Earthport Share Discussion Threads

[chadders] 10/10/2016 17:03

Some of the growth flagged up by Earthport,

European Markets:
-- Gaining traction with European-based global Banks:
-- Experiencing increasing transaction volumes and multiple engagements with existing clients

Enhanced product offerings and payment methods (i.e. Distributed Ledger "DL", Faster Payments etc.)

Ripple peer-to-peer remittance application launched April 2016, a global first using DL technology for live transactions in fiat currency for a large European Bank

Large eCommerce provider now live in three markets and already a top five client by volume. Additional markets in discussion
-- Commenced transactions on behalf of two new top five global Money Transfer Organisations

Extending to new market segments: Recent contract with leading global travel booking portal currently in implementation

North American Market - Mining existing clients and targeted strategic opportunities:

Substantially completed integration of a current clients's core payment processing platform into Earthport's network. This is a top 10 global Bank
-- Commenced transactions on behalf of two other North American Banks

Increasing transaction volumes from one of the fastest growing eCommerce payment platforms:
-- Anticipated grant of state licensing in North America will accelerate growth in this sector


Emerging Markets - Unique opportunity leveraging our access into network countries:
-- Contracted with major Japanese Bank to process payments to six countries

Israel: Contracted with three out of the four major Money Transfer Organisations - two are live, with the third currently in implementation
-- Signed MOUs with major Banks in India, Indonesia and other markets

Engaged with Regulators in multiple countries, expecting approvals in key Asian markets to originate 'out-bound' business

Deal pipeline consists of Banks from over 10 new countries across the region

[silkstag] 10/10/2016 15:02

Double previous record loss at -£18m would see Earthtanic plummeting into the depths of 4p and multiple disaster rounds. Bye bye. Imho. Dyor

[chadders] 10/10/2016 09:06

Appear to be accelerating very nicely now. Annualised numbers previously mentioned could be dsignificantly higher methinks.
Plenty of cash, cash generating and investing for the future. I'm an investor so DYOR.

[silkstag] 10/10/2016 08:51

Instead of its late results the market gets another immaterial non-regulatory rns about partnering in certain markets (unnamed). Are they disaster fundraising now as already not a going concern? Oh dear!
All imho. Dyor

[silkstag] 07/10/2016 08:37

The later the fy16 results the more trouble EPO has persuading the auditors it is still a 'going concern' due to wild losses burning cash. Ouch! Imho

[isaready] 06/10/2016 13:04

some trades, nothing major, but we can expect at some point the results to be issued soon.

[chadders] 05/10/2016 14:52

Growing very nicely,

Annualised year-end run-rate of 8.5 million transactions and $14.5 billion in payment volume
-- Executed payments in over 180 destination countries, in 54 currencies
-- Average revenue per transaction of GBP3.12

Notable growth to the global footprint and aGerman clearing bank in the pipeline which could be big. June a record month for transactions so the annualised number could be very conservative..

I'm an investor so DYOR.

[silkstag] 05/10/2016 10:19

22-9-15 epo alerted fy15 results would be out 29-9-15 and they were. Turnover growth to £19.3m but hideous loss of -£8.7m, falling -£9.2m below forecast.

13 days late and counting for fy16 and no hint from nanagement. Late lousy numbers? Maybe trying to con investors with some vapid puff from sibos to distract from horror?

After 5 late downgrades, market expects fy16 turnover growth slowed to £23m (not forecast £30m) and a record -£15.5m reported loss (not forecast £7.5m profit), more than 50% worse than the previous record loss.

SS expects a 6th downgrade for fy16 to turnover £22m and -£18m loss, so double the previous epo record loss. Missing forecast profit by -£25.5m.

There is a special place in hell for arogant deceitful profligate management who repeatedly blow shareholders to bits and lie about how great they are doing. They each have a reserved unlubricated red-hot spike to swivel on for eternity.

Posters and institutional holders who further dupe and damage small holders by supporting management don't have a spike but do have to lick the sweat off impaled management nutsacks for eternity.

So posters (and any institutions reading this eg Oppenheimer, IFC, Blackrock, Schroders) , for your personal judgment day file, if you suck up to management again now, you will be cleaning Uberoi and team's molten bits forever in hell ... 'demonic nutlickers'!!!

Those two words will forever preface your name on this thread. The AGM vote on some of management will seal institutional reputations.

MANDATORY SELL OR GO TO HELL!
all imho dyor

[chadders] 04/10/2016 15:39

The true growth opportunity for this business is now beginning to be realised - Hank Uberoi

[isaready] 04/10/2016 10:53

sorry Silkshag, are you addressing anyone?

