Accsys Technologies Share Discussion Threads

[andy] 09/12/2008 01:44

New article!

[asmodeus] 08/12/2008 11:00

Well - the share price has, indeed responded. It's fallen! (By 6.8% it says here). Edit: but that was at 11.00 a.m. Now it's up by about 10% .(3.00 p.m.)

[hashertu] 08/12/2008 10:42

Note this comment from the accounts.

"The Company has a current market capitalisation of approximately €210 million. Whilst 2008 has not been an easy year in the public markets, and the Company's share price has fallen by almost 60% since the 1 January 2008, it has performed in line or slightly better than the overall market index for its relevant listings on FTSE AIM 50 in London and NYSE Euronext Amsterdam. Although the shares have seen good liquidity, we believe that they also may have been subject to significant 'short selling' in the period, perhaps due to their better liquidity than other AIM stocks. The management is focussed on delivering results for the business and believe that in doing so the share price should take care of itself. It is therefore the positive business developments on which we maintain our focus."

According to Euroclear, 11% of stock (average over month) was on loan during November. This is pretty high compared to most stock.

I have read that one justification to allow shorting is that it improves liquidity. Here, WP is saying that liquidity may have allowed shorting. How perverse!!

[asmodeus] 08/12/2008 08:06

Very impressive results this morning. But will the share price respond??

[scrutable] 07/12/2008 01:52

Interims out on Monday 8th 'if possible' according to Park Green Comms.

Should be strong enough to create visibility for this extraordinary share.

[dumbarton2] 20/10/2008 14:44

Not good looks like it will fall to its listing price or even below.

[andy] 28/8/2008 09:05

New article just written.



What has Accsys Technologies PLC got in common with Chipotle Mexican Grill Inc, Google Inc, and Staples Inc? Give up? Accsys has just been included in the 2008 Sustainable Business Twenty (SB20), a list of the world's top sustainable stocks that is published annually.........


For full report, click link below;

[hew] 27/8/2008 08:27

D Tel yesterday carried a profile of W Paterson-Brown. Nothing much of interest.

Two comments perhaps:

re a let-up in consumer demand he said: "certainly is not in the Far East and Middle East. We are in the Middle East and Far East and will move to Europe and the United States";

re being "most shorted" Aim share he said: "we have got quite good liquidity. We have 155m shares outstanding, and a free-float of about 100m shares ..... we look forward to the days when the bears have to cover!"

[clearsoup] 16/8/2008 22:25

Might it be processing carried out on behalf of licensees, eg whose own plant is not (yet) able to supply sales they have contracted. (A complete guess: let us know what the co has to say).

[hew] 15/8/2008 08:13

Q1 Statement RNS today.

"Sales revenue for Accoya® wood, produced at the Group's plant in Arnhem, The Netherlands, increased by 38% quarter on quarter, with sales volumes increasing by 131%, due to an increase in the proportion of toll processing."

Before I trouble AXS, can anyone explain the "toll processing". Obviously it means "at low cost". Is it perhaps material that has already been paid for within some licence arrangement? Or is the difference between Rev and Sales merely that billing takes place subsequently to delivery?

[goodgrief] 13/8/2008 10:41

You mean a bit like marine ply and cheap chipboard...

[hew] 13/8/2008 10:36

But lets remember that Accoya and Kurawood are chalk and cheese ------- well, so to speak!

[shawzie] 13/8/2008 08:22

Kurawood plunges on funding talks

[damanko] 12/8/2008 08:21

12/08/2008, RNS:

Accsys Technologies unit signs Chinese licence option deal




LONDON (Thomson Financial) - Accsys Technologies Plc. said its Titan Wood Ltd. unit has signed a licence option agreement with Diamond Wood China Ltd., for the rights to manufacture Accoya wood in China for additional nameplate Accoya wood production capacity of 250,000 cubic metres.


The environmental science and technology company said Diamond Wood will have
rights to expand their production volumes to 750,000 cubic metres, thereby
extending their exclusivity in China until 2018.

The deal also involves an immediate payment of 250,000 euros, the company
said.
[e-mail]
ndi/ms1

[roughjustice] 02/8/2008 19:53

Tipped on - episode six

[wad collector] 27/6/2008 19:50

Tipped in IC today.

[hew] 25/6/2008 17:59

mickey,

Thank you for your thoughts - worthwhile! I am really busy at present but I have skimmed the words again, not the numbers properly yet.

Re D.W., yes it is quite openly a start-up, with some money (13%) and the CEO from AXS. Just a marketing operation for China I think. Yes - that will be the 6m Euros.

They do seem to have recognised all the Rev. The rules seem to take some hard reading, but as a real profit has been reported, tax paid and a dividend due, I guess this is legit. Rules refer to deferred income as a liability, but none is shown. I'm rather surprised too.

Assuming the Rev is thus brought in as cash, of 27,328 Rev, the business cost 24,575 inc tax. Working Cap plus property absorbed 9,782 and they put 6,000 into D.W. So just on that crude basis they are 13,029 down. Tax not yet paid so 11,665.

