Member Info for TruroTrader

Hi twix, I'm uncertain about your concern re "no contract rns for 18 months". The revenue has doubled in the 1st 6 months of our current year and the sp is 50% higher than it was 12 months ago. What contract are we missing?

Hi Ralphie - Yes indeed all quiet - almost to the point they never was!

Many thanks for the excellent link though I will have to inwardly digest further when my Friday lunch and subsequent afternoon engagements wear off a bit!

I'm looking forward to the 2nd December. Although we've only had the excellent revenue figures I'm sure there will be other good news. The US revenue started in August and I would like to hear about progress there - it is apparently the largest market so has massive potential.

I rather like Rees style. He seems to be able to look ahead and share his vision but then slips in - almost as an aside - really momentous stuff like the US opening.

The US aerospace is apparently quite insular so opening up Martinsville was a bit of a masterstroke. The bit I liked was the actual selection - not just approval. We managed 2.65 Mill for the second half so hopefully we have some production capacity somewhere although Martinsville itself is at capacity. With the Houston presentation and the S Korea expedition hopefully generating interest it's difficult to see how we can accommodate all the potential!

One of our drawbacks is the year lead for acquiring new reactors. although May will be the 1st delivery it will be used to migrate to the new site and not actually add to capacity. You would have thought that by now we could have accelerated production. However if that's not possible then we may well need to place a new order in say February/March for 2021 delivery. I'm guessing this could give us cash flow problems as we would have 4 reactors on order which have built in stage payments. Hopefully this could be addressed by borrowings and not another cash call. As I've said before production constraints may be a nice/new problem to have but it is a concern.

However once over this hump the road ahead appears to be a clear path to success. Onwards and upwards folks.

Coggins you are wrong. The sp is not in the gutter. Over the last 3 years I have bought in 8 times and am some 30% in profit. My best buy was in January '18 at 4.77p. Please be factual in future.

PS The continuing revenue increases will increase the SP.

Hi Coggins . I'll make a little bet with you. I bet that the 6 month growth revenue slide in the presentation showing the last 3 years will continue upwards - and as an extra, da-da it will rise exponentially! You are so far behind.

Curmudgeon Coggins comes to life! This is a company advancing on many fronts. Increasing sales - tick. Increasing products - tick. Increasing geographical footprint - tick. Increasing shareholder communications - tick. Retaining winging shareholders - tick. Never mind - you can't win them all!

Many thanks indeed redjester. I thought there was some sort of hold up and you're explanation is illuminating. I can see now why GMR are saying cash positive by the end of 2020. The basic business case is though, as you posted, extremely good with an ongoing potential. For me the 2020 half and full years figures will be crucial. Again thanks.

I've been trying to work out how the above works. if you're a maker of widgets say then you may sell directly to a customer or distributer and you get paid and you've ticked that box.

My guess is that the recent agreement with Kindred say brought no direct income. Do we have to wait for our games to be distributed on their websites - say Step 1? Then when a player downloads or plays a game they make a payment to Kindred - Step 2. At some point determined by either Date, volume of players or cash amount we finally get paid - Step 3.

If this is roughly how it works then, in my view, because of this extended sales process we will have to see just how quickly signing a licencing agreement turns into actual revenue before we see sustained SP rises. Although, arguably, the most important step is signing agreements we have to wait for third party customers to actually pay and for revenue to eventually come to us. Not to sure if the above is the definitive way it works but I think our sales process is a little longer than some.

I have to say that once the transition to a full licencing model is completed we should go from strength to strength. The beauty of a licence is that once it's granted there are almost no costs involved so revenue is largely profit - happy days.

Your quite right gazshot the poster certainly sounds like an employee and as there are only 7 employees (Inc Directors) it shouldn't be to hard to work out who it is - unless of course it's somebody pretending!

Not to sure on the ethics of this if it is an employee but as utarsaints says - stand by for the deletion.

Perhaps there is an order or two coming on down the turnpike. But if one goes back well over 2 years to the famous 20 Mill acquisition fund raise in July '17 there has been a dozen or so contract announcements plus 3 total take overs plus a partial acquisition and the SP has failed to move. It has been stagnant at around 7p over this time.

