Member Info for shandypants2

I think these figures are very underwhelming and the company is years away from making a profit.
They have also given millions of shares to the BOD despite missing their ARR target!

I also can't understand why the gross margin % is only c50% i would expect it to be c80% as surely once you've created it the software runs by itself.
ALso not sure why so many staff keep getting employed - the rate of increase in costs is greater than the increase in revenues, which is clearly not good.

Regarding cash of c$2.2m they had a 6 month operating cash burn of $2.5m so this is a concern. Also if you look at the details they have $2.3m of deferred revenues, which is essentially pre payments. Without this they would have no cash!

The only positive i can see is the new contracts, which as has been mentioned has picked up int he last few months.

The website definitely looks better since recent updates and the product coverage is increasing.

All bodes well - this is a key revenue driver for GDM.

https://www.stockinformer.co.uk/

on the cash point, looking at the last few years of accounts OO is not cash generative, however, the company has transitioned from 2 loss making units, into a combined company where revenues have grown and it is now making a small profit (as per H1 2022 numbers).
As per 31/12/20 when OO reported a £10m loss it had £19m cash (with receivables and payables factored in c£7m surplus). The £19m arose from 2 fundraises that year giving OO a net of £16.7m.
As at 30/6/22 cash is £15.9m (with receivables and payables factored in c£5.5m surplus).
So in 18 months in many respects from a cash position it has stood still.
However, it has spent quite a decent sum in that period on expanding its CS models, the number of beds and also reorganising the company structure so to do this without impact the cash position is a decent achievement.
In H1 2022 cash generated in operations was £1.3m, hopefully this maybe £3m to 5m by year end.
This for me is the key figure to gauge whether the company is cash generative.
IMHO it appears we have turned that corner. Now we need to see higher EBITDA margins and more cash generated from operations - the actual cash figure in the bank can be a bit misleading.

The strategy is to move away from covid whilst announcing that non covid revenues have dropped in the period under review. Really poor. Revenues for H2 are pathetic.
Need this DHSC dispute resolved ASAP as company is in limbo until this is sorted. Then hopefully some M&A is possible

of the 32 pubs i notice one is in Halifax. Halifax has 2 Spoons within about 800 yards so there is some logic here. The one shutting is in a newly developed area next to restaurants and a cinema - almost certainly it is leasehold at probably quite a high price.
On price increases the USP for spoons is it's prices, so they need to be careful.
There is logic to having cheap coffee as people will get this with a breakfast. Having said that a 20% increase to £1.50 seems sensible.
Prices have been creeping up steadily - the £6 burger and pint deal if now almost £10 in many pubs i've been in recently (Manc, Buxton, Glossop etc).
Ultimately although most pubs are busy, they always were - revenues are still down. With the cost of living crisis, the ongoing issues with covid and Spoons older clientele couple with the high level of debt/interest payments it will be a rocky winter IMHO

Lolly - struggling to see any positives in these numbers.

Cash has actually gone down by £500k in the period - you are comparing with this time last year and not at 31/12.

Total revenues were less than £120k (less than a small house in the North of England) - so the geographic mix is almost irrelevant on such low numbers. A few years ago i thought we might be at c£5m by now, even taking into account the recent spin off.

is this good news? Essentially CRL has just paid the difference between £1.25 and 36p in cash so due to the poor SP it has cost CRL an additional £1.3m.

BigBlind - IMHO re-reading the RNS the 'major' amendment is more of a technicality to trigger the 90 day extension.

I think the FDA has raised certain questions/queries quite late in the day and so the extension gives all parties time to provide the requested info and undertake reviews etc. However, to trigger an extension it must be deemed a major amendment .

Have to agree comms hasn't been great though so we are all having to speculate

Mr B - why did they dump those shares? Maybe because a broker has contacted them about a placing and offered them shares at a discount. That's how a placing works.

this is like a slow death. SP slowly drifting down and no news coming from the company. Guessing we will have to wait for YE numbers hopefully later this month

CG appear to now restrict their coverage to institutional holders only, so if anyone does have access it would be good to copy and paste!!
The £5.7m target for June 2022 is post the profit warning in March, prior to that i think it was c£7.2m. As H1 was £3.3m it is not a stretching figure. All eyes on 2023 numbers now though and hopefully a move to profitability.

if they can get a placing away - definitely not a given in these markets - can see it being at 5p. Massive dilution .

I thought this would be a low risk entry to get exposure into the EV market!!

Not sure you really understand the issue Alde - wholesale energy doesn't have a cap so prices have risen 3 or 4 fold over the last year. To introduce a cap for 6 months only at a c45% discount is a positive but clearly still leaves companies paying far more than they did 12 months ago.
As an example my wife's school small primary school had utility bills of c£5k p.a until 18 months ago - they were quoted £20k for next year, a 300% increase. A 45% reduction will take this down to c£11k - still over 100% more than 18 months ago.
Companies try to fix prices 2 or 3 years in advance. Having a 6 month cap is a sticking plaster.

whether they 'moved' to remortgages or it is just easier to get this business it is irrelevant, this is the business they are getting. To get to break even the gross profit needs to almost double from 2021 levels. The AGM statement states that GP is similar to last year - so revenues up by a decent % but this hasn't improved the bottom line. IMHO that's a red flag.
On a positive the current valuation is low so can't see much downside.

well they don't have £20m cash anymore! The move to remortgaging makes some sense but clearly it's lower margin, therefore, it looks like this will remain loss making for the next few years.

Iron wan k - "I'm just expressing my opinion of the situation as I see it now".

Why are you still here? You've expressed your opinion and supposedly haven't lost any money, so presume you have never invested here.

Please take your bum boy bob with you

notice Justin Waite (who was quiet late last week) said on the Sat Podcast he does that he is now out of this - so assume many of his followers will do likewise this week.
Looking at TR1 he declared 3% back in June 2021 but went below that in Nov 2021 , who knows by how much. Interesting there was a profit warning a few days later.
Whatever he had left (probably bought for c£2) he admitted was sold at a loss.
For all his faults he he always very enthusiastic on his holdings and has a lot of followers. He appears quite negative on the BOD now - understandably based on the last few RNSs.

imho last weeks H1 was a little underwhelming.

Whilst all 4 divisions are growing total revenue is still only c£6m and the loss was almost £5m. I can't see Tru turning a profit for quite a while. Oxygen seems a solid business and is EBITDA positive and maybe now the Lloyds deal is sort Satago's revenues will start growing quickly. However, for a c£70m business IMHO this is not cheap.

Playstack is either the division that will take off or will continue being a drag on costs.

H1 numbers (£2.4m rev) was previously announced but the details were reported today.

A solid performance but a small loss and also cash down is a slight concern. H2 appears to be main revenue period and if covid doesn't resurface things should improve - revenue guidance for the year is £5.5m so that's £3.1m for H2.

Good to see Germany back to full trading too.

Ironman - regarding your comment on CF "That's because he talked complete and utter crap with his fanciful ambitions of grandure. Of course people were going to buy believing him when he said it was going to be a billion dollar company."

Well i personally didn't believe him when he said the SP would double every 6 months and i took the billion $ company (including spin offs) as an aspirational target. If as it appears you invested based on these statements you only have yourself to blame. Get over it and move on