Adept Technology Share Discussion Threads

[zippysix] 06/9/2022 11:35

This is starting to hurt a bit now. As a longish term holder i am now well amd truly under water. Think i will stick with it for now as I still rate the company.

[red ninja] 12/8/2022 10:14

Downing Strategic Micro Cap. I.T. July factsheet comment :-

"AdEPT Technology (+3.7%) reported a robust set of final results with impressive revenue recovery, up 18% to over £68 million, and underlying EBITDA up 21% to almost £12 million. Cash conversion was also strong, but senior net debt increased after the payment for the Datrix acquisition. We believe that AdEPT remains attractively positioned with over 70% recurring revenues and exposures into public sector, healthcare, and cloud services. We believe that high debt levels remain the biggest barrier to a re-rating of AdEPT and welcome management’s recent commitment to de-leverage."

[red ninja] 08/4/2022 11:50

hxxps://www.research-tree.com/companies/uk/adept-technology-group-plc/research/singer-capital-markets/strong-q4-order-intake-though-headwinds-persist/b133346d-92d3-4384-a12d-dc0363803f8b

Singer Capital Markets has published a new research note on AdEPT Technology Group Plc. This is a snippet from it :-

Strong Q4 order intake, though headwinds persist

AdEPT ended FYMar22 with a “markedly stronger Q4 order intake” and revenues and adj. EBITDA broadly in line with consensus. This suggests Managed Services achieved mid-single digit organic revenue growth despite the pandemic and hardware shortages. FCF was impacted by largely one-off costs of £2m (restructuring, strategic review and inventory build). Supply chain issues are likely to persist in FY23 with additional headwinds such as higher NI contributions and general macro uncertainty. We deem it prudent to trim FY22 and FY23 revs by 1% and EBITDA by 5%. With both the potential and intention to accelerate organic growth, the FCF yield of 12% and P/E of 6x offer extraordinarily deep value as ADT deleverages.

[irenekent] 04/4/2022 08:26

They need to re-instate the dividend. With this being seen as a tech company with no return why would anyone invest in these value orientated times? Good company though.

[melloteam] 29/3/2022 11:32

Just to let shareholders and prospective investors know that The Property Franchise Group PLC, Adept PLC and Duke Royalty PLC will be presenting at MelloMonday, the Mello Events webinar on Monday 11th April at 6pm.

There will be over 500 investors attending and these are very popular shows with company presentations, fund manager and investor interviews, and panel sessions.

Tickets are still available and if you would like one at half price then enter the code MMTADVFN50.

[melloteam] 29/3/2022 11:31

Just to let shareholders and prospective investors know that The Property Franchise Group PLC, Adept PLC and Duke Royalty PLC will be presenting at MelloMonday, the Mello Events webinar on Monday 11th April at 6pm.

There will be over 500 investors attending and these are very popular shows with company presentations, fund manager and investor interviews, and panel sessions.

Tickets are still available and if you would like one at half price then enter the code MMTADVFN50.

[red ninja] 18/3/2022 09:06

Mmm I've been adding a few too, but the market doesn't appear to be going for ADT.

Investor's Champion tipsters have these as a bonkers bargain.

Downings and Liontrust are on board.

Hopefully the share price will see better days.

[value viper] 14/3/2022 11:05

Added - instis adding - 5 year lows

[red ninja] 26/2/2022 13:20

Bought some more of these on Thursday at 185p.
It's true there is a war on and inflation is rising strongly, but cloud based activities seem to be a real growth area so I am hoping, assuming the world goes on, that one day the share price could recover here. I note that Liontrust was buying here in January and they are thought to be astute.

DYOR.

[red ninja] 28/1/2022 14:12

The trades listed for ADT mostly look like sells, but the share seems to be slowly incrementing upwards.

Maybe someone is slowly stake building and that's supporting the share price.

[red ninja] 19/1/2022 20:00

Liontrust investor partner lip buy 5.63% announcement today.
They must believe there is value here

[red ninja] 07/1/2022 14:20

Unique help for your finance system, the backbone of your business
Doncaster IT firm appoints specialist to help local firms get more out of their financial technology

Unique help for your finance system, the backbone of your business
Finance professionals can now benefit from a one-stop shop for advice on their technology after the only Doncaster company accredited in both Sage and Microsoft finance systems appointed a new finance specialist.

Doncaster-based AdEPT Technology Group has recently welcomed Adam Calverley (pictured), who has worked in accounting for more than ten years, offering a unique combination of accounting and IT expertise.

Adam has hands-on experience in finance, payroll, final accounts and corporation tax, meaning he can help everybody in the finance team, knowing how different roles and functions must work together.

He said: "Finance systems are often the backbone of a business. They help you manage stock, analyse performance, pay staff, and get paid.

"I'm delighted to have joined AdEPT to help Doncaster businesses with their finance systems. We have a long history of supporting local firms of different sizes and industries – and through that, we've always championed clear, objective advice."

In addition to his background, Adam is also a big advocate for honest, transparent problem-solving. He has always focused on building long-term relationships rather than the quick fixes that unfortunately can happen with technology.

