||EPS - Basic
||Market Cap (m)
|Software & Computer Services
Real-Time news about Nexus Man (London Stock Exchange): 0 recent articles
|sweepie2: And to back my claim that this is a busted company the share price reaches yet another all time low. The new BODs seem to be managing this company like the last lot, badly|
|microscope: This Webb Capital?
The irony here is that the last results were on reflection imho not quite as abysmal as previous ones, if I recall the cash position had lessened in its severity, but the share price continues to indicate the company may be in a near terminal state.
I am not convinced that new management will have any more clout than old, and when was this company's last 'contract win' RNS?
Oh, when indeed!|
|bishopawn: Presumably major shareholders got Barney Battles and crew in to get rid of expensive directors and other unnecessary costs, and maximize value for shareholders. Since 1 November 2011 we have been saving quite an amount of money that would have been paid out on salaries. That said, there may be some exceptional costs of severance.
If Resilience is sold at a reasonable price, the funds could be useful in acquiring another IT/Media Company on AIM. I am told that the costs of being on AIM can be as high as £350,000 per annum. Merger would be an immediate saving of that sum by having only one listing on AIM. Purchase arrangements may not involve all the money upfront, but staggered over two or three years conditional on turnover/profitability of the acquisition company.
It is up to Barney Battles the Executive Chairman of Nexus to show us what he can do to excite the share price.|
|bishopawn: The process of acquisition gathering can hardly be possible, in my opinion, with the share price at the current low level. I can only conclude that the strategy will include a higher share price BEFORE any "cash and part shares" purchase of any acquisition. The drive could be in the figures to be announced this coming week AND that followed by a large contract for bullet-proof Firewalls from Resilience from the US Government and/or a multi-national company.|
|bishopawn: A determined Tom at T1ps said:-
"Nexus needs to find a complementary acquisition to give it critical mass. Work is well underway on this. But first the costs come out. Hanke, Yeoman and Battles know what to do and have a track record of delivery ( look at what Z Group was when they came on board and what it is now - Avisen).
4. Expect more changes over the next six months and for swift action to be taken at Nexus.
Nexus - for what it's worth - is in my view now very cheap indeed. Buy."
My bit of research on Avisen for what it is worth:-
Avisen(formerly known as Z Group) was acquired by a defunct (shell presumably) Availeon and was admitted to AIM on 2nd February 2009.
Marchus Hanke being on board, there was a very active period of repeated acquisitions during the remainder of 2009, four acquisitions in all:- on the following dates: 27th Feb....27th April......9th July and 17th July.
Looking at the Chart for 2009, the Avisen share price rose rapidly and went from 0 to 17 pence in the first half of 2009 and stayed about 15 pence most of that year.
Avisen and Nexus Management are very different companies, so there is no guarantee of a similar share performance with Marcus Hanke on board. But wouldn't it be great to see a series of acquisitions taking place in 2012, and generating interest and even excitement for shareholders after a torrid time of it.
We shall see if Tom is right in his predictions of more changes in the next 6 months and swift action to be taken.
I think he knows more than he is letting on, when he says "Nexus (...) is in my view now VERY CHEAP INDEED. BUY."
But there has been precious evidence of buying lately. May be that will change next week on the back of an announcement of a decent profit at Nexus for the full year.|
|marab: It's a sad reflection on AIM companies when share holders feel that their company is better run by a bunch of NEDs :) One thing you can say about TW is that he will cut costs as much as possible and seems to have made a good start. The cutting of so much expense will have an effect going forward but obviously none on the accounts to September, although it is encouraging that these accounts have been promised by the end of November so TW wants everyone to see the current state of play asap.
After owning shares in AHG and WAGS I have a low opinion of TW's values in regard to share holders other than his own select group, and we can look forward to some interesting future funding arrangements here. The question for holders here is can we still make some money here after the next issue of shares to buy the 'complementary acquisition'. If the next placing (and personally I feel quite confident there will be one as that's how TW and friends make their profits) is anywhere around the current share price then we are in with a chance, otherwise we are probably up the creek sans paddle.
The sad thing is that many have a poor opinion of TW (and I know there are others who think the opposite) because he appears to be out to make money for himself and those that fund him, but not other share holders. It is a sad thing because when he takes control over a company he does cut costs, salaries and running costs get slashed. My personal opinion is that he potentially could be running half the companies on AIM if he acted in the best interests of all share holders instead of his own select few. In AHG and WAGS he was the only one who appeared to know what the companies were invested in and what the value of the investments were, as well as being a large share holder. Personally I don't see how this is acceptable on any regulated stock market but this is AIM. So the game here has changed and we just have to wait and see what happens next.|
|bishopawn: Peter Weller never had much of a shareholding. As Finance Director it may be a good sign that he is wanting more. But there was a similar thing in June 2011 when a number of directors announced they had bought a few more to add to their huge holding and it meant damn all in terms of the share price or the company making any significant headway.
