Earthport Share Discussion Threads

[silkstag] 26/10/2016 08:51

£15.8m cash burned in fy16. Only £14.4m left at 30 June 16 so assume £11.4m left at 31 Oct 16. Disaster round on its way.

Management included £8.2m unrealised fx gain in its results, which the company only gets if a customer defaults on contracts. So that gain does NOT belong to EPO. No mention of this £8.2m fx in the commentary. In years it is a loss, management show figures excluding it to say investors shouod ignore it! That inconsistency is deceitful. Reported loss -£8.2m, so would be -£16.4m ignoring the unrealised fx gain.

Forecast was £7.5m profit. Expectation after five downgrades was -£15.5m loss. So sixth downgrade to -£16.4m.

They have also capitalised £2.3m costs by calling them intangible assets. That is really more losses.

Dirty and deceitful presentation of results.
Cash worse than expected. In April 16 management said cash would be £16m +/- £1m. At 30 June it was -£1.6m at £14.4m.
£15.8m cash burned in fy16.
Real loss -£18.7m (after deducting £8.2m client fx and £2 3m costs capitalised as inrangibles).

Yup, by far the worse results in EPO torrid history. But management say it is going great.

DIRTY RESULTS. DIRTY MANAGEMENT. DOOMED.
All imho. Dyor

[larva] 26/10/2016 07:40

Another stinker

-

Operating loss (8,081)

[isaready] 25/10/2016 21:51

silkstag,

you keep saying the same tripe, yes you are correct, OK, so what? This news is in the public domain you twit, its in the price, its not new news is it.

as you say for 6 years, so the price reflects that. Now lets see what they do now, if they need more money, so what, there are loads of companies raising millions in this space, its not criminal, its about the opportunity, not whether they make you happy with dividends.


grow up

[culford] 25/10/2016 10:10

i agree chadders - the key is outlook - will they still get to cash flow break even with a comfortable cash cushion......+ BoA integration.....if good news on these should continue to recover towards the 40p level methinks

[chadders] 25/10/2016 09:38

isaready,

If you click on the financials tab at the top of the page it should tell you which brokers cover EPO. You can add N1+Singer and PG of course.

We'll know tomorrow how healthy the business is. The outlook is the all important part for me as the market has factored in the projected loss methinks.

[isaready] 23/10/2016 10:32

Chadders,

Have the brokers resumed coverage of the stock? I think they have, not sure about any targets though.

Maybe this is the bottom, bottom in terms of bad news, i.e change of strategy, 5 million issue and reduced payout for Bay FX.

From here on, they have to show they are growing revenue whilst maintaining the higher rates of costs. It has to be seen it's gaining traction. The thing is, in this space, banks have interrelationships with Microsoft , Google, Oracle , IBM and Amazon AWS. These services will offer, well MS do, blockchain infrastructure, so its whether what EPO offers becomes integral to the clients or the service providers. Blockchain is one thing, bitcoin is something else.

Lets, see what the results show, but one can hope, sooner or later they can claw back some of the 5 million from the insurance claim and the crook who managed to trick them. I wonder if it was an inside job.


ITS a waste of time.

[chadders] 21/10/2016 16:32

isa, all good and brokers seem a lot more positive recently. Good days for investors to come methinks, but need to be patient and definitely need to ignore the investment advice given by the Troll.

PS. I note it's still reading my posts even though it has supposedly filtered me........ twice!

[isaready] 21/10/2016 11:39

Q.: What can you do to prevent your shares holdings from being shorted?
A: Now what can the average personal investor do to stop their own shares being shorted, as believe me your own broker, if approached, WILL sell your own shares that they hold on your behalf as a nominee account.

There are two things you can do, the first is to certificate them but this is not obviously to everyone’s advantage but the alternative solution is simple. All you do is to phone your broker and put an order in saying that you wish to place your shares for sale at, for arguments sake, double today’s price. As they are 'on order' they cannot be lent out by your broker and in turn you are reducing the amount of 'free shares' out there that can be used for shorting purposes. And don't forget to move your limit order up when the price starts to recover, then, that way your shares can't be shorted - not much but helps :D.

Although an individual personal investor will not normally have enough shares to halt a concerted shorting attack, if a large number of holders did this it would reduce the overall amount of shares that they could get their hands on.

In my opinion well worth doing if not only for the knowledge that your own shares cannot and will not be used in a short attack against the very share that you own.

