Premier Veterinary Share Discussion Threads

[hydrus] 05/1/2016 21:42

Your call as you started this one but you could draw attention to the growth and recurring revenue model. Many of your posts are excellent though so important to add/keep key points in header. Anyway just a thought, not crucial.

[hydrus] 05/1/2016 21:27

...sorry.....so that new investors don't skip the thread thinking its a general discussion about pets rather than about PVG

[hydrus] 05/1/2016 21:25

Pet Lover - I wonder post results it might be an idea to start a new thread with a new title

[hydrus] 05/1/2016 21:16

Assume that post is in jest.....otherwise I fear for your investments

[netcurtains] 05/1/2016 20:18

Hydrus,
An American owner of a bank, flys his dog on his private jet and you say this sort of thing is not relevant to PVG!!!

You do realise that PVG is a pet company and that investors are VERY INTERESTED in how much pet owners are willing to pay in the upkeep of their pets.



This type of information is actually important in gauging in how profitable the business can be.

Wh knows MetroBank might invest in PVG - who knows???

[hydrus] 05/1/2016 20:09

Might be interesting to some but not sure it's relevant for PVG?

[netcurtains] 05/1/2016 20:03

Interesting BBC article:

[ginger_ninja1] 05/1/2016 17:13

Quote from Wall St guru: Peter Lynch.If you find a stock with little or no institutional ownership you've found a potential winner.Find a company that no analyst has ever visited and you've found a double winner.Think that pretty much states what PVG is at the moment! £3.00-£4.00 here we come.

[hydrus] 01/1/2016 17:45

It certainly makes sense to go for as many territories as possible early on. If they think their plan and service is market leading then why not push the boat out and go for it as capital costs are low and once a plan is sold that's a pretty secure recurring revenue generated. Anyway it may take some time to launch in a new country so patience probably needed. Plus no doubt competition in the states and other territories.

[pet lover] 01/1/2016 16:44

Not just Europe then.They must have very big plans. Take a butchers at the last line of this from LinkedIn. That's a total of 8 countries inc the USA and UK.
😺😺😺
LinkedIn

Andrew Carter:
Head of PCP Europe at Premier Vet Alliance (PVA)
Bristol, United KingdomEducation Management

Join LinkedIn and access Andrew’s full profile.


Premier Vet Alliance
European and Nordics Channel Developement
Starting April 2014
View full profile
Experience
Premier Vet Alliance
European and Nordics Channel Developement
Premier Vet Alliance
April 2014 – Present (1 year 10 months)


In May 2014 i provided consultancy services to a large multi country veterinary group with the design, set up and implementation of a Buying Group. In September 2014 I started implementing our phase 1 growth plans, to take Pet Care Plan out of the UK and establish it as the market leading pet health plan in Europe and the Nordics. I have completed the set up of business units in ROI, Netherlands and Denmark and by the end of 2015 we will be live in 3 more countries

[ginger_ninja1] 01/1/2016 14:32

I was doing some research into the CEO Mr Tonner and found this table below about his previous company appointments.

It's very exciting to see US in brackets attached to his latest appointment, looks like it's the states next. Exciting times ahead for us!

Company Appointments - Current And Previous

CompanyName Company Status Role Appointed
PREMIER VET ALLIANCE (US) LIMITED Active DIR 2015-09-05
PREMIER VETERINARY GROUP PLC Active DIR 2015-02-27

Link with table below

hxxp://www.checkcompany.co.uk/director/6607831/MR-DOMINIC-STEPHEN-TONNER

[hydrus] 01/1/2016 12:21

Pet lover I would tend to agree that 2016 will be a year of investment in rapidly growing the pet plan numbers and that's what I would prefer the company to do, hence why I suspect profits will kick in later as per my previous post. The real profits should come in the following years. Even if they get to 'only' 350,000 plans in two years time by start of 2018, that year could yield in excess of £5m profits even assuming a relatively high admin cost base of £4m or so. The route to significant profitability is so clearly mapped out here I would anticipate the share price reflecting some of this in 2016.

[pet lover] 01/1/2016 11:54

New year day off clear head: Hound never sits still. Profits versus investment #. PVG has now got £4mil to spend to grow the company plus on going revenues of C# £3mil assuming no profit is booked for Sep 2015 / Sep 2016. The company may go for head long growth rather than profit in the current year. The £4mil received last week is worth just that £4mil:The clever move is to convert that into £4mil of extra recurring revenues at break neck speed through expansion of the pet health plans through Europe in 2016.£4mil is then down the line worth £4mil on a growth pe of 30. £120M. The high pe will only be awarded to the company if the growth rate in profits is at least 30% or higher.If the growth in pet plan sales is running at 100% year on year for the next 3 years that might be to conservative.Cost of sales need to kept under tight control my guess would be one man sales/training staff in each country with a car and notepad backed up with bilingual head office staff in Bristol.Results will be out at the end of the month with luck we will get some form of broker guidance for the next two or three years.

