Avanti Communications Share Discussion Threads

[diablo1967] 10/9/2013 16:19

I see the shorters are panicking (shame) Revenues growing, as is the backlog. Cash flow positive. Good quality assets. Current Mcap £230m. Net assets £240m. Backlog £290m. Expected Revenues are:FYE June 2014: GBP42 millionFYE June 2015: GBP46 millionFYE June 2016: GBP40 million2017 Onwards: GBP162 million

[diablo1967] 10/9/2013 15:35

Sub £2.50 will be gone very quickly probably on shorts closing alone ...Can't reiterate enough the huge upside potential given the following comments ..."Current Trading and OutlookSales momentum is growing well with 40 contracts signed in the second half of the year producing revenues in the current financial year. Several major tenders have either been awarded subject to contract or are due to complete soon and we currently have 17 pilot projects live with potential customers.With GBP39 million of cash on the balance sheet at year end and operating cashflow positive reached in June, we have the comfort of sufficient cash to cover debt repayments for two years. We plan to meet those obligations from cash generated from operations and with Backlog in FYE 2014 of GBP42 million, we expect to generate strong positive cash flow from operations this year.The Company continues to investigate some significant new business opportunities, and believes that the flexibility to grow offered by a bond financing structure might be more suited to its medium term needs. Avanti has accordingly retained advisers to consider bond finance options, with a view to enabling it to respond quickly and positively to these opportunities as they arise."Regards

[wizard2020] 10/9/2013 14:37

Not a great tip from long time Avanti bull Tom Bulford on the 11th July 'Avanti is at the stage now where it needs to deliver the numbers to back up the optimism, and this is just not happening. I had high hopes for this company. I have shares in Avanti myself. But I'm afraid now is the time to SELL' sometimes patience pays.

[diablo1967] 10/9/2013 14:14

This has been outstanding value and remains so ...I cannot stress the significance if this major milestone of becoming "cash positive " it's a huge indicator that now is the tight time to invest for 2014 ..In sure that a return to above the three pound mark will not take that long and this certainly looks more viable as a sound investment choice going forward .Oh and I love it when the shorters get burnt( sorry guys no offence )Regards

[woozle1] 10/9/2013 12:22

Hope the shorters have plenty of lubrication. This must be hurting!
W

[thescoop] 10/9/2013 12:04

Fabulous entry price anywhere below £2.50 !

[jeffian] 10/9/2013 11:18

It's not a question of "doubters", yorgi. The point (for me, anyway) is that we had moved from the 'promise' to the 'delivery' phase and there is no argument that, initially, they stumbled on delivering forecast revenues. It does now look as if that was simply an issue of deferral rather than more ominous reasons touted by some at the time.

[bulltradept] 10/9/2013 11:07

Better volume and the price is building.

[yorgi] 10/9/2013 10:57

Yes John, a very pleasant change :-)

[2350220] 10/9/2013 10:52

Nice here for a change eh Yorgi.

John

[geheimnis2] 10/9/2013 10:51

looks like we might be back over £2 today

£2.50 by the end of the week?

looking much healthier :-)

[yorgi] 10/9/2013 10:49

All round good to see......still a long journey ahead but the results are proving the doubters wrong.

[barkboo] 10/9/2013 10:37

Geh - there has been a certain corner here that has brainwashed investors into believing this is a dead stock - they hadn't counted on me not having a brain to wash.

Plus I'm never wrong!

[jeffian] 10/9/2013 10:37

I'm still here. Just absorbing the figures. Having moaned here about the lack of visible revenue, I'm quite encouraged by the statement (bearing in mind that they 'lost' around £10m revenue in the period due to delays/timing issues). I take willessa's point that we are still some way from breakeven/profitability, but with the revenue momentum building that now looks perfectly achievable in a reasonable timeframe. With the hard work having been done, two satellites up there functioning well and demand building, once breakeven is achieved, extra revenues thereafter drop quickly to the bottom line. I'll stop moaning now and hold on!

[barkboo] 10/9/2013 10:32

Hi Geh - in auction?

[garymott] 10/9/2013 10:28

Gekks, no I'm still here, watching and waiting patiently :-)

[gekks] 10/9/2013 10:22

Surprised not more activity here - finally got some good news - has everyone given up ?

[geheimnis2] 10/9/2013 10:20

hi barky - suspect we will see a blinkx-like recovery here after much buffoonery from short termers!

[barkboo] 10/9/2013 08:44

I will be very surprised if we are not comfortably over £2 by the end of the week - then again MM's have that habit of preventing the obvious.

I have time on my side.

[2vdm] 10/9/2013 08:40

Willesa, good point. What was the life expectancy of H2, I can't remember now? Hopefully AVN is now slowly turning the corner and its good to see that they are now fully protected re spectrum under the ITU, particularly with the advantages of Ka over Ku and attracting major clients. Will we ever get back to the +£5 range (where I am averaged!). Oh well, back into the bottom draw for another peek in 6 months time.

[count chris] 10/9/2013 08:00

With almost £40M in cash, satellite slots secured and cash flow positive we are pretty disaster proofed now

[willessa] 10/9/2013 07:46

Need £57m just to break even. With depreciation on Halas 2 for only 9 months they probably need £65m to breakveven. Seem a long way from profit still

[count chris] 10/9/2013 07:44

It's clear it all works but they need to get the satellites filled ASAP to get the money in. At least it clearly states their slots are secured and no one can compromise them. Looks like next years results have good potential though.