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An excellent quarter, both in prescriptions and NSP, which clearly bodes well for breakeven in 2025 now.

Much better than i expected after 2 poor quarters. Let's hope the momentum can be maintained.

Finally the seller appears to be out and the SP has started to tick up. It's almost as if the share buy back was coordinated to allow someone to reduce their holding . Hopefully £1 soon

Just re-read the RNS and the pipeline is looking impressive see excerpt , below.

So a £138m pipeline - if they get 30% of that (target a 1/3) that's £41m and not included in that they already have £15m of solar booked for H2 and beyond which reinforces H2 numbers. As solar is a lot easier to install than LED as it's on the outside/roof of a building so the building can remain open during installation hopefully most of this £15m is completed in 2025.

I think there a number of positives and the outlook is very encouraging but EAAS is remaining quite conservative in their language as they know that as a small company it only takes one decent contract to be delayed to have a significant short term impact.

· Growing sales pipeline of circa £443m gross value of which 31% (£138m) is at investment grade proposal.

· Solar business continues to perform strongly with record order book of £15m for H22025 and beyond at signed heads of terms or close to contract.

Satisfactory is a good description.

I was hoping for £12m revenue so am a little disappointed, however, they are usually H2 weighted and the YE £28m target remains (they did £19m in H2 last year). I was also hoping EBITDA would be slightly higher - the margin seems low IMHO.

Having spent all the £25m from the sale of EMD they clearly do now need to be cash generative and so that is good. I think the new CFO now has a clear way of recording revenues - it is linked to cash. When the cash comes in from a contract, over a number of years, the revenues get booked. Previously it appears the old CFO was front loading the revenue - as these contracts were over say 10 years it is an easy way to boost short term revenues, but clearly not sustainable.

For a £15m company there is a lot of blue sky ahead and it now appears all the bad news is behind us and the balance sheet is clean and stable.

Hopefully we will see 2 or 3 new contract RNSs over the next 6 months and solid YE numbers.

If YE numbers and EBITDA are hit then a valuation of £25m seems very conservative IMHO, and that's 6.5p per share. a 50% plus uplift.

They have stated by end of July so hopefully late this week.

We really need some positivity returning for this share. I notice that this share drops after every Investor Meets presentation!

IMHO the H1 number should be quite encouraging as £28m rev has been guided for the full year and we know £7m was banked for Q1 alone.

CEO has definitely run out of excuses now so needs to show us that EAAS is now making progress.

What a word salad. Tesla was clearly a throw away example, i didn't need war and peace.

I'll keep things simple SNX is undervalued now, which you said it wasn't. Currently the FTSE 100 trades on a PE of over 17.

SNX trades at c15 PE but this is based on 2024 numbers and 2025 should be c50% higher (as supported by the interims and forward order book) - so a forward PE of c10 - ridiculously cheap.

SNX is fast growing - double digit growth over the last few years etc and has expanded it's footprint into new sectors etc. It is also in a high focus, growth area. This is not a CARD type company.

Listened to the Investor Meets Q&A again and re the £100m facility CEO stated there are 2 'exciting' solar projects progressing well and he would expect one of these to be finalised in the next 2 months or so.

Also confirmed a trading updated with H1 numbers in late July, as per last year.

He did however mention H1 guidance being c50% above last year, which is very low IMHO. C£6m rev was generated in a terrible H1 2024 and £7m was already booked for Q1 2025. If only £2m get's booked for Q2, even accounting for timing issues, that's very underwhelming.

Hoping CEO just being conservative in his speech

Since the end of May TRU has bought back c2m shares at a cost of c£1.8m and the SP has flatlined. Never been a massive fan of share buybacks in isolation as i rarely see it having a positive impact on the SP, as this proves. Wouldn't be surprised if we get a TR1 soon as someone is clearly offloading.

Hopefully a H1 update, which TRU don't always provide, will give the SP some momentum. Targets for 2025 seem very conservative IMHO.

