Pipehawk Share Discussion Threads

[mr hangman] 22/12/2015 16:19

Better off buying a Chocolate fire guard

[goodbloke1] 22/12/2015 16:10

Thanks Gnnmartin.Appreciate such an informative answer!Was thinking of buying these but was spooked by the debt.

[gnnmartin] 22/12/2015 15:55

goodbloke, you are right on the level of debt, but not necessarily right that this makes the shares overvalued. The company is obviously not going to be able to raise money on the market, or at least, only on terms that will leave shareholders wildly diluted. On the other hand, the chairman has kept the company afloat with a loan, and that accounts for a good part of the debt. Some will see the danger that the chairman shafts the shareholders because he can, personally I am not so cynical. The fact that the company is dependant on the goodwill, interest, and more than fair dealing of the chairman means the company is given a low value. If they can get the company into the sort of decent profit they have been suggesting is possible, then the shares will rise strongly.

My assessment of the company is that they are without doubt a company I would value if I was a customer. The uncertainty I have is whether the company is able to forecast with sufficient accuracy its costs in fixed price contracts, and/or handle contract variations without either hitting profitability or customer satisfaction.

The AGM will be held on Dec. 30. They gave a presentation to shareholders on 8 December, and don't expect that shareholders will attend the AGM, but if you want to meet the directors and ask questions, I expect you could either attend the AGM (as an observer if you are not a shareholder in your own name), or at least arrange to meet them immediately after the AGM.

[goodbloke1] 22/12/2015 15:44

Yes it's clear.I am just amazed people are buying this with over 5 mill debt as implied by half term results .

[goodbloke1] 22/12/2015 15:06

Assume as no one has responded to my question I am right in my interpretation of accounts and With the 5 mill of do debt this appears significantly overvalued.

[goodbloke1] 22/12/2015 14:12

No one has answered my question about the debt which is significant relative to market cap! It begs the question is this really undervalued then?

[tidy 2] 22/12/2015 14:01

Orders in the pipe mate. Should double at least IMO that's only give a cap of 3.2m

[glennborthwick] 22/12/2015 13:53

Finals out recently. Full balance sheet there I guess. But yes the marks cap is low for a reason. Clearly if they do translate enquiries into orders this could double quite easily.

[tidy 2] 22/12/2015 13:43

Profitability Adien traded in tough conditions during the year when a number of framework agreements came up for renewal and order intake prior to them being renewed was reduced. Since the year end trading has seen a 25 per cent. increase in revenue and a return to profitability.

[goodbloke1] 22/12/2015 13:28

Glen Half year report says borrowings 2 mill approx and trade and other payables 3 mill so total 5 mill plus? Explain anyone .Debt seems large compared to market cap

[tidy 2] 22/12/2015 13:05

PIP £1.8m Hadley contract in. Dana £500 today and £12m in the pipe. DYOR current cap £1.6m

[glennborthwick] 22/12/2015 12:52

Officially the debt is negligible but they owe a stack of fees and wages to the chairman hence the minuscule market cap

[tidy 2] 22/12/2015 12:24

Total £1.8m from Hadley

[tidy 2] 22/12/2015 12:20

£650k Hadley contract due this month

[sharetips6] 22/12/2015 12:10

riddler pumping it time to get out that crew on twitter cannot hold it one day

[tidy 2] 22/12/2015 12:05

Riddler 77,543 postsand£12mln orders in next 8 weeks thry are highkt confident

[tidy 2] 22/12/2015 11:52

This is the first of the expected orders referred to in our recent shareholder presentation," Chairman Gordon Watt said.

[tidy 2] 22/12/2015 11:41

No I believe they have circa £4.6m turn over and profit making prior to new contracts.

[goodbloke1] 22/12/2015 11:30

Am I right debts of 4 mill from accounts?

[tidy 2] 22/12/2015 10:53

Topping leader board !!!

[glitter2] 09/12/2015 18:19

The presentation is now on their web site.
It looks as though they have too much going on for the size of the company and the words priorities and focus pring to mind.

[snape] 08/12/2015 19:30

Any feedback from the shareholder presentation would be greatly appreciated.