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Very positive and I can't see any downsides. If we can do 10 Mill in the 2nd half then the new products to come this year will have full effect next year and 30 Mill would not be out of reach. I would be interested to see a US revenue figure in the full accounts as this has a massive potential. Rees has US experience and I expect him to do a bit of asset sweating here!

Sorry to say that I've not followed the links! Sold out when the company said that they were suing the government.

Good stone, good margins, possibly good operational ability but no real knowledge re local politics.

To summarise, the margins are known to be so good, and the politics are so confused that the local ' business community' will put self interest before pure commercial advancement of the countries assets. Therefore fox shareholders will be the last to gain.

Current MC is some 9 times last years revenue. If we double last years revenue, at year end, and the MC rises by 50% I will be a happy bunny. I'm quite certain that the way we are now run means that profits will come in the next financial year as more products and territories add to the cash flow. The US initiative could be a game changer anyway. Good times ahead.

Hi Qd22, these 6 contracts have been on the table for a year or two. As a long term holder I truly believe it is a question of when not if. Once the 1st one starts the long term future will be stellar.

Hi oECCLESo, You've missed nothing. We were historically constrained by credibility. We are now constrained by production capacity. Many investors will go elsewhere for short term gains while we take a long time to increase production. Also the 12 months to produce a reactor is a real cashflow problem. We will overcome this in the next 18 months - mind you I've been saying that now for more years than I care to remember!!

I'm beginning to feel like Johnny - When he joins the Army the column of soldiers marches down the street and his mother cries " Oh look my Johnny's the only one in step"

I've said before that our sales process is more akin to a licencing model than a manufacturing or service model. You can offer and agree a licence but the take up is rarely specified.

In the past Premaitha days we announced commercial news but with one vague exception there was almost no real detail in them. No dates, no test numbers and no cash values. As far as I could see they had no lasting effect on the SP.

Can somebody tell me just what we used to do that needs repeating bearing in mind that with the Elucigene acquisition we now sell in over 60 countries with over 30 products? What criteria would posters propose that would trigger an RNS?

Hi extrader - yes good point re 3 come along at once - used to say it about policemen as well but nowadays there only on the news! The sp will drift down a bit now I think until any contract announcement. This will of course be soon.....

However once the contracts start our revenues could go ballistic. We are recruiting new people and I am confident we can cope with new contracts providing our suppliers can keep up. I also think we must be on the big defence based companies takeover targets. Interesting time ahead - even more so if we actually sign a contract!! Cheers.

Often the quicker the results are published the better they are and 2 months is quite good. One of the figures for me is the profit/loss. I think we will be broadly neutral and then on course to double last years revenue and be profitable for the year.
How much of that is already baked into the sp remains to be seen. I can't actually see any downsides at the moment.

retrace?

Indeed yes Adastra. What is impressing me is the revenue increases. We had a few years where not a lot happened but 2018 revenue was double 2016 and I'm pretty sure - looking at the interims - that 2019 will be double 2017.

Providing we break into a decent profit there is the faint possibility of a maiden token Divi that will get the markets attention. I'm pretty certain the Full year results will be stellar but add a divi and the SP could double. Pretty much all the acquisitions have been really good but for me the Sapienza one was a major step because of the breadth of the company and the timing means that by year end the integration should be largely completed.

If we announce a contract before the end of 2019 you would think a meaningful milestone payment would be due before our year end in March. In turn this would mean that we would also have a decent 1st half to next year - which is often not the case.. This is my 4th year of holding and to be so close is quite tantalising. Bet it'll be like buses - three come along at once!

Excellent post notaflipper. Your analysis is much deeper than mine. When we bought Elucigene I did note that their sales had been flat for the previous 2 years but it was the product range and the territories that I welcomed. As regards dilution I have to say that it hasn't effected me. I got here from the Vialogy days but have done top-ups since. In November '17 and January '18 I bought at 4.8p and in October '17 at 7.4p In all my spend has been 9.5K and todays value is 14K. Last December, for a few weeks only I hasten to add, the sp was at 7p and I nearly topped-up again but I missed the boat.

I agree that mistakes have been made but my current view is that the NIPT sales will lift the company anyway and we now have other products to develop and sell. I also like the new US initiative. I'm looking forward to Rees next performance re the half year figures and business update on the 2nd of December.

I think these presentations are one of the best ways to spread the word about our progress - although rising revenues don't half help. Now we have a range of products in a very wide market it is I think a little more difficult to issue an RNS news of sales agreements because in theory we should be making quite a lot of them! However I did like the awareness event held in Egypt last March which included customers. Again thanks for your insight.

Hi Max - Adastra has hit the spot. Our MC is underrated to say the least! As he stated blue chip contracts pull in more business anyway. I'm certain that the way our business has developed both potential and current investors and customers have an ongoing self-interest in us. We can certainly self-fund the obvious expansion opportunities. Bunny happiness is around 90%

Hi Steve67 I don't think there has been a change of policy exactly but the company has moved on to be an entirely different animal. While the Illumina litigation was ongoing the only good news was the signing up of new Labs in new territories for our one product.

