than last year so PE should be in the low 6's yet the SP is going nowhere.
Hopefully the formal numbers and the reintroduction of a divi will kick start this share. Anything under £1 seems madness IMHO
You probably bought below the midprice quoted at the time.
Didn't think we'd see 90p again, however, happy to top up
I think the slower path to profitability has disappointed some, but when you look at the revenue growth combined with increased EBITDA margins you can see that XPF is just about to hit its 'hot spot'. At these prices i'm buying more
Agree with central costs - could do with a further breakdown as this is confusing. It appears £7.8m is 'unallocated' and in 2022 the equivalent was £6.8m - so not an excessive increase when revenues have almost doubled. As revenues continue to increase this should hopefully become less of an issue.
Would be interesting to know what % is marketing and also why this hasn't been allocated to the specific brands.
I do like XPF and Boom Battle is a good brand in an exciting sector.
The growth is clearly in Boom as the new sites bed in and add revenues and increased margins. I particularly like the Boom EBITDA increased to 18% which was made up of 11% in H1 and 23% in H2.
So in 2024 if revenues increase to say £35m (from 28m) and EBITDA is say 25% - both conservative IMHO - then EBITDA for Boom is almost £9m (up from c£5m in 2023). £40m and 30% should be £12m EBITDA.
The more mature Escape Hunt has EBITDA at 42% so that shows where Boom should be in a couple of years.
Cashflow is good - and a sensible business model - generate £9m and use a % of this to fund new sites and purchase franchises etc.
The big negative for me and perhaps why the SP is so depressed is the confusing accounts. 3 separate EBITDA figures are quoted and the slightly disappointing c£1m profit also appears to be a loss when lease costs are factored in.
Why? Revenues are still very low and there is not much cash in the bank to drive growth. Costs have been cut to ensure it is a going concern but not sure there is any growth. Happy to be proved wrong.
My wife had a food and drinks voucher to use so she booked in Manchester for last Saturday. Revolucion de Cuba on Peters St, just off Deansgate.
She booked for 4pm, which was a strange time, but i was informed it was the only available slot left for that day.
I presumed they probably had limited tables designated for food.
How wrong was i. At 4pm the place was packed with a DJ getting the dancing going. A good mix, including a hen party .
Left a 6ish and the place was still rocking.
If this is a regular Friday/Saturday then they can easily cope with quieter midweek days.
RBG just need to focus on the lower performing bars and shut the worst performers and the good ones will take care of themselves.
Not great H1 numbers. Despite a good revenue increase, due to new bar openings, like for like down 10%.
Short on cash and now high borrowing charges mean some way from being profitable - EBITDA a bit meaningless when a company has high borrowing costs.
Whilst i'm sure train strikes have had an impact there are clearly bigger issues. WFH cannot be helping these city centre locations in midweek.
Newboy - a TU was released in Jan (rev almost doubled to £44m) and we were told more details would be provided in March. We are halfway through March so expect news in the next 2 weeks. Don't forget the YE has been extended to 15 months for this financial period so YE is 31/3 not 31/12
Excerpt below...
"Overall performance is expected to be in line with market expectations for the twelve months to 31 December 2023, and provides confidence of achieving market expectations for the 15 month financial year to 31 March 2024.
The Company will publish an interim report for the 12 months to 31 December 2023 in March 2024, and audited financial statements for the 15 months to 31 March 2024 during the summer."
Medi - some are surprised as money was only raised 6 months ago and we have also been selling non core assets.
With only c£500k raised today it is likely another placing will be needed int he next 9 months or so and even if a JV is possible is we are short of money then we will not be in the strongest position during negotiations