Member Info for skid35

Yes. if you take a vey simple example with revenue growth and ebit. Revenue growth 15% to 20% 20% to 25% 25% to 30% % profit 0 % to 2.5% 10% 25% 50% 2.5% to 5% 25% 50% 75% 5% plus 50% 75% 100% so in order achieve 100% of share award they would need 25% growth plus 5% ebit. This is not rocket science, standard to have multiple measures. I am not a comp and ben specialist but have been involved in setting them, this one is shockingly bad and does not align management and shareholder interests. i have also just realised that they have set the scheme including 2016 when they are already 3/4 through the year, this is simply incredible setting a target you know you are already going to achive in arrears. Guys in the US were being thrown to the wolves for backdating options but here we have it in action.

Precisely. This is not a small private company - it is a listed company with a fantastic brand and in an unbelievable position to build a great company internationally. As such they should have a ltip with some semblance of independent corporate governance. Firstly with a range of kpis reflecting balanced growth across the whole p&l and cash, and secondly targets that are challenging not easy.

Well stated. better for the management team to earn 100% of ths ltip at a 50p share price than 50% at a 90p share price. so a total and pure focus on revenue growth at the expense of cash, profit and sensible managemeny focus. As previously stated the target is so low to be laughable. share price drop reflects the ltip

Yes revenues will continue to ramp - any executive team can do this. The ltip sends a clear signal they could not give a **** about any sort of profit and will be willing to make a ten quid loss if they can make one pound of revenue. Fall virtually mirrors tge shareholders dilution from the ltip. i dont know what downing are doing here as the key shareholder?

Numis is a house broker. Any share target is effectively worthless.

Numis is a house broker. Any share target is effectively worthless.

Fully agree - two issues here. 1. Corporate governance. Firstly the old scheme should not be thrown away merely because the management have failed to get anywhere near the target. Secondly the role and integrity of the chairman (and chair of the renumeration committee) is clearly called into question, his own options here are completely ridiculous. 2. the new scheme. with the fall in sterling they effectively need to do nothing / very little in £ to achieve these targets. Using the overall market growth as a comparison is not correct as this is a worldwide growth, they just need to execute poorly in the US (all upside) to achieve these. The level of options and dilution to existing shareholders is out of proportion to the size of the company or their roles within it, as an FD the overall FD renumeration is considerably above the market renumeration for such a small company. the lack of a profit element is amazing, effectively they will continue to spend £10k in adverts/promotion for a £1k revenue gain. A better approach would be a matrix of revenue growth / profit which forces the correct behaviour. I have just sold my remaining shares (kept as the gain after price rise), I am surprised that Miton have increased their shareholding as I own shares in MINI investment trust. Also as a consumer I will no longer SIS product.

Clear insider dealing yesterday.

Any one out there know the reasons for the massive daily swings. Should be of large enough market cap to not be manipulated.

What is the next catalyst here?

I thought with the naked acquisition dividends were on hold?

Interesting to see whether these are director buys

Just really suprised that they are suprised that customers are seeking a saas / subscription model from outright sale.

Nothing really in the report ?????? Really need to build the portfolio of companies rather than having an expensive hq for one small telco. interesting to still see director buying as it continues to drift down.

Yet again you are just plain wrong, the sis ceo does completely control this. The contract with us cycling should contain the rights and obligations on both parties. For example this will have "sis are able to use this agreement in press releases and on its website". It should include the obligation on us cycling, for the period of the contract, must have agreed content on their website showing sis as a sponsor with a link to the sis website etc. if they do not have this in their contract they have a poor, one sided contract. If they do have it they need to enforce the contract. please do not comment on business basics if you do not understand them.

Any knowledge of any that have not been communicated?

......... and again

A few points - 1. I would rather have details of retailers, distributotrs, websites they have signed up in the us rather than more marketing. 2. Us cycling are hardly worldbeaters, a better return would be to support axel merkxs us under 23 squad. Unfortunately the 18 year old wonder kid adrien costa is going to etixx 3. Although they are official suppliers to team sky, the only tweet from chris froome 19th july showing his breakfast has a competing product! Growth needs to be both revenue with a controlled profit managed over 3 to 5 years, mixed between mature and growth markets.

Always suprised how much sway IC has with small investors causing the bounce. However i have this in my sipp. The beaconsfieldsite is close to me and will be a great investment if correctly marketed andmanaged

My god youre hard work. The lse Aim rules for companies provides details of disclosures and financial statements. There is no formal statement of what elements of the p and l / balance sheet should be covered in a trading update, it is up to the company what they want to spin/ focus on. Trading is more than revenue. we have always been discussing the h1 2016 gross margin which you have confirmed is not available. The gross marginimprovement you talk about is 2015. The promo i recently used was 12 gels for less than 4 quid inc p and p. I am not an insider but this caanot be profitable.