I-Design Share Discussion Threads

[the prophet] 29/11/2011 09:46

Hi Rivaldo
-I hold a few of these, on the basis that market cap is low to the potential, although I'm not quite sure how large the global market for advertising on ATM's is. As Arbuthnot are covering both IDG and SRT , can't help but notice the 2012 forecast for IDG is 0.7p, which puts the shares on a 2012 forward p/e of 82. Obviously, in the early days of profitability it can be misleading to use the eps figures in that way, perhaps we all hope the brokers note forecasts will be beaten. Yet your comments on the SRT indicate that that one is an opp. you would, least for now, rather pass by, on a forward p/e of 10 or so for this year,and thats with broker forecasts at the bottom of the range given by SRT. 2012 p/e is likely to be less than half that, for a market that is set in stone (government mandates). Each to their own and all that, just strikes me as strange?
cheers
TP

[cfro] 28/11/2011 18:19

Yes i agree Greenroom.

I dare say that arbuthnot will be saying eps of 4p or something, when us more informed and intelligent investors know damn well that atleast 8p will be achieved and even that will be well beat if more contract wins come through....which they almost certainly will.

Arbuthnot are useless imo.

[greenroom78] 28/11/2011 14:10

Personally I don't think we'll get EPS forecasts of 8p. I don't think the brokers will set the bar that high. My target is 6p+ for next year (i'd be very happy with that) - Will be interesting to see what numbers Arburthnot and Edison come up with.

[cfro] 28/11/2011 13:34

Again thanks rivaldo for the broker note. Looking forward to Thursdays results.

I note a 30,000 sell today. Cant believe that people are selling at these share price levels!! All i can say is that there must be some very desperate sellers out there!

Hopefully on Thursday we will get some numbers and forecasts that we can thne work from. I reckon eps of 8p for YE 2012 myself putting us on a PE of only 7.5.

[rivaldo] 28/11/2011 12:04

Cheers for that ic2 - IDG have had work from Government agencies before, so the repeat business is evidence that IDG's technology actually works. The potential is huge as you say.

The news has been picked up by the BBC - I'm surprised at the low-level market reaction today. The clue is in the RNS title - a "major" contract win:



"ATM ad firm i-design expands into Canada

i-design's joono software has already been taken up by a US-based firm ATM advertising firm i-design has expanded its presence in North America after securing its first contract in Canada.

The Dundee firm said it had signed a multi-year agreement with a large bank for its targeted marketing software, joono.

etc"

[rivaldo] 28/11/2011 10:16

Arbuthnot retain their 90p target price this morning:

"i-design* Strong Buy
IDG.L / 56.50p / £8.0m / TP: 90p

Event: Business gain / loss Likely % change in earnings forecasts: No Change

We note the positive announcement from i-design on a major contract win with a large Canadian bank secured through i-design's partner, IBM Canada. While no financial details have been disclosed the company believes that the new agreement will help to underpin market forecasts for FY2012. In our view,
there are three key positives with respect to this deal, firstly, it shows that joono, which was launched in July, is gaining traction, secondly, it takes i-design into a new territory and, thirdly, it proves that i-design
should be able to win new customers via its indirect channel. Ahead of final results for FY2011 due on Thursday 1 December we are happy to reiterate our 90p target price and Strong Buy recommendation."

[cfro] 28/11/2011 08:35

Yes, theres the news we've all been waiting for! :0)))

Like the last bit...."...and we continue to see exciting opportunites both in the UK and Internationally for our software."

As rivaldo says, looks like the global domination has now started......

[interceptor2] 28/11/2011 08:09

Great contract and tone of the statement feels like there are more in the pipeline. Could be with their partnet IBM Canada Ltd or other opportunities for joono.

IDG are the sort of situation I love. Moving into an initial profit and a regular flow of new contracts.

ic2...

[greenroom78] 28/11/2011 07:57

Nice contract. Sounds like it will help meet next years forecasts as well with plenty of time for further contracts.

[rivaldo] 28/11/2011 07:53

More excellent news - global domination continues to come IDG's way :o))

- first new contract in Canada
- first mention of a link-up with IBM, possibly a precursor to more as flagged in the RNS...
- "multi-year agreement" is the sort of arrangement that institutional investors love as IDG grows and gets on their radars

Hopefully new highs to come.

[bigbigdave] 28/11/2011 07:09

Yippeeeeeeeee!!!!