Surely companies, especially quite young ones, are valued forward looking (Tesla's PE is well over 150, despite revenues not growing in 2024). Based on that SNX seems very undervalued IMHO.

As SNX has grown steadily over the last few years and appears well managed, and has just exceeded H1 2025 expectations. I don't think there is anyone who feels 2025 YE targets won't be hit or exceeded, however, neither the company nor the broker seems to want to say much.

The IC article today won't hurt things. Value will appear in the end - or it will be a takeover target

I am also not surprised at the small SP decline today - there is definitely a seller in the background, however i do think SNX is quite cheap and appears to be under the radar.

This is a cracking little company that consistently increases revenues and most importantly profit (PBT in 2023 was £2.65m, in 2024 £4.17m and for 2025 should be a minimum of £5.3m - 20% YoY increases).

It is valued at £53m which includes £12m cash.

Based on simple and conservative valuations of 1 x revenue or 10 x PBT it seems cheap. The 20% YoY increases shows it is a growing company so a 15xPBT is still quite conservative.

I think the company could be better at selling itself. To say results are comfortably inline with market expectations seems very understated. If H2 mirrors H1 revenues will be £70m and PBT £6m - that is exceeding expectations all day long.

Personally based on current performance i think this is a £75m company now so a c50% uplift on the current SP. I'll start with £4 for now which should be reached this year when YE trading is announced. I can see this being a £100m company in a year or two

There's been a decent volume of buybacks over the last month or so , some days over 200k shares bought on reasonably low volume, yet the SP has barely moved.

I'm guessing there must be a seller in the background. Hopefully they can be cleared soon and a decent H1 update should see this breach £1

Nothing we didn't already know , but IC coverage should help spread the word - you need to subscribe to read

https://www.investorschronicle.co.uk/content/91f74ce7-d3cf-473f-a0e4-c1b932cbbbf8

Now Trump's 'big beautiful bill' appears to be close to being approved it will led to massive cuts at Medicaid.

I believe c20% of Americans rely on Medicaid to cover some/all of their medical costs, including giving birth! Clearly these cuts will reduce coverage going forward.

I know Accrufer is available via Medicaid in some states so i'm guessing this is not going to be a positive development for STX.

Not sure what impact this will have overall, i'm hoping not massive

https://www.accrufer.com/access-and-affordability

It's been a difficult stock to hold over the last 3 or 4 years. Firstly, the BOD massively over extended themselves and hit big cashflow problems (despite the bulk of the Utility purchase being funded with a 15p placing) which required the company to take out essentially an emergency loan from 'friendly' shareholders of £2.5m at 15% interest, including some BOD members.

The EDM sale came at a critical time and i suppose we got a decent price considering the distressed finances. At the time the whole company was valued at c£20m and we got £25m cash for c60% of the business.

I thought this would be the springboard to pay off all debts, have a clean balance sheet and start moving forward, however, H1 2024 was a disaster (did the BOD focus too much on the EDM sale??). H2 2024 shows that there is a profitable business here in a massively important and growing sector.

The extent of the write downs is a concern too, however, hopefully all the bad news is now out there.

2025 should be a profitable year and based on say 1 x revenue or maybe 8 x EBITDA valuations the SP should be c8p minimum.

I think 2025 progress was deliberately vague in the RNS this week as i think any good news would have been overshadowed.

There was a H1 trading update in late July last year and i would expect the same this year.

We have been told £7m revenue was already booked in Q1 2025 so i'm expecting at least £12m for H1, which would be 100% up on H1 2024. This will give confidence that the £28m target for 2025 is on track. Personally, i think this target is reasonably conservative and i would like £30m.

I think the EBITDA margin target is c12.5%. Personally i would like to see this increase to 15% and maybe 20% longer term.

I certainly see EAAS being a £50m company which is c13p a share

I think they did mention that all issues related to the existing business and not EMD, so hopefully no other problems will surface.

