Ekf Diagnostics Share Discussion Threads

[kestelmill] 12/4/2016 12:24

Thanks for the info ThomasT. £8M sounds like a good start to the year although there are no other first qtr revenues to compare to. 2013 H1 revenues were just under 50% of FY revenues, so a Q1 'expected' of >£8M could perhaps be extrapolated to £32M-£34M for the year. This would be progress but I'm taking all this with a pinch of salt since Panmure are their NOMAD so can be counted to toe the party line.

[thomasthetank1] 12/4/2016 11:32

Read Panmure's note on EKF Diagnostics (EKF), out this morning, by visiting www.research-tree.com …
“EKF has reported FY 2015 results to December, with headline sales, excluding discontinued operations, of £30m (£37.1m FY 2014 restated) and EBITDA losses of £0.3m (£6.7m profit FY 2014) excluding discontinued business. In our view the historic results bear little read through to 2016, but draw a line under a turbulent 18 months. More encouragingly, following the reorganisation at the end of 2015, trading in the first quarter has begun strong, with Q1 revenue expected to exceed £8m. Although the company remains a work in progress, a route back to sustainable growth and profitability is now visible…”;

[kestelmill] 12/4/2016 11:01

I don't like this at all. I'm surprised any of these funds want to get involved with this share. Revenues are at 30.0 so less than they were in 2013 before they got involved in molecular. 2014 revenues restated to exclude discontinued Ops is at 37.1 but in 2014 annual report organic revenues were stated as 33.6. So 3.5M revenue previously attributed to the acquisitions is now attributed to organic core business. So it seems like dodgy accounting has been going on in the past. Now we find core revenue has dropped from 37.1 to 30.0 in a year.

But worst of all, let's think about the implications of today's announcement when compared with the numbers for 2013. 2013 numbers were Revenues: 31.8, GP: 16.35, admin expenses: 14.4, depreciation: 3.6, Finance costs: 1.8. (I'm not including share-based payments, exceptional items and so on). When it was a growth story these numbers looked reasonable, but now that it isn't looking like a growth story, how are they going to make any operating profit on 30M of revenues? The answer is that they can't without savaging the company and they are instead going to try to turn it into a growth story again. But when your core revenue just dropped 20% in a year it's not looking like a growth story! I can't believe the market cap is at £50M - I guess I don't understand the business well enough.

I'm just trying to find the right moment to exit. I feel the moment is nigh!

[wan] 12/4/2016 09:57

Cisk...It's gone up because the mist has started to clear and the new year and indeed the new chapter has got off to a good start i.e. above expectations. As I said, imv there is only one option for RZ (if his particular ambition is still there?).

[cisk] 12/4/2016 09:44

With his shareholding and loan to the company I don't think it's over with him at all, in fact I'm surprised he resigned.

I'm also surprised with the share price reaction today - i.e. it's gone up. It's very clear there's an awful lot of work to do, both in terms of restoring management credibility and actually making a proper profit.

Currently all the share price offers is hope. My fingers have been burnt on this one in the past, I'd rather buy back at a higher price, after tangible evidence of progress on the bottom line is evident.

[wan] 12/4/2016 09:27

It's clear that RZ has resigned, so that chapter is over imv.....and a new chapter begins, with possibly only one option open to RZ if he still has personal/particular ambitions for EKF!

[interstellar] 12/4/2016 09:23

I agree KM- something doesn't quite stack up. Is RZ there or not? And why are they so cagey about the situation.

[kestelmill] 12/4/2016 09:15

The info on the company website is unclear. RZ was previously entitled "Non-executive Chairman" but has now resigned as "Non-executive Director". Christopher Mills was appointed "Non-executive Chairman" according to the annnouncement on company website dated April 8th. However, on Directors and Advisors page of website RZ is listed but CM isn't - i guess it hsan't been updated.

My interpretation of this is that RZ is no longer Chairman and no longer involved in running the company.

Can anyone shed any light on what has happened and why? Is RZ still on the Board. It would be helpful if the company would be more clear on this. It doesn't reflect well on how the company is being run if they can't even communicate simple information effectively.

[wan] 12/4/2016 08:33

EKF is looking forward now and with a lot more clarity. There is obviously more to do (as identified), but the prospects are real, along with renewed, if not intensified, focus. All of which should yield a business worthy of increased investor attention.

[9degrees] 11/4/2016 20:06

What happens to the ex chairmans loan ? Presumably now repayable?
He was also a major shareholder ? still???

[wan] 11/4/2016 08:45

Things are getting very interesting here ahead of the Results and Investor Presentation tomorrow!

[thomasthetank1] 08/4/2016 14:39

Read Panmure's note on EKF Diagnostics (EKF), out this morning, by visiting www.research-tree.com …
“Christopher Mills has been appointed Non-Executive Chairman of EKF Diagnostics with immediate effect. The statement does not give any further comment on the strategy. However, Mills, who has accumulated a 19.2% stake in EKF, has a track record as an activist investor. He also has experience with companies in the diagnostics sector. Consequently, we believe a period of organic growth followed by a trade sale is the most likely outcome for EKF. Rescheduled results are expected Tuesday 12th April…”

[wan] 08/4/2016 07:41

Very interesting announcement. Activist investor Chris Mills as Non-Exec Chairman almost certainly means he has plans for change to ultimately unearth/realise value.

