Concurrent Technologies Share Discussion Threads

[my retirement fund] 19/6/2023 12:51

If you look at companies such as ICOM who use similar components, they've all had record demand and record sales despite component shortages over Covid.

[cfro] 19/6/2023 11:05

Like all new management teams they will come in and clear the decks..

Doesn't mean though that this was a bad company pre the new team..

I wonder what the reasons were as to why all the previous staff decided to leave.

[simon gordon] 19/6/2023 10:58

Jason Wilkes, Global Sales Director, appointed June 2019 left the company in April:



It looks like Andy Conway took his position.

Jason was the one person on the top team list I had previously posted who was in place before Miles took over. Company now has a completely new top team.

2023 looks like the year when the balance sheet is cleaned up by the new CFO, auditor is replaced and components issues ease in H2 as the company builds for 2024.

[cfro] 19/6/2023 10:55

What we have learned today is that the late release of the results are not all down to the auditor, as we previously thought.

Whether the new CFO is to blame or the last one im not sure but someone has to take responsibility here after all they are paid enough to be on top on things..

We have a few days left otherwise the shares face suspension, maybe for a couple of weeks or so until they can get this sorted.

[simon gordon] 19/6/2023 10:46

MRF,

This is what Andy Conway, Head of Sales, had to say last week on LinkedIn:

One year into working at Concurrent Technologies Plc it's interesting to reflect a little.... and say a big thank you to my colleagues as well!

Some notable things from year one;

People buy from people and focusing on the customer experience is still critical for manufacturers who want to succeed in a crowded market.

Electronic components availability remains a painful topic all round but customers and suppliers are now working together to mitigate.

Those pesky laws of physics still keep embedded hardware systems challenging but also constantly evolving and changing.

It's been great to connect with so many people in the UK and develop business here as a home market. Now I'm enjoying my new role and connecting with our international customers, distributors and sales partners. The hangover from Covid is clearing and there are lots of new design and development efforts kicking off.

[hastings] 19/6/2023 10:20

I don't think it taints the relatively new management team, rather the delay is, I feel, firmly down to the auditor. They have, as mentioned before had timing issues elsewhere. I rather suspect CNC will be looking elsewhere!

[somerset lad] 19/6/2023 09:49

It's a confusing announcement. It refers to an "historical" overcapitalisation of R&D spend in the period 2016-20 and then says "the change has resulted in profitability in FY22 being reduced by c.£0.6 million as a result of a lower amount of R&D being capitalised." The reference to "the change" seems to be to the "historical" overcapitalisation in the period 2016-20. But shifting costs in 2016-20 from capital to expenses will reduce costs in FY22 (lower amortisation charge), not increase them. So it looks as though the reasons for making the historic adjustments in the 2016-20 period also apply to the current FY22 approach, which (i) is not "historical" (albeit the accounts are now so late that there's a material risk of suspension); and (ii) taints the judgement of the expensive, new management team. I'm also mainly interested in the future, but it's important that the management team calls things how they are.

[hastings] 19/6/2023 08:07

Much more interested in the current year and beyond as opposed to concentrating on what is now history.Given the outlook, opportunities and building momentum any weakness on the back of this mornings release provides an opportunity (imo)

[simon gordon] 19/6/2023 07:56

Here's hoping the new CFO has fully cleansed the balance sheet. The previous CFO left this one hanging in the air last year:

Prior Year Restatement

A prior year adjustment of £0.3m has been made to the closing 2019 balance sheet to correct for an error on consolidation outside our underlying records dating back before 2019, which has under reported profit, net assets and total equity by this amount. As a result of not being able to definitively trace the cause of the issue, and with investigations ongoing, the auditors are required to qualify their opinion in regard to there being a limitation of scope on other creditors and opening reserves.

The Group will work to resolve the issue fully for the 2022 accounts, thereby allowing the auditors to remove their qualification. Consideration was given to delaying the accounts until the issue was fully resolved, but, on balance, the Board believed that, as it was a historic under reporting of profit of £0.3m against an overall net assets position of £23.4m, it was appropriate to accept the qualification and not delay release of the accounts. Investigations will continue to determine the cause and periods it relates, and the closing reserves for 2019 have been increased by the £0.3m.

[earwacks] 19/6/2023 07:52

Pretty poor from the auditors. Possibly .5 million loss but revenue actually 2 million slightly better at 18 million. Don’t think we will be seeing dividend reinstated anytime soon. Outlook very positive

[sleepy] 19/6/2023 07:36

So looks like a loss for 2022 then?

[cfro] 19/6/2023 07:30

Looks like they have got in a right kerfuffle with these accounts.

Same old story with how R&D should be capitallised.

[hastings] 19/6/2023 07:11

Results delayed by a few days then, but the picture for the current financial year is looking rather positive.Looking forward to the current financial year ("FY23"), the Board is growing increasingly confident of delivering a significant increase in revenue over FY22 and of its ability to meet and, potentially, exceed current market expectations for FY23. This confidence is underpinned by continued growth in new orders and increasing visibility on physical delivery of key components required to fulfil backlog orders.

[earwacks] 12/6/2023 08:19

Excellent start, hopefully a lot more to come. Makes me wonder even more about Gervais’s timing! Premier actually held nearly 16% of the company a few years back. They do make some strange decisions, their involvement with Kromek being another one. The trouble is when a trust like this takes sizeable positions in illiquid small cap it can be a massive drag on a company for years if they have to drip feed out over a long period of time. And of course they always seem to choose the worst time to sell, loosing their clients money. Very amateurish!

[hastings] 12/6/2023 07:36

Excellent news and hopefully more to come in due course.

[masurenguy] 12/6/2023 07:25

Concurrent Technologies lands first substantial Systems contract

Concurrent Technologies announces that it has secured a contract with a UK FTSE 250 company to supply a custom set of embedded systems for a national defence installation. The contract, valued at c.£1.25mn, marks a significant milestone for the Company. Building on the successful completion of a £200,000 preliminary design contract, Concurrent will deliver embedded systems units through to 2025, with half of the total revenue expected to be recognised in 2023.

In line with the Company's announcement last year to expand its product offering into the embedded systems market alongside the existing plug-in-cards business, the contract serves as a validation of the Company's strategy, being its first systems contract surpassing £1m in total revenue value. Furthermore, whilst Concurrent has an existing relationship for embedded cards with the customer, the addition of embedded systems significantly extended the Company's reach, enabling it to successfully compete for and secure this opportunity.

[hastings] 10/6/2023 13:16

Of course. Cheers

[earwacks] 10/6/2023 11:27

Indeed I have Hastings! Leave it to you and look forward to hearing about your call. That whole India workshop episode was a bit strange. They got out of there in the Nick of time. Could you ask if Lord Lee still visits the company. Would be interested to hear how he gets on with the new management and if he still has some input.many thanks