Accesso Technology Share Discussion Threads

[aimingupward2] 04/5/2022 08:05

Thanks rivaldo. Thats rather as I thought on reflection.

[rivaldo] 04/5/2022 08:01

Hi aimingupward2, only just seen your post 5139, apologies.

To clarify, it's Proactive's article stating Shore Capital's figures are for 2024, not me. I only have access to the article as you do, not to Shore's source note since Shore don't seem to have loaded their note on to Research Tree.

I suspect the year in the article is a typo, i.e it should say 2022, not 2024? Given the cash pile movement in 2021, i.e increasing to $64m from $30m, a similar increase this year would take the cash to around $100m, so it's possible to see Shore's forecast of $121m cash being for the end of 2022 rather than only being achieved after two more years, especially given the very strong trading in early 2022 outlined in the prelims.

[perceypig] 02/5/2022 10:58

As I said it’s a UK company that just happens to trade a lot in the US.
I rest my case

pp

[eigthwonder] 02/5/2022 10:12

"The Company’s main country of operation is in the USA".

As per the company's website. Sure it has an AIM listing but it is essentially a US company.

[perceypig] 02/5/2022 09:45

eigthwonder: For your information, accesso is a UK company not a US one

pp

[aimingupward2] 01/5/2022 15:03

Hi. Rivaldo. I’ve been looking back at earlier posts and have a query re yours, 5130, on 11th April.

You say at the outset that Shore Capital predict $36.9m PBT and $121m cash pile “by the end of the year” (meaning 2022?). But then at the end of your post you repeat these figures but say they’re a new forecast for 2024. Could you please clarify which it is. If the latter, then do you know what is expected by Shore for this year and next?

Many thanks.

[eigthwonder] 30/4/2022 17:09

It’s a fine company with good market positioning. It’s also a tech company, a US at that, at US tech is friendless at the moment.

[bouleversee] 30/4/2022 09:56

I expected the share price to go up. Have given up trying to understand the stock market.

[2cbg] 30/4/2022 08:38

Thanks Rivaldo - excellent presentation.

[strollingmolby] 29/4/2022 10:15

Thanks for posting this video, Riv - it makes for very pleasant viewing given how bullish they both are with the opportunity ahead of them.

[rivaldo] 29/4/2022 08:45

The new presentation can be seen here and is excellent (ACSO are the final company presenting), with the CEO being particularly confident:



Highlights:

- "our demand has never been so high"
- a $64m cash pile, up from $34m in 2020
- in 2021 ACSO won 50 new venues and achieved 64 eCommerce contract wins
- the Merlin contract has bee renewed to Aug'26 and Six Flags through 2025
- Passport has 96.1m reservations in 2021 compared to 56.7m in 2019 pre-pandemic due to consumer adoption of mobile technology
- attraction operator needs due to labour shortages are now meeting ACSO capabilities in mobile tech via food and beverage ordering, mobile apps, guest identity etc
- "demand for our services is truly remarkable now"
- a US listing is on the radar, but not top of the list and very happy on AIM

Key growth drivers:

- cross-selling to over 1,000 customers, i.e ecommerce to ski resorts
- gaining new customers, with high demand and a good sales pipeline
- possible acquisitions using the cash pile

[rivaldo] 26/4/2022 14:17

ACSO are one of three companies presenting at 6.00 on Thursday evening - free registration:

[w13ken] 19/4/2022 15:30

Cheers rivaldo, I'm very bullish about ACSO for 2022. A nice 6.4%+ rise today was welcome and here's hoping we'll be 900p+ by the summer.

[rivaldo] 19/4/2022 08:33

We already know that ACSO had a very good 2021 and that this year has started well.

And that's despite last week's news from Merlin that although the number of its visitors across its global operations in 2021 rose from 22.1 million to 35.2 million, this was still "some way short of the 67 million recorded in 2019".

The CEO said "he expected domestic business to return to 2019 levels this year, but its international business would probably take until the end of next year".

Imagine ACSO's results when international business fully returns. In the meantime UK and US attraction visitors should be back to normal or almost normal this spring and summer:

[rivaldo] 11/4/2022 13:46

Shore Capital say Buy today - they predict $36.9m PBT this year, along with a whopping $121m cash pile by the end of the year. At which point the cash pile would represent almost 30% of the m/cap!



"Accesso to generate mass of cash predicts broker

Trading this year is said to have started well, with traction within North America

Accesso’s full-year results were encouraging says Shore Capital, which has stuck a buy rating on the virtual ticketing and queuing group.

Last year, 2021, was an exceptionally good year, it says, boosted by a greater mix towards higher-margin revenue segments, such as queuing, ticking and eCommerce positively impacted gross margins.

Transactional revenues continued to increase in line with easing restrictions, and an abnormal shift in revenue mix, along with prolonged cost savings, positively impacted group margins.

