Bright Futures Share Discussion Threads

[mooreatupton] 16/3/2004 12:50

What happened? Are we losing out due to inside knowledge?

[unionhall] 12/3/2004 14:41

FYI, I rang the company today and was told the Annual Accounts will be issued around mid-May. Two months of thumb-twiddling I guess in the absence of a trading statement in the meantime.

[puku] 10/3/2004 19:28

well it did, but not nearly enough for me, my worst performer in my portfolio

[unionhall] 08/3/2004 17:14

Beats me - I think there are some games going on but I don't know enough about the MM tricks to speculate. Very tempting to buy more if funds allowed.
I would bet on the price recovering tomorrow.

[puku] 08/3/2004 15:34

oh damn another plunge down 12 % !!!! but why ??

[puku] 08/3/2004 13:29

thanks for the comments uni - glad to know that the expansion plans are on track. still like the scenario but nervy of the weak price and ongoing downtrend of the graph. your guess of expansion costs could be a factor, reluctant to sell at this price, suppose i'll have to wait the results in june and keep my fingers crossed.

[unionhall] 31/1/2004 10:46

I would guess the reason for the slide is lack of news. Not surprising for a small, relatively unknown company in an unexciting sector.

However their progress is exciting I believe - 2.9m turnover in the six months to June with a breakeven result then the following from their interim results :

"Owned Stores: Our retail sales in the 6 Scootermart Mobility Centres we own
(non-franchised) have increased by 35% versus the same period last year. Of
these, we refurbished three stores as Model Stores in April, May and June 2003
respectively. In the period since refurbishment, like-for-like sales across
these Model Stores have increased by 87% and profit by 73%."

If they are holding central overheads reasonably tight then the second six months to December might show turnover of 4m and pretax of 300k plus or minus. This gives an annualised pretax p/e of 5.7 at current Market cap of 3.4m.

However on Sept 10th they announced a store opening program - "six stores over the next eight months" - I understand that four months later two stores have been opened (Bolton and Kidderminster) and the third is being fitted out so they are on track for their first expansion plan.

A rash extrapolation could see turnover at 10m for 2004 with a pretax of 800k and on a strong growth curve.

Two unknowns are overhead growth and cost of bringing new stores on-line but the next accounts will presumably shed light on these.

The above is purely guesswork and I have no inside knowledge but it is interesting. DYOR.

[puku] 29/1/2004 12:39

here we go (down ) again on the rollercoaster ride !

[puku] 20/1/2004 12:58

glad to see the recovery in price, didnt top up (too nervous) a trading statement would be nice.

[maytrees] 20/1/2004 08:32

Tiltonboy and unionhall your views seem to be right as
brf have been moving up since you first expressed them!
I also like the ethical aspect to Bright Futures.

[unionhall] 13/1/2004 15:21

I got a similar explanation from the company in relation to the Director Share sales in a phone call just before Christmas. Also a positive upbeat assessment of status on the new stores. My feeling is that these Director sales have given investors an excellent buy-in opportunity.

From the comments in the interim accounts Profitability seems very close within a very tight business model of stores located strategically close to head-office
to minimise growth in central overheads.

Though I have no knowledge I would not be surprised if the realisation of funds from the Joint venture was simply to support the new store roll-out and current store refit through own resources.

I like the way they talk about the company and the (apparent) growth without overextending.

I hope they can manage as well as they talk because I have bought in this afternoon, not yet showing, on the basis that the next news when it comes will confirm an undervaluation. Looking forward to the next results or perhaps a trading statement in the meantime.

[maytrees] 11/1/2004 19:02

thanks tiltonboy
bt some at 8.5p recently and will now wait and see
have a good week

[tiltonboy] 11/1/2004 17:17

maytrees,

I understand the sales were made for financial reasons rather than the belief that the shares were too high. I believe the Directors remuneration in the last year has been particularly low, with the necessity that they sell to supplement their income.

BRF have an interesting business model, and like another Edelson vehicle ASC, could be winners in their respective arenas.

For the time being they are high risk punts, but as they are the one's that I like I hold them both.

tiltonboy

[maytrees] 11/1/2004 12:00

sunday after coffee is a fair time to look for an ethical investment.
brf has all the makings of 1 and a potential recovery play as well although
HugePants post 12 on 11/12/03 seems fair comment given that a whole raft of
directors bailed out of their shareholdings almost simultaneosly on c. 1/12/03. No reason was provided an no rns or the like posted of any potential
bad news. furthermore the directors would surely have known of (using more parliamentary language than hugepants) of the disappointment/concern their sales would cause, yet still no explanation that I can see.

There was a trading statement on 21/11/03 but this related to a sale by brf
to its joint venture partner- The Enabling Partnership - a charity that focuses on the needs of
disabled people. Nothing in that or the September 2003 interim results to give any cause for concern I should have thought.

So why the raft of directors' sales almost all at once and almost concert-like?
I wonder if the sales simply arose from Charity Law limitation on charity trustees which probably includes directors, holding financial interests in charities?

[puku] 11/12/2003 08:49

OH HELL down another 20 %, what IS going on ??

[puku] 05/12/2003 12:37

agreed ! expected to pay 13p, delighted to get at 12p,wondered why so good, but too late to halt and then got the news of director sales. i still like the retail concept, and if the expansion under their new shop format works then an excellent long term buy. but too nervous to buy more without an explanation.

[felix99] 03/12/2003 22:22

Bah wish I had known about City before I bought. Not quite sure whats the deal with all these director sales either!

[felix99] 01/12/2003 21:09

Yes the barstewards bought emn at 8.5p it looks like and they will be delighted to knock emn out at 12p - 50% gain on £170k investment . Nice if you can get it

Bought a few first thing at 12p - now I know why offer didn;t move.

Will top up when City are out and then the MM walk it down to shake out the SAPS

Actually just looked at trades - lot of stake swapping. Think City not even started to shift em yet. They will want more than 9p . Nice overhang now in place for a few weeks .

Reckon City will be saving them up for a new years tip

[peterbrennan] 01/12/2003 20:21

I think City Equities might be pushing them to their punters

[trading blue] 01/12/2003 16:02

Anyone care to explain all these trades today ?

[mark watsonmitchell] 24/11/2003 17:54

Nurdin

Certainly one to tuck away

I was very impressed at its potential when I did a 'Company Visit' on my own a few weeks ago.

The management is totally focussd and knows where it is going.

Regards

Mark

[nurdin] 24/11/2003 17:41

Hey Mark thanks for that.The only retailer I know that caters for the aged and the disabled.I would have thought they would make atleast 0.4p this year but clearly there are costs associated with opening new retail outlets...will rely on your judgement.One to tuck away I think...

[mark watsonmitchell] 24/11/2003 17:29

Nurdin

SQC Research is going for

£5m sales in 2003 and break even
£6.95m in 2004 and £275,000 pre-tax profit (0.82p eps)
£9.5m in 2005 and £500,000 pre-tax (1.50p eps)
£15m in 2005 and £1m pre-tax (3.00p eps).

Their Target Price for end 2004 in 20p.

I hope that helps.

Regards

Mark