Stephen Little recruited Rees and once he was aboard within a couple of months we went from being an Illumina litigant to an Illumina licencing partner and Hayden Jeffeys was also aboard. I don't think that was entirely coincidental given the due diligence that Rees says he undertook and his past history in the business.

From that moment on things evolved rapidly - the name change - the cancellation of debt - the fund raise and purchase of Elucigene. The whole thing was done in some 9 months or so. Once we had acquired Elucigene we doubled our territories and added some 36 products to our one. This was when we stopped announcing NIPT tests in new territories - after all it was only one of over thirty products in a territory we were already in curtesy of Elucigene.

It's a great story and the doubling of the SP in the last 12 months shows the market is on board.

The ring of steel story was announced some 3 weeks ago so I suspect the IC tip was the catalyst but it would certainly help any buy impulses for any new investor researching the website. Just a little concerned that without a new contract win in the near future the SP will drift back. Surely a new contract can't be to far away - I wonder if I've thought that before.....

Twix. I quote you from your 13.50 today. "Contracts will have a valid ascribed but not an exact value and it will usually be based on anticipated or known number of tests. It is this value which can be stated and I think occasionally has been"
"Occasionally has been" is a little vague. How often would you say Premaitha has stated a contract figure?

Yes a contract can anticipate a number of tests and consequentially can anticipate a cash value. But because it's not exactly definitive it's pretty useless really - how could you sue if something goes wrong? The other side would defend by saying the figurers were guess work which didn't pan out. If you can't sue for breach because the figures are wooly there's no point in the contract. Just have an agreement.

"Occasionally has been" is a little vague. How often would you say Premaitha has stated a contract figure?

Hi Florida yes I do agree that all of us should consider the various points but forward. Unfortunately twix has failed to grasp my point about contracts. Our sales model is more akin to a licencing model rather than a contractual model as I'll hopefully demonstrate.

We sign agreements to process our tests with Labs. No sales take place no revenue is generated so no contract. We then sign agreements with doctors and clinics for then to offer our tests to patients. Again no sales take place no revenue is generated so no contract. The clinic offers our test to a patient who agrees to the test. This agreement may well be contractual as a fee - the "consideration" will be paid. Both the patient and the doctor/clinic also have "capacity" to carry out the procedure but if it is contractual it will be between them.

Money then flows from the patient to the doctor/clinic on to the Lab and then on to us. I hope this explains why It is impossible for Yourgene, or indeed any body else, to put a value on the agreement they signed with the lab at the point of signing. I don't believe they ever did. This is why I also asked Goggins about the value of "X" because he thought there was a financial threshold that had to be crossed. I don't see how there could be given the sales model as above.

twix also refused to consider my point re TPG by again asserting that ALL notable contracts increase the sp. TPG signed multiple contracts with blue chip customers for millions of £s with no real effect on the SP for 2 years. He refused to except this in spite of it being factual.

To close. I'm not against opinions being posted as opinions, that is one reason why the board is here. However I am against opinions posted as facts.

Well after this I hope so.

To Goggins and Twix. There are two points I wish to make. One is about contract announcements affecting the SP and the other is contracts in general.

Wonderful Contracts to not always improve the SP. I hold TP Group who are in aerospace and defense and supply kit and services. They are in a similar position to Yourgene in that their revenues have started to increase significantly recently and profit and dividends are, if not in sight, then just around the corner.

TPG has a forward contracted orderbook of 50% more than it's revenue which is some 50 Mil. In addition it's orderbook is growing faster than it's revenue. This acceleration has been notable in the last 18 months or so. however in spite of this terrific achievement the SP has stagnated at some 7p for 2 years.

If you look at it's contract announcements you will see that the headline says the amount of the contract and who it's with. The body of the announcement then gives the details and importantly the time scale. One can then evaluate the announcement. However by stating the partner the "capacity" of the partners is shown. IE are they both capable of fulfilling the contract - one by delivering and one by paying? By announcing the value and the duration of the contract they are demonstrating "consideration" - this is the willingness for one to deliver and one to pay. Capacity and Consideration are cornerstones of contracts and without them there is no contract.

Now let us look at the announcement that were common over 18 months ago with Primatha that you both miss. The counter signatories were largely anonymous so capacity could not be demonstrated. That doesn't mean they couldn't do it. No mention was made about sales projections or targets so no time scales were included and there was no monetary value mentioned. There were good reasons for this because of the staged sales channels. The end customer was a patient of a clinician who was a customer of the lab concerned. To complicated too accurately predict. Therefore no consideration was involved. Therefore no contract.

There where many announcements made by Primatha but they didn't seem to effect the SP in any meaningful and sustained way. However in the last 12 months in spite of you both being disappointed by a lack of them the SP has doubled!

I hope you both appreciate the above is based on facts. There might be an odd mistake so please feel free to comment.

Goggins. When did the company announce "x" and what was the figure?

Goggins. What on earth is "x"?

Twix. What contracts are we not announcing?