Cupid Share Discussion Threads

[jojaken] 24/9/2013 07:59

Agreed. But he'll have to have a heavy finger over the zero key for that buy order if more information is not forthcoming in the city meetings this morning.

[cammy3] 24/9/2013 07:56

Jojaken. Lets wait and see if Dobbie buys shares at these levels.

[jojaken] 24/9/2013 07:51

"Cash flow - how about the monies received from the recent disposal?"

Exactly KNIGEL. Is the the cash flow going to the Old Cupid to pay the New Cupid? Which is what I fear, and thus the slow payments and no loans to pay for the Old Cupid.

Cammy. Cash flow is always very heavily weighted to the second half. But again as I've said, is there any indication about what proportion is going to which half of the Cupids?

[cammy3] 24/9/2013 07:48

Follow toscafund they're pretty shrewd investors.

[cammy3] 24/9/2013 07:47

Company has 12.7m of cash. If you strip out exceptional costs relating to the saga then cash break even in first half. They've already told us more cost being stripped in second half so going forward cash pile will build from operational cash flows and disposal proceeds. I'm a lot more comfortable than I was yesterday

[knigel] 24/9/2013 07:44

Cash flow - how about the monies received from the recent disposal?

[j777j] 24/9/2013 07:44

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.)

[jojaken] 24/9/2013 07:42

Looking at this company dispassionately, ignoring its tainted past, what I am looking for is clear indications of cash-flow. But I have to say, while I've only had a short time to look through the accounts, its all rather too murky still. Which half of the company is/will the money flowing into? That certainly is not clear. The best reassurance I can find is the confidence to pay a 3p dividend. But then the company already supposedly has enough to pay over five times that even if it were cash neutral! Sorry will wait for others to find the positives before I can buy.

[cammy3] 24/9/2013 07:41

Wins are 68p on the offer JohnC

[knigel] 24/9/2013 07:41

JonC - yes but NO ONE usually posts so OFTEN on a share they do not owe!

[cammy3] 24/9/2013 07:32

Will open 70p easily

[jonc] 24/9/2013 07:32

Holding this has been a gamble for some time.

We will know in 30 minutes.

[cammy3] 24/9/2013 07:30

Think you need some breakfast JohnC. Your clearly distressed

[jonc] 24/9/2013 07:28

Expect a severe mark down today.

[cammy3] 24/9/2013 07:28

The market will soon tell us what's right. Toscafund managed to secure cheap shares past few months. Think they will need to buy at higher levels now. If Dobbie confident about dividend and 2014 then expect him to be buying up stock sub £1

[j777j] 24/9/2013 07:27

Expect director buys.

[j777j] 24/9/2013 07:26

3. Exceptional Costs



Exceptional costs relating to continuing operations consist of legal and professional fees incurred following allegations made against the Group (£289,000) and the costs of an employee tribunal case (£100,000). Exceptional costs relating to discontinued operations consist of legal and professional fees associated with the disposal of the Group's casual websites as announced on 15 July 2013.

[j777j] 24/9/2013 07:25

Operations



The Group has invested heavily to improve the customer experience. In 2013 we have enhanced the measures we take to detect and deter scammers by requiring added levels of verification. We have also pioneered what we call "Safe Mode" which allows members to restrict their communication to other fully verified members. The Group has invested in building enhanced anti-fraud measures. We have also upgraded our terms and conditions to make them more transparent and to encourage a positive opt in from consumers. We are fully committed to making online dating safer, simpler, fairer and trusted.

[j777j] 24/9/2013 07:25

Our brands



The consumer research we undertook earlier this year clearly illustrated that our current and potential members are looking for a relevant and differentiated product, whether that be in the mainstream or in niche offerings. Quality of service, a feeling of security and a sense of community are important to them.



In the months following the completion of the disposal we have been severing all marketing links with the casual sites and preparing to relaunch our brands with a new personality and a brand promise that sets out what consumers should expect from us. Severing the casual links will have a negative impact on our revenue in the short term but will allow us to build a strong, principled business with good long term financial merits. Each of the core areas, Cupid.com, Uniform Dating and a revitalised mature product, will feature a new brand image and enhancements to content and product features that will create a clearly defined proposition, higher levels of engagement and ultimately a higher customer life time value. We also expect to broaden our marketing mix; we will place less emphasis on online affiliate-based marketing and more on offline marketing, PR and more effective SEO (search engine optimisation). We will also produce a new set of KPIs that allows us to track the quality as well as quantity of our membership.

[jonc] 24/9/2013 07:24

It is a public BB KNIGEL.

The clue is the word public.

[j777j] 24/9/2013 07:24

Cupid following the disposal



The successful disposal of the casual assets gives us the resources and focus to execute our strategy for the growth of our retained business. The drivers of that success will be operational effectiveness (based on our proven and scalable platform and skill base); the quality of our product offering and how well we serve our customers; a highly differentiated mainstream dating product; a number of strong niche offerings; and well targeted acquisitions to broaden our base and fill gaps in our capability.



Our business is now focused on four key product areas; Cupid (Cupid.com and related mainstream sites), Uniform Dating, Mature Dating and a network of niche sites. Our six key markets are the UK, US, France, Canada, Australia and Germany which together account for 90% of our monthly revenue.



Our priorities over the next six to nine months are to successfully complete the separation of the casual assets and to complete the reshaping of the retained businesses to deliver more profitable growth. We will realign the cost base to accurately reflect the scale of the continuing business and, to that end, a cost reduction programme is already underway. This will support reinvestment in our brands and the product offering and will generate positive returns for shareholders. In addition this will allow us to position ourselves to leverage our skills and assets in other related attractive markets.



To help successfully implement the strategy, the Group is keen to improve the strength in depth of employees in key areas of our operations and we have recruited a new senior management team in the UK as a first step in this process.

[jonnyno1] 24/9/2013 07:22

mmmmm...not sure about that, foward statements not very robust.

[knigel] 24/9/2013 07:22

JonC - why do you care if you are not holding?