7digital Share Discussion Threads

[barnetpeter] 23/8/2018 12:34

certainly doing well at the moment. Lot of business here and although I am a bit doubtful about how they translate that to profit, I would not be surprised to see a bigger player take this out at 10 pence or so. A lot of the work has been done and the contracts in place ...personally I dont know if 7dig will ever make this model work...I think they are just too small... but a bigger player might well. It is probably worth more to them than it is as a stand alone.

[dickiebird2] 23/8/2018 11:28

6p paid !!

[russ505] 21/8/2018 17:59

Anyone heard of Spinnup.

[lagansider] 21/8/2018 16:38

Yes, now a 1million trade @5.5p, could we be about to go up a decibel or two?!

[dickiebird2] 21/8/2018 16:21

Something brewing I think , not beer !

[tiger60] 21/8/2018 16:16

Pressure building

[dickiebird2] 21/8/2018 15:48

What's going on with the trades ??

[saul goodman] 19/8/2018 17:50

Posting on a FBB?

[tiger60] 19/8/2018 17:35

That is the new accounting rule stating you need to calculate a LGD (loss given default) and pd (probability of default - one year and lifetime) etc. on financial instruments even if they are not showing any sign of default. Preventative accounting rather than recognising on a default event which impacts capital requirements

This is industry wide and has resulted in many major projects in banks with internal rating models being re callibrated aligning with guidelines from central authorities. This is country wide. Reporting issue only but a cost in terms of monitoring and reporting credit risk. Companies have the choice of adopting a simple model based on central models or internal ones

The fact that they failed to prepare for this in 2017 is a mystery as it has been a hot topic. What was mr honey doing?

[daz] 19/8/2018 16:30

Yes, the acquisition of 24-7 completed on the 21st June last year, so unless they break out organic growth, it's not going to be easy to tell and may be a judgement call.
They have already taken a 359k exceptional charge for restructuring in 2017 but I expect there will be more to come.
I just noticed this paragraph in the results statement. It does say potentially, so may be I'm reading too much into it but it does seem to lay the ground for another charge.
'... In relation to IFRS9 and the measuring of the impairment of trade receivables, the Group anticipates adopting the simplified approach available under IFRS 9 to calculate impairment provisions based on their life-time expected losses, instead of having to closely monitor changes in credit risk with the counterparty. Under this approach, the Group will measure impairment losses based upon a probability weighted approach to expected loss, even if no indicators of impairment exist at the balance sheet date. Potentially, this will result in impairment provisions being recognised at an earlier stage than currently. As a result, the Group is currently undertaking a review of its trade receivable provisioning policies, which will be complete by the issue of our interim results for the period ended 30th June 2018, in which the full impact will be disclosed and recognised. There will also be minor changes to the disclosures in the financial statements in order to comply with the new standard.'

[monte1] 19/8/2018 09:22

Spot on daz - and be wary of these H1 ‘growth’ comparisons with last year, they are not LFL. And these ‘integration’ savings that are going to kick-in, what are the one-off costs associated with them?

[daz] 19/8/2018 08:45

Good post Tiger,

It actually makes me quite angry hearing him gloss over previous promises and the lack of responsibility he personally takes for the current situation.

As you say, the revenue growth he talks about over the last few years is all acquired and not organic. He does talk about growth in H1 this year but we will have to wait for the interim's to judge that.

As CEO, he is responsible for internal systems and if the financial reporting was deficient, it is ultimately his responsibility not just the CFO, he should have been insisting on the highest reporting standards not just delegating that to the CFO, who seems to have taken the full rap for this.

He talks about the increasing complexity of the business arising from the takeovers but that doesn't wash with me, he should have realised this before the takeover and integration plans should have made.

I hope that no bonuses will be paid for 2017 or this year, as they clearly haven't earned them.

Like I suspect a few others on this board, I like the sector but am deeply suspicious about the management and their trail of missed forecasts

[officiallyrob] 18/8/2018 23:23

I've given up speculating when we'll get anything. We'll find out on Monday.

[pj84] 18/8/2018 23:14

Will there will be an RNS first thing Monday?

[pj84] 18/8/2018 23:11

"Over the coming days" is unusually specific in terms of timing, so it will be interesting to see what is disclosed.

[russ505] 18/8/2018 14:41

6 minutes 37 seconds in. "Over the coming days you will see some customer wins that we will be disclosing"

[dickiebird2] 18/8/2018 13:31

Yes T60 he does need to deliver the time of all that hot air and bull sh.t is fast running out . Been in 4 year now GLA.

[tiger60] 18/8/2018 11:44

The trolls will troll and the cyber bull(y) will appeal to investors basic instinct - greed

Simon Cole does what he does best - talk - see full interview on Edison site. He is articulate and clever but I am amazed there is no furore about dropping the promise of profit in 2018 after making similar promises in previous years and having to backtrack.

Lets put some context on what was said and what was not said. He bigs up a 50% increase in revenue but that wasnt organic growth. That was the client becoming our biggest shareholder and cost holders a 100% dilution. We paid for it. Revenue is vanity profit sanity is the old saying. Yes we can leverage off this position and grow via reference to successful integration and a volume service but lets not kid ourselves that this revenue was pure sales related. It cannot be repeated by bringing clients on board as shareholders

He also talks about an inflexion point for the company. Integration onto one platform in sept/oct will be truly transformational in relation to our cost base when it happens. Long term investors will remember hIs last interview also said the company had reached an inflexion point and was a racing car on the start grid - the promises then did not materialise

He states we are talking to the two biggest retailers in the world - so back to the old Walmart story - name checked in the december presentation and verbally last year - still waiting, maybe mentioned again next year...

It is all about delivery. I think SC is a great spokesperson but in a few days and weeks as the feel good factor of his words fade we need new contracts, organic growth and to realise the cost cuts.

The fact 2018 is 2/3 through has whitewashed any retrospective of previous claims as we look forward to 2019 and profits. And for all of the above I still believe this is a growth stock with huge potential but take the spoken words with a pinch of salt as long term holders know what is said and what is delivered are not necessarily the same.

When Walmart sign we can party. I should add the potential for the share price to multi bag on any major contract is a real one. It is an exciting proposition. Execution is key.

[lagansider] 18/8/2018 09:13

Hi RP19, yes - proof will be in the pudding. FWIT, I tend to side on sidelines when mud is being flinged about.

[pvi1] 18/8/2018 08:53

RP19. it should also be noted that the gobby trolls have gone quiet the last 2 days

[russ505] 18/8/2018 07:26

Listen to today's podcast, featuring 7digital

[rp19] 17/8/2018 23:18

No agendas here but some posters who have been quiet during periods of discontent seem happy to pipe up again. At the end of the day the numbers, and not the huff, need to blow the house down. Time to deliver.

[lagansider] 17/8/2018 19:34

Looks like someone liked the news, or possibly a post results release Director Dealing perhaps;- a 750K share trade @ 5.40p. Will be interesting to see if any announcement made regarding it.

[loobrush] 17/8/2018 19:01

Arden Partners buy tip should be 9.5p

[loobrush] 17/8/2018 19:01

Arden Partners buy tip should be 9.5p