Member Info for skid35

Oh Mike.
As an engineer you would absolutely love where I work !
Always thought good finance guys and engineers had a lot in common - high standard based on professional competence, attention to detail, fact driven and inquisitive. Although im not, being called a numbers man from an engineer is a compliment, that was really sweet of you.
Engineers at work always willing to explain and I greatly value this even if some of it goes way over my head, likewise I hope they value my expertise - a bit like a good board on LSE.
If you think the Chinese issues are caused by COVID I’ve got a bridge to sell you. Read the accounts and notes in detail year on year consecutively - including before COVID.

ST in IC is treated in some circles as some sort of messiah.
His history with kmk, even with his batphone link to basu, has been one of 100% faith and then failure. He clearly doesn't read or understand the basics of the accounts and has been naive in believing everything coming from basu with questioned or query - even not querying what was said 6 months ago.
Who can forget the provisioning of over a years revenue which basu said would be reversed, swallowed whole and repeated by ST bragging that PIs just didn't understand.

Thanks both. Interesting previous holding / businesses aren't tech, but as you say a serious player.
Wonder what he saw in cns?

Dartron.
On revenue you need to look at the gradual move from perpetual to recurring revenue, this is key. Look at ARR and contracted backlog, the haven't set of still it's just the rate of growth is slower. Renewal rates are top quartile.
Recurring revenue is valued at a multiple of perpetual in share cap.
They don't make acquisitions as they are in a small element of the cyber security market with an increasing but small TAM compared to the whole market, if you takeover a rival you then have two competing products / market uncertainty / management focus on integration rather than customers / employee worries. Most takeovers in tech simply don't work and destroy value.
No r&d budget???? They are within operating expenses.
Sales are focused on orders more than revenue, sales become effective after about 6 months and new hires may be new customer focussed.
A software / SaaS company is very highly levered, with a high % of incremental revenue going to the bottom line - you can work out breakeven based on a relatively fixed cost base.

Anybody know who this is, background, other investments?

House broker.
It's not about strategy and market. It's about the complete lack of control, management credibility and operational execution.
As I've said before a half decent management team would have this humming, a great management team would have this in the 30s.

I'm not really sure what "day to day" business means. I think they would need a hard nosed operationally focused COO at about $20m and growing turnover with multiple revenue streams. Shelling out $250k a year at the moment makes little sense, do agree on a management team not being an echo chamber which is what the non execs on the board should be doing.
Agree on MR buying shares, as MR has not bought in the past a buy would be a great sign of confidence. In the majority of US companies there is little board buying in the open market as so much of their wealth, or potential wealth, is tied up in executed or open options.
Hopefully more consistent news flow in 23 and execution against the forecast, as we know any micro cap on AIM is ripped apart on the slightest mis step - but the opposite is true on upside surprises especially where a price is as beaten up as ENET.

Not a full set of accounts so no notes to the accounts.
Intangible assets growth of £2m to ridiculous levels I just don't get, external auditors as they have always been asleep at the wheel.
Stock still too high, I thought these were meant to be coming down from the exceptional levels at the end of the year.
Debtors still an issue.
All of the above expected from kromek, margins probably the surprise for the market. Innovate UK deals have to justify direct cost and overhead, minimal profit.

Was a holder some time ago in the dodgy early days and did quite well eventually. Now a much more mature company with what appears to be professional operational execution of their strategy, at this price I'm interested in coming back in but unsure where the bottom might be - I can't see it being much lower????

With these type of companies value (or not) in the company is aligned with key personnel. Even if ENET were taken over there would be at least a two year earn out clause.
As with a lot of AIM companies I think non-execs are really poor - just there because they have to be for statutory purposes.
Immediate need is to get the share price to 15p for further funding buffer and to stop Bergen effectively taking 25% of the company acting as an overhang for 12-18 months.

With aj bell. Still nothing.
Aquis a platform to float and grow under the radar until a move to aim, it really isn't a trading platform.

Aquae.
As I said in the pbx board this isn't a freebie, it's just the value of the company being split with deductions - SOH and family taking a rather large cut and advisors costs.

Fjones.
It isnt "free money".
It like your parents giving you 70p and 30p as pocket money instead of £1.
But in this case SOH has taken a few pence for his family converting a loan at 50% discount, and giving himself a tonne more share options.
Apart form more funding a really, really pointless exercise especially on this exchange, SOH ticking a box which didnt need to be ticked.

Jens has a large enough percentage, can't see it becoming private. Just looking at Juniper it's not actually that acquisitive compared to most large nasdaq tech companies - but plenty of fire power of it wanted to.
Despite the revenue miss some good points from the trading update - ARR, retention rates, $ value rather than number of new customers, total orders etc.
Need to understand cash and see the full annual report.
Hopefully company specific factors can raise the price as well as a re rate of AIMs tech small cap and nasdaq rising.

A better, and now updated, set of slides than the previous ones.
I think a comparison to Jobs / Gates is not appropriate as i) these are spoken / visual pitches vs a ppt ii) the pitches you always see are to end consumers of consumer products vs very technical (and to be frank relatively boring) products to investors / interested parties.
From a tech perspective it would be great if ENET appeared in a Gartner Magic Quadrant (rather than their own quadrants on page 8) with axis of ability to execute and completeness of vision, we would then have a (semi) independent view.
Agree on the disappointment on the forecast miss and overall reduced 2 year forecast.
Need the full accounts (sources and application of funds / balance sheet) to understand current cash position and to extrapolate forward.
Really it time for the board to execute against their plan, no more excuses.

I don't believe the THRU technology can be used on its own in airports, other security is required so why add another pre screen layer ?
Thinking of starting a small position at the current share price, to add over time as a long term holding.

We haven't got the full balance sheet but with current assets of stock, and long term assets completely solvent.

Don't work in fmcg but thought it was all just in time stuff, not 3-6 months stock in distributors / supermarkets ?
Company just seems a bit amateurish / part time hobbyish at the moment. Surely Grain isn't too happy with his buy in price and must be reading the riot act.

Aquae.
Shows a real need to have multiple routes to market - online and physical.
Even in my 50s even I see H&B as a real "old codgers" shop and not where the future is in 5 /10 years of they are still around, tired stores and format.
SOH really hasn't created any brands with a buzz around them which back up premium pricing and high margins. Unfortunately we can see all the scientific papers haven't created real demand.

Still more jparker than pedro.
JP, the cash conversion cycle in kmk amongst the worst I've seen. A lot of other gems in the historic accounts, next issue will be capitalised r and d. They will simply raise at a massive discount and continue to dilute.
Pedro. A decent end with income recognition this year, hope they get cash in but history says they wont. ST has a bit of "a thing" about kmk for some reason and has never uttered a word of criticism despite issue after issue, error after error. Not worth reading.

FH.
I think SOH believes PBX is a better bet hence the float as it enables him and family members to convert at twice the loan value and an absolute tonne of new options where we are uncertain of exercise factors.
The board have done a very poor job here and not represented the shareholders, but take your £20/30k a year for doing very little and keeping quiet. Used to have time for SOH but now see someone of very little integrity, good at talking rubbish at execution.