Avanti Communications Share Discussion Threads

[elrico] 03/3/2016 17:54

Red flags ahoy - But could be ligit...

10.
Monitor Companies that Report Revenues as Part of Cross Company Payments
The investor needs to keep a close eye on companies that become involved in deals in which the company
in question receives revenues in the current period but must provide some sort of service or equipment to
the counter party sometime in the future. Here are comments on the subject by Mr. Lynn Turner:
“In today's markets, the revenues companies report so
metimes drive their market capitalization. As a result,
there is increased focus and attention on how revenu
e transactions are measured and classified in the
financial statements. At the same time, companies are increasingly entering into strategic alliances, joint
ventures, cross licensing and cross ownership agreements. Often more than one type of these agreements
are negotiated and entered into simultaneously. As
such, the agreements are complex, and it may be
difficult, if not impossible to distinguish and reliably measure the fair values of the separate elements of the
contracts.”
10
“For example, a company may simultaneously ne
gotiate and enter into an agreement to:
•
Pay an upfront technology fee to obtain technology and related services from another entity for an
extended period of time,
•
Provide the other entity access to its technology through an annual licensing arrangement with a term of several years, and
•
Permit access to each respective company's membersh
ip base, based on a per member click or
usage fee.”

13.
Any Company That Uses Earnin
gs Before Interest, Taxes,
Depreciation and Amortization
(EBITDA) to Measure Performance
Why does this item raise an accounting red flag? I think Mr. Warren Buffett said it best in his 2000
Berkshire Hathaway Annual Report:
“When Charlie and I read reports, we have no interest in pictures of personnel, plants or products.
References to EBITDA make us shudder

does management think the tooth fairy pays for capital expenditures? We’re very suspicious of accounting methodology that is vague or unclear, since too often
that means management wishes to hide something.



....

Hesitancy, evasiveness, and/or lack of specifies from management or auditors regarding questions about the financial statements

Unusual balance sheet changes, or changes in trends or important financial statement relationship – for example receivables growing faster than revenues, or accounts payable that keep getting delayed.

Accounting methods that appear to favour form over substance.

Frequent and significant changes in estimates for no apparent reasons, increasing or decreasing reported earnings.

[michaelmouse] 03/3/2016 15:59

elrico - Get a mind of your own, and stop blindly following your pin-up boy.

[elrico] 03/3/2016 15:57

Chriscallen - normally I would agree, but in context to the following would you not agree there be a whiff of suspicion.



and

[chriscallen] 03/3/2016 15:06

Elrico, I'm sorry but I don't see the link between creating subsidiary companies of AVN and creative accounting. If that were the case almost no quoted company in the UK would be a safe investment. Putting new ventures into a ring fenced subsidiary is a standard legal practice to prevent claims by third parties against other companies in the group... it would be gross negligence not to do so.

[cocker] 03/3/2016 12:22

Elrico, there is no point engaging in dialect with Mickey Mouse as he suffers with aspergers

[nugacity] 03/3/2016 11:45

FFS! Go the whole hog and have the operation ... you'll make a wonderful stereotypical wife!

[elrico] 03/3/2016 09:20

Michalmouse - so significant minimal impact on the share price because the CEO keeps pulling the same rabbit out of the hat.Again, where are the numbers?

[elrico] 03/3/2016 09:16

No Chris they are red flags for creative accounting.

[michaelmouse] 03/3/2016 07:33

There's another contract win on the website which makes three announced in the past week:-



Interesting comment:-

"Matthew O'Connor, Chief Operating Officer at Avanti, said: “We are delighted that Melcom has chosen Avanti to deliver its broadband services across such a challenging sector. Following recent changes in the supply structure in Europe we have noted a significant increase of customers moving their business to Avanti.”"

[chriscallen] 03/3/2016 07:09

Let's name the companies tin which David Williams has recently registered a directorship:

AVANTI COMMUNICATIONS AFRICA INFRASTRUCTURE 2 LIMITED (09996173)

Company statusActive Correspondence addressCobham House, 20 Black Friars Lane, London, United Kingdom, EC4V 6EB
Role Director Appointed on9 February 2016
AVANTI COMMUNICATIONS AFRICA INFRASTRUCTURE 1 LIMITED (09995872)

Company statusActive Correspondence addressCobham House, 20 Black Friars Lane, London, United Kingdom, EC4V 6EB
RoleDirector Appointed on9 February 2016
AVANTI COMMUNICATIONS AFRICA INFRASTRUCTURE LIMITED (09995469)

Company statusActive Correspondence addressCobham House, 20 Black Friars Lane, London, United Kingdom, EC4V 6EB
RoleDirector Appointed on9 February 2016
NationalityBritish Country of residenceUnited Kingdom OccupationDirector


Could it be that they are subsidiaries of AVN and are a sign that business is picking up?

[elrico] 03/3/2016 00:20

michaelmouse - May respectfully suggest you do do some research on OPTI. Pay particular attention to the board, it's made up with people with a proven track record, respected scientists, specialists in a new and exciting health sector that is gathering pace. C85K PM cash burn with 4.5m in the bank with JV partners is every field, thus R&D tab picked up by partners. P&G deal to be announced for cholesterol and hypertension market. So, then chance of OPTI ever seeing 60p again is as likely as AVN seeing 250p ever. Oh, and guess what, you are wrong again, they do have revenues, just not the ones I’m invested in for. I have been in since 17p and happy to hold for c5 years, probably longer than AVN will be around. With your lurking, you may have picked up on some negative vibes while some of us wait for the blockbuster announcement, which has been imminent since bloody November, but hey, I know it will be worth it. So, please, do watch with interest.

