Member Info for shandypants2

rubbish Moni stop being so bitter. I have HVO shares and am awaiting for them to be converted. The conditions I signed when I accepted the offer stated that the transfer would be completed with 14 days of the offer close.
We are still within this 14 day period.

yes, a good day - let's see what tomorrow brings.

As China appears to be in lockdown at the moment due to the deadly virus lets hope no face to face meetings are required.
A week or two extra is no big deal, biggie for me is the Japanese agreement. A lot of news in Q1 still to come

mad to sell before results IMHO - next week probably. Hopefully nearer 40p by then

apologies fundraise in April 2019 at 1.25p (£637k) and one I mentioned was May 2018 at 2.5p (£365k). In hindsight maybe they should have raised more in 2018.

If they were to raise again it would look bad and wouldn't get a price above 1p IMHO. Board stated at last fundraise that they were taking shares in lieu of % of salary so are clearly aware of this. 2019 fundraise was specifically for Lokies development rather than keeping the lights on

yep agree, Board pay is not high so having some incentives linked to share performance is 100% the right way to go.

Current Board hold just over 2% of shares - not enough really (however better than the situation when HC owned 40% - this was too high).

excellent news - another big Director purchase, what a vote of confidence.

I did initially think maybe news is still a few weeks away, but it could be he's been told results with drop, say, by end of week so he thought he'd do one more top up.

I'm even more confident now

cash was £461k at H1 and interestingly cash from operating activities was £13k (positive) for the period although this was predominantly due to receivables (invoices not yet paid) being reduced quite considerably.
If revenues keep growing and they are now EBIDTA positive as they have previously claimed we (hopefully) should be ok.
Hopefully results for YE will drop by end of month as per previous years.
Last fundraise was at 2.5p so I don't think there will be much appetite at current levels

can't be long now until this drops. Hoping this could be transformational in the medium to long term for IDP especially as it is not seasonal.
If it is something to do with hair removal as has been suggested - and I have no information to back this up - I did a little research.

The report below is US based but assume it will be very similar for UK customers. According to this 41.7% use creams for hair removal (from the pie chart looks like c30% shave and 20% use an electronic device - although guessing some people also use more than 1 option) and DTC channel is mentioned as fast growing.
Growth of men is also interesting.
Another quote I found is interesting (from a different report) ..
"As both genders feel the pressure to be hair-free, hair
removal rates have seen a rise, however, the category
continues to show a decline with little in NPD encouraging
people to trade up. The beard trend shows no evidence of
waning with the razors and blades segment reflecting the
impact, whilst savvy shopping behaviours have resulted in
a more scrupulous shopper."
- Roshida Khanom, Associate Director BPC

https://www.grandviewresearch.com/industry-analysis/hair-removal-products-market

thanks andi - do you agree? Might be more of an aspiration but glad he stated it

there's been a lot of late trades, big buys and sells being accumulated through the day over the last week or so. Expect a few more to appear after 4.30 today.
Difficult to judge things on reported trades at the moment

Right re-read the RNS again and I think it is very poorly worded, hence the confusion.
Spike is still right and Elrico is wrong on his blog - the £514k is money invoiced but not yet received, so is already included in the revenue figure.
HOWEVER, it is the OTHER INCOME figure of £617k that is poorly worded. This includes selling of Skinbio shares so is not really income as such, more of a fundraise, BUT appears to include other income such as exclusivity payments.
I know OPTI sold £250k of Skinbio in H2 , not sure if that's the only time shares were sold. If so other income is c£367k.

I think this is why TW has stated rev is higher and why he is buying.

Personally am surprised OPTI broke down these payments (other than the Skinbio shares) and didn't just lump them into the rev figure as this has not been excluded on previous figures.

Total sales for the year were £808k with other income of £617k, including, inter alia, income resulting from the partial disposal of SkinBioTherapeutics plc shares, bringing the total amount of income for the year ending 30 November 2019 to £1,426,522 (2018: £541,614).

JSCS - I agree with Spike 100%.

