Blancco Technology Share Discussion Threads

[brummy_git] 06/7/2017 12:33

Research note out this morning from Equity Development

www.equitydevelopment.co.uk/company/?company=Blancco+Technology+Group&c=ygDO

[haroldthegreat] 06/7/2017 12:30

Would be interesting to know when they first realized they had a problem. There have been many departures in recent memory.

[cerrito] 06/7/2017 12:16

The world we live in
I have phoned both Peel Hunt and Tulchan ; noone available-no surprise- and I asked for their emails and they would not give them out.
My questions:is the receivables write down because the client went under or if they never existed and if they are in the volume or subscription business.

[ilovefrogs] 06/7/2017 11:57

varies - good post, you did well to escape recent falls! I'm also adding today. I agree completely with you that this Company should provide a tasty morsel for one of the bigger software players looking to get into the data erasure market.

[varies] 06/7/2017 11:31

Having been fortunate to make a modest profit here before selling my last shares in April at 172p, I am putting out a hand for this falling knife and have bought some back at 126p and intend to buy more at about 123p.
BLTG raised over £9 million in May at 169p after telling us a month earlier of its urgent need for £4 million. It gave itself, so I hope, something in hand which should cover this latest setback.
Finances are probably very tight and it may be that BLTG will need another injection of cash. I hope not and regard this risk as allowed for in the share price.
If BLTG achieves pre-tax profits of £5.5 million after providing for the write-off of £2.2 million on doubtful receivables, then it seems reasonable to hope that they will make over £9 million in 2017/18(£7.7m plus 20%)
The market cap. is now only about £76 million and I believe this company would make an attractive purchase for many software companies with cash in the bank to cover BLTG's shortage.

[chasbas] 06/7/2017 10:15

Panmure Gordon (joint brokers) had a 2018 forecast of EPS 11.8p after the May placing.
Assuming EPS of say 10p places the shares on 12.5x at current price of 125p.
Cheap for a technology stock?
Don't know anything anymore.

[chasbas] 06/7/2017 09:54

Cerrito, revenue growth in constant currencies was 48% in Q3 and 34% for 9 months.
So you are right, growth of approx 30% for year represents a small slowdown in Q4. Revenue growth for year should be at least £31m....almost the £32m consensus at H1 presentation.

IMO Revenue growth is just about on target and is a good reason to hold the shares. Is Blancco a growth stock or not? The new EU GDPR from May 2018, the right for individuals to have their personalised data erased, remains a big reason to hold the shares.

Maybe last financial year was Blancco's annus horribilis and just a blip? Let's hope the IIs think so.

[pj 1] 06/7/2017 08:48

''CFO'' singular?

X2 CFO and X2 Chairman gone in under a year.

Is this the Frog you have fallen in Love with?

[cerrito] 06/7/2017 08:46

I see that over the year revenues up 30% in constant currency whereas for the first nine months up 48% so on a comparable basis to the prior year Q4 seems to have been weak.
I am assuming the £2.2m receivables charge is not due to their clients going under but rather that they should not have been booked as receivables in the first place-given comment on income recognition-but would have been good if they had been more explicit.
I guess if indeed these receivables should never have been booked as receivables there will be an adjustment to revenue; That said given their commentary in the Interims of Impact of Revenue Recognition I am rather surprised at the numbers being quoted. Also the figures seem big in the context of the Total Receivables figure of £12.3m at 12.16.
How do you folk understand this?
PS Turned on the Radio this morning and heard a report on the rising incidence of dementia…given the challenges in understanding the opaqueness of what is going on here no chance of BLTG followers getting dementia.

[ilovefrogs] 06/7/2017 08:39

Meant CFO in post above, not CEO.

[ilovefrogs] 06/7/2017 08:38

Wait a minute though - surely this is still related to having poor procedures overseen by the poor previous CEO. This is a one-off hit with new procedures put in place going forwards. Meanwhile, they're growing at 40%, and unlike most aim stocks, are actually making a profit. I agree risks remain high, but I believe this represents a further good buying opportunity.

[its the oxman] 06/7/2017 08:20

Yes, looks like sellers will be out in force for a few weeks now. Unfortunately all this bad news will be reiterated at next set of results so no rush to get involved with better opportunities elsewhere.

