Member Info for Silverblade

Now have a read at how Centralnic deal with market reassurance and see if you can spot the difference. If taproot was back he would offer a few choice words. SB

Bakky - lol and thanks. While you are at it could you rustle up a half and full year forecast please as it appears beyond our brokers to provide some clarity on that......SB

Norrab - I wasn't being flippant about salaries - you make a good point. From what I can see the majority of companies who are retaining cash in any way they can - be that cancelling dividends, furloughing employees, drawing down banking facilities - accompany this with a board/senior management team salary cut to show they are taking matters seriously and want to be seen to support business problems. What mmx have done to date does send out a mixed message - postpone a shareholder dividend yet continue buyback, and no gesture from the board on temporary salary reduction's. This is possibly due to the lack of impact covid-19 is having on the business performance - but as I say a half measure sends out the wrong signals as it shows a divide between how shareholders are treated and the board. Possibly not the intention but it is the reality. I would think communication from the company in these times is essential - to the extent a Q1 trading update would go some way to answering the issues we would all want to see clarified. SB

I assumed norrab1 was honouring April Fools day. Lets see many share options get dished out in July. A $13m loss last year sure did reap some mighty benefits to the guys on the board - appreciate it was house cleaning time but all the same.... TH and MS likely earning $1m a year between them. SB

When the market falls, we fall disproportionally. When the market rises, we fail to align. When we publish good news, we fail to rise. CNIC fell 35% from their 2020 year high and yet and now only down only 10%. One of their II's (Kestrel) is picking up millions of shares. One of our II's (L+C) is picking up millions of shares. We have a share buyback in operation - and yet we remain 35% down. Dire. SB

7 weeks ago we hit 8.4p......so we are actually 35% down.....!! Although not that it will make you feel any better but we actually spent the majority of 2019 in the 5p zone......and that was after all the car crash events of the previous 12 months followed by a $13m loss.
I have been trying to look for some positives - results aside (and I have mixed view's on those) - and the only one I can think of for now is the new financial year starts next Monday - so I can see some bed and ISA activity for me to take advantage of the price and in the hope that someday I might actually be in profit on my shareholding!! SB

1.work, 1 message, 1 trade, 1 trading update, 1 bizarre week, 1 large jack daniels methinks. Stay safe all. SB

Bakky I think you started the week at 12p.....let’s try and keep it there eh!! SB

Bakky - we might have to wait until trading update in July to get a clearer picture on Q2 performance and overall H1 2020 incl adultblock numbers. Few off-book trades today which don't show on LSE - 5.4 - 5.7 range. Got to think d.vip would be decent dollars in china !! SB

Toby came across well in that piece. Frustrating that no guidance can be provided for 2020 but in the wider context its probably sensible - although we can take comfort from the Q1 performance which seems to have been ok. Adultblock retailing at an average of $550 - probably a combination of 1 year to 10 year blocks. Looks we were averaged about 600 sales a month for Q4 - extrapolate that for 2020 and we would have a very healthy impact on revenues and cash generation. Without Covid there is every reason to think we could have nudged 9/10p following results announcement (we were 8p+ in Feb 2020). Instead…..! SB

Hucks - I would agree the headlines read well - but once you delve into the detail there remain issues which show we are still recovering from a significant period of mismanagement in our earlier years. The fact we have had to deal with these issues in a publicly traded business have no doubt impacted on market perception and our resultant market value. Somehow our team need to regain market confidence and continue as a plc; or accept that shareholder interests are better served as part of a wider consolidation - and as time goes on the latter becomes more and more attractive. The only issue is the exit price. SB

London and capital declare as they increase over each 1% !threshold - they have recently picked up almost 18m - just in a slightly longer time frame.

130 in oct 2019 / 14%
138m in Jan 2020 / 15%
147m in March 2020 / 16%

They clearly see value at current levels - who knows what their weighted average is but good to see continued purchasing albeit at such a depressingly low level. SB

Have purchased almost 9m shares in last two months - now holding 16% of business. SB

Probably just me but i'm underwhelmed by the results. We keep on making the same claim that we are rebalancing our revenue mix - and that we have now achieved a fundamental improvement in revenue. Yes we have increased - but that's the first full year with all our legacy and acquired businesses aligned and yet without the adultblock revenue we would have been standing still (2018 H2 = $8.7m, 2019 H2 = $10m incl $1.1m adultblock). Renewal revenue is great - but we appear to be increasing our costs so we're not yet covering these through renewals. We made $1m gains in exchange rates, leases and selling .law - but as predicted the 25m+ options came at a hit to the P+L. London gain and china debt cancelled each other out. And we still have some very high partner payments being made - almost $3m - who are these being made to - do we hope its London and that's now in the rear mirror? We have about 23 members of staff who collectively sold $7m dollars in new sales - who cost $6m in annual overheads - with the vast majority of sales coming through the automated sales channel. Is that a good RoI?
As noted - this was pretty much what was expected - and I know its a lot better than last year....but i'm struggling to get excited based on what i've read so far - and our valuation reflects that IMO. SB

It an offer was to be made taking advantage of the current climate I think the reality is our institutional holders would (and SLJ) have the say in what price would be acceptable. So to so extent it very much depends on the liquidity position of those holders and whether they needed cash to shore up other assets which are being heavily impaired and have more ‘exposure’ to the current goods and services which are being hit the hardest. It’s still a hypothetical situation but I don’t think we would be a forced seller unless next week presents a different picture to what we expect; but the unknown is the requirements of our larger shareholders and their interests will go beyond mmx and a need to shore up balance sheets. SB

Morning bakky. Pandemic aside, mmx should be able to report a pretty good set of results. Looking at the radix results for 2019 we should be able to post a similar position - as alluded to in the trading update. I still believe we should be able to weather the current economic climate better than most - our digital business is well equipped to carry on with the restrictions in pace worldwide. As you have noted previously - the short term requirements of prudency may require the company to hold its cash reserves and that might impact on the dividend. But we are still selling decent volumes, we have gone through our major deletes, we have in the region of 2.6m domains - but more importantly those domains are now generating decent revenue per domain. The AGM will likely be cancelled - looks like it will be Monday/Tuesday next week for the update - RNS tomorrow/wed confirming date. Historically our results are met with a drop as a result of pre update speculation. Perhaps the opposite will apply this year.
SJL - Good to get your view on life in the US and how the wider domains community is handling this. I do agree as business we are pretty vulnerable at present - there are plenty of predators around looking for opportunities. ATB all. SB

I think in these times a statement such as 'we are trading in line with expectations' is going to be the exception to the rule - and as such would be seen to be just about as good as it gets given the warnings being issued in just about every other market sector. Chaos reigns for now. SB

For me the company either follows through on its proposed dividend or elects to postpone until the impact of covid is better understood on trading. We have no debt, have cash in bank and likely generating $500k+ net cash month by month. SB

Relentless selling at c. 5p at the moment although looks like PI's moving into cash. There is a risk that our II's need liquidity - and that's going to increase over time if the markets continue to crater. That said - if we can deliver a robust set of results and a convincing projection on expected performance amongst the wider chaos - we should be able to retain or even increase institutional holdings. If they start to sell we could be in even darker times. SB

2000mg a day bonum - seriously - that’s 25 times your daily RDA. You must have some immune system - good effort!! SB