The next focusIR Investor Webinar takes places on 14th May with guest speakers from Blue Whale Growth Fund, Taseko Mines, Kavango Resources and CQS Natural Resources fund. Please register here.
100%, this is the big unknown, and unfortunately they can’t update us on it until a settlement has been reached (or a date in court has been set if no such settlement occurs).
The glimmer of hope is that Steven was able to tell us last year that the second wave of claimants had settled. This happened pretty quickly after the initial decision against the cartel in favour of Royal Mail. Hopefully this next round of settlements will be as quick.
But yes, wiping out debt will make a big difference to the bottom line.
This actually happened almost a month ago, on 27 Feb. I assumed it would take longer so hadn't been keeping an eye out.
See for yourself here: https://www.catribunal.org.uk/cases/12905718-t-bt-group-plc-and-others
Relevant snippet:
164. For all the reasons set out above, I consider that the appeal should be dismissed on all
grounds. I should add that I have also had the opportunity to read the concurring
judgment of Green LJ, with which I entirely agree.
Lord Justice Newey
165. I agree with both judgments.
Kind of amazing that this hasn't been reported in the news anywhere! But this has to be massively positive for MANO. If they can finally get their payout from this case - and I'm not aware of any other blockers now - then they can clear their debt, invest in more cases, and even splash out on a little divi for us all!
Yes I keep wondering about this. I keep coming back to how Steve emphasised multiple times in the investor presentation last year that we could expect updates “early next year, even late this year” about the bank covenants, about the new BBL partnership, and about trading in general.
So what does it mean that this update hasn’t happened?
Did they want to wait until all the good news came together and give it in one big go? If so it’s turned out to be a poor plan. And why suggest that they would update us sooner?
Or is the news not so good, and they’re delaying telling us as long as possible? I’m sure the definitions of “material difference” and “timely manner” could be stretched this far.
Net income for the first half was $4.7M. That's from an "adjusted EBIDTA" of $6.5M.
They are projecting a FY adjusted EBIDTA of $12M, so $5.5 from H2.
But lets be super conservative and say that this $5.5M of adjusted EBIDTA translates to 0 of actual net income.
So that's a net income of $4.7M, or ~£3.9M, vs a Market Cap of £16.6, giving a PE of ~4.3, ASSUMING NO INCOME IN H2.
What on earth??
OK, it's not continuing to grow explosively after NY opened up; OK it looks like a while until the next big state opens up. But $50M of revenues is perfectly respectable, they have no debt, and they only have max $7.5M more deferred acquisition payments to make.
Why is this so cheap? What am I missing??
Thanks Jimmy, very helpful!
Is the second column the change? If so then yes looks like Killik - or one of their account holders - sold out big time.
It’s hard to know how much to read into this. The share performance has been terrible, people may be fed up, or need the money for other things. Do they have some particular insight into future performance that others don’t? Hard to know :-(
Da_Master do you know why that cap exists? Does it exist for other shares?
Why not move to a different platform (e.g. II) that doesn't have such caps?
Do we really think there are 1000s of investors out there that would buy more MANO if only their Trading 212 account would let them?
Surely this is the reason for the drop. Having to switch brokers because your current ones have lost interest isn’t a great look, and as Forensic says in the other thread PH are likely dumping their holdings and moving on.
So definitely not great, but hopefully only a temporary setback; let’s see if the new brokers can inject some enthusiasm