I am not going to advise you to sell AVN and buy OPTI, because I’m thick and your smart, so I will just wish you well and that is a sincere wish.

[elrico] 03/3/2016 00:01

That's the your problem right there michaelmouse, you said it yourself, with "minimal research."

I've had a few colourful description in my time, but TW's wife, that’s a new one, so well done for originality. As for being thick, I'm short, your long, you're being duped by some fat Welsh git and I'm happy to believe a southern softie, I'm in the money, your clearly not...I'm happy to be thick.

Now, if you cannot see you are being dupe with creative accounting and highly suspicious new companies being listed at companies house and none of this is deemed suspicious to you, then I suggest you need to ask if this investment lark is for you? How many red flags do you need?

Some of you need to stop making this about TW/SP and remove your emotions, some people are actually trying to assist the private investor and steer them away from the cronie sharks.

[michaelmouse] 02/3/2016 21:08

Oh just for the record they mention OPTI as a success. Please note another relatively new issue. Yes it has risen spectacularly from 8p to around 70p. I don't know much about the company, although I notice it has a market cap. of £56m and zero revenues. Ummm. I am watching with interest. On the face of it, it could be a balloon which is about to pop, and I wouldn't be surprised to see 8p again. Anyway, I haven't researched the company in detail but will remain an interested observer.

[michaelmouse] 02/3/2016 20:58

elrico - I hope that you're TW's wife and not really that thick?

As I keep saying, those who can do and those who can't become share tipsters.

I haven't got the time or inclination to follow a c*ap website such as shareprophets and I certainly won't register because I can live without the spam thanks very much.

However, with minimal research I'll illustrate what goes on, it's not difficult even for the hard of thinking.

Go to their home page (you don't need to register) and you'll see that they are currently trying to ramp Frontier Resources. BUY at up to 0.075p. Keep that price in your head.



Read the thread above. Yes that's right. Shareprophets were pumping the same rubbish when it was 5p. Yes 5p. That's a 98.5% loss.

This was another of their classic quotes, "With some form of background seller at 5p almost out, I'd say it’s a matter of time before the Share price corrects and on this basis recommend a speculative buy."

With the shares now at 0.075p, the ramping has started again. No doubt they will take credit if the price rises from here. Ignoring the fact that it will have to 66 bag just to get back to their original BUY recommendation.

R4E is another they tipped at 4.5p. Currently 1.6p.

They tend to pump up new issues or shares that have just undergone a funding round. Do you get it yet? Have a guess.

Lastly, if you're tipping (buys or sells) at least one company every day (or every week come to that) over time you're bound to get around 50% correct through simple probability.

No wonder he runs a bulletin board "Moron of the week caption". The morons are those who really are too blind to see how they make their money.

I'm totally gobsmacked that people are stupid enough to register on their website and attend their meetings.

My advice is to buy a book by written by a great investor e.g Peter Lynch, Ben Graham etc. and follow their advice and investing style. These guys have proven track records. Tipsters are usually failed investors trying to scape together a living.

[elrico] 02/3/2016 14:27

Michaelmouse - I am not here to defend anyone but I really cannot abide deceivers and liars in any walk of life. You have set out to deceive readers here at the cost of another’s professional reputation, I am sure in your moral wprld this is fair and just. I have no affiliation with TW and or share price other than I read some of their articles as crude as some of them are. That said, you have deliberately chosen one company to assist you in deceiving others here. What you fail to do is explain why there was a change of stance from a buy to a short tack. You have dressed it up as to suggest anyone following either advice to buy or sell short would have lost money, when clearly this is a deception on your part. You fail to appreciate the authors admit they got the buy wrong and their explanation for the change in stance, it takes courage to admit when you have it wrong.

You also fail to highlight the numerous frauds the site has uncovered saving countless funds should anyone have heeded the warnings. For every one that you suggest TW/SP have got wrong, I could name you GLOBO, QPP, MONI, AFR, ROSE, PHE, BPR, AVN, AFG, SGH, EDEN, AFPO and I have not listed the numerous China frauds that are unravelling. I held both PHE and ROSE when they attacked them but unlike you I had the good sense to remove my emotions and look again and save a lot of money.

Do you think people do not check? I suspect you have done more harm to yourself than TW/SP.

[nugacity] 01/3/2016 18:27

50 viewers here sounds a little short?
Very few seem to comment which is a terrible shame because the ADVFN bulletin boards are the most user friendly of the 3 boards I view. It bookmarks your last view and upon your return you have the new ones in chronological order - Pa Larkin might say perfick! Unfortunately , it all too often shows nothing viewed since last time.

[elrico] 01/3/2016 15:07

were any numbers released with the latest contract? no of course not.

Spot on hpcg but it won't stop people trying to have their say. Untimately, we are all just tin cans rolling down a cobbled street trying to make ourselves heard over a howling wind.

[weatherman] 01/3/2016 12:19

Developing capacity restraints in Europe amongst competitors. Satellites don't get built and go up overnight.