Delcam Share Discussion Threads

[sleepy] 24/3/2011 19:15

Hope you are a holder

[21richyrich] 24/3/2011 18:47

Looks like noone else is interested here, looks like pretty good result to me and esp like the increase in eps to 29p, would be interested to hear any views on brokers forecasts for 2011, and expectations for share price appreciation, imagine techinvest should comment on these figures in next issue, just shame spread is so wide must put peeps off....

[21richyrich] 24/3/2011 18:44

Full Year Results

For the 12 months to 31 December 2010

Delcam is the UK's leading developer and supplier of software solutions for product development and manufacture. Based in Birmingham, the Group's software is used across a variety of industries, including aerospace, automotive, footwear, medical and dental, toys and sports equipment.

Key Points

-- Buoyant Q4 2010 helped to deliver pre-tax profits in line with upgraded market expectations issued in January 2011

-- Sales up 17% to GBP36.6m (2009: GBP31.3m) - reflecting recovery in all key markets in Europe, North America and Asia

-- Recurring income (from software maintenance and support contracts) rose to GBP11.6m (2009: GBP10.2m) and now accounts for 32% of total sales

-- Investment in software R&D of GBP9.4m - will support ongoing expansion (2009: GBP8.9m)

-- Pre-tax tax profit substantially increased, to GBP2.26m (2009: GBP0.59m)

-- Basic earnings per share up to 29.7p (2009: 5.0p)

-- Unrestricted net cash doubled to GBP8.8m (2009: GBP4.4m)

-- Final dividend of 4.15p proposed (2009: 3.9p), taking total to 5.50p (2009: 5.25p), up 5%

-- Q1 2011 commenced well and Delcam is well-positioned to deliver improved trading results if current trend continues

[cockerhoop] 11/1/2011 14:49

Very sharp rise today on no recorded volume, anyone aware of a new brokers note or other reason for this?

[wjccghcc] 06/1/2011 13:30

You're not the only one. I've got a fair few bought over the last 6 months while the share price was stagnating.

[sleepy] 04/1/2011 22:32

Good story. Perhaps one day they will help someone tell it

[cockerhoop] 04/1/2011 21:50

Very pleasing update today, high quality company

[knockers2] 19/5/2009 13:36

downgrade today

[cwa1] 27/3/2009 08:43

Busy board this one ;-)

[schober] 27/3/2009 08:41

................and in 2009

Highlights

Creditable performance over the year despite deteriorating trading conditions, reflecting:
- quality of software offering
- broad geographical distribution and presence across a wide variety of industries

Sales of £32.9 million (2007: £29.7 million)
- European subsidiaries performed particularly well, especially the German subsidiary
- emerging economies of China, India and Latin America achieved good growth

Maintenance revenues from software licence renewals increased by 20% to £9.7 million (2007: £8.1 million)
- represents 29% of Group revenues
- highly predictable, recurring income

Profit before tax of £2.3 million (2007: £2.1 million)

Basic earnings per share of 21.2p (2007: 24.6p)

R&D investment of £8.8 million (2007: £7.8 million)
- released improved versions of existing products
- introduced new products during the period

Net cash of £6.4 million as at 31 December 2008 (2007: £5.3 million)

Proposed final dividend of 3.9p, making a total for the year of 5.25p (2007: 5.25p)

Board considers Delcam to be well placed to weather the downtur

Peter Miles, Chairman, commented,
'The robust results achieved by the Group over the past financial year reflect the high quality software products that we continue to offer and the benefits of our diversified business, both in terms of our geographic reach and the many industries that we serve.

The next two years are going to be difficult but also an opportunity. The favourable exchange rate, strong cash position and high levels of predictable income present Delcam with a significant opportunity to increase our market share. During 2009, we plan to maintain our investment in product development and marketing, while continuing to exercise tight control over our day-to-day expenditure to take advantage of the recovery when it comes.

We remain confident that our strategy will deliver business advantage and believe that Delcam is well placed to see out the near term challenges.'

Outlook
Our intention is to expand sales in our newer areas of activity, including Services and Healthcare, whilst also remaining the largest specialist supplier of software for computer controlled machines in the manufacturing industry. As the largest supplier, we will inevitably be affected by the downturn in manufacturing sales and reduced levels of confidence which are affecting investment. It remains difficult to predict the course of the recession but we are planning for a recovery in manufacturing to begin during 2010, with growth resuming in 2011.

The next two years are going to be difficult but also an opportunity. The favourable exchange rate, strong cash position and high levels of predictable income present Delcam with a significant opportunity to increase its market share. During 2009, we plan to maintain our investment in product development and marketing, while continuing to exercise tight control over our day-to-day expenditure to take advantage of the recovery when it comes.

We remain confident that our strategy will deliver business advantage and believe that Delcam is well placed to see out the near term challenges.