Trading this year is said to have started well, with traction within North America and an increasing consumer appetite for leading-edge eCommerce solutions.

As trading normalises, the cost base is expected to rise, given the operating model and industry wage pressures, however, ACSO has stated that it expects another cash generative year building on the year-end cash balance of above US$60mln.

In a new forecast for 2024, Shore Capital has pencilled in sales of US$165mln and underlying profits of US$36.9mln, with net cash rising to US$121mln by the year-end or more than double the end of 2021."

[rivaldo] 25/3/2022 08:32

New interview with the very bullish CEO, particularly as regards (1) consumers wanting to do everything on their smartphones, and (2) the benefits to operators of reducing labour costs, both of which are being enabled by using ACSO's products:



"Accesso Technology Group hails 'remarkable' profitability that is 'four times 2019'
Mar 23, 2022

Accesso Technology Group PLC's (AIM:ACSO, OTC:LOQPF) Chief Executive Steve Brown joins Proactive London's Katie Pilbeam to talk about their 'remarkable' year in 2021.

In the 12 months ended 31 December, accesso, which provides ticketing and queuing solutions for theme parks and entertainment venues, saw its revenues grow 123% to US$124.8mln. This resulted in a 346% increase in earnings (EBITDA) to US$28.1mln. It ended the period with net cash of US$64mln.

The firm recorded revenue and record profit during what he described as another challenging year and many of their markets continue on the recovery road."

[rivaldo] 24/3/2022 13:31

RNS - Canaccord have been buying. They've bought around another 530,000 shares since their last disclosure (via Hargreave Hale), so at least £4m's worth.

They now won 4.64m shares, or 11.25%:

[rivaldo] 23/3/2022 07:11

News - a new long-term contract win with a new client for eCommerce, on-site ticketing and mobile food & beverage technologies.....



"accesso® Kicks Off Multifaceted Partnership with Pyek Group, Powering Four North American Waterparks
Mar 21, 2022, 08:00 ET

International Solutions Provider Delivers Portfolio-Wide Support with eCommerce, Ticketing and Mobile F&B Solutions

ORLANDO, Fla., March 21, 2022 /PRNewswire/ -- accesso Technology Group plc (AIM: ACSO), the premier technology solutions provider for attractions and venues worldwide, has signed a three-year agreement with Houston-based Pyek Group to serve as the dedicated provider of eCommerce, on-site ticketing and mobile food & beverage (F&B) technologies for the management group's four North American waterparks: Typhoon Texas Austin in Pflugerville; Typhoon Texas Houston in Katy; Cowabunga Canyon (formerly Wet 'n' Wild Las Vegas) in Spring Valley, Nevada; and, Cowabunga Bay Las Vegas in Henderson, Nevada. Through this partnership, accesso solutions are actively supporting 160 salespoints across the four Pyek Group properties.

Consistently ranked among the United States' most-attended waterparks, Typhoon Texas Austin and Typhoon Texas Houston boast awards from the World Waterpark Association for excellence in safety and operations.....

Pyek Group has also implemented accesso solutions at two Nevada waterparks – Cowabunga Canyon and Cowabunga Bay Las Vegas – which the management group owns and manages through a merger completed in November 2021.....

"Pyek Group is pleased to welcome Accesso as our dedicated technology partner to support the operations of our state-of-the-art waterparks," said Evan Barnett, President of Pyek Group. "In today's digital environment, it's crucial to give guests robust, yet easy-to-use, control over their own experiences, and we're looking forward to making that concept a reality for our valued guests."

Together, Pyek Group and accesso are streamlining and enhancing the guest experience at all four waterpark venues with the introduction of three distinct solutions:

With support of the fully hosted accesso Passport® eCommerce ticketing suite, Pyek Group is empowered to deliver an easy-to-use eCommerce experience for guests of its North America waterparks, conveniently available via desktop, tablet or mobile device. Pre-trip planning is a seamless experience for guests, with Pyek Group's ability to deliver personalized up-sell, cross-sell and quick-sell opportunities across its online storefront – from beverage packages to parking passes, cabana rentals and more.
To support on-site transactions, Pyek Group is leveraging the accesso SiriuswareSM point-of-sale ticketing solution, which provides operators with a complete view of their guests' purchasing behavior all on one platform.
With accesso's guest experience management platform, Pyek Group has enabled mobile F&B functionality across its waterpark properties, providing guests access to mobile ordering and restaurant arrival time booking functionality. The solution gives guests the power to curate the dining experience they desire, with easy access to dining information and menu specifics that they can explore at their own pace – all from the convenience of their mobile device. Once they decide on their restaurant, they can book an arrival time or go straight to ordering their food. When ordering, guests can customize their selections, claim special offers customized for them and choose their preferred method of order fulfillment – from anywhere throughout a venue, at any time and with any device."