Adam's arrival also means the AdEPT Doncaster branch is the only IT company in the region accredited in both Sage and Microsoft Dynamics Business Central, Microsoft's own cloud-based finance system. He is also keen to show businesses that finance systems needn't be complicated and over-engineered – and there are many ways these systems can be streamlined and modernised to better suit the internet age.

If you'd like to learn more about how Adam can help, you can say hello to him through LinkedIn. Alternatively, you can call the AdEPT Doncaster branch on 01302 774 820.

And for more about AdEPT's approach to finance systems, see:

AdEPT and Sage – how we can help you upgrade from Sage50 to Sage200: [...]

[red ninja] 10/12/2021 13:39

Downing Strategic Micro Capital I.T November factsheet comment :-

AdEPT (-23.5%) also issued interim results in the period with respectable organic growth in the targeted Cloud and Managed Services segments of 6% and 4% respectively, offset by ongoing (and expected) decline in traditional telephony
revenues. Profitability and cash conversion was strong, with EBITDA of £5.7 million and underlying free cash flow of £4.3 million generated in the half year. As has been the case with AdEPT, fixed line decline masks the underlying growth and quality of earnings and cash flow of Cloud and Managed Services, but
at 13% of sales and declining, it is not long until this becomes an immaterial part of the business and a significant re-rating catalyst ought to emerge. Given the recent share price decline, there is a significant valuation anomaly with the shares trading on less than 7x EV/ EBITDA and P/E and approaching a 15% free cash flow yield for this year.

[red ninja] 10/12/2021 12:49

AdEPT: international contract
AdEPT (AIM: ADT), the provider of managed IT services for IT, has tried to encourage shareholders with news of another international win.

Datrix, a Smart Infrastructure and Cyber Security solutions provider which AdEPT acquired in April, has secured a “strategically important contract” with a leading global financial services business.

The managed services cyber security package is worth £1 million to AdEPT over the next three years and is the second international contract to be secured by the recently acquired business.

It’s good to see some organic growth, which will hopefully encourage management to keep away from acquisitions for a few months and get the debt down.

[red ninja] 03/12/2021 11:29

Looks like the share price overhang may have cleared as price moving upwards and cannot get a quote to buy a reasonable amount.

[red ninja] 27/11/2021 12:06

Investor's Champion comment (subscriber access) on last results :-



"Despite the attractive cash generation, we aren’t sure the market likes the debt load carried by this business. Net senior debt at the period end was still a hefty £31.2m, and £38.1m if one includes the dilutive convertible debt.

The outlook statement confirmed that AdEPT is on track to achieve management expectations for the year ending 31 Mach 2022.

Full year March 2022 adjusted forecasts are for earnings of 28.8p. At the current 216p share price this represents a very modest earnings rating of only 7.5x, although forecasts allow for plenty of adjustments.

The c£54m market capitalisation and Enterprise Value of £92.1m (including the convertible) equates to 8.9x forecast adjusted EBITDA of £11.7m for March 2022.

The shares look cheap on many levels and may remain so until the debt can be brought down, and there is also the issue of the convertible.

In August 2017 the Group raised £7,293,726 in the form of a convertible loan instrument from BGF to part fund the acquisition of Atomwide. BGF has the right to convert the loan to 1,855,910 shares at a share price of £3.93 per share at any time. The loan instrument can be redeemed by the Company from the third anniversary and bears an interest rate of 7%. 1.8m shares is equivalent to 7.5% of the current issued share count, although the conversion price is over 80% higher than the current share price.

We are of the view that management should focus on organic growth for now to generate cash and reduce debt. The shares should then start to perk up."

[red ninja] 18/11/2021 11:28

Well in for a buy back top up at 2.04 by limit order.
I didn't expect it to drop that quickly.
On a future earnings basis it does not seem expensive, but time will tell whether it was a wise move. DYOR.

[red ninja] 18/11/2021 09:13

Still a volume seller out there it appears.
I can buy at 209 now.

[km18] 17/11/2021 17:24

AdEPT Technology Group published its interims this morning. Performance has been solid, revenue up 20%, adjusted profit after tax up 16%, adjusted fully diluted EPS up 30%. The business was growing solidly for 5 years pre-COVID and looks set to extend that pattern post-Covid in FY22. Top line growth has also generally fed down to bottom-line EPS growth, consensus estimates are for FY22 EPS of 29p which would be a new record. Valuation is very attractive, forward PE ratio of 7.2 is comfortably top quartile for the Telecommunications Services sector. And the company is reasonably high quality, ample cash, modest net debt. All that is missing is some momentum. Share price is currently in a 30%+ correction. The business looks solid, but there is no rush to buy here, one to monitor for the time being....from WealthOracleAM

[red ninja] 17/11/2021 08:54

Value Viper,
Yes, it may be an issue, they are hoping they will be resolved by FY, but obviously it is an uncertainty.

[value viper] 16/11/2021 20:17

Thanks Red - hadn't seen.All good Only note of caution perhaps (at end) is supply chain annoyances need resolving in order that they can hit the FY expectation.

[red ninja] 16/11/2021 19:27

Adept on proactive investor :-

[red ninja] 16/11/2021 15:44

Just in case anyone missed it ADT on IMC :-



Note you need to register.