[silkstag] 04/10/2016 10:19

Still no rns that fy16 are to be issued in a week. Management don't seem proud of the numbers! If it is double the worst previous loss in EPO dire history then they are right to be deeply ashamed. Maybe the board is split on the lies management wish to tell in the commentary?
MANDATORY SELL. EARTHTANIC IS LURCHING AND SOON TO PLUMMET INTO DEPTHS TO 4P DISASTER ROUNDS.
all imho. Dyor

[chadders] 03/10/2016 17:16

Yep, happy to hold and add as and when.

[isaready] 03/10/2016 16:22

Chadders,

To me it certainly does not look like they are going down the pan.

Silkshag seems to ignore the positive points, but also ignores a lot of news is in the price ( negative news that is) from previous change in strategy.

Still let's see what happens.

[chadders] 03/10/2016 15:58

From the trading update (not some emotional rant). My comments in brackets.

Revenues of approximately GBP22.7 million, up 18%

Transactional revenues comprised approximately 90% of total revenue

Adjusted gross profit of GBP16.2 million

Impacted by elevated transaction costs related to ongoing improvements of the Earthport network (strategic investment)

Cash balance at FY16 year-end of approximately GBP14.4 million. Includes the loss from the alleged fraud incident (i.e assumes worst case of no recovery)

Payment volume increased to more than $11 billion, 73% increase versus prior fiscal year (that's serious growth)

Record number of transactions at 6.7 million, 89% increase versus prior fiscal year (that's serious growth)

June 2016 set a record for number of transactions processed in the month (growth is continuing)

Annualised year-end run-rate of 8.5 million transactions and $14.5 billion in payment volume
-- Executed payments in over 180 destination countries, in 54 currencies
-- Average revenue per transaction of GBP3.12

o Diversified Growth Prospects on Multiple Fronts

Controlled expansion strategy anchored in 'proof-points' informs investment across all regions (prudent strategic investment)

European Markets:
-- Gaining traction with European-based global Banks:
-- Experiencing increasing transaction volumes and multiple engagements with existing clients (continuing to grow)

Enhanced product offerings and payment methods (i.e. Distributed Ledger "DL", Faster Payments etc.) (expanding portfolio)

Ripple peer-to-peer remittance application launched April 2016, a global first using DL technology for live transactions in fiat currency for a large European Bank (leading edge technology)

Large eCommerce provider now live in three markets and already a top five client by volume. Additional markets in discussion
-- Commenced transactions on behalf of two new top five global Money Transfer Organisations (sounds like more growth to me)

Extending to new market segments: Recent contract with leading global travel booking portal currently in implementation (sounds like more growth to me)

North American Market - Mining existing clients and targeted strategic opportunities:

Substantially completed integration of a current clients's core payment processing platform into Earthport's network. This is a top 10 global Bank
-- Commenced transactions on behalf of two other North American Banks (more growth)

Increasing transaction volumes from one of the fastest growing eCommerce payment platforms:
-- Anticipated grant of state licensing in North America will accelerate growth in this sector (more opportunity)

Emerging Markets - Unique opportunity leveraging our access into network countries:
-- Contracted with major Japanese Bank to process payments to six countries (more growth)

Israel: Contracted with three out of the four major Money Transfer Organisations - two are live, with the third currently in implementation
-- Signed MOUs with major Banks in India, Indonesia and other markets (more growth - sorry it's getting a bit repetitive)

-- Engaged with Regulators in multiple countries, expecting approvals in key Asian markets to originate 'out-bound' business
-- Deal pipeline consists of Banks from over 10 new countries across the region (more opportunity)

EarthportFX:

Earthport subsidiary, Baydonhill, rebranded and relaunched as EarthportFX, aligning the business with Earthport's core model, and expanding its services to corporate clients
-- Further integration of FX capability into the broader Earthport payment offering (growing portfolio)

Advancement of DL Strategy:

Earthport Ripple gateway partnership announced August 2015 and Earthport Distributed Ledger Hub for multiple ledgers announced January 2016. This is planned to provide connectivity to additional DL's as they emerge, all available via a single connection to Earthport

In April 2016, Earthport executed the first cross-border transaction via DL by a major financial Institution on behalf of a large European Bank (big opportunity)

Summary: (Uberoi)

Earthport is uniquely positioned to service the cross-border payments of clients across several industry segments, including Banks, Money Transfer Organisations, sharing economy companies and eCommerce businesses.

Market recognition of our brand and broad acceptance of the model is accelerating.

