Dillistone Share Discussion Threads

[battlebus2] 12/2/2016 14:52

Good article by investors champion, the near 5% dividend is a real plus here and as the article points out it should be safe given they mentioned their intentions to maintain a progressive dividend policy.

[battlebus2] 11/2/2016 16:35

Took a few of these so hopefully that corner has been turned...

[tentrader] 04/2/2016 17:55

Good Analyst update - hxxp://brrmedia.co.uk/event/141298/eric-burns-analyst

explains why the corner has been turned

[valhamos] 04/2/2016 11:25

In line with expectations for 2015 and upbeat on outlook. With an attractive dividend yield I added recently under 70p and DSG represents good value at these levels imo.

[dangersimpson2] 20/10/2015 16:01

I'm in 2 minds about this - it is positive that they have bought, but equally chairman buying exactly £100k, CEO £10k and FD £10k all on the same day looks a little co-ordinated. Like the intention is to signal to the market rather than out of a genuine desire to allocate their spare cash to the best investment possible which they view to be their own company.

If they follow it up with more (un-coordinated) buys or increase the dividned it may start to look interesting again. Maybe I'm just hard to please though!

[asagi] 20/10/2015 15:50

dangersimpson2,

You were saying?



Mike Love, Non-Executive Chairman of Dillistone, acquired a total of 126,500 ... at 79p per share; Julie Pomeroy, Finance Director, acquired a total of 12,632 ... at 79.16p per share; and Jason Starr, Chief Executive, acquired a total of 12,632 ...at 79.16p per share.

Following the purchases, each of which took place on 19 October 2015, Mike Love has ... 4.73% of the issued share capital; Julie Pomeroy has ... 0.32% of the issued share capital; and Jason Starr has ... 18.19%

Asagi (no position)

[dangersimpson2] 21/9/2015 11:47

yeah you are probably right, I much prefer companies that don't capitilise development expenditure although this is a bit unrealstic in the software space - even adding back the amortisation the cash goes out again in contingent aqcisition consideration.

My main critique is that they are investing for growth via capitilised expenditure and acquisition but that growth doesn't seem to be appearing in their earnings or cashflow. I guess people who really understand their product and extensive knowledge of their markets may be able to predict that those investments are good and have a high chance of delivering future earnings and cashflow growth. Given that I don't I prefer to see this in the numbers or behavior or insiders - i.e. director buys or large dividend increases/commitments.

[cockerhoop] 18/9/2015 08:59

DS2,

I think you're being a little harsh on Point 2:

They capitalized £464k of development costs in the period but amortized £400k of previous development spend. IMO it's daft to only subtract the capitalized dev costs without adding back the associated amortization.

[dangersimpson2] 16/9/2015 11:41

Think the problem is that:

1. Revenue growth is almost all from acquistion yet to get to their adjusted figures they remove all these costs.

2. If they hadn't capitalised their development expenditure they would barely have made a profit.

So they may be investing for future growth that will materialise but it would seem wise to wait for some sign in either the results or maybe some big director buys before buying. Otherwise you are holding an ex-growth barely profitable company in a cyclical sector. A 4% Dividend increase isn't enough of a signal for me I'm afraid.

[tintin82] 15/5/2015 07:28

Nice hefty director buy, good to see.

[tintin82] 23/4/2015 12:20

Looking really strong here pre results!

[tintin82] 22/4/2015 19:01

Thanks ten. Hopefully all will be well. Nice to see the price stable and not drifting as of late.

[tentrader] 22/4/2015 16:47

Full Year Results On Monday (27th)

There is going to be a webcast with the CEO and FD at 1pm to cover the results. The link is - hxxps://attendee.gotowebinar.com/register/19058201051526913

[zoolook] 04/2/2015 12:03

hxxp://www.stockopedia.com/content/small-cap-value-report-4-feb-2015-pla-xlm-bry-egs-blur-wgb-dsg-91383/

Some commentary from Paul Scottwho who is disgruntled by the illiquidity.

Obviously a nice bounce but still below year high.

Good GARP share which deserves a higher rating

[valhamos] 04/2/2015 08:42

Agreed. Very promising update - the expected improvement in H2 2014 and an uplift in orders across the group. Orders at Dillistone Systems are up 20% with the introduction of FileFinder Anywhere and the largest contract wins in North America and mainland Europe for a number of years looks good for 2015 results. Decent yield to keep us going in the meantime.

[tintin82] 04/2/2015 07:49

Great update, Filefinder delivering. Profitable and generating cash! Happy this morning.

[mg1982] 01/10/2014 11:39

Valhamos - I stand corrected. Thank you.

Will monitor this for a lower entry. One of the quiet shares around.

[tentrader] 30/9/2014 16:39

there is a webinar on Thursday at 11am to expand on the prospects - hxxps://www1.gotomeeting.com/register/490957657

[valhamos] 30/9/2014 16:25

MG1982

I think the RNS is pretty clear:

"The maximum total consideration payable under the agreement is capped at £2,500,000." The FD confirms this in the brrmedia link in the previous post.

So if revenue remains £750,000 for each year of the earn-out period the total consideration will be £1,675,000 plus closing cash adjustment (£750k x 3 years at 30% plus £850k plus £150k)

Obviously increased revenue is expected from the cross-selling opportunities, and no doubt there will be cost savings in due course in addition to the retiring CEO's costs based on ISV's proximity to Voyager.

[tintin82] 30/9/2014 15:13

No concerns regarding the departure from software development, as they say, the opportunity for cross selling will be great and enhance earnings all round.

Good news all round IMO

[mg1982] 30/9/2014 14:28

Valhamos - they have paid 1m now for the business and they will end up paying upto another 2.5m by 2017 = 3.5m