May be this time around it will be different and this presages news of contracts and expansion. Time will tell. Problem with time is that we will all have long beards eventually and be too old to enjoy the spoils.
Questions could be asked of the their current NOMAD who 3 years ago took over when Nexus had a share price of 1.7 pence and today has only 10% or one tenth of that value.|
|bishopawn: You have to go back to 2006 to find a similar situation in the share price chart for such a long period of flat-lining. It was then 0.63 pence for several months in the second half of 2006, and then in December and across into the new year of 2007 it shot up to 1.68 pence in a matter of only a few weeks. It is very curious why it is going this again and could it be indicative of another breakout for the share price happening between now and January - obviously it would have to be news-driven.|
|willfy: june - aimzine....
Each month the Aimzine Snippet column highlights an announcement or situation which we believe is worthy of further investigation
This month the Snippet column takes a look at the interim results of Nexus Management which were released on 16 May. I met with Chief Executive, Roger Richardson, on the day that the Interim results were released and I am grateful for his help in explaining to me the Nexus business and its prospects.
Nexus Management is an IT managed services business based in London and in the United States. The core business employs 60 staff split evenly between the US and UK. The Company's clients range from 25 to 2500 users with many in the 300 to 500 user range. Roger explained that the business aims to provide a premium proactive management service to its customers.
In addition to this core business, Nexus has another US Division in 'Resilience'. This business, which was purchased in March 2009, specialises in network security products. Resilience is based in Baltimore and employs 13 people.
The last two years have been particularly difficult for Nexus Management and the share price chart below reflects this.
The decline in share price follows major disappointments from two of Nexus's previous business ventures:
PD Financial Nexus purchased a stake (which reached 24% at one point) in a California based marketing and finance company. PD's very promising business failed when, in 2009, its banking facilities were withdrawn. Nexus wrote off the value of their investment in PD Financial in their 2009 results a loss in these accounts of £3.7 million.
Nerd Force An IT Management franchise business which was purchased as a strategic fit with the Company's investment in PD Financial. With the failure of PD Financial and the deterioration in economic conditions this business failed to perform to expectations and most of the assets of Nerd Force were sold for $320,000 in September 2010.
At 0.26 pence NXS has
a market cap of £2.9million
Roger explained that these two businesses depended on the healthy availability of credit and hence were victims of the credit crunch. PD Financial, in particular, seemed at one point to have excellent prospects the business was profitable and achieving revenue of $20 million per month at its peak.
Roger commented that the board is very much aware that investors' expectations have not been met in recent years and they are keen to rebuild confidence, but this will take time.
revenue of $20 million
per month at its peak
In the Interim report the CEO describes the results as 'pleasing'. The highlights reported by Nexus were:
* Revenue up 6.7 per cent to £3.2 million (2010: £3.0 million)
* Gross profit increased by 5 per cent to £1.61 million (2010: 1.53 million)
* Operating profit before exceptional items of £136,797 (2010: loss (£85,630)
* Cash at bank at the period end was in excess of £320,000
* Net cash generated from operating activities of £75,475 (2010: cash used (£49,836)
* Each subsidiary has traded profitably at an EBIT level in first six months
At the pre-tax level the Company reported a loss of £107,000.
Growth Equities & Company Research (GE & CR) issued a Research Note shortly after the interim figures were released. GE & CR forecasts that Nexus will achieve break-even (pre-tax) for 2011 but does not forecast figures for 2012.
Roger explained that following the Company's previous issues Nexus are now particularly keen not to raise expectations and simple want to show an improving picture at each half-yearly report.
In seeking future growth, the Company is hoping to increase the size of their core Nexus Management business, particularly in the UK, and they would consider an appropriate acquisition opportunity to help such growth. In the US, Roger commented that they have made some progress in improving the Resilience business since it was purchased. However, he considers that they are only one third of the way through the turnaround of this business and he is optimistic about the future prospects for this business.
Roger commented finally that the core Nexus Management business has survived the economic downturn well. Today 95% of this business is based on monthly contracts over a period of 2 to 3 years...and most contracts are renewed.
Nexus is a very different proposition to what it was 2 years ago. It would seem that the on-going business has the potential for growth and profitability. The business will benefit from scaling up and it will be interesting to monitor progress here.
The recent results speak of a 'solid' start to the year and that the results were 'pleasing'. Unfortunately, these adjectives fall short of the spectacular expectations that attracted many investors to Nexus and some selling of the shares by private investors may be a feature for some time.
As always, the purpose of this Snippet column is to highlight an interesting situation worthy of further research and monitoring.|
|argy2: Not so, one of the rare blue stocks today.I have a sneaky feeling we shall be getting some major contract news soon which in percentage terms could really boost nxs share price. Most, if not all, of TW's followers will still be nursing massive losses on this share at 0.4 or 0.5 even 0.6p but any news may give them the chance to average down yet again! We shall see.|
Nexus Management share price data is direct from the London Stock Exchange