Danakali Share Discussion Threads

[forfaiter] 05/8/2003 21:50

Hmmm...on my hols but popped in for for a quick look....should not have bothered...lol....dire results but well flagged....looks a tad overdone...second half recovery on the cards...but the shorters will have a field day...no doubt...

Must be Question marks over the preacher and his congregation....never rated the guy myself...seems to be struggling to get past first base....even though he draws a salary of a pro......the company still has a decent revenue base and margins and this clown still can´t post positive earnings...bangs on about high margin business as the revenue drops...and now the revenue has dropped is chasing low margin business...lol.....what a muppet...praise the lord....

[panagos] 05/8/2003 18:21

Danka Business Systems fell 11% to 48.5p after revealing today that it swung into a loss in the first quarter. It blamed increasing competition, especially in the US, technology convergence and the global slowdown in capital spending. The first quarter pretax loss was £2.9m, compared to a profit last year of £5.2m on sales of £206m against £238m.

[jurgan] 05/8/2003 17:28

the problem is, next quarter's results will be also quite bad :


"Because the refinancing closed on July 1, 2003, unamortized debt issuance costs, anniversary fees and amendment fees of $20.6 million relating to the prior credit facility at June 30, 2003 will be charged to pre-tax earnings in the quarter ending September 30, 2003."

so $20.6m of losses will be materialised in the next quarter's results. Thats a LPS of over 30c. ouch.

[cinoib] 05/8/2003 16:36

S.P.
groce overdone again 48.9 at the close of London and we at 46, greedy mm's. Hope for a better start to the day tomorrow, no doubt Sisco will call the tune for tomorrow's party.

[serious punter] 05/8/2003 16:13

Cinoib

Yup hit by -£1900. Still made a packet on SPT - got out at 39.5.

[newstarter] 05/8/2003 15:29

Ummmmm - constructive !

[clairvoyant1] 05/8/2003 14:46

short dnk,cannot believe how bad the results are,surely will get hammered by the markets,only a modest short.

[panagos] 05/8/2003 14:06

bb i think ff is on holidays

[blockbuy] 05/8/2003 14:05

not the best of results eh?

ff , price prediction if you could be so kind pls.

Thanks

bb

[blockbuy] 05/8/2003 14:03

edit as posted info to wrong thread.

[cinoib] 05/8/2003 13:55

S.p.
bet that hert after you bought in last week. Did say it wasn't right at present will keep sitting tight on the few I have but shar'n be buying anymore for a while Hope Spt results are a little more inspiring tomorrow as I'm holding quite a few, see you around.
Cinoib

[jurgan] 05/8/2003 13:49

poor results.. was hoping to buy on some improved revenue. even the cash flow has deteriorated. margins under pressure and revenue still in decline. I think I will stay out.

[serious punter] 05/8/2003 13:44

Sorry All - got out - I really thought the donkey was making progress. Best regards to those staying in.

[zedder] 05/8/2003 13:43

Bailed. First 2 trades after the results (2046 @ 51p and 5240 @ 51.22p) were mine through Charles Schwab. That's where you see the advantage of being with the Big Boys when you need out in a hurry!

[panagos] 05/8/2003 13:41

Support around 42p me thinks

[tech] 05/8/2003 13:39

Terrible results

[newstarter] 05/8/2003 13:37

Was holding funds to get back in, will not now, must show significant growth to get me back in - shame, was really hoping the best for Donkey, and all long holders

[panagos] 05/8/2003 13:37

Market didn't like the figures apparently....

[panagos] 05/8/2003 13:36

q1 apologies

[newstarter] 05/8/2003 13:34

Dissapointing




RNS Number:3451O
Danka Business Systems PLC
05 August 2003


Embargoed until: 13.30 5th August 2003

DANKA BUSINESS SYSTEMS PLC
("DANKA", "THE GROUP" OR "THE COMPANY")

DANKA REPORTS FIRST QUARTER RESULTS FOR THE THREE MONTHS
ENDED 30th JUNE,2003

"We saw progress in the mitigation of our past revenue declines in certain
aspects of our business, encouraging signs in our service business and
progress with our Oracle implementation."

Financial and operational highlights for the quarter ended 30th June, 2003:

- Operating profit was #3.0m (Q4 2003: #3.6m; Q1 2002: #10.2m)
- Pre-tax loss of #2.9m (Q4 2003: #1.9m loss; Q1 2002: #5.2m profit)
- Basic earnings per share were 1.0p (Q4 2003: 2.0p; Q1 2002: 3.2p)
- Gross margins were 36.7% (Q4 2003: 37.7%; Q1 2002: 38.6%)
- Strong turnaround of International business
- Successful completion of $175m senior note offering on 1st July,
2003
- #64.4m under existing bank credit facility repaid on 1st July, 2003;
intention to redeem #28.6m zero coupon senior subordinated notes

Danka's Chairman and Chief Executive Officer, Lang Lowrey, commented:

"We saw continued progress in mitigating the decline in our revenues in
certain key aspects of our business; however, we experienced a decline in
our gross margins, almost exclusively in the U.S. equipment and related
sales area," said Lang Lowrey, Danka's Chairman and Chief Executive
Officer. "Some of this decline can be attributed to a larger than
expected shift in the mix of our sales toward lower margin, large
enterprise accounts. Additionally, toward the end of the quarter, we
were affected by changing market conditions in our industry, which appear
to now be dictating lower average sales prices in certain segments of our
equipment portfolio. On the positive side, we did see stabilising trends
in the performance in our retail equipment and related business,
continued positive trends in our service annuity business and a
turnaround in our International business, which contributed measurable,
positive results for the first time in several quarters."

"While we are disappointed with our first quarter financial results, we
saw progress in the mitigation of our past revenue declines in certain
aspects of our business, encouraging signs in our service business and
progress with our Oracle implementation," stated Lowrey. "Toward the end
of the quarter, however, we encountered increasingly competitive market
conditions which placed downward pressure on sales and margins,
particularly in the U.S. field sales force. Our ability to successfully
respond and improve sales and margin performance in light of these
industry conditions, better manage our working capital, timely complete
our Oracle rollout, realise capital spending reductions and cost savings
from the new IT system and move to our new headquarters building remain
the most significant factors to achieving our financial forecast for the
fiscal year," concluded Lowrey.

Danka's Chief Financial Officer, Mark Wolfinger, commented:

"The refinancing was clearly a bright spot for the quarter, and is the
culmination of years of management effort to provide long term financing
for the Company," said Wolfinger. "In the process, we have lowered our
overall cost of capital and significantly extended the maturities of a
large portion of our capital structure. We believe this refinancing has
solidified the financial position of the Company and will allow our
management team to focus on executing our business and process
improvement plans. For the past several years we have been operating
under a credit facility which was extremely expensive, and contained very
onerous financial covenants, which often hampered our ability to exploit
new opportunities," concluded Wolfinger.

[panagos] 05/8/2003 13:34

2003 q3 EPS 1p

2002 q3 EPS 3.5p

[zedder] 05/8/2003 13:28

Have decided to sit tight. My portfolio is already 40% DNK as it is!

[blockbuy] 05/8/2003 13:27

3 mins to go.....

[newstarter] 01/8/2003 15:36

Danka Business Systems PLC, a leading independent global provider of office
imaging systems and services, will release first quarter financial results at
1.30pm UK time (prior to US market open) on Tuesday, August 5, 2003, and will
have a conference call at 4:00pm UK time (11:00a.m. EDT) that day.

[bdawes] 31/7/2003 17:24

The charts the charts the charts, mkts are sentimental, I know grannies and sucking eggs but we fall in the trap evey time.