Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
He is sitting on a big loss with possibly further to fall.
No revenue projections in the annual report but if revenue is 93% of bookings (as last year) management are hoping for revenue at the current exchange rate in the region of £9.5m -£12.8m for 2024 with overhead costs of £18.2m. A market cap of £25m (22p a share) would seem to be generous. Again no mention of the FCA investigation - what will that cost?
The company urgently needs to cut annual costs to below £10m.
About Shanta Gold:
"With a strong balance sheet, a growing diversified portfolio and dividends paid since 2021, Shanta offers a resilient investment opportunity for the near and long-term."
This is a direct copy and paste from today's RNS.
More contract wins helps confirm growth prospects for next year. Looking forward to end of year trading update -last year was on April 17 th
The figures are from the KPIs shown on the Cirata website - the RNS link refers to $2.7m of bookings but doesn't mention T/O. https://cirata.com/investors/key-performance-indicators
Results due shortly will show $6.8m T/O in 2023 (30% down on 2022) - $2.2m in Q4 - and apparently no new significant contracts . Why a business with an annual turnover of less than £8m (running rate), with cash overheads of £5.3m in Q4 should be valued at over £75m is beyond me!
Key benefit being:
"The refinanced capital structure provides greater financial flexibility by unlocking the Company's significant working capital surplus and enhances its free cash flow profile through the elimination of the previously managed three-year, CAD 25 million per annum, straight-line amortization schedule. With this refinancing, the Company now has the ability to accelerate development of its extensive inventory of development locations to enhance shareholder value."
“James Fisher and Sons plc (FSJ.L) today announces that it has entered into an agreement for the sale of the entire issued share capital of RMSpumptools Limited ("RMS") to ChampionX UK Limited, a wholly-owned subsidiary of ChampionX for a total enterprise value of £90 million (the "Disposal").”
Sorts out valve sheet reducing gearing to manageable levels. James Fisher poised for growth.
The Group is pleased to announce an order for a new licence test environment for an existing US Federal Agency, which, combined with anticipated additional conversion of our existing pipeline, means that the Group now expects financial performance to be ahead of market expectations for FY24 and creates further contracted revenue backlog for FY25.
Since January 22 the spot good price has. I believe, increased from $2,022 /oz to $2,155/oz an increase of $133/oz or 6.6%. Given production of 100,000oz pa this will increase Shanta’s revenue by $13.3m which in my opinion is significant.
Shanta’s failure to inform shareholders of this material change in the company’s prospects might make the bid liable to challenge in the courts.
That the market isn’t at the offer price suggests that the deal is not a certainty. Suspect small shareholders will vote against. Just needs a few key players to believe in the excellent prospects and vote against.
Voted against the Court meeting again on ii but previously were 2 votes one for a general meeting- what has happened to that. Am sure the BOD are following the rules otherwise they would be in serious trouble. Calling them and the bidders names is childish and doesn’t help.
Or could just stay as a listed company making money for shareholders. BTW calling the bidders names such as sneaky and worse is not acceptable- they tried to buy at as low a price as possible., which is what we are trying to do in this casino. That they failed means they misjudged the market - that’s all.
Gradually moving over 13.5p - Do think a statement from the board about their intentions is overdue. I assume they did not get 75% acceptance but would be helpful if we were told how close the vote was. Is the boards plan to try to get a higher bid or trade as an independent business?
Cash at 31 Dec 2023 - £209.3m (31 Dec 2022 £195.8m) despite share buy back and special dividend.
From RNS:
Returning excess cash
We continue to assess the cash requirements of the business to ensure the Group remains well positioned to deliver on its Sustainable Growth Strategy and has sufficient funds to invest in the business. In September 2022, having reviewed the Group's strong cash performance and ongoing capital requirements the Group launched a share buyback programme of up to a maximum of £15m. On 17 November 2023 we announced the completion of the share buyback programme with a total of 8,404,148 shares repurchased and subsequently cancelled, representing approximately 7.5% of issued share capital. In addition to this, the Group paid a special dividend of 12.0 pence per share (amounting to £12.5m) on 27 October 2023 as announced on 8 June 2023. As previously announced, where average month-end cash and PPP assets increase above the level required, the Board will consider making additional returns to shareholders.