Batm Advanced Communicat... Share Discussion Threads

[car1pet] 08/3/2023 10:48

Resistance I like your optimism. I planned to get out at 30p but missed it and sat tight. Regretting that decision so still have a slug of these in my portfolio.
I've been banging on for years that Marom needed to step aside. He finally did but the new guy looks like a Marom puppet. I watched the last AGM and was totally underwhelmed by the guy. He is an accountant and didn't suggest he would do anything other than manage the spreadsheets. Like you I think the company should be doing a lot better than it is but it needs new blood at the top with fresh ideas and a commercial strategy and business plan. Lets be honest its not a big company and a half decent business manager could turn it around quickly but they havent got one of those IMO.
Good luck.

[resistance1] 08/3/2023 10:28

I'm investing in BATM on the growth potential with our new man in charge. If I was purely guided by (fairly lacklustre) 2022 performance under the old leader I would have pulled my money out by now. So although I appreciate the analysis of what went wrong in '22, that's not where any of us should be focussed. It comes down really to do you believe Moti can identify and deliver changes in first half '23 that are needed. These are: greater commercialisation of IP (signed deals), review of business units (does anything need to be sold or need greater investment), are there take-over targets that will give the IP ready made sales channel potential and finally don't just talk about shareholder value -- deliver it.

[pockstones] 08/3/2023 10:11

Any news on corporate governance ? To judge by the share price decline the
Market regards this company as untrustworthy

[echoridge] 08/3/2023 09:34

Kooba - no surprise I think you're being excessively harsh. Firstly, you know full well that any revenue shortfall was largely explained by the deferral of the 25m testing contract (which has in no way has been written off as you've declared a couple of times, in my view. If it were, the Company would have said so. I put the odds on the customer coming back this half-year at closer to 50-50 in fact) and very adverse currency conditions. Go through the deck; it's pretty clear that the Company has solid visibility on all their major business units, with obvious potential upside surprises. As mentioned by a couple of us, the cash position has actually risen since the last update, partly from an asset sale, but also from operations. Edgility is contributing revenue earlier than at least I expected. The backlog is significantly enhanced and growing further. And perhaps best of all, the early signs continue to be that Moti-for-Zvi could be a big win for shareholders as the new regime seems sharply focused on value creation. Of course I continue to hope and expect that will include a resumption of share buybacks, but given the firm's balance sheet strength supporting the efforts it can, as the second slide in the deck implies, be so much more if Moti focuses on simplifying the Company's structure through targeted disposals and investment in the remaining growth areas. I certainly don't begrudge you your cynicism, but the share price has certainly taken a beating in large part due to your broader arguments already, so betting that this new CEO is for real - especially after netting out cash and remaining real estate - seems a pretty asymmetric bet to me at the moment.

[bigjon1] 08/3/2023 08:12

Overall I think BATM's results are positive. There are clear growth trend upwards, especially when you strip out the sales growth from external shock of the covid period which is a clear anomaly. BATM is still on the right track to see sustained long term growth

[kooba] 08/3/2023 08:07

https://www.proactiveinvestors.co.uk/companies/news/1008070/batm-advanced-communications-enters-2023-with-strong-momentum-across-its-business-and-expects-to-report-strong-growth-1008070.htmlExtraordinary headlines when a company has just warned of a significant shortfall in expected results for current year. "Therefore, we now expect revenue of c.$132m (-c.22% from our previous estimate) and adj. PBT of c.$5.8m (-67% from our previous estimate)"But we hope to get double digit growth from the dreadful 2022 numbers...hurrah !The revenue forecast for 2023 is now $50m below where it was forecast 12 months ago.

[james dean] 08/3/2023 07:48

wizzkid211 - Thanks.

[kooba] 08/3/2023 07:31

Factual information on earnings per share ..add a bit of math.2019 eps 0.93c2020 eps 2.22c2021 eps 3.26c2022 eps 0.06cThe eps have fallen more than the share price.

[kemche] 07/3/2023 23:02

Thanks for the Wall Street write up FSE.

[fse] 07/3/2023 22:57

From simply Wall Street
They consider BATM significantly undervalued. FWIW

Over the last 3 years on average, earnings per share has fallen by 9% per year but the company’s share price has fallen by 18% per year, which means it is performing significantly worse than earnings.