[hywel] 19/3/2008 19:59

Preliminary Results
for the year ended 31 December 2007

Delcam is the UK's leading developer and supplier of advanced software solutions
for product development and manufacture. Based in Birmingham, Delcam has more
than 125 local support offices in over 80 countries worldwide. The Group's
specialist software is used by more than 15,000 organisations, ranging from
multi-national corporations to independent designers and toolmakers, across a
wide variety of industries, including aerospace, automotive, electrical
appliances, footwear, ceramics, packaging, toys and sports equipment.

Highlights

• Robust trading performance which reflects:
- organic growth of Delcam software range
- benefits of software ranges acquired in 2006 coming through

• Record sales of £29.7m, an increase of 11% (2006: £26.7m):
- European software sales performed particularly well
- emerging economies - China, India, Russia and South America - achieved
good growth

• Profit before tax of £2.15m (2006: £2.79m):
- weak dollar impacted profit by more than £0.5m

• Basic earnings per share of 24.6p (2006: 38.2p) - dilution effect of Renishaw
plc placing

• Maintenance income (from licence fee renewals) up by 10% to £8.1m (2006: £7.4m)
- represents 27% of Group revenues

• Continued investment in R&D of £7.8m (2006: £7.3m)
- maintains Delcam's market leading position for its software ranges

• Net cash of £5.3m at year end (2006: £(0.7m))

• Final dividend of 4p proposed, making total for the year of 5.25p (2006: 5.0p)

• £6.1m investment by Renishaw plc, leading UK metrology company, completed in
April
- now working together on new software initiatives

• Diversified product range and customer base positions business well for long
term growth


Peter Miles, Chairman, commented,

'I am pleased to report that the business has performed robustly. Results for
the financial year to 31 December 2007 show that sales reached record levels.
With more than half of Delcam's global sales undertaken in the US$, results are
especially creditable given the background of US dollar weakness, which
adversely affected sales and profitability, and our results demonstrate the high
quality of our software offering and the diversified spread of our business
across the many industries in which we operate.

We have had an encouraging start to the current year but we will not be immune
to any global downturn in economic activity. However, by offering our wide range
of products and services across a number of industries, we are in a position to
capitalise on the variety of opportunities available to us. We continue to view
prospects for the business over the long term very positively.'

[nfs] 09/11/2007 17:48

yes I know the USD is affecting the sterling profits but at this mkt cap£23m, and about £4m cash this means that cash is about 50p of the share price and thus on eps of say 30p-a very low number-this is a pe value ex cash of 8-9,surely a bargain?

[cwa1] 10/9/2007 12:19

Thanks for that s, appreciated.

[sivadnoj] 10/9/2007 11:17

BROKERWATCH Delcam initiated 'buy' at WH Ireland, target 460 pence
251 words
10 September 2007
10:31
AFX UK Focus
English
Copyright AFX News, 2007 All reproduction and presentation rights reserved.

LONDON (Thomson Financial) - WH Ireland has initiated coverage on Delcam PLC with a 'buy' recommendation and a 460 pence target price, as the broker said it expects the company to make further acquisitions in the months ahead.

In a note to clients, WH Ireland said its estimates currently exclude any upside from partner Renishaws 6.1 mln stg investment in Delcam through a placing in March 2007.

The broker said about 1.2 mln stg is allocated for the development of metrology technology with the remainder for acquisitions. It added that the investment significantly changes Delcams growth potential.

WH Ireland said Delcam has a good track record of identifying and integrating smaller software companies, adding that it is not unreasonable to assume the cash provided by Renishaw will be used to generate an enhanced return.

The broker also notes that in 2006 revenues from maintenance contracts accounted for 27 pct of sales, giving Delcam good visibility of future earnings.

Having dropped from a high of 437 pence in July the shares are now trading on a multiple of 12.3 times for full-year 2007, says WH Ireland, adding that this is low for a software company.

[quantumx] 24/8/2007 13:06

Still a good investment, especially if the dollar strengthens (which it won't in the short term!)
qx

[ntv] 09/6/2007 18:25

sorry guys for knocking this last week
need the cash elsewhere

[quantumx] 08/5/2007 12:34

$ exchange rate holding DLC back, but still a great little company. Be nice to have a more sensible dividend too, they could easily afford 10p (3x covered).

[ntv] 08/5/2007 09:38

looking good ,nice tick up today

[hybrasil] 08/5/2007 08:52

Even allowing for the tip movement they are only trading 10% ahead of the renishaw investment - still cheap at £4.40

[finbarr] 06/5/2007 12:06

Hybrasil,

I read John Lee's article. V.interesting that CWA1 was hopeful of a mention in the FT weekend.

[hybrasil] 05/5/2007 20:05

How did you know that was going to happen cwa1?

Todays article in the FT reinforces the comments on this thread.
It will fly on Monday. The investment by renishaw hitherto almost went by unnoticed.

I suspect £4.60 by Friday.

[cwa1] 04/5/2007 15:36

Hopefully a wee mention about prospects by John Lee this weekend might help gain a bit wider recognition of Delcam.