The technology services and media solutions leader for the digital age.
13-Nov-2017 – 45p – £85.6m – PER 4.69
Interim Results For The 6 Months To End September 2017 – Not a bad set of results, Revenue up 6% to $76.0m, PBT up 19% to $12.1m.
The only reason I can see this is so cheap (PER of 4.69) is that HUGE Net Debt, just reported as $75.0m. It’s well over 50% of Mkt Cap. If that was paid down I would be much more interested, for now I will pass.
Subsequent note – One large shareholder (80%+) and Spread can be 15%+, highly illiquid.
10-Aug-2018 – 55p – £104.5m – PER 4.96
I was expecting an AGM here today but didn’t find any announcement – But, as I had made some notes I decided to include them anyway.
ROCE and Operating Margin are both around the 20% mark here. Revenue growth is a steady 5% a year with annual EPS Growth is 30.5% (2018A), 16.4% (2019E) and 4.5% (2020E). Debt now seems to be reasonable and looks OK here except for the spread which is often 15%+. Against my will, I keep this on my Avoid list – I just find it so difficult to open a position when the spread is more than a few percent, more than 5% is tough, but 10%+ really puts me off – And we’re talking, most of the time, 15%+ here.
13-Nov-2018 – 105p – £199.6m – PER 9.32
Interim Results For The 6 Months To End September 2018 – Revenue up 9.5%, PBT up 70%+, Net Debt down from $26.4m to $18.5m. Diluted EPS is 9c versus 5c last time. Expect sustained performance through H2.
I like a lot here except the 10% or so Spread and it was on my Avoid list for that sole reason. I will move to Neutral and may even actually try and put some orders in here closer to the Bid.
25-Mar-2019 – 122p – £233m – PER 9.4
Trading Update – FY Revenue expected to be ahead with Operating Profit expected to be significantly ahead of market expectations – Due to focus on recurring high margin revenue streams.
Still lots to like here but still really hard to buy with a Spread >10% and Free Float <20%. I try and sneak an order in here (at a decent spread point) now and again but never get filled.