Cupid Share Discussion Threads

[j777j] 24/9/2013 07:22

On 15 July we successfully completed the sale of this portion of our business to Grendall Investments for £45.1m. The disposal strengthens our balance sheet considerably. Deferred consideration of £28.5m is due in monthly instalments (of which £2.5m is due in 2013, £7m in 2014, £10m in 2015 and £9m in 2016.)





Markets look forward not backward.

[jonc] 24/9/2013 07:21

-- Robust continuing business which is expected to return to growth and profitability in 2014



MEANS continuing losses for second half of 2013.

All smoke and mirrors.

[j777j] 24/9/2013 07:21

Financial results of continuing business



Following the disposal of the casual assets the following results illustrate the performance of the continuing business:

· Revenue of £16.5m, an increase of 32% (H1 2012: £12.4m).

· AGL and Uniform Dating contributed new revenue of £4.3m.

· Marketing investment increased to £9.4m (H1 2012: £5.5m). Of this £3.1m was invested in AGL and Uniform Dating, with an increase of 15% on the underlying business.

· Other direct costs increased by 43% to £3.6m (H1 2012: £2.5m) due to higher volumes of traffic, an expanded customer support team, investment in product tools and the inclusion of AGL and Uniform Dating.

· Gross profit of £3.5m (H1 2012: £4.4m) giving a margin of 21%.

· Administrative expenses increased to £4.0m, £0.8m of which is non-recurring, as we expanded our operations overseas and made provision against non-recoverable debtors.

· Strong net cash position of £12.7m at 30 June 2013 (31 Dec 2012: £14.1m) after share buy-back of £3m.

[knigel] 24/9/2013 07:20

JonC MOST companies state they expect to maintain the dividend (or increase it). Can you name one company that has ever stated the company WILL whatever circumstances maintain the dividend? What should the company have said? we might maintain the dividend? there is a 60% chance of maintaining the dividend? we have no idea if we can maintain the dividend? Perhaps google the word "expect"?

[danboris2] 24/9/2013 07:20

Results were actually marginally ahead of market guidance announced at the time of their last trading update. So nothing new here and results in line / very slightly better than expected.

[j777j] 24/9/2013 07:19

Chief Executive Officer's Statement



The future remains positive for online dating. On both sides of the Atlantic and in developing economies we see continuing evidence of growth fuelled by an ever-growing social acceptance of the offering and the ubiquity of mobile. The UK market is now estimated at £170m, with over 5m people using online dating and one in five dates beginning online. In the US it is estimated that a third of marriages start online.

[jonnyno1] 24/9/2013 07:19

the Market aint going to like it.

j.

[cammy3] 24/9/2013 07:19

Market always gets it right eventually JohnC. I expect this to be marked up today. Bill Dobbie now free to buy shares.

[j777j] 24/9/2013 07:18

Post period highlights and outlook

· Successful disposal of casual assets completed in July 2013 for £45.1m further strengthens the balance sheet

· Robust continuing business which is expected to return to growth and profitability in 2014

· Reinvesting in continuing business based on product quality and customer experience

· Completed consumer research project as basis for brand investment

· Cost cutting programme being implemented to align resources with continuing business

· 2013 dividend expected to be maintained at 2012 level

[j777j] 24/9/2013 07:17

Commenting on the results, Bill Dobbie, Chief Executive of Cupid plc, said:

"We have had a number of distractions in the first half of 2013, however, we have commenced a streamlining and refocusing of the business, which will provide us with an excellent opportunity going forward to take more of the opportunities the sector has to offer. We have a robust business and strong brands upon which to build.



The remainder of 2013 will be a transitional period as we complete the separation of the divested casual assets and reshape our continuing business for the future. We have a strong, differentiated strategy in place, which we firmly believe will benefit both shareholders and product users, and are focused on delivering this. We are now reinvesting our considerable experience and expertise in developing our portfolio of brands based around a distinctive positioning and the quality of the customer experience. We expect to deliver a stronger financial performance in 2014 from the foundation of a leaner more focused organisation."

[jonc] 24/9/2013 07:17

2013 dividend expected to be maintained at 2012 level

Note the weasel words.

"expected" not "will"

[cammy3] 24/9/2013 07:16

We are now reinvesting our considerable experience and expertise in developing our portfolio of brands based around a distinctive positioning and the quality of the customer experience. We expect to deliver a stronger financial performance in 2014 from the foundation of a leaner more focused organisation."

[knigel] 24/9/2013 07:16

JonC you must be a fast reader to have been able to make your judgment in just 2 minutes after the results were issued. I just noticed the key elements which matter to me - a maintained dividend and a positive FORWARD outlook. Obviously once I have read the accounts in full I may be a bit more neutral as I am sure both bulls and bears will find items in the report to back their position. However I have no idea how the share price will react! 90p is just as likely as 30p imo

[j777j] 24/9/2013 07:15

Nothing that has not already been flagged months ago.


The niche side growing at 32% a year.Plenty of cash and cash due in from sale of casual dating.

Dividend maintained.



Group being refocused and will emerge a much stronger player.

[cammy3] 24/9/2013 07:15

Market will re rate this . Past firmly behind them and back on the path to growth. That's all we needed to hear at this stage. Results are fine plus cash from disposal was post the interim date so second half cash position even stronger.

[jamesiecakes] 24/9/2013 07:13

Jon C you seriously think this is going to sub 30p, wouldn't that mean a dividend yeild of 10%? Seems unlikely to me....

Cheers

James

[jonc] 24/9/2013 07:09

You reading the wrong RNS KNIGEL.

LOSS LOSS LOSS

[knigel] 24/9/2013 07:08

Awful ? Maintained dividend of 3p payable next summer. Return to growth for existing businesses in 2014. Yeah awful lol

[jonc] 24/9/2013 07:06

Spin this awful result Bulls.

sub 30p?

[jonc] 24/9/2013 07:05

Shocking results.

The bears win.

Massive sell.

[cammy3] 23/9/2013 19:41

Lets just hope for a positive update, good outlook and any share buybacks or special dividends would be a bonus. I personally see this going private and could come as soon as tomorrow.

[wylecoyote] 23/9/2013 19:17

Cammy how far can I go? £10.00? ;-)

[cammy3] 23/9/2013 19:13

Hopefully they will update their note tomorrow to £5. LOL