Venture Life Share Discussion Threads

[lauders] 17/10/2016 16:38

From an e-mail I received from Equity Development today APAD. You may have seen it already but if not for you and other TSTL holders here:

Tristel develops proprietary infection, hygiene and contamination control products used by: Human Healthcare (branded Tristel, 85% of sales); Contamination Control (Crystel, 9%); and Animal care (Anistel. 6%) organisations. For many years now management have communicated what they’re planning to do - and like clockwork successfully delivered against it, as illustrated again in this morning’s better than expected prelims for the year ending June 2016.

FY16 turnover climbed 11.5% LFL to £17.1m (H1:H2 split 8.1%:14.8%), with 95% derived from every-day consumables and 39% from overseas territories (vs 36% LY), up an impressive 22% LFL. UK healthcare posted 4% organic growth, which we think was creditable, especially given its greater hospital penetration, the current squeeze on NHS budgets and after a flat H1 (-1.8%).

Adjusted PBT (before SBPs of £674k) and EPS came in at £3.2m (+27%) and 6.62p (+20%) respectively, with cash conversion (OCF/EBIT) strong at 148% vs 113% LY; in turn helping to lift net funds to £5.7m (vs £4.0) by the period close. There could even be more one-off distributions in due course, since we suspect the business only needs liquid reserves of up to £3m to adequately fund its internal operations.

Going forward, one of several possible positive catalysts could come from the firm’s application to sell Clo2 products in North America – where the Board has made encouraging progress to date in its discussions with the US FDA and EPA.

We have upgraded our forecasts again – although only marginally this time with adjusted FY17 PBT now pitched at £3.6m vs £3.5m before. Accordingly our price target rises from 135p to 140p/share, with scope for future appreciation in line with hopefully more positive newsflow.

[apad] 17/10/2016 15:56

No particular price, L.

The market focus will settle down when it drops out of the news and equilibriates.

It's so illiquid that this shouldn't take long. It's not a Xmas news share.

I shall look to increase then - hopefully before positive Siemens news.

apad

[lauders] 17/10/2016 15:47

When would your interest in BVXP return for top-ups APAD. Under 1200p or so. Wonder whether we will return to those sorts of levels? Good luck with FEVR. Probably a good decision!

[apad] 17/10/2016 15:18

As expected the income burnt through my pocket like a sparkler on speed.

Bought FEVR on the expectation of an uplift rns on 2nd Nov. Couldn't think of anything else.

PTSG recovered from the Paul Scott effect. First holding need news to increase.

Pete,red would be better answering this but the nature of a special is that it implies no future or past effects, so I don't include it and I wouldn't expect accounts to roll it in with normal dividends that reflect a dividend policy.

apad

[madmix] 17/10/2016 14:38

APAD,

Sorry, I don't use IG. My main broker is IWeb, who are generally pretty good for a low cost broker (£5 per trade). Previously I was a Selftrade customer but ditched them a couple of years back.

[apad] 17/10/2016 13:45

madmix,
Do you use IG? If you do, what do you think of them?
I don't need all the fancy gambling but their charges are reasonable and,more importantly for me, they open company accounts for Jersey (my domicile).
I currently use TD (based in Lux.) with a canadian parent bank.
apad

[petersinthemarket] 17/10/2016 13:07

Q for you accountant chappies. Is it usual to include special dividends in the annual yield figure? Curiously the LSE website currently has TSTL yield at 1.8% which is very low. The total dividend this year including interim, final and special is 6.33p, so yield around 4% on 160p, and last years total divi was 5.72p, which on share price of 120p is roughly 4.5%. What am I missing? pete

[seroserio] 17/10/2016 12:57

hxxp://uk.investing.com/indices/major-indices

[petersinthemarket] 17/10/2016 11:42

TSTL looking pretty solid - also very transparent policy declarations for an aim company. Little risk as they seem to have done more or less what they set out to do in recent years. Petty about the awful buy/sell spread, but excellent yield - think I might add this to my wife's new self select isa. Only esp in there so far. She likes safe and boring with a yield better than the banks pay.

