The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
Don’t know didn’t see this one coming. It’s just with things moving in the right direction surely the SP has got to catch up at some point. It’s just a time game IMHO. It would be nice to see the SP return to its price just before CLCO took over last October. Fingers crossed we hold and wait.
This will have to re-rate at some point surely!! especially as more contracts get announced to the market. SP seems to drop back as mms happy to load up again before next move up. CLCO are now selling into the higher education export market worth up to 7 Billion a year. Will be interesting to see how much of a slice they can capture. IMHO
Just wait for the universities to join this forward thinking company. They are a secure stable company who know where they are going from what I’ve researched - let the good times roll I’m an LTH and can’t wait to watch all this unfold. Very pleased with today’s announcement - All the best guys!!!
That’s a good video!
This would be the sort of thing that would be nice coming from the CLCO BOD. https://www.lse.co.uk/media/7digital-ceo-paul-langworthy-updates-investors-on-7digs-latest-contract-wins.html
What I do know is the company is positioned well for continuous growth. The BOD own most of the shares in float and so are very focused on creating shareholder value as they’ve stated. Not many other shares on AIM are set up like this. The only gripe of regular communication since Cloudcoco floated however that said recent directors buying more shares bolsters more confidence. News with contact wins would help as we hear towards Christmas. A recent new student product launch also looks good to see how this rolls out. DYOR IMHO
Would anyone like to make some sense of this? https://scientect.com/news/133339/data-as-a-service-market-2020-oracle-ibm-microsoft-google-actifio-inc-gravy-analytics-read-group-motor-information-systems-and-cloudcoco/
I totally agree all we need is a good positive RNS update and confidence will start flooding back in. It’s a very positive sign to see director buys in the last few weeks. The BOD as a whole recognise the importance of shareholder communication, so please Cloudcoco update is on some positive news ? And more regularly would be nice:) healthy share growth is a balance between regular positive news and a growing bank account.
Moving up nicely again now should be over 2p soon! I’d like to see us trading back between 3-4p short term IMHO DYOR
CLCO should be 2p very soon if you ask me. BOD have reported 33% increase in revenue on previous 6 months. Since then x2 directors have been snapping them up as they know the company is being turned around and they are committed to shareholder value as they have repeatedly openly published. Big contracts have been announced generating even further revenue and (hopefully more to come.soon) we are on the up folks and the SP is a steal at these prices IMHO. We are averaging 3p a share when AD4 before Cloudcoco took the reigns. DYOR
CLCO are known to be selling IT into the public sector, with juicy long term contracts. Wouldn’t it be nice to see a few of these won and announced to the market. IMHO DYOR
I’m certainly up for the 10p by Christmas and a re-rate like this should definitely be possible with clear communication and new contracts being announced. I’m just curious at the moment why this isn’t trading above 2p in the short term. Does anyone have any views on this?
I agree with you cminhinnett the goal for the Sales Team is to keep bringing in the contracts. I would image a sifting process has been happening with regards to AD4 removing the dross, and adding to their already successful sales teams (becoming the cream on the cake). I like the fact that the BOD are addressing the communication issue and hope that there will be success stories notified to the markets as the rest of the year unfolds. IMHO DYOR
Now we’ve had a recent open period where the directors have bought, do you think the SP could drift lower now with no news? When is the next news due? Appreciate your thoughts
The more I’m looking into this reviewing revenues and contracts we know about surely CLCO is undervalued. I’m looking at a fair SP value of at least 3-4p. Does anyone agree? And that a re-rate should be coming soon? DYOR IMHO
Today’s Director buy is another confirmation for how focused confident they are on returning the the SP to it’s true value and creating shareholder value all round. Many businesses have been using this time to review their disaster recovery plans and this is where Cloudcoco are leading the way in securing the future of businesses. I only have one qualm that can easily be rectified and that is better communication with the market and is as shareholders. The BOD focus has been on all the internal changes since the takeover. However, hopefully we will now move into the era of more contracts and better PR:)
I agree. There's also not many shares in free circulation, so could the price be held down to force sellers before it re-rates. It has to be worth more than a penny in light of the recent news. Any thoughts anyone?
One thing is for sure and that’s Cloudcoco Plc came onto many radars yesterday! Onwards and upwards all the way and yes 10p should be achievable in the coming months DYOR IMHO
Revenue of £4.43m, up 44% against the previous six-month period (H2 2019: £3.08m, H1 2019: £4.18m)
Recurring revenue of £2.79m, up 31% on the previous six-month period (H2 2019: £2.13m, H1 2019: £3.02m)
X2 new big contracts announced woohoo surely this has to get the SP back on track!!! Well done BOD
CloudCoCo Group plc
("CloudCoCo", "the Group" or "the Company")
Interim Results
CloudCoCo (AIM: CLCO), a UK provider of IT and communications solutions to businesses and public sector organisations, announces its unaudited interim results for the six months ended 31 March 2020.
Financial highlights
The six months prior to the period under review have been included for comparison to help investors gauge the initial progress the business has made since the completion of the acquisition of CloudCoCo Limited on 21 October 2019 and the introduction of a new management team.
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Revenue of £4.43m, up 44% against the previous six-month period (H2 2019: £3.08m, H1 2019: £4.18m)
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Recurring revenue of £2.79m, up 31% on the previous six-month period (H2 2019: £2.13m, H1 2019: £3.02m), a key focus for the Group in becoming a sustainable growth business
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Total contract value ("TCV") signed of £3.33m, up 158% against the previous six-month period (H2 2019: £1.29m, H1 2019: £1.37m), reflecting early successes in prioritising multi-year over single-year deals
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Positive Trading Group EBITDA1 of £68k from a loss of £250k in the previous six-month period (H2 2019: loss of £250k, H1 2019: profit of £15k)
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Pre-tax loss reduced to £1.57m from a loss of £5.59m in FY2019 (H1 2019: loss of £1.21m)
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Cash at bank of £0.27m at 31 March 2020 (H2 2019: £0.31m, H1 2019: £0.84m) and £0.4m undrawn working capital facility
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Net assets of £5.69m at 31 March 2020 (H2 2019 negative £1.11m, H1 2019 £2.92m)
1 earnings before net finance costs, tax, depreciation, amortisation, plc costs, separately identifiable items and share-based
income and payments
Operational highlights
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Acquisition of CloudCoCo Limited on 21 October 2019
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Rebrand and change of name to CloudCoCo Group plc on 29 November 2019
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Refinancing of the Group's debt reducing loan note debt from £5m to £3.5m and extension of new £0.5m working capital facility
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Appointment of new CEO, Mark Halpin, and CFO, Michael Lacey
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Encouraging early progress made against new strategy both operationally and commercially
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5-year cyber security management deal with a major operator of franchised car dealerships
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Voted Zen Internet New Partner of the Year
Post-period highlights
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Move to new Leeds office completed in June
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3-year cyber security management deal with major online fashion retailer, boohoo
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Resilient trading during pandemic but experiencing industry-wide headwinds
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Growing recurring revenue and margin, together with cost reduction measures means the business is well-positioned to withstand the current situation
Simon Duckworth, non-executive chairman of CloudCoCo, commented:
"The new management team has made a promising start, implementing positive changes across the business an