Member Info for skid35

The more I read the RNS the more I see it as an attempt, a clumsy one, to communicate a significant reduction of risk from december.
The market (whatever it is for a microcap) read it as a lack of a firm forecast for 22 and a lack of understanding of what it covers, which to be honest is correct.
When I emailed cfo, ceo and chairman I did request a rounded update across all lines of business, operations, strategy - hopefully this will come shortly.
As usual share cap totally covered by tarana. We do need to understand current cash and cash burn to gain assurance here though.

uhlf.
Yes the wording is very clumsy in parts and leaves everything open to interpretation.
On the $20m pipeline I read this as where they have an existing master agreement for call off orders (not yet ordered) excluding tarana. I think you can read it across the whole of the business and pipeline as whatever sales stage with new customers, which would be really poor.

Good to have some information rather than us lot gabbling on day after day.
Still very conservative I feel, no bad thing though which will hopefully increase with time and component clarity. Would like more on the 22/23 split on orders and revenue, and backing orders rnss.
As usual with enet got to read between the lines a little bit.

Perhaps if London hadn't been such a safe conduit for every $ of dodgy money from every country around the world , but when you have a kgb agents son being given a lordship something is seriously wrong. Having worked in Russia such a pity, as always when you meet me the people on the ground they are wonderful.
Hopefully sense will prevail, otherwise the whole portfolio goes sideways / downwards. You can be sure Putin has a punt knowing the outcome, what an absolute disgrace of a human being.

Aqc.
You really have been such a ****y little #### these past few months.
All the long term holders have been taking you this for 12 months but you have just ignored it, despite this being backed by facts.
The issues in the past have been the result of a CEO who hasn't a clue about marketing, sales, finance, operations. Nothing has really changed, a BoD completely out of their depth.
Just waiting for excuses that they won't hit their low targets for the full year, you can see it coming a mile off.

Aqc.
You have spent the last 6 months stating this is a one way bet, has the greatest products with infinitive markets, is supported by the IC God who is never wrong, has a management team that executes like a ninja. Yet you don't even do the basics of understanding updates? Incredible.

Pretty sad that the musings of someone who has called it wrong about 10 times on kmk was seen as a saviour to some.
Time, yet again, for the bod and management team to deliver. I don't hold my breath a CEO so deeply out of his depth for such a long period of time.

With all the ups and downs with ENET over the past years, never thought I would say this but I'm just bored at the moment.
Even when there are no RNSs there is usually something going on in the background. With the exception of tarana where you can follow their news flow, pretty hard to do any meaningful ENET specific research when they're a link or two away from the end customer.

Rebarm.
Went on their website so just a view on the company potential, as it's all spanish difficult to understand. Looks small but difficult to understand whether they have just had funding etc.
I think we can all see where tarana is going taking enet with it as a strategic supplier giving a firm base of revenue / margin partially covering overheads in the next few years.
We really could do with 5-10 opportunities across the portfolio where tarana was 9-12 months ago, a little difficult to read at the moment.

Anybody read Spanish ?
Doesn't seem to be a large company at the moment but haven't a clue about expansion / funding etc.
All adds up anyway.

Even though not audited they will have needed some scrutiny prior to issue.

Key for me in here is the focus on direct to consumer, although this seems to be seen as a further string to the bow rather than a directional change. Would welcome thoughts here - assume higher gross margin but more upfront brand building / marketing ? Also a bit of caniballisation ?
Still could do with more on Sweetbio, is this a dead duck for another year ?

Apropos.
As a long term shareholder every year you get "this was largely a last problem".
Look at the last four years annual reports, including all of the notes, and join the dots. Credit may be an element, but to me it sounds like kmk cannot enforce a contract because i) the contract is just so, so poorly constructed ii) kmk simply haven't delivered what they said.
Remember "this will shortly be reserved" which has gone quiet, hmmm.
With this background the payoff to the cfo absolutely stinks, something seriously, seriously systemically wrong here.

Can see both point of view which are both valid and not necessarily contradictory.

Greg 100%, even with really strong relationships with current and potential customers prepared to share their plans, as you say so much is up in the air that forecasting becomes meaningless from an I R perspective.
However they still must be doing this internally as basics of control and planning, cash flow etc.
At the same time agree with uhlf. A low ball and stating that they will update in 2/3 months when the fog clears somewhat will be understood by investors and is better than radio silence. However even at the half year it may still be a total pea souper.
Provided revenue is within a reasonable range for investors, I think the value and strategic nature of orders rnss in 22 and backlog at the end of 22 will be far more influential on the share price. The lack of rnss is more of a concern than a lack of a revenue forecast.
On IR I think it's also an understanding of the various product business models, strategic focus, manufacturing and operations that need communication - not just the hard $.

After the Wales score could do with a pick me up rns this week would be gratefully received.

Uhlf.
Yes, I made the point in my email on stating they would hit targets without actually stating what they were.
I do expect forecasts in the near future, but as a finance person this must be the worst company to forecast for, an absolute, complete and total nightmare.
Must say I am more interested in rnss and orders than revenue. Not sure where you get $5m from, anything less than 3/4 x that would be a disaster.
As usual tarana underwrites the current price by a considerable factor, have been adding at this level as the risk / reward is still to the upside in the short / medium and long term.

I don't think that they are in the dark, just weighing up a lot of variables across pipelines and delivery. My organisation with deep ties to suppliers and experienced, professional purchasing people are being quoted stupid lead times on electronic components.
I can imagine forecasting in ENET to a restricted range is subject to do many what ifs at the moment.
Having thought about it I would actually do the same thing, there is zero regulatory requirement to forecast so why not wait a month or two to see how the land lies rather than provide a low ball or wide range and be shot down.
Doesn't stop RNSs in the mean time though, a good week would be a Wales / Scotland win and an RNS early next week.

I felt the winning post was inappropriate, to me they were at the starting gate.
I worked for Dell when they were trashing the competition, even after a great quarter it was forgotten after 15 mins of back slapping with maniacal focus on what next, what can we improve, what are the risks - it was constant and unrelenting across every function.

Aprop.
1. You cannot recognise revenue If you do not have confidence in the credit of customers either at time of order of through two years plus when they are not paying. Something confirmed in the annual report.
2. To use contract accounting you have to have a contract with guaranteed £, not a call off against an assumed amount.
This is basic stuff, not advanced accounting. Where were the auditors, where were the non execs, where where the audit / risk committee - all asleep and all still in place.
The only one who has "resigned" with a years salary, restatement of terms of existing options and then given a tonne more - just what are they paying him for here? certainly not for being a competent CEO / legal director. Again the remuneration committee would have approved and all still in place.

Uhlf.
Agree 100% on news, we can always drift with the general market as well.
I've email back from MR on investor relations, I think he understands what investors want but he himself wants a greater degree of certainty himself before committing.
As TL has correctly stated on the dark side where you expect exponential growth a start date changing of a month can have a massive impact on the full year, this is hard to forecast.
Risk seems to have changed from r&d / tech to operational execution in the last 6-12 months. The main worry is ENET missing out on immediate orders and more permanently market segments if current opportunities are being stalled on product availability.

Incredible that investors are now relying on an ST write up rather than the BOD getting their act together.
Remember that ST cannot have read or understood the accounts / notes even at a summary level to have understood the dodgy dealings over the years.

In boom for a long time and sold out at 50k profit between 8-10, ploughed money into what I think will be another boom which hasn't moved yet.
Real lesson here to sometimes let it play out. To those who I thought were being fanciful with projections of 15+, well played and enjoy the ride.