Bus.Sys.Grp Share Discussion Threads

[patviera] 15/6/2006 08:49

hugepants....you are now exactly right...v limited downside but no upside till things improve.i think the contract was so large that it paid for a lot of costs in the business.

[hugepants] 15/6/2006 08:24

Pat,

I can almost see the grin on your face :)

Seriously though this is quite an odd company when the loss of such a relatively small contract can turn the company loss-making. I wonder they are talking about an operating loss or if you include the interest will company still be profitable? They also say loss-making in the short-term. Does this mean a few months or the whole year.

Also doubling H1 profit to get a FY profit clearly doesnt apply in this case!

But there shouldnt be much downside if the company are happy to buy 4.8m shares at 12.25p. Also a decent dividend of 0.3p payable. Just means there is limited upside potential in the short term at least.

[patviera] 15/6/2006 07:14

hugepants..read results..loss forecast...contract was huge..what a shame..things were looking up!!

[hugepants] 13/6/2006 14:07

Pat

Out of interest do you know how much effect this contract loss will have?

BSG should do around 1M pre-tax profit this year. Around 0.4M will be on interest on cash and 0.6M operating profit. I just wonder how much effect losing a 2M per annum contract can have on a business with 35M in revenues? Even if you halve operating profit to 0.3M then BSG should still do say 0.7M next year. But they also say the expect to be able to compensate for the loss of this contract in other ways. So its not clear and Im personally not worried. The 9M or so cash (versus 10M market cap) protects the downside.

[patviera] 13/6/2006 14:02

hugepants...im sure the figs will be fine...its next years that the market is expecting to be weak.you will find that the loss of contract is very bad news.

[hugepants] 11/6/2006 22:10

Results out this Thursday (15th) according to the website

[diku] 06/6/2006 23:15

I think they bought the shares just prior to the start of the close period...

[mctmct] 06/6/2006 10:20

Just for my education: why is a company allowed to buy its own shares during the close period before results? Why isn't that insider trading? The buyer clearly knows more about the forthcoming results than the seller does.

[hugepants] 02/6/2006 15:29

pat,
I think the business will still be profitable excluding interest on cash. We should know more soon. Results are out mid-June sometime. So just a couple of weeks to wait.
The contract is only worth a couple of million on a turnover of 30 million so its not obvious how much impact losing it will have yet. The signficant buying by the company of its own shares suggests the near 30% price drop is overdone.

[patviera] 21/5/2006 18:20

hugepants...you are dreaming..if they make 1.1p this last year and they are about to lose biggest contract then they sure aint going to make anywhere near 1.1p for 07...id settle for 0.5p...you ask a broker...ure ramping mate...i wish u were right.

[hugepants] 18/5/2006 20:58

Nice try pat but you wont stop me ramping.
These forecasts were made after the trading statement. Do you know what they were before the trading statement? Maybe they were forecast to make 1.6p eps.

[patviera] 18/5/2006 20:03

huge pants...07 is wrong..they have lost largest contract so any money made will be a good achievement...also if company didnt buy any stock back at zero enterprise value that wouldnt be a vote of confidence

[hugepants] 15/5/2006 15:06

A small discussion elsewhere;

[hugepants] 14/5/2006 13:31

Its a massive vote of confidence that the company has bought back 7% of its share capital in the last few weeks. There cant be many (any?) companies that hold 7% of their own shares.

[patviera] 05/5/2006 21:54

trading at cash..surely nick will have a trick or two up his sleeve with over 50 pct of shares..just need to make a profit and shares will rise

[hugepants] 05/5/2006 15:32

More large trades going through now.

[latifs100] 21/4/2006 12:06

is it been taken over.. mbo.. give us the cash?

[hugepants] 07/4/2006 09:03

More share buybacks - 5.3M at 12.25p. Thats about 6% of the company I think

[bexmatt] 06/4/2006 17:21

check this out for a bit of fun:

nice stuff actually.

[hugepants] 06/4/2006 17:20

humungeous trades today. Over 15M shares

[latifs100] 05/4/2006 18:51

finally, some movement today

[latifs100] 04/4/2006 11:33

more company purchase today.. but no movement in share price.. decisions, decisions

[hugepants] 16/3/2006 16:19

I expect share price to recover to around 15p in the next few months

[johnnyad] 08/3/2006 16:00

Latifs

wish I knew, but can't help thinking management are going all guns blazing to replace lost contract and who knows whether they will pull it off.

If so, yes 20p, particularly as they are pulling in cash loads. And if they continue buying back shares rather than acquisitions, pretty soon.

Thay have done ok turning this around, in my view, and deserve some time to get back on the rails after their recent shock.

AIMHO, DYOR

J