Cashwise, they raised 42,534 from finance, plus interest makes 43,862. The net cash increase was 35,414 so that gives a "spend" of 8,448. (To compare with the 13,029 down on the very crude calc above.) Without more time I cannot try and reconcile - neither have I gone back to the interims. But I don't see anything to flash a warning. I am not an accountant either!

Re the process, yes, it seems clear they have more work to do, both re lowering prod costs and getting a wider range of timber through - but spelt out, including under risks.

Broadly, I agree with your last para. However I do place some faith in the people in the org and the testing and quality processes undertaken. (Fingers crossed here!) Also I believe the numbers will be reconcilable given some more time. Any further help here much appreciated! Yes, it is still a jam tomorrow outfit, and yes, some way to go. But the potential product and market are huge and I don't think there is any question that the product is not "genuine" and usuable (and testable).

Be good if you can give numbers as they move from the Ints.

Hew

[smiling mickey] 25/6/2008 01:40

Hew,

Diamond Wood China appears to me from its web site to be a start up Company which has recently raised funds from various international investors. It appears to have no current interests or assets in wood treatment in China. It is based in Hong Kong.

I can only assume that this Company intends to start to try to sell licences to wood processors in China from a standing start

ON this basis this Company appears to be more like a distributor than a licensee and the agreement between it and AXS appears to be more like an up front payment for an exclusive deal for Diamond Wood to sell AXS licenses in China.

I am assuming that the 6 million euros you refer to in your post is the payment made by AXS for its 13% share of Diamond Wood China. So in terms of cash movements into AXS from Diamond Wood you can reduce whatever has been previously announced/reported by 6 million euros.

I have some difficulty understanding how the licence revenue is reported. I'm not an accountant so maybe I'm missing something but the accounting notes on how licence revenues are "recognised" are as clear as mud to me. I certainly don't understand how one can report more than 20 million euros in the second half of the year from licence fees and have such a large net cash outflow.

It's impossible to work out what the sales revenue of goods sold from the plant in Holland as the license and sales revenues are not separated. If you double the sales revenue announced in the first half (when I believe there was no licence sales revenue) to get an annualised sales figure and compare this with the accounts receivable and the inventory values the ratios seem to suggest that accounts receivable and the inventories are very high compared with sales. Also the cost of goods sold has rocketed in the second half compared with the interims (I guess this could be because of much higher sales but I would have thought that AXS would have made some positive noises about substantial increase in sales and output if this had been the case).

IHMO AXS is not yet in a position to sell a "real" license because as yet its processes are not yet finalised/approved. Also note the AXS comments about 2 different processes one being lower cost than the other. Alarm bells ring with me that the production cost of the one they are currently operating may be uneconomic. Another alarm bell is the need to have data on various wood species in order to convince potential licensees that the process works for their particuolar wood types. That seems an awful lot of development work to do with quite long lead times to get results.

[hew] 24/6/2008 18:32

mickey, do you mean diamondwoodchina.com? Seems to be the right one - Google throws up several different organisations.

Not yet gone through the accounts. Cash has dropped from approx 59,000K at the Ints to 46,000K I see. I will have a proper look but not for a few days.

I see against an operating profit of 4,117K, the operating cash absorbed was 703K. There are some substantial other expenditures - 6,000K for some investment "available for sale". Anyway, why don't you spell out what you see - no problem if you are quoting extracts from the results!

[smiling mickey] 20/6/2008 09:22

Some questions about yesterday's announcement

Take a look at the Diamond Wood web site to assess the credentials of this licensee.

Try to work out why the reported profit has rocketed in the second half but there is a lot less cash in the bank since the interims.

Look at the ratio of acounts receivables and work in progress to product sales revenue from the Arnhem plant

[solotrom] 19/6/2008 12:52

Did anyone else notice today that someone just stuck a sell order for 4.5 mil shares onto the book at 2.75 (only one MM in front of him)...? Someone holding the price down...?

Edit: Hmmm... Surpise surprise, order is removed after mid-price drops. Someone playing with the price or will there be a delayed trade reported...?

[damanko] 19/6/2008 09:02

Have updated the relevant info in the header, taken from tofay's RNS, ie significant holdings at 5th June 2008, directors interests & options etc.

[silverthread] 19/6/2008 08:50

Excellent RNS.

Into profit..... exceptional rise in sales ..... maiden dividend......

Accsys Technologies swings to FY pretax profit; declares maiden div UPDATE

LONDON (Thomson Financial) - Accsys Technologies Plc. swung to a full-year
pretax profit driven by an exceptional rise in sales revenue and said it is well
positioned to meet the demands of global commercial success.
For the full-year ended March 31, 2008, the environmental science and
technology company posted a pretax profit of 5.45 million euros compared with a
pretax loss of 22.19 million euros a year earlier, as revenues jumped to 27.33
million euros from 50,000 euros earlier.
The company declared its maiden dividend of 1 euro cent per share.
Chairman Willy Paterson-Brown said: "Interest from around the world
continues to grow and we are in active discussions with other potential
licensees, agents and distributors in key territories."
Separately, the company said it has appointed Kevin David Wood as the chief
financial officer effective from June 18 replacing Glyn C Thomas.
Thomas resigned on June 18 to assume the full-time role of CFO of Accsys's
licensee, Diamond Wood China Ltd.