[james dean] 07/3/2023 21:24

Thanks from me too FSE.

[resistance1] 07/3/2023 20:39

Thanks FSE. I know we have all heard the ‘jam tomorrow’ stories before. However we now have someone in charge that knows he has to deliver. Israeli companies completely defer to the wishes of the CEO. A CFO can’t challenge to the degree they do in the UK/US. I will give Moti some slack to deliver (in his new role) the deals and structural changes we need. If in 6-months we haven’t seem real change I will sell and join the negative chorus. However I feel a good degree of confidence.

[echoridge] 07/3/2023 20:37

Thanks for that, fse. Kooba - check page 10 for what I hope is a more reassuring view of the Company's cash movements for you

[kemche] 07/3/2023 19:59

My play is a multi pronged one of long BVC, PANR, CHLL, IES, GFIN, ZED, IES, NANO and a number of others.

[kemche] 07/3/2023 19:52

I remember when it was a multi-month rise that I had forecast previously, at a very much higher price, which alas did not come to pass. But I shall be presenting BVC at a hedge fund conference soon as a pairs trade as I have had spectacular results on previous occasions.

[echoridge] 07/3/2023 18:58

Looks like the moti-for-zvi change at the top is getting some(very)positive early reviews from the post-results investor meetings over here (not least because many are as happy to see the end of Zvi's frequent diversions into off-piste subjects as they are Moti's far greater focus on value creation), and was maybe even behind the decent buying - and very decent volume overall - through today's session. As I said, I think yesterday's results were just the beginning of what should be a multi-month process of introducing the new CEO and his strategic plans to the market. The key, for me, is he has the kind of fortress balance sheet beneath him that makes it plausible from the very start.

[kemche] 07/3/2023 17:54

A couple of big hedge funds buying.

[fse] 07/3/2023 17:06

It's a new network interface piece of kit.

WISPAmerica is a key event for the vibrant and evolutionary WISP industry, connecting thousands of industry experts to explore the latest trends and innovations, and showcase new products and services. Telco Systems will be showcasing the TMC 3352, as well as our ground breaking Edge Computing solutions at booth #607, March 7-9, 2023.


Booth 607 Edgility/Telco Systems

Interestingly Nokia is exhibiting beside them 609

[churchharbour] 07/3/2023 16:43

Lazy drafting by PR firm - hopefully they will up their game next time and not get paid for a cut & paste job

[kooba] 07/3/2023 14:15

Well he has had a chance to put his mark with the first ceo statement and its a damp squib ..using same terminology and hype.he knows the business inside and out or should do so if there is a strategic change then he must already have it in mind..te board selection process should undoubtedly asked what his vision is ...shareholders would like to know. So far it is Zvi 2..momentum on solid foundations ..blah. Unfortunately the business is reporting lower revenues and profit than pre Covid in reality.Results to dec 2019T/O $123mPTP $4.8mCash $44m ( after strong positive cash flow)The cash is now broadly similar despite the highly profitable one off Covid orders..so appears there has been no benefit to a company well placed to benefit from the pandemic.Results to dec 2022T/0 $116mPTP $870kCash $44m ( sharply down over year)

[kooba] 07/3/2023 14:05

Bit more of the shore note

“Valuation thoughts: Based on our provisional forecast change, BATM trades on a FY23F PER of 47.5x and an EV/EBITDA of 9.4x but would expect multiples to fall significantly in FY24F. BATM is delivering strong underlying progress across the development of its technologies, these now visibly moving towards potential market inflection points, thus presenting a profitable high-growth opportunity across a span of technologies to investors. As underlying progress continues towards commercialisation, positive operating leverage to reported results should be expected in due course.”

Not even sure what this is meant to mean

“..these now visibly moving towards potential market inflection points…”

But they have been for a few years now!

The rating without seeing further commercial traction in its technologies hardly seems cheap !! And the company and its brokers have guided far too high the last three goes..so i don’t think theres a danger of the brokers being too cautious from past practise.

[echoridge] 07/3/2023 13:58

patience. We haven't heard from Moti yet as far as I'm concerned