Member Info for skid35

dallo, like yourself a qualified finance person, but on the emea commercial finance side in US tech companies.
I think we both have the same view of a possible p&l for 22 / 23 and the valuation that would result.

This is a holding at the end of 2020, unless they have added since are below the threshold.
I was more excited when dallo was revealed.

Bid, It's in their latest holdings release, I hadn't seen it as a holding earlier so an h2 2020 purchase I believe.

Geri.
I have been a holder of Herald for sometime, and often take a look at the (very long and diverse) list of investments as this provides names for research.
This must be a relatively new holding as I hadn't noticed it before - unfortunately I can't see the holding value. With the value of the trust the enet element will be immaterial below the disclosure limit.

I think stung a little by the response to the results, pleased he has set this up.
Hopefully can clear up the results and a range of outcomes for 2021 (which should be a wide range).

Mascaro,
The enet business model isn't that working capital intensive and customers will demand escrow to protect themselves. Having said that they will want to deal with a financially stable company.

All, most of us I think for a 2-4 year holding here. A daily movement without news, either up or down, is nothing to get excited about with a medium term view.

Gharri, I think an astute purchase - even if it's a short term trade.

Not that I am a great fan of politicians of any colour, but hopefully this is where Stephen Hammonds knowledge and contacts come into play.

Aquae, it don't necessarily believe it's a CFO who would probably cost c £200,000 fully costed (don't want to sound like picknmix). It the advisors, auditors and financial public relations who should lead as advise SO H in these matters, they seem to have gone missing.

Bob.

After an H1 growth of c 500% H2 growth 19 to 20 currently stands at 29% - H220 is only showing a 3% growth on H120. Yes if these are the final numbers I expected more purely on a statistical level. This needs SOH explanation.
I also consider much of the fall due to uncertainty around the numbers caused by the RNS which doesn't give confidence in management control.

I expect numbers in an update to be unaudited, they should not be incomplete with no indication of the potential materiality of any changes. Every US listed company provides audited quarterly numbers and a myriad of SEC reports after about 20 working days, in the UK using Vodafone as a n example they provide audited numbers in the same quarterly timescale.

Yep, great range of products, deals and reducing costs. I just wish we had more accurate financials, presented in a manner which helps us understand performance.

DJ.
As an investor I haven't got a clue whether my substantial investment is valued.
I can't value it from a frankly appalling rns on current trading, I don't have access (or want it to SP) to hear future expectations.
With sbtx rising the rump of opti is getting to a really low valuation.
Still a long term holder, but financial communication has to be complete, clean, crisp and accurate.
Still a massive believer in the business, but really, really f####d off here.

As a shareholder in MINI always surprised at their buying and selling, they must have made a bit on CNS and I think they doing like an individual holding getting above 3%.

Chris, as a qualified accountant 100% in agreement.
Without an indication of the value of the royalties in 2020 yet to be determined there is little point in the release, except as the lowest possible numbers. Why release margin information when this is further exaggerated. There should also be a statement timetable when these will be cleared.
More worrying is that the contracts are poorly written on the requirements for reporting and invoicing. These should be crystal clear with no wiggle room from the customer for extended terms, further discounts etc.
Also what is the point of stating amounts invoiced without an understanding of whether these relate to the prior year 2019, the reporting period in question 2020 or are prepaid royalties for future years.
I realise that do not have a cfo (or need one at the moment) but surely their audit accountants can do a bit more on the release and step up to the plate. As I said previously their financial PR agency should get the boot for approving such an update.
They are clearly not cash accounting, but as you say SOH needs to be very clear and concise here as I don't believe he understands that he is not providing adequate information to his shareholders.
Simply not good enough.

15075 is a buy, couldn't resist a nibble.

Eshaitan, many thanks.
I hope SOH provides an update open to all. One of the highlights of the results was the % gross margin improvement (which may increase depending on further royalties?), You just need to calculate profit at 4,5,6,7,8 million of revenue with a relatively fixed cost base and, as you say a conservative PE ratio of 20, to determine a market cap. SKIN then the cream on the cake.

Was expecting the rnss from mid / late q2, and then to be nice and regular. Anything else is a nice bonus.

Aquae.
Agree with the sentiment even if they are not being floated off, one of the reasons I like OPTI is the portfolio of products (as well as the % of skin) which should allow more mature products to support new initiatives.
I think between 40-50% of operating costs are central and are not recharge out to the business units (soh costs, board costs, ops manager etc). If floated these would need to be replicated.
Also the use of ebitda where you have £2.7m of intangible assets and a further £2.3m of assets which are not split by division doesnot give a clean view.

As an aside. I see any trading update as having compete numbers, which are still subject to audit sign off.

Despite the overall numbers, it is clear they need to carry on beefing up the team with headcount and costs, despite what our MBA friend says.
I think nasdaq can wait with its diversion of management effort and cost.

There is a massive difference between "a small number of royalty payments" and "a number of small royalty payments".
Must say I am pretty surprised these are outstanding at the timing of the release, surely the contract specifies reporting requirements which should be within say 5 business days of the end of the period. Also why arent the contracts structured around monthly reporting and invoicing, surely a great help for both forecasting and cash?
Elrico does unfortunately cloud the issue with his understanding of accounting in the use of revenues " arrived and banked". Cash does not need to have been received or indeed invoiced raised in 2020 for revenue to be recognised, provided in general that delivery has occurred in accordance with the contract.

I realise that this is micro cap company but the standard of investor relations is very poor, I don't expect a polished, all singing and dancing effort but just the basics.
- Consistency in reporting metrics and kpis. This is includes half year reporting, comparisons and metrics - Stop changing reporting to suit the message.
- Standardisation of reporting timetables and investor presentations.
- Stop the stupidity of meaningless reporting of divisional profitability at an ebitda level, with most of the cost centralised this is pointless.
- What advice are nominated brokers, walbrook providing on investor communication, whatever they are charging it is too much.
- Provide the most conservative view on the next six months as a baseline, the bod were aware of other forecasts get kept very quiet. It is clear from elrico that even those close to the company were amazed by the poor results.
- Stop the ambiguity of the rnss. I still don't understand that some royAlty reporting hasn't been included, but completely unaware whether it is material.