Access Intelligence Share Discussion Threads

[jimbobtechstock] 24/6/2015 15:03

Thanks Michael for your continued insight. I've just increased my holding - the share price was way depressed since they stopped divis, but as noted they're largely cash generative with or without returns on the R&D investment so, assuming they can scale operations accordingly there's a paper profit in there to be had (worst case) or an ROI (best case)... Keep looking at the marcap and can't help have grand hopes for this share!

[longshanks] 23/6/2015 15:14

Seems to be a Channel Islands company with a single owner - Susan Morton - husband is a director of Hawk too. Probably a tax avoidance/inheritance planning wrapper for personal holdings.

[squibno1] 23/6/2015 11:54

Any views on Hawk making an investment?

[longshanks] 29/5/2015 10:04

I agree. The wording of the annual report indicates that dividends will be reinstated soon.

[michaelmouse] 29/5/2015 09:57

Interesting to project forward here. If they cut development spend even by £1m from £4m to £3m per annum, revenues increase modestly and you add back around £800m for impairment of intangibles then adjusted EPS is somewhere between 0.6p-0.8p. A p/e ratio of 12 then gives an share price somewhere between 7p-10p. In reality I would expect development spend to fall more significantly and revenues to increase more robustly. Worth playing with the figures. I expect the company at this point would reinstate dividend payments as well given it's cash generative nature.

Michael.

[michaelmouse] 29/5/2015 09:29

longshanks - The potential acquisition would make a great fit with AIMediaComms wouldn't it? Happy to be corrected though.

I think you are right about astute management. Building up the company in a measured manner. Very sensible low key approach. I share your thoughts about the trade sale in a year or two's time.

Cheers.
Michael.

[longshanks] 29/5/2015 08:29

Thanks for that Michael - and all your other research.I bought in yesterday (managed to steal a few which were available at the bid price).I have to concur with you.Looks to me like they have now completed what has been a fairly long process of repackaging all their products. Investment requirements should now reduce substantially and cash flow and EBITDA should be in for a sustained upward trajectory.The management seem astute too - and focussed on what makes "shareholder value". I wouldn't be surprised if we see a trade sale of the business for a good multiple of the current share price within the next year or so because of the VCT involvement.The proposed acquisition doesn't look a natural fit to me. It is SaaS but it doesn't seem to fit with the Governance niche they have carved. Does it to you?

[michaelmouse] 29/5/2015 07:44

Michael Jackson (chairman) holds around 24% of the shares directly and indirectly through Elderstreet Investments.

Michael.

[michaelmouse] 29/5/2015 07:27

Totally friendless at the moment longshanks, although I can't imagine that will last too much longer.

Gross margins here are 72% and recurring revenues make up most of the £8.5m revenue reported for 2014 (77%). They are loss making at the moment, but this is because of the considerable investment they have been making in product development in recent years which will come to an end this year. In the past two years alone they have spent around £4m each year on product development. Access Intelligence is cash generative and should start to grow more strongly over the next few years. Given the conditions I've described above, it is not too difficult to envisage the huge transformation and positive effect that the paring back of development spend will have on their profits.

Imo, as with many micro-caps, it is one to accumulate whilst there is little interest.

Also noteworthy is that a potential acquisition is on the cards:-



which could be further earnings enhancing should it come to fruition. Finally, it is worth having a look at their client base which is wide and impressive.

Consider all this against a market cap. of just under £7m.

Michael.

[longshanks] 28/5/2015 19:16

Has this no friends left?

[squibno1] 30/4/2015 07:35

not forgetting -
K3 Business Technology Group PLC has acquired Willow Starcom Ltd from Access Intelligence PLC for GBP1.8 million in cash, the two AIM-listed companies said in separate statements Tuesday.

The deal, which sees Willow exchange hands free of debt and cash, will bolster K3's earnings in the company's first full year of owning Willow, K3 said.

Willow was established in 1990 and is based in Greater Manchester, in North West England. It is an IT support services company with cloud computing capabilities.

In the year ended November 30, 2014, Willow generated GBP2.7 million of revenue, earnings before interest, tax, depreciation and amortisation of GBP370,000 and pretax profit of about GBP100,000. It had about GBP900,000 of net assets at the end of that year.

[squibno1] 30/4/2015 07:27

Access Intelligence plc logoSanlam Securities restated their buy rating on shares of Access Intelligence plc (LON:ACC) in a research note issued to investors on Wednesday. The firm currently has a GBX 7 ($0.10) price target on the stock.

[orado] 13/4/2015 07:21

Zzzzzzzzzzzzzzzzzzzz

[dgwinterbottom] 10/12/2014 07:22

It would appear Michael jackson bought 1m shares in two tranches yesterday (700k & 300K)according to RNS.

[approach3] 09/12/2014 16:55

Anyone know why the spike today.

[ih_403612] 21/11/2014 13:16

Any PIs here. This has been a right load of white.

[michaelmouse] 21/7/2014 19:26

Yes, Michael Jackson (Non-Executive Chairman) has picked up another 500,000 shares at 2.9p.

Michael.

[michaelmouse] 19/7/2014 19:55

Junglist - Yes Elderstreet hold 14%. Some hefty buys again on Friday. I'd be very surprised if it's not one or more Directors buying again.

Michael.

[junglist] 19/7/2014 09:27

He holds more than 10% mickey through the investment vehicle he founded Elderstreet. Elderstreet look as though they are pretty good on the MBO scene.

[jimbobtechstock] 17/7/2014 07:45

Yes 1lf I know the sector fairly well which is why ACC became an interest and got into my portfolio. There is a sea change especially in financial sector away from "tick box" compliance towards having audit trail showing active management of compliance issues and eg proving that employees were properly briefed rather than getting a read receipt for an email and forcing them to [get their secretaries] to watch compulsory briefing videos etc.

The market will always be niche but potentially lucrative looking at the billing models for comparative products. There is a raft of smaller businesses I expect ACC will either compete against or perhaps acquire over time (metacompliance, comprobo) and then overseas listed rivals like SAI global.

My estimation that there is a growing market for the software - as well as parallel markets such growing software companies could expand in to - is why I'm relatively relaxed about losses now. Also whilst most results statements are indeed filled with smarmy BS written on a happy pill whilst wearing rose-tinted glasses from what I've seen of ACC it looks like a company with reasonably grounded and realistic outlook and prospects - again all just my personal opinion and I'm definitely not suggesting people jump on without looking very carefully at the company.

[boll] 17/7/2014 06:48

The results were a bit disappointing however the business mix is changing. This is always a problem when the business model changes from lump unpredictable revenues to more stable monthly recurring revenue which initially depress the results but provide a more predictable return. For those that are concerned about the cash position the statement states that the company is in the final quarter of its transformational investment programme. On total spend on investment in technology £4m per annum at 50 per cent of revenues moving to say 25 per cent of revenues would save £2m per year which would drop straight through to cash