Bango Share Discussion Threads

[lentjes] 11/7/2016 07:38

Great RNS and looks like all on track

I think the 143% YOY growth in internal EUS excluding the BilltoMobile EUS is fantastic news although we must keep in mind the impact of the fall in the pound but in any case great news

Also confirmation new activations going on in the back ground

[amt] 11/7/2016 07:18

Growth in EUS accelerating now well over 100%. at 143% Should be at break even middle of next year at that rate of growth I would have thought.

[lentjes] 05/7/2016 21:08

From 15th September Interim's

Amazon is also progressing its use of DCB with Bango, with a number of projects underway, and exciting developments expected 2016.

Hopefully news on the way soon

[lentjes] 25/6/2016 09:50

So what does the statement that less than 5% of EUS comes from the EU actually mean ?

2015 Accounts

UK & EU turnover including EUS & platform fees was GBP301K.

I have taken a stab at deducting platform fees as follows

Total platform fees were GBP458K but this included GBP220 from the US strategic partner.This leaves platform fees of GBP238K so roughly splitting this equally between all 5 geographical areas gives approx GBP95K attributed to UK & EU

Therefore you could say GBP206K of turnover can be attributed to UK & EU in 2015

Remember this is turnover !!!!!!!!!

Therefore if the amount of platform fees I have allocated is correct 2015 UK & EU EUS = GBP206K turnover @ 1.8% margin would give UK & EU EUS in 2015 of
GPB 20.2m which would represent approx 44% of the GBP47m EUS reported in 2015.

I agree this looks high but you can adjust the amount of platform fees allocated to the GBP 301K turnover and maybe we have a better margin in the UK. You could also do a straight split between total 2015 turnover of GBP 3.2m and the UK & EUS would still give a 10% contribution without considering the contribution from the US strategic partner.

Even taking account of the BilltoMobile EUS of GBP50m for Ray to make a statement that the UK & EU EUS now represents less than 5% of the total EUS looks very promising for the rest of the world EUS growth.

I will let you do the maths $$$$$$$$$$

[lentjes] 24/6/2016 18:55

Nice that we coughed up the money for BilltoMobile in May saving £££;£ on $ exchange

[lentjes] 24/6/2016 14:02

Bit of a strange statement from Ray but hey-ho I'm not complaining

hxxps://bangoinvestor.com/2016/06/24/impact-of-brexit-on-bango-plc/


← Announcement: Acquisition of US Carrier Billing Service BilltoMobile
Impact of Brexit on Bango plc
Posted on June 24, 2016 by rayand

Several investors have asked for a quick view from Bango management on the impact of a weaker pound on the Bango business.

Bango is a global business. Approximately 90% of Bango costs are in Sterling – primarily salaries for UK based staff and some datacentre expenses. More than 95% of Bango end user spend is from outside the EU, and the prices for Bango services are contracted generally in the currency of the country where end user spend is generated.

A weaker pound benefits Bango:

US$ acquisition of BilltoMobile from Danal. Acquired for cash – payment was made in May.
Future revenues generated from BilltoMobile in USA are in USD. For example, a 10% uplift when expressed in Sterling if sterling falls 9%.
Non US revenues change according to the relative currency exchange rate changes. At 12:00 on 24th June, for example, the overall end user spend and corresponding margin generated rose 6% expressed in Sterling.

Trading and Employment:

Bango has a Spain based subsidiary which could be used if appropriate.
Bango employs a mix of staff from a wide range of EU and non EU countries. Bango does not expect to lose any staff in the coming years due to introduction of new visa requirements for skilled staffs and the Bango HR team is well versed in visa process for non EU nationals.

[haozhen] 15/6/2016 21:08

Mostly of the Bango costs are in GBP so reduce in value of sterling will make faster path to profit when most of bango fee comes from processing in non GBP currency - like dollar and euro

Brexit good for UK and good for BGO

[amt] 15/6/2016 20:32

Yes a collapse in sterling would be good for Bango even if it has the potential to wreck the uk economy. So Brexit is not all bad news

[lentjes] 15/6/2016 10:26

During 2015 Bango achieved over 100% increase in year on year EUS despite substantial adverse impact of the strong GBP foreign exchange rate.

Considering the negative impact Brexit is having on the GBP the next EUS update which I expect end June / early July should be very interesting

[lentjes] 14/6/2016 16:29

Nothing to support this but the rise may have something to do with the Apple announcement where they are opening up their systems some of which may involve DCB or maybe related to MS buying Linkedin and they are going to charge via DCB for use of the service although we will have to wait and see.



hxxp://www.cityam.com/243206/apple-boss-tim-cook-leads-minute-of-silence-for-orlando-mass-shootng-victims-at-wwdc

[smallcapinvestor1] 14/6/2016 14:39

Building up a nice head of steam now. Decent buy of 100k at the offer price.