This years revenue could be double Decembers 2017 figure and this should be a second year of profits - albeit curtailed a little by 1st half losses. The last 2 years or so has seen phenomenal growth in almost every aspect of the company and real expansion of the range we offer.

So the question is - has the market woken up at long last and is Cinderella going to the ball?

7phas

Hi stew200 - good to see you still positive. Year end figures will help here - onwards and upwards.

It's purely a testing stake holding exercise prior to a hostile takeover - or it ain't!

Sage4 32 Flex is coming in 2020. This is able to process 32 NIPT results at once. This will save time and money and is expected to be a real sales boost on the illumina platform.

Todays announcement would appear to be a different product although to my untutored eye there appears to be similarities. However the FLEX bit is now trade marked so perhaps the Sage 32 flex may have a name change? Anyway it's another new product to provide more sales.

Hi stew200, At the moment the MC is over 3 times last years revenue. There's no doubt that licencing revenue is going well - up 88% in the 9 weeks from the June 30th. However what the final figure will be is difficult to predict - after all Dec 19s revenue was lower than Dec 18. Apparently we are not expecting to be cash positive until the end of 2020.

It all depends on how quickly the licences are taken up. Two new customers are not going live until the 2nd half 2020 which is a little "jam tomorrow". However licencing revenue is increasing along with increasing new customers. This year should see the end of the transition to a licencing company. My view is that the SP will perhaps rise as new agreements are reached. But for real rises we may have to wait until the numbers come in on full year '19 and perhaps half year '20. when the potential should be clearer. I personally am at breakeven but I am very confident that full year '20 could be double todays price.

Hi Adastra, Have just emailed him. I basically reiterated things I have posted on here. First class company with an increasing and diverse revenue with £9 Mill in the bank and an MC of probably less than this years revenue!! I entitled it "Attracting attention" and ended by saying that not only would a token dividend open up us up a wider investment base but probably would be very cost effective. I'll let you know what transpires.

Hi UPshunt, many thanks for the info and the link. I can see now that you might sell a very large holding at below bid as if it was dripped in the SP would drop any way. Cheers.

Hi twix, my view is that we are a totally different animal from say 18/24 months ago. Up to April 2018 the previous 4 years had produced 12 mill of revenue and 36 Mill of losses. With the debt and the litigation we only had contract wins to be positive about. I posted during those times that I thought it seemed like the litigation threat was driving the BoD forward and I was impressed by that.

However Rees has changed things just a little! Re-read the half year report and look at the differences. EG We are now in the USA - ok with only one person and no dog but the USAG Houston meeting has given us a chance to build on existing sales. We are no longer a one trick pony and NIPT sales rose by a third anyway and next year we get the new sequencing tool.

This transformation has happened just in time. Companies are leaving AIM and non-profitable and/or non-dividend paying companies are falling out of favour. Only 2 of my 9 holdings on AIM pay a dividend and although the other 7 are in good positions and I am confident of their success their SPs are struggling. Believe me the Yourgene SP is not alone here.

We could double our revenue this year and also be profitable. You couldn't say that 2 years ago!

Excuse my ignorance but with the Bid at well over 6p all month where does he get them at 5p?

Hi notaplipper, thanks for the presentation link. There were 2 things I noticed about the acquisition at the time. The first was the timing which meant that by the time our year was up we would have a good idea about how the integration was going. The 1st half report is really positive as regards this. The 2nd was the fact that elucigene seemed to have had 2 flat revenue years. My guess was that Rees would fix that and again the 1st half report seems to suggest that this is being overcome.

With 4 Mill in cash and no debt I'm guessing that with last years ebitda loss of 3 Mill we are in a good position. With a rising and diversified revenue stream we could well have enough cash to hand to fund operations. Acquisitions would be different of course and possible fund raising may be needed. I'm not to worried about dilution here as if they are as good as elucigene (hopefully!) then a smaller slice yes but a bigger pie with bigger potential. Again thanks.