I have re-read the RNS and revenues of £800k are clearly stated. The cash position is also stated - see below.
In it it refers to the £514k debtors and also the £370k creditors (money that OPTI owe but have not yet paid).
So in effect OPTI is waiting for the £514k to be paid (invoiced but not yet paid) and has to pay out £370k - net c£140k.
I notice OPTI has added the debtors to the cash position but have excluded the creditors presumably to show the highest cash figure possible. A little misleading IMHO

As at 30 November 2019, the Company had £687,699 cash in the bank with debtors of £514,000 totalling £1,201,699. Once R&D tax credits and recoverable VAT repayments are received, the balance is £1.394m (2018: £1.67m), excluding creditors of £370k. This is an increase of £154k from H1 (H1 2019: £1.24m). We have the option to further reduce our holding (circa £7m) in SkinBioTherapeutics plc if growth capital is required.

H3RO - re Prolong sales in H2 . I have just received the following clarification from the company that H1 numbers are all DTC.
The revenue from the distribution deals is subject to the completion of the regulatory processes and as the FinnCap report noted , this has been factored into revenues being recognised for FY2020.

FinnCap has £0.9m for Prolong - I assume this is £0.4m DTC and £0.5m distribution deals (6,500 units at c£75 each).

In H1 revenue grew by 71% from a low base so maybe £200k revenue in total. If this is matched in H2 then that's the £0.4m in total.

So H2 IDP is expecting £0.7m from Prolong - so assuming regulatory approval is given on a timely basis that's a fair chunk of the extra £1.8m IDP need to hit YE targets.

In addition to Prolong increases we should have:
ST (£0.5 to £1m extra)
C+L £100k extra (based on H1 numbers)
Growlase ??? Maybe £100k as each unit costs $399
New Product ??? Initial SD order could be £250k
Roots ??? (assume flat, but may benefit from extra marketing spend)

On vox markets interview yesterday (can't post link) Cathal stated placing would be c£5m.

he has previously stated this would be at a premium to the last placing (so 6p to 6.25p has been suggested).
However, yesterday he also said he was hoping it would be a premium to current share price.

Maybe I misheard him, but that's 6.5p minimum if true, maybe even 7p

Notice Eve Sleep today (EVE) the mattress supplier. Great product that is sold DTC and via a number of retailers, so business model not dissimilar to IDP.

However, they are advertising on channel 4 and making massive losses. Revenues have flatlined too.
It appears despite having a good product they have tried to grow too quickly and have not managed costs well.

Contrast that to the current IDP - steady organic growth in revenue year on year, no debt, decent cash and growing profits.

I agree Spike - it appears to be unpaid invoices IMHO - most large companies have a 90 day payment term.

So goods supplied and invoiced but not paid in period. So £514k is in income statement but not cashflow statement

James - forgot the say NFX Chinese money is a milestone payment not a contract so is slightly different.
IMHO this should have been recognised in H1 rev for NFX as CEO has confirmed Chinese intend to pay - revenue is recognised when payment is due not when paid (which is cashflow)

Outlook statement from Dec RNS is below. GB states that he believes average sales are likely to range between £100k to £500k for data as a service to skincare R&D framework multi-year agreements.

So these are not yet in the bag as BELIEVES and LIKELY are included in the sentence.

I agree that £4m 2020 could be quite conservative and GB has stated that he has used a low conversion % to get to his £4m, however, I'm sure GB will be the first to RNS these contracts as and when they drop.
Until a couple of substantial contracts do get over the line I don't think this will re-rate.

Outlook:

Since 2018, the Company has seen average sales grow from £5k for consumable, one-off sales to 2019 average sales of £50k as a service contract. Heading into 2020, Integumen is engaging with multiple top 20 global skin and personal care companies and believes average sales are likely to range between £100k to £500k for data as a service to skincare R&D framework multi-year agreements, providing good visibility of revenue. Therefore, excluding developments that may arise from Integumen entering into the agreement with Parity Group plc, the Company is guiding 2020 revenues of £4m.

you don't get from £1m rev to £4m in 12 months without new contracts. GB has assumed a % of those that are in negotiation (some will be warmer than others) will get over the line. Parity deal was signed on same day as 2020 projections so was not included in £4m estimate.