32red Share Discussion Threads

[dippydodaa] 09/7/2014 16:57

Bet you didnt buy in at around 80p like me though!

[fozzie] 09/7/2014 16:49

You and me both Joe. Just a drip drip drip here. I hold but i am underwater big time.

[joe_satriani2] 09/7/2014 12:13

I'm surprised the positive update form 888 hasn't pulled this up a bit?

[sunny350] 04/7/2014 08:34

Does anyone know why TTR is not going up like eg 888, BET, WMH? PE much lower...

[bigdazzler] 03/7/2014 11:15

TTR had a post close trading update 18th July last year. Could be reason for increased activity over next week or so in anticipation of the same this year and good news coming from it.

Would be nice to see a price rise towards this time.

[dippydodaa] 27/6/2014 09:44

Any reason why this is sinking like a stone at the moment??

[tom9999] 23/6/2014 09:33

Even if it results in a judicial review and delays the tax it will massively increase profit. Others have been hit harder. I keep an eye on all shares in this sector as it has been very good to me in the past. 888 has been hit really hard as has playtech

[fozzie] 23/6/2014 09:05

A group representing well known gambling companies, including 32Red and Victor Chandler, is taking legal action against the Government over a new licensing regime expected to come into force later this year, alongside a 15pc tax on online bets.

Ivor Jones, analyst at Numis, who has long argued that the point of consumption tax will not be enforced, said 32Red, Betfair, 888 and Paddy Power will be the greatest beneficiaries if the new licensing regime and levy are quashed.

From the Telegraph June 19th

Fingers crossed the challenge succeeds.

[drobinson1991] 15/5/2014 12:53

Decided to sell all my holdings today. A very good price considering the current outlook for the industry. Still fundamentally a good company but price is a bit too high atm with the POC tax overhanging. Best of luck everyone.

[mortimer7] 12/5/2014 13:14

SP up 7% today (4.25p). Good to see, but anyone have a view as to why?

[munkychunky] 30/4/2014 18:05

I agree - the market needs to know TTR's position with POC, how it will affect profits and if any cost savings can be made - the problem is the whole thing is up in the air and nothing has been 100% decided by the government yet. None the less the company should still inform the market based on it's assumptions.

[trentendboy] 30/4/2014 09:36

But no POC update - that is what they need to address - what will the impact be on profits

[fozzie] 30/4/2014 08:25

Almost no reaction to some very good news.

[mortimer7] 30/4/2014 08:24

Extract from todays RNS
"The Company is also pleased to confirm that current trading remains strong with Gross Gaming Revenues for the period to 28 April 2014 up 12% on the same period in 2013"

[trentendboy] 25/4/2014 13:37

Very sensible approach. Mad not to givn the uncertainty.

Net play may be overly cautious but something about this smells. Nothing about it in hills results today.

[marles] 25/4/2014 12:45

I would normally trust Simon Thompson as he has a good record, but after reading Netplay's notes to shareholders on how they were going to handle the POC tax I decided to sell. They hinted some companies would not survive it.

Obviously the only real answer will be from TTR and how they plan to deal with the tax. I am not saying TTR will not survive the tax but that it will knock their profits and hence their valuation needs careful review.
The recent advice from TTR on the POC tax seemed (to me) like they were evading the issue and hoping it would go away. If it is not a big deal they should come out and advise what effect it will have on profits. Let's be honest, I don't blame anyone for not trusting a BB poster and I never do, but I do listen to what they say. And Elite I think has got it right. I am not giving my view so much as stating what Netplay is saying, and TTR not saying.However, I have also learnt not to trust directors as their interest lies in a high share price so they can exercise lots of options and get all sorts of bonuses. The greediest people in life are those already rich! I learnt that from GKP. Concerned investors should contact TTR for clarification.


At the very least, keep an eye out for TTR director sells!

