Cloudcall Share Discussion Threads

[deltrotter] 05/8/2016 07:18

They have staved off going bust, which looking at the figures is where they were heading IMO.

Can they now accelerate sales?

I agree they do keep repeating themselves, but to be fair, they have to! Things haven't worked out thus far, so its rinse and repeat.

BUT, maybe they will achieve the required growth this time round.

Lets see how things settle.

Guys, it could have been a lot, lot worse.

[timbo003] 05/8/2016 06:49

The placing was oversubscribed (I was scaled back somewhat) so the shares may see a modest rise today.

I see the highly regarded Baronsmead VCTs invested in the last placing, it will be interesting to see if they follow up this time.

[sclper] 05/8/2016 06:22

Glad I dumped these a while ago. Always seems to disappoint and need placings to keep them going. Certainly hasn't lived up to expectations.

[here and there] 05/8/2016 06:20

How long will this money last? they keep repeating themselves.

[timbo003] 05/8/2016 06:13

I was fortunate enough to pick up a few share in the placing

The shares come with EIS tax breaks so that means a effective purchase price of 40.25p/share

Thank you very much Mr Chancellor.

[timbo003] 04/8/2016 06:58

only one market maker showing (winterfloods) that's why there's a large spread

[dusseldorf] 04/8/2016 06:57

If there is no news, probably not, wait until open the MM spread before open is generally ficticious

[jimbojet17] 04/8/2016 06:47

Is the price moving...?? :-)

[the millipede] 03/8/2016 13:19

AFAIK they have staff in the US dealing with the US operation so to some degree costs and income in the same currency?

Just thinking aloud.

[dusseldorf] 03/8/2016 07:32

The Millipede - fair points, but hasn't the company failed to deliver on previous targets? My interest first came upon these when it fell from £3+ days, but I've held off some time (which in hindsight has been the wisest move).

I think the company stating they expect certain savings etc.. is fair enough but it was 5 months ago (pre-brexit news) I have no idea what impact a substantial swing in exchange rates 20% down against dollar, has on Calls sales - are the companies sales priced in dollars or ££'s?

18% of sales are to US/Europe (and growing faster than UK), so this will have 'some' negative impact on their projections from March e.g. knocking circa £5k a month from their anticipated savings (based on regional revenue split)

[the millipede] 02/8/2016 14:26

I am not sure there is enough trading here to really call it a "market" more like a couple of small PIs seeing no reason to stick around, which of course is a perfectly rational decision. I just think a "market" is something a bit more substantial and that the "big picture" is that the market is completely ignoring this company not that it is sceptical about anything.

The full year results RNS mentions in a couple of places that the company is confident of not having to raise further funds, including in the very same paragraph that talks about cash burn, mentioned by Düsseldorf. Again, there is no reason to take the company at its word if anyone is sceptical, nonetheless they seemed confident and, so far, it seems nothing has changed.

As for exchange rate movements we just do not know what the company does with its cash (do we?) If they converted some into dollars on raising it then they will have obtained more cash to fund the US operations than they would if they did the same conversion today. Or, true, if they are keeping cash in sterling and converting it as they go then they will get less than they thought..... I imagine though that the company built in some exchange rate movement into their projections.... wouldn't you?

[deltrotter] 02/8/2016 08:09

Yup, agree Dusseldorf.

Buying now is an absolute gamble. This could crater if they do not show sufficient growth in September.

BUT, if it can show real growth then I would forecast this would be a multi-bagger.

You pays yer money and takes yer chance!

[dusseldorf] 01/8/2016 15:04

The cash-burn vs. cash requirement is a very close 'call' indeed hence suppressed price. By the companies own admission cash burn at post FY was £200k/month and falling £15k/month, which in theory means they are trading using barclays reserve by now...and have little actual cash left. It just takes one 'brexit'/'exchange rates' RNS to lead to one more funding call....

The market appears skeptical they can get to profitability whilst running near empty, so am I, but waiting in the wings for a positive sign

[johnwall] 29/7/2016 14:31

oregano - thanks for the link - certainly very positive reviews - let's hope they are indeed genuine! Here it is in clickable format -

[jimbojet17] 29/7/2016 13:51

I think they are real, I did a few LinkedIn searches. Great for prospective customers to see, v highly rated

[oregano] 29/7/2016 13:13

interesting to see the number of positive reviews on the Salesforce app exchange. Could be false i guess, but over 20 five star reviews in July.

hxxps://appexchange.salesforce.com/listingDetail?listingId=a0N3000000B41HaEAJ#allReviewsHeader

[oregano] 29/7/2016 12:58

i think the share price decline is due to Helium selling. They are doing the same in many of their positions, apparently due to redemptions.

Radio silence is down to Peter Simmonds who is focussed on delivering some consecutive respectable numbers. Until CALL can do that, he wants their heads down.

If we are still fully funded to break even then Call is properly cheap. In theory if we are not fully funded to break even the board should have told us about it, as that is the official steer they sent into the market with their last results. I appreciate things don't always work that way, but with a recurring revenue business and stable cost base, monthly variance should not be that great.

Unless that steer is wrong, trading at under 2x revenue Call is properly cheap. Even if a small £1m capital raise is required to get us over the line.

All IMHO and all that jazz.

[deltrotter] 29/7/2016 12:43

Yup, a trading statement for the end of June would have been nice. I guess they would have to guide if they were significantly ahead or below - so MAYBE we can surmise they are target to meet expectations.

But who the heck knows - this is SNTY/CALL after all!

[the millipede] 29/7/2016 09:57

I was really just thinking that the actual interims are unlikely to be that interesting. We know they will be posting a loss and will have burned cash and I hope that is not the headline when the day comes.

Agreed ARR is also useful. Wish they still published quarterly figures... :-(

[jimbojet17] 28/7/2016 15:09

I'm not sure every other detail will be irrelevant, but cash burn and the break even point seem most important to the market currently. I think a positive ARR trend would be great to see - this company should still be growing fast

[deltrotter] 28/7/2016 14:43

Agreed TM. We need to see escape velocity.

I am guessing September as usual for the interims.

[the millipede] 28/7/2016 12:05

I agree Del. It is pretty miserable watching this right now, so I have more or less stopped watching the share price. :-)

The key, IMO, will be current cash burn which is a figure I assume will be given along with the interims. Every other detail will be pretty much irrelevant I think.

Anyone know when we expect the interim announcement?

[deltrotter] 26/7/2016 13:18

Any hint that they have actually begun to make the new business plan work and that they will not run out of cash will be received incredibly positively IMO.

It really does hang in the balance though.

[jimbojet17] 26/7/2016 13:05

It is low volume, you're right. Makes you wonder how far the share price could snap the other way if some positive news comes....

[deltrotter] 26/7/2016 12:58

Dunno, pretty low volume. I have written my holding off (ouch! My worst ever investment mistake).

Maybe nerves ahead of results in September?