[rarecontributor] 22/3/2022 21:31

It is true that there’s a $9.91m tax benefit included in the $22.018m profit figure but it’s also true that capitalisation of development costs was only $0.72m in 2021 compared with an amortization of development costs of $9.32m. That makes the profit figure look worse than it really is as I’ve gone over in a couple of previous posts. The Cash EBITDA figure of $28.14 and change in Net cash of $34.25m tell the real story. An excellent set of results given that distribution revenue was down $9.1m on 2019 levels during the first half of 2021 due to Covid closures in theatres and live entertainment venues and ended up $11m down for year based on 2019 revenue. Californian and European parks were mostly shut too. In fact overall theme park attendance was 27.7% down on 2019 levels. I find it difficult to believe that with continued recovery from Covid affects during 2022 combined with the significant amount of new business gained and the very strong order book that revenue for this year will be any less than $140m. Admin costs were flagged as being 8 – 12% higher for 2022 largely due to increased labour levels to capitalise on the increased demand but the additional revenue will easily absorb that. I see a re-rate to at least 5 to 6 times revenue during the course of this year which would support Peel Hunt’s target of 1300p.

[w13ken] 22/3/2022 18:38

Cheers for the updates Rivaldo. I topped up again this morning and have high hopes for the next 18 months.

[rivaldo] 22/3/2022 14:43

Depends which figures you use! The 61.1c adjusted EPS for last year equates to around 46p EPS, so that's a historic P/E at 818p of 17.8, but which includes the significant income tax benefit.

Better to use the figures in this analysis now up from Peel Hunt, who have a 1300p target price (to which the upside is some 60%, not the 37% quoted!):



"Accesso investors thrilled as ‘outstanding’ performance impresses City analysts

Accesso is highly undervalued, according to stockbroker Peel Hunt, which calls it a huge Covid-19 exit play.

Having white-knuckled through Covid lockdowns investors in Accesso Technology Group PLC (AIM:ACSO, OTC:LOQPF) are again seeing the AIM-quoted stock as something of a thrill-ride, as parks reopened though 2021.

Accesso was boosted on Tuesday by upbeat set of financial results which, in the words of chief executive Steve Brown, saw a "simply outstanding" performance for the theme park ticketing and virtual queuing services firm.

The shares advanced around 7%, trading at 822p, after the company revealed 123% revenue growth to US$124.80 in 2021, driving a 346% increase in earnings (EBITDA) to US$28.1mln.

“We delivered record revenue and record profit during another challenging year in our end markets as they continued to recover at varying levels through the year,” said CEO Brown.

Key to the performance has been the appetite of theme park operators to make efficiency gains, reduce labour costs and optimise digital revenue streams – all in the wake of the reopening of parks following the Covid-impacted 2020.

“In the near term, we'll invest squarely behind this increased level of demand to secure the long-term, repeatable revenue during the crucial adoption phase,” Brown added.

“We will also see a welcome return to more normal operations and full staffing levels which will support the growing demand for our solutions and allow for continued innovation."

Analysts at Peel Hunt, meanwhile, reckon Accesso will now deliver another cash generative year, despite expected higher costs in 2022.

“We expect to upgrade revenue for 2022 by 3%, driven mainly by the faster than expected recovery in lower-margin distribution seen in 2021,” Peel Hunt analyst James Lockyer said in a note.

The analyst also expects to upgrade his expectations for cash earnings by some 17% for 2022 and 22% for next year.

“Given this strong outperformance and upgrade we reiterate our ‘buy’ recommendation and 1,300p price target. Today’s share price implies Accesso is trading on a 2x FY2023 EV/Sales and 15x FY2023 EV/cash earnings on our new numbers.

“This shows Accesso as highly undervalued given its operational leverage, a play on the offline to online shift, and a huge Covid-19 exit play.”

With a 1,300p price target, Peel Hunt sees some 37% upside to the current share price.

Elsewhere, analysts at Shore Capital – which also rate Accesso as ‘buy’ - said they’ve been pleased with the quick recovery and the upgrades.

“We continue to believe that Accesso has a compelling proposition in line with industry digital / consumer trends and is well placed for future sustainable growth.”

Accesso, in this morning’s statement, pointed to a positive start to 2022.

Investors were told trading volumes for January and February had been "encouraging".

For example, accessoPassport ticket business for North America was double that of 2019 as a result of the new customers brought on board over the past two years.

“Whilst we remain cognisant of the relatively early stage in the year, the impact of tiered pricing at higher volumes and revised terms related to enterprise renewals, we are cautiously optimistic about another year of good progress,” the company highlighted."

[montyhedge] 22/3/2022 13:40

I make p.e around 21 is that right?