[buywell3] 05/4/2016 09:04

In fact Multi-Sense is even worse here

[kestelmill] 05/4/2016 08:43

Results don't get postponed due to good news!

[buywell3] 05/4/2016 06:50

Now let us look at the alternative view re post 1092


Multi-Sense is hardly big potatoes ,


Multi-Sense Consultancy Limited
Unit 4 Block 3, Manor Farm Business Park Manor L, Stirling, FK9 5QD
ACTIVE — Private Limited

Cash in the bank £246 ................. Net Worth £3,478



Multi-Sense Technologies Limited
Unit 4 Block 3, Manor Farm Business Park Manor L, Stirling, FK9 5QD
ACTIVE — Private Limited

Cash in the bank £179,102 .............. Net Worth £45,382



More troubling is that its Liabilities have more than doubled over the last year
to £274.64k

Current Liabilities
£-274.64k

UP +£138.98k (102.44%)

[wan] 05/4/2016 06:07

Ianwill...Good morning, indeed it should be RZ (now edited).

[ianwill] 04/4/2016 21:51

Or RZ, DS and JM !

[ianwill] 04/4/2016 17:22

Good post wan. RW, DS and JM are a successful team.

[wan] 04/4/2016 11:09

I am not suggesting that the postponement of the Results by a week is anything to do with the following, it's just food for thought;

Some might recall that as reported by EKF,

RZ is also currently Chairman and Chief Executive Officer of Lumira Holdings Ltd. But what interested me more was the connected business Lumira Diagnostics Ltd. I further noticed the following job vacancy description, which was posted in December 2015 (no other job listings state that Multi-Sense is a subsidiary of Lumira) -

Engineering And Manufacturing Manager in Lumira Diagnostics (UK)

Multi-Sense, a subsidiary of Lumira, are a young and energetic company developing revolutionary and flexible assay platform technologies that will transform In Vitro Diagnostic testing and provide next generation healthcare. The company was founded in 2009 and is located at our newly built facility in Stirling. We are looking for a proactive, talented, focused and enthusiastic individual who can make a significant contribution to the continued growth and success of our company.
(end)

Revolutionary and transforming have big meanings, but are obviously just words at present and there may be no connection and just a typo. RZ is not listed as a director at Multi-Sense, however, his fellow directors at Lumira, Dr David Scott and Dr Jerome Francis Francis Mcaleer, are both directors at Muti-Sense.

Very recently, and apparently as a result of growth, Multi-Sense Technologies have posted quite a few vacancies -

March 2016:
Due to continued growth, we are currently recruiting for a variety of roles as shown below:


Multi-Sense and Lumira are still listed as a private independent companies, but that does not mean that that is still the case as Companies House will get updated at the next filing date. I also noticed that the following individual has apparently done some work for Lumira -

Richard R. Kelly
Rich concentrates on cross-border and domestic M&A representation and corporate fiduciary counseling. He co-heads the firm’s International Practice.

Lumira Holdings Ltd in its expatriation to the U.K. and in connection with its private placements and acquisitions of connected health companies.


RZ has quite a bit of history and connection with companies/deals in Scotland.

Thus it will be interesting to see what materializes, or indeed if there is any connection formed with Lumira and/or multi-Sense.

[city chappy] 23/3/2016 11:37

Forget SBS its just a steady as she goes type of investment that will probably not make big gains.

For big profits you would be better off with recovery plays like EKF and companies that could be ten baggers overnight like AFC and RENE which some are calling for a fifty bagger.

[buywell3] 22/3/2016 07:57

The results are going to read badly .... huge writedowns coming


Try reading these in the same PharmaBiotech sector

A small cap that has a track record of increasing turnover and makes money ... how rare is that ?

It's good to share


22/03/2016 07:00 UKREG Source BioScience PLC Final Results

Worth a look in my opinion epic (SBS)

[andrewbaker] 21/3/2016 18:24

The price is going up because people are buying so demand is up, as evidenced by the higher volume; and from that follows a reasonable assumption that the figures to be announced will be good. Mr. Zwanziger, who is a capable person no doubt, or not, better trading will not be compromised and will show that the company is worthy of investment, based on its merits.

[kestelmill] 21/3/2016 15:48

The only thing keeping this share at its current level is the involvement of Ron Zwanziger. Anyone know how to gauge his level of commitment to the company? If he decides to get involved in a different company this is going to drop like a stone.

[interstellar] 21/3/2016 15:16

Hopefully a line will be drawn under the past with these results and we can see our way forward back to the giddy heights of 18 or, dare I say, 24 pence per share. All academic as far as I'm concerned as I sold out most of mine on the way down