[pj 1] 06/7/2017 08:09

So, unexpected fundraise in May 2017

And then this?

This Co now has NIL credibility imo (although it didn't have much before)

Id imagine the II's are well impressed. Will they reduce/ dump?

[its the oxman] 06/7/2017 08:00

Another disappointment?

[robow] 22/6/2017 12:48

yes this looks a good entry point

[ilovefrogs] 21/6/2017 18:53

Worth a punt at these levels? I think so. I have no doubts about the product, or its growth potential longer term. Did they employ a tool of a CFO - yes. Did he screw up the amount of cash retained post the depot sale? Indubitably. Is the loss of the Chairman a few months in unfortunate - very much so. Is there now vastly increased risk here - yes, but for me, quality growth stocks only ever become cheap when there' a distinct whiff about them, and these are the stocks I love. I reckon I get 7 out of 10 of these right, and given that a stock can only fall 100% (when wrong) but can multi-bag upwards (when you're right), the maths works in your favour.

So, I'm building a position here and happy to run the risk.

GLA

[nobilis] 30/5/2017 16:34

chasbas

dodgy ticker

[b1ggles] 30/5/2017 16:32

Hmm, why would he accept the Chairmanship of a company he knew well, then give notice after less than three months? If it were health, they've have said.

[chasbas] 30/5/2017 13:38

Rob Woodward will resign as chairman in October. The Board "regretfully respects Rob's decision"
He will also leave STV (where he is CEO) within one year from April 2017.
Anybody know why he's doing this?

[chasbas] 23/5/2017 09:16

hxxp://www.itrportal.com/articles/2017/05/17/close-brothers-technology-services-partners-with-blancco-technology-group-to-offer-certified-data

Close Brothers Technology Services is partnering with Blancco Technology Group, the data erasure and mobile device diagnostics solutions provider, to offer the Blancco Data Eraser solutions to its leasing customers, enabling them to permanently erase data from multiple data storage devices.

"We are the first, and currently only, UK technology leasing company to offer certified data erasure technology and services as part of our finance agreements," said Sean Callanan, Director of Technology and Service, Close Brothers Technology Services. "The Blancco Data Eraser solutions have been tested, approved and recommended by a large number of national and international governing bodies, making management of our customers' data-bearing devices safer and simpler, while also preventing unnecessary data loss and ensuring regulatory compliance.

"We chose to partner with Blancco Technology Group because it is the global market leader in secure data erasure and already provides thousands of organisations with an absolute line of defense against costly security breaches, as well as verification of regulatory compliance through a 100% tamper-proof audit trail.

"We recognise that the pressure on organisations to build and maintain robust IT security policies and safeguard their sensitive data is ever-increasing. This unique partnership allows our customers the ability to properly manage data across the entire lifecycle, including permanently and verifiably erasing datawhen the scenario or regulation calls for it. One of the most important benefits delivered by the Blancco Data Eraser solutions is that it includes a certificate of proof that the data has been erased and cannot be recovered."

With the Blancco Data Eraser solutions, organisations can permanently erase data from all IT assets and environments – be it in an active environment - when equipment hits end-of-life or customers/regulations demand it. In addition, Blancco Management Console enables organisations to keep track of and store the digitally signed certificates of erasure, verifying that data cannot be recovered. This tamper-proof certificate of erasure proves valuable in providing an audit trail and complying with the most stringent national and international data protection regulations and guidelines, including EU General Data Protection Regulation, PCI DSS, HIPAA, ISO and NIST.

Steve Holton, President and CRO of Blancco Technology Group: "We're thrilled to partner with Close Brothers Technology Services to help their customers improve their data management practices and securely erase data when it's no longer needed or must be erased in accordance with data protection regulations. This partnership demonstrates that Close Brothers Technology Services understands the pain points of its customers exceptionally well and is dedicated to improving data protection in the UK."

[falia] 04/5/2017 08:58

£2 UP

[brummy_git] 04/5/2017 08:52

New research out this morning from Equity Development

hxxps://www.equitydevelopment.co.uk/edreader/?d=%3D%3DwM5IjM