Growing transaction volumes, both from existing clients and from newly implemented customers, demonstrate the strength of the product and the Company's capacity to successfully process and sustain this growth is a testament to the business' scalability.

Recent investments in Asia-focused expansion are showing encouraging early results. As the business continues to scale over the next few years, the Earthport network will add further value via access to more diversified payment methods and destination geographies.

Earthport will continue to invest in client acquisition across select geographies while remaining focused on achieving the short term operational and financial goals shared at the Capital Markets Day on 27 April 2016 - namely, prudent management of Company cash resources, targeted cash break-even during the second half of fiscal year 2017, and positive cash generation thereafter.

Hank Uberoi, CEO Earthport plc commented: "....we are pleased with the continued and growing acceptance of the Earthport Payment Network as a valuable and innovative solution in the multi-trillion dollar cross-border payments market. Our roster of active clients - which includes global banks in multiple geographies, some of the fastest growing eCommerce companies, and the largest money transfer organisations - demonstrate the uniqueness of our market position and universality of our product.

We are seeing new demand for our offering as our existing clients continue to grow their use of our network into complementary areas of their business. Our proven product offering, highly respected compliance processes, world-class customer base and experienced leadership team have placed us in a unique position in the world of cross-border payments.

"The true growth opportunity for this business is now beginning to be realised."

DYOR

[makercreator] 30/9/2016 11:44

I see SilkShag taking it hard

[chadders] 30/9/2016 09:47

Humble or honest? Neither fit the bill and all very sad to witness.

Still giving investment advice I see which is foolhardy for someone that can't distinguish between operational cash burn and strategic investment for growth.

[caradog] 30/9/2016 07:44

Love the parentheses around the h in imho. :-)

[tradertrev] 29/9/2016 15:32

SS quote at 12369 "I hate management teams who cynically breach AiM rules by peddling and leaving in the market false expectations long after they know they are wildly inflated. Well spotted. I hate them conning honest investors into taking a risk they had no idea they were taking."

Interesting that in the past 2 years SS has never posted critical comment on the management of any other AIM company at all despite many far more egregious examples of management lies over that period. (There were a couple of sweeping comments about RBD which didn't mention management.)

So this is clearly personal and nothing to do with a general battle with "management teams who cynically breach AiM rules by peddling and leaving in the market false expectations long after they know they are wildly inflated"

[makercreator] 29/9/2016 14:04

Chadders, ah that explains it all, if she lost a lot of money, shame indeed. Did you SilkStag?

[makercreator] 29/9/2016 14:03

SilkStag,

Would you mind answering the questions I have asked?

This is to just to confirm your actual view SilkStag. There is no point posting if you fail to have a conversation with no one. It's like talking to the mirror. Is that what you want?


So all in all you are speculating the company will crash and burn in 5-10 months time and during this time, 5-10 months time that is, they will do a disaster fund raising exercise at 4p and consolidate the shares.? I just want to clarify what you are saying. From Oct 16 to July 17 is when this will all happen. If so, do confirm. Sorry for checking on this since your posts are a tad repetitive, a tad lonely and bitter. I can't see anyone chatting to you, must be the perfume you are wearing.

We can then sit and see what happens as it's clear a while back, you did say did you not they would crash to 11p and raise funds at 11p around now. It seems no, you have changed the goal posts and added another 10 months.

Do confirm.

[silkstag] 29/9/2016 12:04

You say FY16 forecasting £7.5m profit on £30m turnover but delivering -£18m loss (or worse) on £22m (or less) turnover can be lied away as a 'change in strategy'? Hilarious!

Management chose to grow FY16 turnover only £2.7m not £10.7m! They chose to incur a loss -£25.5m worse than forecast! Good decisions, yeah!
Or maybe the wheels came off and they have tried to cover it up? Readers can decide.

Only -£15.5m loss on £23m turnover is partly priced in as market expectation. Retail investors can't see those numbers so losses of this scale will likely shock the market. And if SS expectation furst posted ages ago is right they will be even worse. So worse market trauma.

I hate management teams who cynically breach AiM rules by peddling and leaving in the market false expectations long after they know they are wildly inflated. Well spotted. I hate them conning honest investors into taking a risk they had no idea they were taking. Mea culpable.

MANDATORY SELL. Heading for 4p and disaster funding.
all imho. Dyor

[chadders] 29/9/2016 11:41

MC, she was just as emotionally attached to EPO when she was a raging bull a while back. Got absolutely wiped out then and has had no position in EPO since, but unlike most people it can't let it go and move on. Blames everyone but herself, rather sad really.

Her posts these days are quite tame compared to 6 months ago.