[lentjes] 10/6/2016 11:12

Smallcap

I totally agree global foundations are now in place and this is now all about growing EUS / margin and at what speed it can be achieved against cash burn. I think the next EUS update will be key and if on track to more than double YOY EUS I suspect it will be tick tick boom !!!!!

A point to make is that the forecast to double YOY EUS was based on existing activation and should be without without the billtoMobil GBP50m EUS and any new activations such as India both of which should give further upside to EUS although maybe a little early for India to have any major impact. If they only achieve the forecast increase in EUS including these then this would indicate the business model is not working so expect downside in the share price

I also think the Amazon Projects and the other payment methods that they mentioned in the 2015 results will be interesting although they are keeping stum as to the detail of what this is all about.

[smallcapinvestor1] 10/6/2016 09:02

I think this has bottomed and finally the worm has turned. Share price doesn't reflect recent news flow and shares all almost half the price of the fund raise last year. Global strategic platform now built connecting the world biggest and fastest growing companies to hundreds of millions of users and worth only £30m? Its bonkers. What an opportunity for those that can see it.

[lentjes] 03/6/2016 10:42

Does anybody know if BANGO are applying for an e-money license to enable the purchase of physical goods via DCB ?.

hxxps://www.finextra.com/pressarticle/64662/boku-brings-mobile-carrier-billing-to-uk-sports-and-entertainment-venues

[haozhen] 31/5/2016 12:55

I spoke with my frend who works in company at this weekend.

She asked Ray at company lunch about why he did buy shares in small amount.
Ray told her he had some amount in broker account and thought better in bango shares than sitting in cosh - and was reminded that by seeing gerry and rachel buy shares as good investment.

Yes its small compared with millions ray has, but ray says to her few better placxes for cash than bango - even if ray might be hard to sell it.

I am quite interested about Bango ideas in china at moment.

[lentjes] 28/5/2016 08:53

Amt

I'm of the same thinking and their not that stupid to think such a small purchase would support or send a rocket up the share price Its just a small confidence booster as to what they think the share price will do long term and putting their own money on it. As stated I doubt Rachel & Gerry have that much dosh to throw down the pan so their purchase is more significant than Ray's

On business now that we have Sprint on our side following the BilltoMobile deal I wonder how significant the Sprint / Amazon prime deal is for BANGO if at all.

hxxp://www.rcrwireless.com/20160331/carriers/sprint-teams-amazon-direct-prime-billing-premium-tag2

[amt] 28/5/2016 08:33

I suppose if they didn't think the share price was likely to go up they wouldn't have bought any shares. What would be the point otherwise

[lentjes] 28/5/2016 08:22

In that case I'm packing my bags and going on holiday as we can not expect any price sensitive information for the next 4 - 8 weeks otherwise the 3 Amigos from BANGO will be in the dock for insider trading even if it was only 2.5k each.

[smallcapinvestor1] 27/5/2016 15:00

I don't think the number of shares you buy is relevant for inside trading so this is a weak theory. The last part makes more sense about them not having much cash.

[lentjes] 27/5/2016 14:29

Director buying, always a tricky one to read

I'm sure that Ray and the gang know that at 7k this will not impress investors that they will go gung-ho and pile into the shares but I suspect things are moving at pace within BANGO and any substantial purchase would be seen as insider trading so would suggest they agreed between themselves when they met at the AGM that as one they could proceed with relatively small purchase which I doubt would be seen as insider trading whilst still sending a positive signal from the BoD to investors that things are going as plan (although a simple TU would have done the trick). After all if they wanted some shares they could have just waited until the 1st installment of their recent options as per RNS 17th March became available on 17th June @ 43p although best to keep these in the bottom draw for the next 10 yrs.

Also apart from Ray Anderson I doubt the others are swimming in free cash so this maybe their bonus money.

[yesrupnel] 27/5/2016 13:10

Extremely small amount - less that £7k all in.

[smallcapinvestor1] 27/5/2016 11:59

Directors buying but the numbers involved are frankly embarrassingly small. Not exactly a big vote of confidence!

[lentjes] 25/5/2016 21:23

Amy

You maybe correct as I was disapointed we didn't get an update but there must be a reason

Cash wise I suspect they are down to 8.5m based on the following

12.1m year end 2015
Less 2m cash burn 5 months
Less 2.25m related to acquisition
Plus 650k margin on 5 months EUS@ 36m

Still should be enough not to go for a cash call but you never know what they are thinking or that the MNO / App partners insist on a minimum cash pile

Let's hope they issue the trading update soon