[apad] 17/10/2016 11:25

So it incorporates current and futures.
Perfick.
Many thanks,
apad

[madmix] 17/10/2016 10:53

APAD,

Check out IG's front page :

Has live prices (currently showing DOW -54 points)

[apad] 17/10/2016 10:41

Anyone know of a good website that predicts Wall St. opening?
apad

[apad] 17/10/2016 09:22

DOTD FY tomorrow.
Little old wallflower (3% of portfolio, grew there from 1.5% but been marking time).
Miserable divi policy.
apad

[hydrus] 17/10/2016 07:46

BVXP and TSTL both look good to me happy enough. I have a significant stake in BVXP so important one for me. PVG - no insurance involved APAD and the 'change in business model' was simply a decision to focus more on the area of the business that was growing the most but each to their own. It is a low revenue business currently and of course no reported profits.

[lauders] 17/10/2016 07:40

Well done on BVXP and TSTL APAD. Look good. Now if only I had committed more to the former earlier I would be benefiting from a nice dividend and special dividend. Sure the reaction today will be very positive and will be surprised if it is not!

[apad] 17/10/2016 07:40

Not much chance of a BVXP pull back.

audited results for the year ended 30 June 2016.

Highlights:

Revenue up 27% to £5.5 million
Profit before tax up 35% to £4.2 million
Cash up £1.25 million to £5.4 million
Second interim dividend of 26p per share (2015: 21.6p)
Special dividend of 20p per share

apad

[apad] 17/10/2016 07:29

The V for value shares are just too impacted by the trend, with various reasons, depending on sector and main markets.

If I had sold everything and put it into RDSB at my year's low price I would be getting 8% yield and sitting on a 56% gain. CLLN and their ilk could be good Value for patient investors.

I'm just looking at G for growth at the moment. To be honest that seems to focus on what I already own by looking at relatively small retreats. Maybe I should've bet the farm on RDSB!

apad

[apad] 17/10/2016 07:20

TSTL wearing whiter than white:
"We believe that we can grow sales in the range of 10% to 15% per annum as an annual average over the next three years ending 30 June 2019. This is laid down in our strategic plan as a key performance indicator (KPI) of the Company. In our 2014 plan we also set an objective of achieving a pre-tax profit margin of at least 15% even whilst investing in the United States regulatory project which we were about to commence. The pre-tax profit margin in 2014 was 14%, in 2015 17%, and in 2016 19% (adjusted for share based payments). The profitability of our business is increasing due to operational gearing. The plan which will take us to 2019 is going to involve increasing expenditures in regulatory approvals in the United States and other key markets and we have decided that it will be prudent to set a minimum 17.5% pre-tax profit margin as our target. This becomes our second KPI."
Big divi payout and no between the lines ambiguity, at least on first read.
Content,
apad

[apad] 17/10/2016 01:44

pps
Crude Index is +35% YTD, so the period performance is strongly weighted.
6 months is a better comparator across sectors perhaps.

[apad] 17/10/2016 01:34

DOTD due to report on Tuesday. Poor share price performance of +5% YTD.
Like a lot of software companies their EBITDA numbers are particularly subject to manipulation.
They are heavy with cash but concentrate on growing organically. International is growing well but still too low a proportion of the whole. New business will be a key parameter.
Management looks to be competent but the company is off the radar at the moment.
apad

ps
Had another look. Too many red flags for me on PVG. Particularly sceptical about the directors and the risk involved in the change in business model to sales/insurance.
Holland and US business so why here. Warning; a very cursory analysis. I am prone to looking for reasons not to invest than reasons to invest.

[pet lover] 16/10/2016 17:09

Since I follow HYDRUS who also posts on the PVG post i can answer the above question:


PVG PROSPECTUS

Pet care plan: Fees received for the collection and management of direct debits on behalf of veterinary practices external to the group are recognised on a receipts basis. A flat fee is received for every direct debit collected;