||EPS - Basic
||Market Cap (m)
|Health Care Equipment & Services
Surgical Innovations Share Discussion Threads
Showing 10026 to 10049 of 10050 messages
|Now retired after thirty six years in business I find the words "management" and "trustworthy" in the same sentence, an excellent example of the word, Oxymoron!|
|I'd second that. Nice post. My two pence worth is the following.Previous management played the revenue growth game. Nearly at the cost of the company. Numbers prior to 2014 are not worth the paper they are written on.I think the new management are trust worthy. Backed by the cash generation. My hope and belief is that the revenue growth, was only 10% as they have had to rebuild the revenue correctly. Based on positive margins etc. I'd like to see them leverage off the AMS relationship or do similar deals.|
|Great post-I have voted it up. On first read can't see anything to disagree with in your analysis. One issue here has been to get 'independent' data on the market opportunity. Very difficult to forecast hospital buying decisions for instruments.
Be interesting to know if Chris Rea is still in any way involved or just a passive shareholder.Obviously if you have 15% then you have a bit more access than someone with 0.15%.|
|This is just me thinking aloud. I have been following for years but only a shareholder for about a year or so.
Surgical Innovations Facts
Mkt cap is around £16mn and turnover £6mn. A reasonably demanding price to sales.
First half gross profit margin was 26.6%. The 9th Jan trading update states full year GPM at 32% which implies second half GPM at 37% i.e. much better
The number of shares in issue has gone from 488mn (June 16) to 533mn (end December) principally on the conversion of 44mn shares at 2.5p but also small allotments to 3 non-execs and the Executive Chairman Paul Rogers. These latter have been issued in lieu of salary but in terms of current value do not look ‘exorbitant217;. The convertible bonds, £1.0mn in total of which £0.5mn were issued each to Chris Rea and Getz Bros, a BVI registered company, in November 2014, would have put their relative shareholdings (very roughly) up to 88mn and 80mn (rounded) respectively or 16.5% and 15%. Getz Bros owns ACP which is referred to as SUN’s Far East distributor and historically accounted for >5% of revenues. Getz is a well-established, privately owned Pacific region specialist trading company/ distributor. Rea resigned as interim CEO in October 2015.’with regret’.
It doesn’t look, on the face of it, that Chris Rea has sold any more shares since the RNS of 13.4.2016 and given the conversion of the CB his holding has actually increased substantially. I get the feeling (without any real knowledge at all) that relations between major shareholders and management are pretty good.
Should the company be able to achieve GPM of (say) 35% this year and sales of (say) £6.6mn (+10%) gross profit would be £2.3mn. That should be (possibly and hopefully very) conservative. Guessing admin costs at £1.75mn, statutory operating profit on this basis would be £0.5-0.6mn, EBITDA (assuming depreciation and amortisation at £1mn) would be £1.55mn. Those would suggest a P/E of x29 (assume finance income and tax neutral) and EV/EBITDA of x10. Still a bit high but getting there.
Frankly the disappointment in the trading update for me was the rather modest sales increase for 2016, only 10%. Second half sales seem to have been pretty flat compared to the first six months. There has been a simply huge improvement in the inventory and financial position but it may well be that on the first point the pipeline became a little over-supplied. I hope so. I also hope that the YellowPort Elite certification, and the acquisition (which I have ignored but will affect numbers this year) will make the revenue higher than my suggestion. I reckon gross margins need to be considerably higher, say 40%, but I don’t understand the competitive landscape. I do, however, know that laparoscopy is going to get bigger.
So all in all I am sticking and hoping the March release is reasonably upbeat.|
|'a short pattern is small and frequent' - depends how much you have in the war chest|
|It's been going on since we hit 4.25p, off the top of my head I'd say four months, however imo the period isn't the indicator, a short pattern is small and frequent sells.
Just an observation, I'll be here until we find out more at the end of March.|
|Well, it's funny it's happening on the run-up to the results.|
|I don't think so, it's nothing like any shorting pattern I've seen before.|
|I think it's just pre-results shorting/tree-shaking|
|Still appears to be someone getting rid of Millions, guess we'll see what the score is in March.|
|Where are our friends telling us this is going downhill fast? Tree shake didn't last long. I was all set for the pending doom. In reality bounced off of 3p on the offer very quickly.|
|Good timing, gbh. Onwards and upwards !|
|Made 3% in 24hrs after trading costs, that's four times what I'd make in a year in a misserable Bank!|
|I picked up a few at a fraction over 3p today.|
|This is nothing new. There has always been a retrace of share price before end of year results.Company is in good shape.|
|Anyone know if Ex (extremely disgruntled) Directors are required to RNS their selling of their ill-gotten shares??|
|It could well be heading back to the 1p to 2p range it existed in for a long time
There are too many people have it from then and will take profits|
|2.8p bid now hold tight endure pain till sub 2p|
|MMs rolling on downward, two now at 2.75p|
|I guess some people were hoping for slightly more from the January update. The share price has come back a bit but still anticipates quite a lot of further improvement at the company. I think the share price is reasonable and I'll continue to hold. At my age I'm tending to cash in rather than invest more.|
|Oldest trick in the book. I'm weeping seeing all the buys at such a low price and I've no spare cash to do the same :-(|
|What the "f" is going on ? Might be some strategic selling to buy back at lower levels but wonder if there maybe concerns about exports to US given Trumps desire to have everything made over there. There appeared to be momentum with regard to sales / production at the last announcement but all gone deadly silent since. Just thinking back to Chairman's sale and buy back into his ISA a month or so ago. Why would he do that unless he felt some confidence in the co.s future prospects ?|
|Very droll but it does look like a glimmer of hope.|