Firering Strategic Minerals: From explorer to producer. Watch the video here.
Octagonal (AIM: OCT) announces that it was informed yesterday that Martin Davison, a director of the Company, has acquired a total of 3,265,000 ordinary shares via his SIPP since 8 January 2016. Details of the purchases are set out in the table below. As a result, Martin Davison is now interested in 10,765,000 ordinary shares of 0.05p each representing 1.92 per cent. of the Company's issued share capital. Date Price Number of ordinary shares 8 January 0.95p 265,000 11 January 1.2p 3,000,000 TOTAL: 3,265,000
2.5mill net debt reduction since 30th sept. Working around about 850k per month for the 3 months to 30th dec, happy Reza debt is not paid as cheaper finance than other debt providers! So looking good for about 10mill debt reduction on these figures annualised before increased production and lower costs come into effect - assuming a stable pog of 1100 and significantly reduced capex not majority of mine improvement done of course - getting there though
Mcap seems relatively cheap to peers who aren't even producing and generating cash....granted debt is high, but hopefully increased production, lower costs and reduced caped will allow for principal debt repayments this year, I believe all major capital projects for gedabek are complete bar general exploration? If we reported on ebitda basis we would be seen as profitable due to the high mine depreciation charge currently disclosed in cos! Atb slick dyor
Good move, I continued to hold, could of sold and rebought lower to bring my average down- hey ho....like interims, good cash balance, throwing off good free cash flow and retained earnings are far greater than previously thought, will take little profit herein to make reserves distributable! Glad it systems been upgraded for future scalability-#right direction
Alternate view - I'm glad we are suspended due to nomad resignation, prevents the share price falling on uncertainty and lock in expiration share holders selling off to crash the price altogether, effectively buys the board a month to sort this operational mess out in China, may have been a ploy due to ongoing aic investigation. The UK arm website is still up and appears trading,the investor site is still up and media enquiries are responding to queries! Wouldnt be surprised to see broker reappointed. Probably being naive though
Was hoping for much better, Turnover halved to 750k and only made £50k this qtr. That said, 1m ye forecast at pe of 7 justifies current market cap👍
Disappointed, back down to 4p we will probably go in next two weeks, before we go back up.... But long term we will be stronger for this I'm sure
Good to see extra cash on the balance sheet following profit generated in the 6 months. Fills me with confidence (former qpp holder lol) Here's hoping for a full year divi!
I think in relation to the turnover & net profit. I am expecting quarterly kpis as normal. Hopefully use this as a guide to forecast 2nd quarter performance.
You can see the staff costs rose due to workforce quadrupling from 3 to 11 personal in post yoy as documented in the year end accounts. The admission prospectus made it clear they had established a business module and hoping for scaleable growth thereof. I'm sorry your at a loss, as am I, but I believe fundamentals will come good in time, just need to give it a chance. In all fairness to Dave Lenigas many of his other deal making companies have been a success operationally and share prices don't always reflect this - but welcome to AIm lol
We are now GiS, 100% owned. Oct is effectively the holding co. A vehicle for the reverse takeover, therefore past share price and history is irrelevant, different business entity all together - now a recognised trading co, formerly investment co. Give it time, allow New business to show transactions track record and hopefully re-rate. What would be a sensible pe? 7x ebitda to forecast a mcap, and allow for future divs?
Probably ipo broker involved in reverse takeover, still drip feeding into market...majority c60% is locked in for 1yr re: jg and dl etc
We have had one trading update (as expected) since Rto which was positive, how can you say the company is being run into the ground. Need to wait for facts to be presented in future rns. Have no basis for comments like that. However sadly share price has dropped, hopefully when management plans are proven this will rerate. Management can't control general markets
Partly agree, i'm hoping JG will address the "unknown" by releasing "detailed" quarterly updates (we know regular statistical quarterly updates will be given as per last RNS) to provide evidence to market of growth prospects as demonstrated by Q1 534k operating profit is reocurring, if not i suppose we will still have KPI's to compare to assess growth vs prior quarters - so may be enough for market?
Good thought Craig. As it stands I personally don't see GIS funding INSP as a major risk, they themselves recently secured a 3mill convertible debt facility to fund operations and development (see rns in May). If you look at note 10 of 31/03 year ends GIS not made investment that 12 months, nor any RPT note to suggest cash advance within debtors in 2014 or 2013....although it is a possibility. we did recently convert a £50k loan into shares (arguably immaterial when we generated 534k operating surplus - hope it supports theory we are generating free operating cash to utilise). Again I will keep a close eye and should this become material will reassess my holding. sure it same for many common directorships on AIM!
Probably a fair point, although i'm hoping the forthcoming news to be positive haha...my focus is not dividend return, but Capital growth, with GIS proving up its trading profitability over future quarters, through increased scale up (see admin docs) hopefully this should lead to a re-rate, we know last couple of years it has generated profit and cash albeit at small levels (see financials), following initial startup costs being absorbed and therefore know its operationally capable. Of course should trading performance dip then i would consider my holding...but way i see it is we are a profit generating co, a cash generating co, and growing year on year, this is enough for me to hold for 12months...but to put it into perspective if want divi's go blue chip, want life changing growth go with speculative minor, want slowly but surely, my decision has been to go here. What your view Dougal, dividends aside? DYOR ATB Slick
I would expect dividend to be sent up from GIS to Oct (they hold 100% shareholding) have £670k negative retained earnings as at 31/03/15 (see GIS balance sheet) therefore two quarters of £500k repeat run rate = £1m therefore could declare say £300k at HY1...Oct retained earnings are negative of £1.7m as at 31/03/15 (see Oct balance sheet) therefore would need to clear this for us shareholders of holding company to receive dividend. To conclude half year dividend at 30th Sept looks unlikely, however full year divi at 31/03/15, based on repeat run rate of 4 quarters + small amount of growth over year could very much see a maiden divi paid and recurring 6 months there after, just clearing small backlog of retained losses (hence DL shortly comments) which for any genuine investor and not trader would be short term, therefore i continue to be happy to hold for 12m.all in my opinion of course.DYOR ATB Slick
Good point! I would think that Octagonal is effectively the holding company and therefore all PLC costs are carried here, along with Goodwill for GIS and subsequent unwinding...I would think the operating profit by GIS would not include these values as effectively a "trading division", that said, directors have service contracts with GIS and i would hope no further material remuneration is paid from holding company as no tangible benefit, just paper purposes. All previous directors remunerated via Oct (see note 3 to accounts) resigned following RTO of GIS and therefore no repeat run rate here expected by me for 2016. ATB Slick
If you look at year ends to 31st March 15 for GIS you will note that reported operating profit takes off admin expenses (which includes dep'n - see note 3 to accts), therefore assuming 1st Qtr 2016 was reported by JG on same basis this would appear operating profit is net of admin expenses also..though exceptional costs i.e investments write downs for example would need to be deducted from op profit and any tax would need to be deducted (as is for any profitable generating company) to come back to retained earnings, which dividends can be paid out from..aslong as this reserve is positive on the balance sheet at year end. ATB Slick