[trentendboy] 24/4/2014 06:37

still not clear

[jerc] 23/4/2014 21:32

The tax issue is clear.
On his article webpage,Simon Thomson has also given further clarification of the tax issue (further down among the comments section)
And our own large accounting and investment firm has been advising clients on exactly that basis....although we've actually had briefings with H.M.Treasury and H.M.R.C.
And,yes,we do know what we're doing....so do they....and so does Mr.Thomson...... and not just because he happens to looks like Joe 90 (one for the older investor).
This notion that it's some kind of doomsday scenario is just plain ridiculous of course.But we should hardly be surprised,because the markets always turn a bout of flu into full-blown pneumonia when most people don't even know the facts much less understand their implications.So,if in doubt,panic ! Sigh.

[el1te] 23/4/2014 21:12

MC - It's totally up to you, and I've seen you've made your choice. It is extremely disappointing to see that Simon has not fully researched the issue, to the extent that he appears to have backtracked in his comments. This is the reply to his comment response that I have posted on another board:

"Just looking at 32Red's figures, the 15% tax charge would have been £3.72m. The problem for 32Red is that it's business model is completely different to that of NetPlay. NetPlay's primary medium is via TV channels on which it hosts live casino games etc. It therefore inherently has contractual offsets with the TV operators.

32Red on the other hand does not have these same contractual agreements because its business model is very different. Therefore, for Simon to expect a massive contractual offset at 32Red is severely misplaced. Of course, 32Red can pursue cost cutting as NetPlay are doing. However, the bulk of NPTs cost cutting is to actually close down one of their production centres completely and to utilise their other one, which would remove a large chunk of their operating expenses. I'm not convinced that 32Red could embark on such radical cost-cutting measures, once agian down to the difference in business model. NetPlay are expecting to offset over half of their charge, but once again, that it down to their specific business model.

On that basis, I'll beg to differ with ST as simply expecting these offsets to follow across is not a logical assumption."

El1te

I also don't think it's a fair assumption to think that ST (or anyone for that matter) is aware of all factors. Indeed, if he was, he would not have tipped CamKids in his 2014 portfolio if he was aware of major background selling pressure by pre-IPO investors. Anyway, just trying to help

[munkychunky] 23/4/2014 20:59

So who are we to believe? - posters on a bulletin board or a well respected financial journalist. I know who I favor.

Simon makes it quite clear and even responds to posters that have brought up these questions in the comments in his article.

[el1te] 23/4/2014 19:38

Spot on Marles.

Unfortunately salchow, Simon has completely misinterpreted the point of it being on the higher net revenue figure, which is odd given that he is normally very clued up.

I fear that many are investing on misinformation hence my initial posts a couple of weeks back to point out that it's not on the gross profits line on the books.

El1te

[marles] 23/4/2014 18:45

Net revenue is before costs of running the business such as staff, TV advertising, etc are deducted i.e. it is more like income received. The cost of running the business takes most of the net revenue, so losing 15% of this to tax is pretty serious. Netplay are quite clear in their accounts what is net revenue as it is shown as the top line, and it is all revenue after prizes/incentives given out, and nearly all to UK customers. Well at least they are up front about it and admit some operators will not survive the POC tax if it is 15%. I urge all investors to really research this properly as TTR is not really giving any guidance on the matter in how they will deal with it. It is fine talking to the Gibraltan authorities, but really the UK Government runs that little place unless they want to return to Spanish ownership? The problem with gaming companies is they do not really do anything other than take people's money and give some of it back to them ( in a game mathematically stacked against the player) and keep the rest as net revenue, hence revenue is a better word than turnover. I am not being moralistic but I don't like gambling as the house (nearly) always wins and TTR seems to be becoming a bit of a gamble so have sold out today on the back of the ST article as I think that is what gave a bounce in the share price

[salchow] 23/4/2014 17:45

I don't think Simon has anything to get. NetPlay describe their gaming profits less losses as Net Revenue. This is no different to a trading company describing their sales, less purchases and manufacturing wages as trading profit or gross profit. Simon is just using different terminology.

[caledoniaman1] 23/4/2014 16:05

What a great coup for 32 red - an affilition with Glasgow Rangers FC - what an amazing track record they have financially !!!!!!!!!! ;)