ADVFN Logo

We could not find any results for:
Make sure your spelling is correct or try broadening your search.

Trending Now

Toplists

It looks like you aren't logged in.
Click the button below to log in and view your recent history.

Hot Features

Registration Strip Icon for charts Register for streaming realtime charts, analysis tools, and prices.

EGS EG Solutions

112.125
0.00 (0.00%)
28 Mar 2024 - Closed
Delayed by 15 minutes
Share Name Share Symbol Market Type Share ISIN Share Description
EG Solutions LSE:EGS London Ordinary Share GB00B07XR777 ORD 1P
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  0.00 0.00% 112.125 - 0.00 00:00:00
Industry Sector Turnover Profit EPS - Basic PE Ratio Market Cap
0 0 N/A 0

Eg Solutions Share Discussion Threads

Showing 23126 to 23149 of 23325 messages
Chat Pages: 933  932  931  930  929  928  927  926  925  924  923  922  Older
DateSubjectAuthorDiscuss
04/11/2014
13:24
CEO Elizabeth Gooch is presenting at the Proactive Investor Forum on 20th November. To register click here:
aim_trader
16/10/2014
09:18
You lot still here, anybody know what happened to scratch and sniff.
Regards
Finmac

finmac
17/9/2014
09:17
Hot views;

eg Solutions goes positive on all metrics in H1


Angela Eager, 09:12, 17 September 2014


As indicated in its trading update earlier this year (see here), back office optimisation provider eg Solutions is undergoing quite a turnaround and today's H1 results (for the six months to 31 July 2014) confirm it, with every metric heading in the right direction.

The roll call of metrics includes revenue up 78% to £3.9m while the loss of the year ago period has been converted into a small but satisfying profit before tax of £0.6m. Gross margin is also up (74% vs. 64%) as is cash (£0.8m vs. £0.4m). There were nine contracts with new and existing customers, indicating demand for eg's offerings. A major contract was signed after the period end which will deliver £0.6m this year, plus additional revenue in subsequent years.

The company has not completed its turnaround, and performance is weighted towards H1 so there will be pressure on H2 to meet full year expectations, but the first part of the year has gone well and management says the start of H2 has too. With enterprises focussed on the front office and the customer experience, the challenge for eg is creating a convincing link between back office optimisation and customer experience improvement that will resonate with the new buyers/influencers and influencers, namely line of business managers. We will be meeting with eg Solutions soon and will be able to do a deep dive into its prospects and the developments in the back office optimisation market.

oregano
17/9/2014
08:03
From Megabyte;

Breakout year for eg solutions?

Back office optimisation software vendor eg solutions has delivered a markedly improved performance in its first half to July. Revenues jumped by nearly 80% to £4m and eg returned to a meaningful level of profit. We have long felt that the company is subscale and would struggle to compete over the long term, but could this be the long-awaited break-out year for eg solutions?

Listed on AIM with a market cap of £12m, eg solutions provides back office optimisation solutions primarily into call centres in the financial services sector. eg’s applications provide operation management information in back office scenarios designed to enable streamlined processes and reduced costs.
Revenue for the six months to July jumped by 80% to £4m and the company reported an EBITDA profit of £1.1m. The growth was driven in part by a £1.2m contract, half of which was recognised in the first half. Cash conversion was respectable, given the growth profile, with £0.7m generated at the operating level. However, with £0.3m of capitalised R&D, only £0.3m of the EBITDA was converted to net cash. Gross cash at the period end was £0.8m and the company has £0.6m in convertible loan notes.

First thoughts
eg solutions has been generating around £5m in annual revenues since Noah was a lad, so this is potentially a game-changing set of results for the company. However, one swallow does not a summer make and the key now will be sustainability. To our mind, eg is still too dependent on a small number of large licence fees which makes predicting future growth and profitability very difficult. However, if it can continue to land new deals and build its recurring revenue base, then it may be able to reach critical mass.

After many years of disappointment, investors have been understandably cautious about rewarding eg’s renewed growth with superior share price performance. But if the company can string together another few periods of growth like this one, then it may just start to look like the growth company it has always claimed to be.

oregano
17/9/2014
06:14
Happy to be holding...

