Dialight Share Discussion Threads

[ledguy] 30/1/2024 14:00

Now the downward spiral! Add more Finance people to the mess and start closing the factories as revenue plunges. No company is going to touch that mess, and a huge lawsuit in the waiting stops any sale!!!!
Get out.

[ledguy] 30/1/2024 13:48

Now the downward spiral! Add more Finance people to the mess and start closing the factories as revenue plunges. No company is going to touch that mess, and a huge lawsuit in the waiting stops any sale!!!!
Get out.

[pugugly] 30/1/2024 07:59

Russian roulette - Which participant will take the bullet.

[chrisdgb] 30/1/2024 07:53

Interesting situation here I think.........

[value viper] 11/1/2024 20:17

Sounds perfect then for someone else to take it on too

[value viper] 11/1/2024 18:49

Trading update !

[ledguy] 11/1/2024 18:31

No imminent TO. Place is a mess. Lost all technical talent. Never get out of the Sanmina hole they dug. BOD was asleep when Sanmina was involved. Now have Finance person running who is more concerned with women’s PR than making profit. From a former exec when we printed money!

[value viper] 11/1/2024 17:41

Imminent t/u I would think basis last year

[chrisdgb] 15/12/2023 08:27

Wonder if Sanmina will settle given the relative weighting of outcomes....?

[chrisdgb] 29/11/2023 14:09

Interesting RNS.......

[pugugly] 01/11/2023 13:47

Rush placing as pointed out at 159p - Message received must have financial problems as actioned so fast. However must have been attractive to those who participated - So jury out (imo)

[ledguy] 01/11/2023 12:57

Dead company and no leadership created by pathetic strategy to outsource. This will handicap the company for many years. Lawsuit still pending. They lost the technical talent and vision when the CEO passed away. No chance to recover. Nice articles on women in business, support that if you’re inclined.

[chrisdgb] 01/11/2023 12:28

Obviously not going to be quick but always nice to see Aberforth and a Director buying.....

[tradertrev] 27/9/2023 12:24

They may have done you a favour!
Surprised no management changes demanded on this.

[typo56] 27/9/2023 11:59

How many holders got to subscribe to new shares at 159p last night?

The RNS was issued after hours at about 17:07. My reading of it is you then had 80 minutes to see if your broker was able to obtain any.

Hardly serious about offering to retail investors, were they?

[pugugly] 22/9/2023 13:30

Down 5.8% Now 172p bid and unloaders at the bid - Carey street beckoning?

[pugugly] 18/9/2023 10:23

LLTA: Many thanks for extracting and posting the hidden mines in the notes -
Message self - Very big red flag.
Used to hold in the old days and with luck got out in time. Like yourself watching but keeping powder dry.
Looks like a candidate for possible t/o as products as you say seem excellent, but possibly less expensive to purchase from a possible liquidator rather than via takeover with all the accompanying baggage. Particularly debt as it appears interest rates may stay higher for longer than expected.

[longlongtimeago] 18/9/2023 09:28

This was nicely snuck in to the notes:

In assessing going concern, the Directors have prepared scenarios using the Board approved Group forecast for 2023 and management expectations for 2024. The base case scenario incorporates the latest trends on revenue, costs, and margins; market expectations that demand for OE products will improve from Q4; ongoing benefits from previous price rises; additional H2 price rises in Signals & Components; benefits from H2 cost reduction programmes (including product changes); existing order backlog; and the expected conversion rates for the improved pipeline of potential orders.

In a plausible downside scenario, the Directors have assumed that the expected growth in revenue from market conditions returning to normal for both OE and delayed capex projects occurs but that margins remain under pressure from inflation, and we see lower benefits from product cost reductions and factory efficiency improvements. The scenario modelling also includes the potential for a negative outcome from the ongoing Sanmina litigation (see note 11).



Under a plausible downside scenario, the Group has forecasted a potential breach of its Interest Cover covenant, which gives rise to a material uncertainty, and which may cast significant doubt on the entity's ability to continue as a going concern, meaning it may be unable to realise its assets and discharge its liabilities in the normal course of business.



Management has proactively engaged in a series of discussions with its lender to seek flexibility in its covenants in the short term. Encouragingly, the indications from these advanced discussions suggest support to provide such flexibility. However, as of the date of publication of this interim financial information, formal agreements regarding the covenant flexibility have not been finalised.



In light of the aforementioned matters, the Board of Directors has diligently considered the going concern basis in preparing this interim financial information. While acknowledging the outstanding formalisation of covenant flexibility arrangements and resulting material uncertainty, the directors have concluded that, given the positive indications from the lender, it remains appropriate to continue to adopt the going concern basis in the preparation of this interim financial information.

______

Unfortunately I've lost my patience with this stock - I managed to extricate myself at a small loss back in 2017 but have been following since. It seems current CEO was on the watch when the whole Samnina disaster unfolded (she was CFO then, but presumably had a strong voice at the table), the business has been distinctly unimpressive since then and now we've got another sudden CFO departure (who knows, but feels like he's been thrown under the bus for something). Board's plans to return the Group to life just feels like the same old same old - this is an amazing market opportunity (I genuinely believe they have excellent products), but the management of the business has been diabolical for over a decade and nothing tells me they have the capabilities to pull off their transformation plan, if indeed they're around long enough to try. I'm still astonished it hasn't been taken out.

[pugugly] 18/9/2023 09:17

Mr Market does not think so - Now 204p - Down 30p - No 5 on the loser list.

[pugugly] 18/9/2023 07:30

Clive Jennings is stepping down as Chief Financial Officer and as an executive director of the Company with immediate effect.

At constant currency Group orders down 12%, with Lighting 6% lower than H1 2022 as a result of weak capex orders, Signals & Components 25% lower

-- Group revenue 13% lower than the prior year (9% at reported currency), largely driven by the cyclical downturn in Signals & Components

-- Gross margin fell to 29.6%, as a result of continued elevated component costs together with lower overhead absorption (2022: 34.9%). The Group had an operating loss of GBP2.5m in the first half

-- Net debt at 30 June 2023 of GBP22.7m, driven by the loss in the period, compared to GBP20.9m at year-end 2022

-- Current trading and the full year outlook are below our prior expectations.

The BIG question is will the new Chair Neil Johnson be able with Fariyal Khanbabi - Group Chief Executive be able to save this sinking ship?

[ledguy] 30/8/2023 16:04

Nothing to see here. Nice stories about women in management from time to time but earnings are going nowhere. BOD allowed delusional CEO to implement a crazy plan to outsource manufacturing. Almost bankrupt the company. Can only hope that a bigger company finds them accretive to earnings.

[jeffian] 30/8/2023 15:55

Even sadder because the Roxboro conglomerate that spawned it was actually an excellent business and a very good investment for many years.

[pugugly] 30/8/2023 15:17

commiserations - Should be a classic case study for all business schools as to how management can fail a business.

[dexdringle] 30/8/2023 15:00

I think most people who own these are either pushing up daisies or have forgotten about them.

It has been, and still is, an atrocious investment.

Edit: for context, i bought these for £10 each over 10 years ago....

[chrisdgb] 30/8/2023 10:32

No one seems to care here.......?