[joeblogg2] 31/12/2015 10:40

Foolishly sold most of these as needed the cash. Would have recovered all of my AKT losses if I had held on :((

[pet lover] 22/12/2015 22:07

Comparables: The hound can't do these sums.1800 plans selling per week and going up. Make an conservative assumption that each plan is worth £20.00 in a full year. £36,000 of extra long term value to PVG each week.Slap a very high per of 30 on those recurring earnings and it could be worth a million a week.The revenue numbers will lag a full year as a plan sold today will only produce 1/12th of its value in the first month.The growth rate of plans could be ;100,000 done to date,100,000 in the next 12 months 200,000 in the following 12 months and 400,000 in year 3. 800,000 less the 100,000 to date ;700,000 needed.
CVS Group have sold around 800 plans per vet and it's not hit a ceiling yet.
To have a chance to hit 700,000 plans in 3 years PVG would need 1,000 plus vets.PVG has 574 today selling the plans so another 500 might not be such a tall order over 3 years.

[hydrus] 22/12/2015 16:33

There is not much stock around at all so any buys seem to move the price up. I can't imagine this will continue to be so off radars over the next year if they continue to deliver. Happy to sit on hands here as the story plays out.

[ginger_ninja1] 22/12/2015 15:55

This is great news, all the risk has been removed from this investment. If I had some spare cash I would be topping up my holding as much as possible. Could be my best performing share for 2016!

[hydrus] 22/12/2015 08:59

Good point re staff numbers. If the admin costs are in the ball park of your estimate then PVG will move into profitability faster than I have pencilled in. There will of course be some up front additional costs as they land grab in UK and overseas.

[pet lover] 22/12/2015 05:25

Hydrus, just got up for work so not quite with it yet.TBH I don't have a clue what the running costs will be. PVA has staff of 11 in the prospectus the vets 147.The cost of the board and company will all now fall on PVA.Loans all now gone though.The vets must have had a large overhead again gone.Vet margins 52% PVA 95% was the reason the vets went out the door yesterday.Each pound of new income is worth just short of double old vet income. £2.5 mil overheads a year is just a stab in the dark.The board pay listing and office costs might be a million of that a year. Still in shock at seeing 20,000 plans added in just 11 weeks.

[hydrus] 21/12/2015 23:08

Pet lover how do you get to £2.5m admin costs per year? I suspect it might be higher than that based on prior period reported figures.

[pet lover] 21/12/2015 17:57

Long wet day good to be home.Gosh what a blinder.The vets are gone sold for £6.5 mil.The loans have gone as well. Cash in the bank £4mil. What a lovely end to the year. The hound will get a new shed. The pet health plans are selling at just under 2,000 a week an astonishing number. Today's news changes the company into a dream stock just what the hound and I wanted.Valuation is now £12mil plus the cash of £4mil.
That does not seem correct to me. Starting in JANUARY PVG has 106,000 live pet health plans that might produce about £2.5mil in a full year.Pet plan growth should be another 100,000 to deliver another £1.25mil not all plans will have run the full year.If the buying portal stays about flat then add £1m of revenue. Add it up £4.75mil doing 95% mar. £4.5mil less overheads.A stab of £2.5m - £3.5mil a year.That could produce a £1m profit in 2016. It clearly depends on which route the company goes profit or extra investment and no profit
Might be tax free we will have to wait for the accounts.I am plumping for £1mil profit into 2016 on a per of up to 25 in line with the other vets shares on the stock exchange. 👍😺

The above are from January 2016 but year end is SEPTEMBER 2015 so need adjusting down a bit on reflection.

Best to wait for city forecasts though as I could be miles out. Shares can sometimes surprise today was one of those days when out of the blue a company pulls off a master stroke. I never thought the Vets were worth a toss so un exciting very glad they have been binned for a decent price.

[hydrus] 21/12/2015 10:26

This is not surprising news but welcome nevertheless. They have set out a very clear strategy for growth and the doubling of pet care plan numbers in a year is excellent. Geared up now for even more growth internationally. I imagine it will take time to achieve overall profitability but this will accelerate rapidly as almost all the pet plan revenue hits the bottom line. I have been building a stake over the last few months and I have very high hopes of achieving a multiple of that stake over the next two to three years.

[errollc] 21/12/2015 09:00

Good news...cash in the bank, no loans and concentrating on a lucrative market...

[hydrus] 06/11/2015 17:52

I haven't seen any pumping of this company anywhere but if you have then do let me know

[wallywalrus] 06/11/2015 10:58

Another pump required