Communisis Share Discussion Threads

[bidmsa] 15/12/2016 10:48

found this article hmrc



HMRC is looking to procure a set of services that will allow us to continue to send and receive paper output but that also enables us to move towards full multi-channel communication, ultimately reducing the volume of paper that we, as an organisation, has to handle.
II.1.5) Estimated total value:
Value excluding VAT (give figures only) : 175,000,000 - GBP

[bidmsa] 15/12/2016 10:34

what is the value of the contract?

[masurenguy] 15/12/2016 09:43

someuwin - thanks for the swift broker updates.

[someuwin] 15/12/2016 09:17

finnCap reiterates Buy recommendation with 65p target.

[someuwin] 15/12/2016 09:14

Liberum Capital reiterates Buy recommendation with 71p target.

[someuwin] 15/12/2016 09:12

These were extremely cheap before today's excellent news.

Now even more of a bargain.

[speedsgh] 15/12/2016 08:36

Is this contract for printed material only? I would assume that printed material volumes will gradually decrease as time goes on? Where I live all documents from the tax authorities are sent digitally so would assume that reducing volumes of printed materials would be part of HMRC's "digital by default" agenda?

[speedsgh] 15/12/2016 08:30

edmund - Watch the mince pies, chap. You seem to be developing multiple chins...
:-)))))))

[masurenguy] 15/12/2016 08:18

Really excellent news - this contract could be significant both in terms of value and also further potential access into other public and government organisations in the future.

Communisis has been awarded the contract for all outbound customer communication by Her Majesty's Revenue and Customs. The Term of the contract is 5 years, consisting of an initial 3 years with the option of a further 2 year extension. Preparatory work has already started as Communisis progresses toward a go-live date in mid-2017. HMRC currently issues in the region of 185m letters each year, and the contract also includes the deployment of document composition technology. Chief Executive Andy Blundell said: "We are very pleased to have been awarded this landmark contract from HMRC. Communisis offered an optimum technology solution, displaying the best understanding of the business requirements. We are excited to be starting this new relationship, in support of HMRC's "digital by default" agenda."

[cheshire man] 15/12/2016 08:16

Very encouraging news this morning for us :-)

[nick rubens] 15/12/2016 08:12

That sounds like a huge deal and could grow further and wider over the years if successfully done and reducing the costly HMRC bill to the taxpayer. The customer is the government here.

[edmundshaw] 15/12/2016 08:10

:-) :-) :-)))))

[zho] 15/12/2016 07:36

>>Would be nice to know the amounts involved ...>>

CMS are a large (the largest?) customer of mail services, and there was something on the old thread about the preferential rates that allows them to negotiate. If they were to get paid the current 2nd class postage rate of 55p for each document, including postage (complete guess) then that would appear to add roughly £102 million to turnover, getting on for 30% of 2015’s revenue. Let's hope they've got their sums right.

Edit: I'm told that 30p might be a better guess. Sounds v cheap, given the size of much of the mail I get from HMRC, but If so, that would add roughly £55m to turnover.

[cwa1] 15/12/2016 07:35

Excellent news, glad to see that-though it looks like plenty of people knew before us mere shareholders judging by the share price performance recently....

[gary1966] 15/12/2016 07:08

Great announcement this morning and I like the use of the word significant. Would be nice to know the amounts involved but sadly know that we won't get that info.

[tudes100] 15/12/2016 07:07

looks like we might finally get some traction, perhaps explains the buying over the last 10 days

[edmundshaw] 14/12/2016 10:20

Still the wrong side of 50p, but getting there...

[cheshire man] 14/12/2016 09:28

Moving up a little every day now :-)

[rickyvader] 13/12/2016 12:02

Big holding Increase today. Good to see

[dahhad] 12/12/2016 16:40

speedsgh; if only!!

[speedsgh] 12/12/2016 11:48

Impressive stuff. Just need to make sure you're on the right side of the trade when he switches his position. Maybe a takeover might be the perfect outcome for all?

[masurenguy] 12/12/2016 10:55

Yes, he has invested another circa £875K and added a further 2.4m shares over the past 3 weeks.

[zho] 12/12/2016 10:38

Richard Griffiths over 18%

[alter ego] 09/12/2016 16:08

Well said Masurenguy. Just look at Lavendon LVD which has languished, unloved for the last year despite positive trading updates. Suddenly true value has been recognised by an opportunist bidder and the share price is now close to 10% above the bidders meagre offer. Pessimism soon evaporates once its spell is broken.

[masurenguy] 09/12/2016 15:25

"I'm not going to take up your precious bullish ramping love Blundell space with your bullish pals, but sometimes things DO need to be said and so shall that remain."

There is no "bullish ramping" here nor is this a "love Blundell" space either. The shareprice has been languishing over the past two years for various reasons but the value metrics still remain positive. Sentiment drives a shareprice in the short term but in the longer term value will normally be outed.

As Warren Buffet once remarked: “The most common cause of low prices is pessimism—some times pervasive, some times specific to a company or industry. We want to do business in such an environment, not because we like pessimism but because we like the prices it produces. It’s optimism that is the enemy of the rational buyer.”