-- Strong first half delivering against our strategy with 78% revenue growth
-- Major turnaround to profit before tax of GBP0.6m for the half year (FY 2013/14: (GBP1.4m))
-- Net cash generated from operations of GBP0.7m (2013: outflow of GBP0.1m)
-- Gross cash of GBP0.8m

Operational Highlights

-- Nine contract wins from new and existing customers demonstrating strong momentum in the market for eg's product suite

-- Forward order book of GBP13m of recurring and repeat contracts (due over the next three to four years) underpins future revenue base

-- Strengthened Board structure following the appointment of Duncan McIntyre, John Brougham and Mark Brady

-- Continued investment to secure and support global customer wins

playful
16/9/2014
14:29
Results tomorrow...
playful
04/9/2014
13:18
Good spot, interims on the 17th might slightly constrain her but she has every reason to be bullish.
oregano
03/9/2014
17:05
That is most reassuring, a CEO taking a pay cut demonstrates the commitment I previously referred to. I have high hopes for this little company...
playful
03/9/2014
15:31
Playful, as will become apparent over time, she took a paycut to improve performance. this should be demonstrated in improved profitability in the forthcoming numbers.
oregano
03/9/2014
13:00
I think this could be something special and whilst the CEO pay is very high I think on this occasion it may be merited to some degree, if you take into account the commitment she has shown to grow and protect the business:
playful
27/8/2014
10:01
PS. Looking at the financial numbers mentioned in the TS, i have
not seen this £13m forward order book before, which includes
recurring revenues and licenses. In the context of annual revenues
around the £6m mark, that is quite reassuring. And it will be
a useful benchmark. They have previously referred to a £25m
pipeline from memory.

also credit is due for that H1 performance, £4m of revenues
against £2.2m last year. They seem to have some good sales
momentum.

oregano
27/8/2014
09:02
Smithie / Beet.

I haven't read all your posts but a few things to bear in mind.

1) PWC did a remuneration review which EGS accepted in full. We
will see the impact in their next annual report, and in their
numbers. This will surely recommend Gooch takes a salary in line
with peers, ie some £200k lower. Hopefully why she sold some
shares to Herald, needs the cash. And in my view, if she is looking
for an out, her wealth will be increased more by appreciating share
value than increasing her salary. hence the EBTs.

2) Gooch is integral to the company, not my cup of tea but she
understands it from the bottom up, which is why the last CEO didn't
work. I don;t think she is an "acting" MS. EGS is as much a process
as software company, not that sophisticated.

3) Their customers love them, I have spoken to a few. churn is not
much of an issue. These are big customers they are winning. the
most recent announcement probably Capita, although better if
someone else as Capita were already a customer.

4) Newsflow is clearly going to remain good so hold on. There is
currently no PI interest here.

5) Herald buying shares is significant in my view, going straight
to 6%. they don't need to buy companies this small as essentially
they are a tech tracker.

oregano
21/8/2014
17:23
beethoven

after looking at the past history....
I think that one thing is clear to me, imho
and that is that EGS needs imo an MD with experience of taking a co. from obtaining almost all its turnover in the UK to operating globally

and also with wider experience of being the MD of an software company

Which is something I think that Mrs/Ms Gooch would agree with ...which is why she is happy to accept the title of "acting MD"
ie. the bod and large shareholders expect a new MD to be found and for Mrs/Ms Gooch to step aside from MD role.

Whether any new MD would then leave as well as per John OConnell is perhaps a real risk !
----

In hindsight imo Mrs/Ms Gooch has failed....
turnover was around 4M in 2005 when the co. listed and was around 4M in 2013.
With inflation that 4M needed to be around 6M in 2013 to be just level....so turnover in real terms ....fell.
And no dividends being paid....so shareholders have had a bad time of it....even though Mrs/Ms Gooch has done very nicely....perhaps 4-5M pnds income from salary and pension payments.
For a software company in a supposed growth sector that is failure.

And new MD needs to avoid doing things Mrs/Ms Gooch has done...such as borrowing 140k from the company interest free !. Or selling shares to the workers trust fund...where she is a director. And taking 400k renumeration when legal listing doc. says max. of 150k !!. Farce. 2013 accounts.

Perhaps those things might be part of the reason that OConnell left..(I dont know)...perhaps he wanted a serious company...and Gooch perhaps wanted to keep in place her perks etc....and run it as her personal empire as she has for years...

Make or break in many ways I think this year....
either Gooch gives up the reins and perhaps the mkt is more interested....or the mkt says more of the same and gives up on EGS ...yet yet again !

smithie6
21/8/2014
11:11
bwt
chairmans effective share price...if gets the matching shares...
at approx. 25p

reduces even more when consider tax...

his new shares qualify imo for EIS and tax relief...since they are new shares...
not shares bought in the market (which dont qualify for tax relief...the ones you and I could buy !)

with 40% tax relief
25p perhaps reduces to 17p

and EIS shares are I think free of all tax when sold...
which perhaps takes the effective price down even lower !!


...and using shareholder assets..which belong to someone..its not free money...

smithie6
21/8/2014
11:09
smithie6 - I see (I think) the various points you are making. What I am trying to work out is whether they are all relevant to the present and future of the company, also bearing in mind the state of the business and the share price when the various transactions you refer to were agreed. I guess it'll come to me sometime when I'm in the bath.
beethoven3
21/8/2014
11:03
the new chairman is a chartered accountant

some may think that the co. would be better served if it had software or software marketing/growth experts....such as the 2 Software people that were on the board but are not there now...who were Workflow experts...

chairman was at Monitise....not a workflow company...nor a workflow optimisation company...although it is a big cap. (800M)...so good to have someone with big cap. experience at a small cap. (12M)
----

in any case....dirs. only last for months at EGS....so how long he will last remains to be seen !

smithie6
21/8/2014
10:57
it is...or looks like 2 blocks of 200k pnds....
all a bit strange....and imo done with insider info when the co. has seen a marked jump in trade....