Major Contract

TIDMIDG

RNS Number : 8341S

i-design Group Plc

28 November 2011

AIM: IDG

I-DESIGN GROUP PLC

("i-design" or "the Group")

First Contract Win in Canada

- via channel partner Ibm

i-design, the leading developer and supplier of ATM and self-service marketing solutions for the banking industry, is delighted to announce that it has secured its first joono licence win in Canada. The multi-year agreement has been signed with a large bank in Canada ("the Bank") and covers the deployment of i-design's next generation targeted marketing software, joono, across the Bank's entire ATM estate. The contract was secured via i-design's channel partner in Canada, IBM Canada Limited, and is i-design's first win via IBM. The new agreement helps to underpin market forecasts for the current financial year.

The roll-out of joono will provide the Bank with new marketing capabilities which will enhance its customer communications. The contract, which was signed following a competitive tender, represents further pleasing uptake of joono, launched in the summer this year. In July 2011, the Group announced that existing customer, US based Cardtronics, Inc, had acquired a licence to incorporate joono into its offering on a global basis.

Ana Stewart, CEO of i-design, commented,

"This contract expands our presence in North America significantly, taking i-design's software into Canada for the first time. We are also delighted that this is the first contract win secured via our channel partner, IBM Canada Limited, and look forward to working together on future opportunities.

In addition, it is another major contract win for joono and is testimony to the strength of our offering. We believe that joono represents an unrivalled digital marketing proposition for banks and we continue to see exciting opportunities both in the UK and internationally for our software."

[cfro] 18/11/2011 18:35

Certainly not me, i have been actually buying up until fairly recently.

I reckon it might be the MM's dropping the price to loosen up a bit of stock ahead of news.

[bigbigdave] 18/11/2011 16:05

Oi! Who's selling?

Much lower I'll be buying them off you!

[cfro] 16/11/2011 18:30

IC2, just noticed your post 1336. Very well thought out! I completely agree with that thinking. Im working on EPS of around 8p for YE 2012. And that doesnt include any more contract wins which should be imminent.

[interceptor2] 16/11/2011 15:03

Appreciated and added to favourites.

ic2...

[rivaldo] 16/11/2011 14:05

Ic2, I think the Sales Director's feed has died a death! Seems to me that the Twitter feed above and the Youtube channel has replaced it?

You can see the videos and more detail from all those new campaigns here:

[interceptor2] 16/11/2011 11:39

Thanks rIvaldo, I keep trying to find October and November ATM business, but the Sales Director hasn't updated his site yet.

My they have been busy.

ic2...

[rivaldo] 16/11/2011 09:27

New ATMad campaigns for:



- Vodafone
- E.On
- BT Infinity
- Muller
- Chessington
- Campina

I think 3 of the above are certainly repeat business - great to see - whilst others are new converts.

[greenroom78] 08/11/2011 21:00

ic2 - I have been invested here just over a year now and Arburthnot have been behind the curve the whole time. I think we have had 5 or 6 target price upgrades over that period - Personally I agree with your figures more than I do theirs. I am pessimistically looking for 5p EPS next year and optimistically looking for 7p+.

[interceptor2] 08/11/2011 19:52

Arbuthnot issued a strong buy rating and new forecasts yesterday. See below

2011, PBT = £0.03m and EPS = 0.20p
2012, PBT = £0.10m and EPS = 0.70P

Sometimes I have to hold in check my optimism for a stock I'm holding, but in my very humble opinion the 2012 forecasts are plain ridiculous. Look at the breakdown of the last 3 half year reported results below,plus 2011 H2 * Esimate based on Edisons forecast, but EPS not allowing for R&D tax credits or any tax charges. Just divided by 14,105.437 shares in issue.

2010 H1 = LBT 660K, LPS 4.0p
2010 H2 = LBT 302K, LPS 1.0p
2011 H1 = LBT 105K, LPS 0.4p
2011 H2 = PBT 145K, EPS 1.03p *

Given the improvement and not unreasonably expecting more contracts and similar business performance going forward, I think the next 2 half year results could look something like this.

2012 H1 = PBT 333K, EPS 2.36p
2012 H2 = PBT 767K, LPS 5.43p

Which would give 7.79p to the full year 2012.

I would be interested to see the Arbuthnot research note if anyone has access to it. It would be interesting to see how they could arrive at these 2012 estimates.

ic2...

[tara7] 08/11/2011 07:19

Cardtronics results out in the US last night after hours, take a look at the growth.!!

[greenroom78] 07/11/2011 21:17

Interesting - Thanks.

Interims are due early december (from memory) so a little early for that - Like cfro said though the company did hint towards imminent newsflow at the recent update.