However, the whole EMD sale to focus on our 'fast growing' business which has subsequently had massive write downs has left many unanswered questions.

Firstly previous CFO Crispin Goldsmith who seems to be doing quite well for himself

https://alternativecreditinvestor.com/2025/01/13/pollen-street-appoints-crispin-goldsmith-as-chief-financial-officer/

How can net assets he reported in 2023 be overstated by 53% (and supposedly approved by the Auditors) without massive incompetence, if not criminal activity?

Then there is the EMD sale which we were told was at a good price but now turns out was a c£4m loss. Essentially we were so indebted as a company we were desperate and this appeared the best deal we could get. However, the company were so please with it Harvey as CEO got a £285k bonus and Crispin £200k just for getting this 'unsolicited' deal over the line.

Then there is Harvey's role as CEO. With bonuses he has received over £500k in both 2023 and 2024 and has over £20m shares. Any clawback based on the info that has come to light since? Of course not.

Hopefully we can move forward now and EAAS can become a profitable coming in an important and massively growing sector.

However, for me still things don't 100% stack up. I remember in a previous presentation Q&A the question was asked re competition and we were told we were quite unique and there was no direct competitor. I thought this quite a bizarre statement to make. Today we were told our success rate for new contracts was c25%. Ok, but quite low based on previous comments.

100% agree - a 53% mark down is just unacceptable.

The 2nd half of 2023 and 1st half of 2024 seem to be a complete mess - massive losses and write downs etc. Will heads roll?

They are clearly trying to draw a line in the sand and move on - although suspect when accounts are finalised we will still the CEO who was in position throughout this period will still get his bonuses on top of c£500k salary.

I also noted it was mentioned that not only has the new CFO worked really hard but the finance team has been replaced so they have clearly got rid of a few other finance staff.

Anyway 2025 should be good - £28m rev and i think EBITDA of c12.5% should show that EAAS is considerably undervalued.

My question re one off write offs for 2025 (after big ones in 2023 and 2024) was ignored - am hoping these are zero now - was ignored!

I got the feeling that they want to separately report 2025 progress so some positive news can be differentiated from this mess.

CEO to state H1 is over 50% up on last year is hopefully very conservative as H1 was only £6m in 2024 (£19m in H2) and Q1 2025 we were told was £7m. Will be disappointed if not 100% up

If we bought back stock already sold and resold it not sure it can be recorded twice as a revenue - seems very strange to sale it at a lower price than the current one too.

SOH doing a supplier a favour perhaps shows he and OPTI are not commercially savvy

Clearly some positives and negatives here.

The auditors not signing off the accounts is a concern and was clearly the reason for the delay.

£7m one off adjustments includes a £3.9m loss for EMD - much bigger than i was expecting and also bizarre that both CEO and CFO got sizeable bonuses on the day the deal was announced.

Then there is this little bit of info re the extra money from the deal. Initially we were told £8m to £10m was a conservative estimate, this was downgraded to c£5m in the Jan 2025 presentation and yet 6 months later it appears to be zero. Wow.

At least 2025 seems ok although there is no further info provided, which is a disappointment considering we will be in H2 tomorrow.

"Whilst the terms of the transaction allowed for potential additional consideration payments to eEnergy - linked to the net cash generated by EMD from completion through to 30 September 2025 - as the post-sale results have been lower than the Board anticipated, the prospect for recovering further deferred consideration is considered unlikely. Therefore, no deferred consideration has been recognised in the balance sheet as at 31 December 2024."

Gross profit margin seems very low IMHO.

I would expect a minimum of 50%, if not more, yet it is c38% , much lower than 2023s 49%.

Based on 38% revenues need to be c£7m to breakeven , assuming no other costs increase.

Submission to FDA now submitted.

Game changing news in 3 or so months, if approved. No similar product available

https://uk.finance.yahoo.com/news/spectral-ai-announces-submission-fda-120000694.html