"The Company and Mr McIntyre have also agreed that, subject to receipt of necessary regulatory and procedural clearances, Mr McIntyre will shortly subscribe for 400,000 new Ordinary Shares at a price of 50 pence per Ordinary Share."


imo there will be matching shares at 0p under the options plan....to match these shares...

so 800k news shares for 0p if perf. conditions are met....
to give him 1.6M shares in total

(NOTE. At most cos. the non-exec. chairman gets few share options...
share options normally go mainly to the MD and FD and any key managers)

sp his effective share price would reduce to approx. 25p

and of course for many AIM cos. the perf. scheme perf. conditions or targets are never revealed to humble shareholders

----

and of course who will the chairman at some time be selling those 8

lets say the share price rises at some time to 125p then he gets 1.6M pnds...
whether or not he has in fact done anything at all to produce any improvement in co. perf. or in the share price .and is only in a part time role...

noting that a share price can go up or down even if the co. perf. doesnt change
depends on mkts..bubbles..etc etc...

smithie6
21/8/2014
10:37
So

if anyone would like shares of the shareholders assets at 45p...with equal number of matching shares at 0p...

making the effective price 22.5p ....for the assets of the shareholders

while the market price is 73p to buy

please raise a hand !!

ah...over there...and there...and there...and there...

----

Beethhoven
you see my point now ?

smithie6
21/8/2014
10:32
"as committed to in t..... the Company's annual report and accounts for the year ended 31 January 2014. "

(FALSE btw imo....the accounts make no mention at all of this 400k shares subscription.....unless it is the conversion of the 200k......but it is I think separate....
all cloudy imo....basically doing whatever takes their fancy imo)

24 april 2014 "Mr McIntyre, chairman of the Company, has subscribed for 400,000 new Ordinary Shares"


so....if the co. had produced any bad news in between then Mr Mc would have been within his rights imo to have backed out....


if only we all had the same beneficial deal !....using shareholder assets...they are not Mrs Goochs assets to hand out......or shouldnt be !



"The Company intends, in due course, to implement a matching scheme in respect of these new Ordinary Shares on the same or similar terms as the Company's 2014 Long-Term Incentive Plan, as set out in the Company's annual report and accounts for the year ended 31 January 2014".

These shares are awarded at.....0p.....but of course the 24 April RNS keeps that quiet and doesnt mention it ! In the depths of accounts/RNSs it does.

smithie6
21/8/2014
10:30
45p vs 50p
where it details the agreement....it details that the interest money would be included in the conversion to shares...

so....for 100 pnds loaned you get 110 pnds back and then you convert to shares at 50p....so the conversion price for the 100pnds is imo really the same as buying shares at 45p at the start....just an added wangle.

those 45p shares are not 73p to buy in the market...

----

mkt news with turnover and PBT produced 3 weeks before the H1 report will be issued.....

farcical imo.


the mkt is supposed to be promptly informed....
3 weeks before the report is issued is not promtly...

they didnt know till yesterday ?
yeah right !!
they have an FD....he manages and monitors the numbers....
he has known for months

smithie6
21/8/2014
10:25
another item in the admission doc. btw is that there was a leading Staffware man on the board well before OConnell arrived

a Mr J Pyke.....highly regarded in the workflow sector


but since EGS has musical chairs for dirs. (except one that was a largish sahreholder before the IPO that stayed for years...)
Mr Pyke is also no longer on the bod

smithie6
21/8/2014
10:22
Goochs pay ...
some interesting info

admission doc. says salary of 150k/year for her !
and that any bonus would be very strictly controlled...and only paid in case of outstanding co. performance

and since then the co. has not produced outstanding perf. ...turnover stayed flat for years...

so how she wangled 400k per year....well using her controlling votes and the power that goes with those votes.

smithie6
21/8/2014
09:49
Smithie6 - I'm confused. the current Chairman was appointed in March when it was announced that he would subscribe to new shares at 50p as well as lending £200k to the company. Please reference the source of your information about 45p and 10% conversion.
beethoven3
21/8/2014
09:33
btw
Im not trying to bash EGS
just highlighting some specific pts....which I think I have got about right...

there are always +ve and -ve pts to any share

and EGS with E. Gooch does have its specific -ve and +ve pts.



the RNS yesterday was clearly good news...and the mkt liked it...

smithie6
Chat Pages: 933  932  931  930  929  928  927  926  925  924  923  922  Older

Your Recent History

Delayed Upgrade Clock