Densitron Tech. Share Discussion Threads

[clocktower] 27/3/2015 16:36

If they come to a settlement on the property the cost could destroy any profits I guess, hence the movement in the share price I assume.

[isis] 27/3/2015 16:32

I don't know - how much?

[lcd interest] 27/3/2015 16:27

They have to pay how much for lease issue in 2015?

[lcd interest] 27/3/2015 16:27

What is causing the downward spiral ISIS?

[isis] 27/3/2015 14:21

Jan trading statement was quite positive but has'nt come out in the share price

AIM companies not doing too bad at the moment except this one!

Not very good communication with Shareholders.

[lcd interest] 06/2/2015 20:25

Is this them same paper as shown in 2011 used in BA?

[heartylaugh] 19/1/2015 22:32

"Group's orderbook (the level of customer orders received but not yet delivered)"

Hmm.

[isis] 19/1/2015 19:51

19 Jan 2015 Densitron... DSN Westhouse Securities Buy 5.25 5.00 8.00 8.00 Retains

[lcd interest] 19/1/2015 16:18

have they fixed the lease issue?

[clocktower] 19/1/2015 14:22

Even with that statement that on the face od it looks positive they will not meet market expectations - but I bet the directors will get what they expected.

[lcd interest] 19/11/2014 20:53

ah but if they plop more than twice in one day, the battery life becomes problem

[lcd interest] 19/11/2014 20:52

What is this e paper?

Is it the same as kindle displays?

Why is Densitron's Kindle style sign so expensive and lacking in features?

Do they expect customers to live in a media blackout?

Maybe someone living on a mountain, comes down from it , logs onto the web for the first time ever, finds densitron , buys a unit ..

or perhaps someone has a spare £200 and wants a sign for their toilet to show plops per day?

[lcd interest] 17/9/2014 11:30

how does densitron get new clients if any client can look online and see densitron's share price drop and the lease mess?

surely any OEM will not sign up with densitron?

[lcd interest] 11/9/2014 11:03

If it was another UK ''distributor '' in the same/similar market sector, and there are many,

then the Board would realise and admit the company is simply an added value distributor.

Then the director salaries would be realised as too high for that type of company,

bu instead you have this dysfunctional company, which used to have manufacturing status , 10 years ago selling it's shares in factories, and is now affiliated to no manufacturing base, and swaps it's franchises every few years because they all,, bar a few , fail..

[lcd interest] 11/9/2014 10:49

The staff numbers keep decreasing , so it looks like people leave or are fired , year on year, with head count not being replaced.

If you look at the fine detail, they have no owned factory, very little IP, a top heavy management structure and dwindling staff numbers, so one would conclude that like other distributors in this sector, they are struggling to maintain their existence.

It is very easy now for buyer in this market space to open up google.com and buy this type of product directly.

why would they deal with densitron ??

Any serious manufacturer will take a look online at the share price, drirectors salaries, London office address, and run a mile !

manufacturing is all about sensible routes to market and cost competitive structures, not paying to stuff the pockets of a few people , or paying to maintain a central London address.

Look at the other competitors, most of the successful ones like KOE Europe , have offices near the M4 Corridor, and warehoujses on the same site as the offices.

Someone needs to make sweeping changes for DSN before they implode

[clocktower] 11/9/2014 10:19

LCD - the only logic is that the directors need to make profits now and again to ensure they can continue to draw taking £300k you say from the business plus I expect perks while the rest of the staff strive to work hard to make sure they still have jobs. As for the investors who cares as no small amount of stakeholders have the power to replace them with directors that only get rewarded on positive results.

[lcd interest] 11/9/2014 09:11

If you look at the annual report, there are a handful of UK staff and then 2 directors taking £300K from the business ~!###!~

There are many things about this company that defy logic

[lcd interest] 11/9/2014 09:06

The order book is consistently strong, but the company keeps making a loss,

Could it be the Newcastle warehouse draining all profits into a hole

[lcd interest] 01/9/2014 10:47

The growth in the e paper company division is key,

where is BA at ?

who is managing the new e paper signs company ?

what sort of growth are we seeing from India , has it created a profit after the announcements 4 years ago about India being a target growth market for Densitron?

[lcd interest] 21/8/2014 09:53

This is significant , all aboard , plop

[heartylaugh] 20/8/2014 22:20

La la la la la. When will the rampers here realise that only results, from orders, are what counts? Hot air doesn't pay the bills. Or the salary of the CEO.

[vfast] 19/8/2014 19:56

From the Westhouse Report dated 23 July 2014

Company back on a growth trajectory

In the trading update which accompanied Densitron's AGM on 11 June 2014, the
chairman stated, "a number of the projects being worked on during 2013 have now
come to fruition. Together with an increase in the core business this has given rise to a 14% increase in the orders booked and a 35% increase in the orderbook compared to the first 5 months of 2013." We are encouraged by the potential to win meaningful orders in some of the new higher-margin products.

Balance sheet remains robust

There have been two non-core issues relating to property that have impacted the
business and share price over the last few years. First, Densitron has been deemed responsible for a lease of a former subsidiary in Newcastle, which resulted in a £0.6m exceptional item in 2013 and for which we have assumed the worst-case scenario of a £0.24m cost for each year until the lease expiry in 2023. The second issue relates to land Densitron owns in Blackheath which it is carrying at £0.5m and for which it has been seeking planning permission. We are not assuming any change to the current status during our forecast period so again, there is potential for upside. The net debt of £1.0m at end 2013 is expected to reduce as profitability and cash generation improves.

Management focused on hitting margin targets

The board has set a long-term target range of delivering 6-8% operating margins.

Key to improving profitability will be the twin strategy of increasing revenues while keeping a tight control on costs and the sale of more products with a greater amount of internally-generated intellectual property. Having acquired the rights to sell e-Paper, we expect that Densipaper (an out-of-the-box solution that enables users to wirelessly network a number of displays that can be instantly updated from the convenience of a remote computer), will be crucial in winning new, higher-margin business.

Valuation is undemanding

While we believe that there is scope for a more significant re-rating in due course, we are re-instating coverage with an 8p target price which assumes an FY2015E P/E of 8.0x and an EV/EBITDA of 5.4x. This is in line with the current forward multiples Densitron is trading on for FY2014E. With potential for upside on the non-core issues, we resume coverage with a Buy rating.

[isis] 19/8/2014 14:40

Year Ending Revenue (£m) Pre-tax (£m) EPS P/E PEG EPS Grth. Div Yield
31-Dec-14 22.09 0.64 0.71p 9.0 n/a n/a n/a 0.0%
31-Dec-15 24.13 0.92 1.01p 6.3 0.1 +43% 0.20p 3.1%