[isaready] 21/10/2016 08:56

Chadders, all good

[silkstag] 21/10/2016 08:55

EPO FY16 forecast £7.5m profit on £30m turnover. SS expects it will report on 25 Oct about -£18m loss on £22.5m turnover. So about £25m worse p&l than forecast.
Is that the worst profit miss in AiM history, as a percentage of turnover?
Forecasting profit of +25% of turnover but repurting -80%?
EPO MANAGEMENT ARE SO DIRTY THEY ARE DARKLY FUNNY
all imho. dyor.

[chadders] 20/10/2016 20:38

N+1Singer - August 2016.

Earthport’s FY’16 trading update shows further progress in the year and a strong pipeline, underpinning our FY’17 forecasts. Payment volumes grew 73% to over $11bn in the year, with the number of transactions increasing 89% to 6.7m. Momentum built further going into the current fiscal year resulting in an annualised year-end run-rate payment volume of $14.5bn. FY’16 revenue of c.£22.7m and period-end net cash of £14.4m are in-line with expectations. The pipeline is strong, with integration into the core payment processing platform of a top 10 global bank substantially complete.

Trading on just 1.8x FY’17 revenue, the recent share price fall is at odds with the underlying operational performance, leaving the valuation looking highly attractive.

DYOR etc

[isaready] 20/10/2016 18:02

N+1 Singer assumed coverage on shares of Earthport plc (LON:EPO) in a research report sent to investors on Wednesday morning. The firm issued a corporate rating on the stock.


Separately, Shore Capital reiterated a house stock rating on shares of Earthport plc in a report on Tuesday, August 16th.

Earthport plc (LON:EPO) opened at 15.00 on Wednesday. The stock’s 50 day moving average price is GBX 15.40 and its 200 day moving average price is GBX 14.88. The stock’s market capitalization is GBX 70.43 million. Earthport plc has a 1-year low of GBX 11.00 and a 1-year high of GBX 41.25.

[chadders] 20/10/2016 14:01

Yes, the problem is that it's not sustained enough to hold any rise. A couple of weeks back it was 18p after some major buying but within a week it was back down to 14p on precious little volume.

Epo have only themselves to blame as I've mentioned before. It remains for me though a very compelling investment case over the medium term.

[isaready] 20/10/2016 13:41

some buys going on.

[isaready] 20/10/2016 13:13

SilkStag,

Why would they refuse to lend shares? You not thought, it's because there may be a short squeeze you muppet and they know what is coming.

Who cares, you want it to 4p, we want it to 40p, lets see what happens.

Go and put some new tampons on darling.

[silkstag] 20/10/2016 12:50

I am told that apparently, eg on Bloomberg, the stock borrow interest rate is shown as 'n/a' i.e. not applicable as the institutional holders are refusing to lend at any price. That is odd. In the past the institution have always been wiling to lend.

It may be possible to open a small short against a broker's book (eg if they have holders they might allow a client to borrow against that), but the institutions are NOT offering borrow in the market. It seems they are trying to protect the share price from shorting, by thwarting those who realise EPO is grossly over-valued.

This is the first time in over 10 years that anyone has told me that the institutions have refused to lend shares, at any rate. ANOTHER PORTENT OF DOOM! All imho . dyor

[isaready] 20/10/2016 09:11

Chadders, that was so funny. Lolol.

[chadders] 19/10/2016 20:12

LMAO.

477 million shares in circulation, a fair percentage in nominee accounts but there are no shares to lend.....damn I think I'm going to sell all mine tomorrow.

Mind you I understand from a friend of an insider who spoke to my cousin in the pub that they have lots of shares to lend to anyone who wants to short EPO, so I think I'll hang on a bit - phew that was a close shave!

Oh no my phone just rang, it was that friend of the insider who spoke to my cousin in the pub and he's just told me that if anyone does lend some shares to short EPO they will do terribly well and will be able to retire early......so now I'm not so sure. Stick or twist? Definitely another sleepless night.

I know what I'll do, I'll wait until tomorrow for the troll's next pearls of wisdom before I decide what to do because it's clearly well connected and definitely has the inside track.

Troll, you must think everyone is as stupid as you are. What a giggle.

[isaready] 19/10/2016 14:40

Chadders, one could say SS has a point if one decided to look a the negative slant, or we could just look at this and say, the delay was a simple delay, due to the fact they wanted to conclude this piece of work before going back to the market. Negative or not, this had to be done and resolved, which is what they have done.

So, fair enough, they have said, RIGHT, we are only going to pay X for you guys if we lose 5 million. simple as that.

[chadders] 19/10/2016 14:03

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."

Hank Uberoi - 08/16

[chadders] 19/10/2016 08:43

Ha ha what a pillock.

£15.1 million cash and cvr happy to accept shares at 20p.

There's a clue there troll.

Management incentives kick in next year at 40p plus. Wake up and smell the roses!