Elixirr Share Discussion Threads

[74tom] 11/7/2024 16:05

The RNS states;

"Accordingly, the Purchase will mitigate the need for dilution in the equity of the Company as it executes on its growth strategy."

Well ok, but the companies cash balance is now £8m lighter... surely that cash would have been better utilised on an acquisition?

I don't buy the reasoning tbh, I suspect there weren't any II takers at £5.65 and the company didn't want to place them at a significant discount, so they've used their own cash.

Anyway, zero surprise to see shares come off this afternoon

[74tom] 11/7/2024 15:57

Was surprised to read that the EBT had purchased some 1.4m shares from employees & PDMR's at £5.65, this is effectively like a secondary placing of shares, except the company used it's own capital to buy them... £8m of cash transferred from the business to employees is highly unusual, the key question is why did they need to do it?

[masurenguy] 09/7/2024 17:38

I'm looking for sales of circa £107m, EBITDA of £30m and pretax profits of £25m in calendar 2024. If achieved it would put the current year PER on just circa 11.Interims are due in September, which will provide a steer on whether this projection is likely to be achieved.

[eagle eye] 02/7/2024 10:04

>>Toffeeman->> YES they have an acquisitions team because they need one.

Page 48 of the Annual Report spells it out clearly:

M&A and integration

'A dedicated internal acquisition team is responsible for identifying opportunities and bringing targets through the pipeline'.

Further details can be found on p28.

[toffeeman] 27/6/2024 12:02

>> Eagle Eye -> NO it's a team trying to acquire new customers. They have no team looking at acquisitions because they don't need one.

[eagle eye] 25/6/2024 17:16

Thanks for all the positive comments, it makes the effort posting worthwhile.
It may be a sleepy BB but this is certainly not a sleepy company!

[wisecat2] 25/6/2024 17:16

well done Eagle Eye good effort

[eagle eye] 25/6/2024 17:14

Toffeeman,
Sorry if there has been a misunderstanding.
It's a team of three for the acquisition of new companies, not the acquisition of new clients.
We did discuss the undervaluation issue, but management continue to execute the plan to eventually build this to a $1bn or £1bn market cap enterprise.
They did refer several times to content on IMC as they put a lot of detail in their presentations.

[masurenguy] 25/6/2024 16:31

Hi eagle eye, this is a quiet thread demonstrated by the the average number of posts - circa 2 per week - and the number of visitors - see the flag counter above. Long may this status remain - there are too many threads elsewhere that contain posts with uninformed meaningless comments or are infested by trolls. A small number of intelligent and informative posters/investors makes a nice change. 😊

[toffeeman] 25/6/2024 16:17

They mean 3 people aquiring new clients not acquiring new companies!!

[mginvestor] 25/6/2024 16:04

eagle eye,
Thanks for the update from the AGM. Appreciated. Always adds a bit of colour thats good to know. I assure you there are plenty of silent lurkers on here. I've held ELIX since 2020 after their IPO & it has been one of my most comfortable holds.

We are significantly cheap at these prices with a forecast PE of <13 ex cash for just this year 2024 let alone the next! This is despite management having said they will maintain margins at such a high level and the fact they've found many of the acquisitions they've looked at generally having lower margins hence the forecast margins always dip after a significant acquisition.

Patience will be rewarded here.

Toffeeman, they only need 3 on the acquisition team. Have you seen how many potential acquisitions they've gone through so far since IPO. They run a tight ship at that level. And they know exactly what kind of acquisition they want. I suggest going through the IMC presentations and their own website has webcasts too to get an idea of how they view acquisitions.

ATB

[eagle eye] 25/6/2024 15:47

Masurenguy,
Glad to hear you found my post interesting.
This board is so quiet I was wondering if I was writing to myself!

[toffeeman] 25/6/2024 15:29

Only three on customer acquisition is woeful.

[masurenguy] 25/6/2024 13:31

Thanks for that feedback eagle eye - very interesting !

[eagle eye] 25/6/2024 13:13

I attended the AGM this morning, so here are my notes.
I find it very valuable to meet people first hand.

Management took questions freely and I got the impression they have a clear operating model and are on top of their game.

Quality of work is paramount and reputation is key.
Elixirr looks for top talent and is very choosy in who it takes on.
It had 4,000 job applicants last year and took on 30.

I discussed how margins are improved when acquisitions are made.
Much comes from improved utilization rates, plus sometimes chargeable rates had been too low. With over 500 Blue Chip clients, this provides a access to market that smaller boutiques otherwise wouldn't have access.

There are several ways the company achieves new business.
Referrals are a good source and repeat work, eg land and expand.
People often change employer, so that can open new doors.
There has been good success from leads generated directly from the website.
Several sizable customers have come onboard this way.

There is a team of three who focus on acquisitions and the pipeline of opportunity is strong.

They were the key points.

Investor Meet Company is a good source of information:



Hope this is informative

Eagle Eye

[eagle eye] 31/5/2024 12:30

DATES FOR THE DIARY

The AGM will be held at Lainston House, Woodman Lane, Sparsholt, Winchester, SO21 2LT on Tuesday 25th June 2024 at 9:00 a.m.

Dividend timetable

The final dividend of 9.5p a share will be paid as follows:

Ex-dividend: 25th July 2024

Record date: 26th July 2024

Payment: 20th August 2024

[bhoddhisattva] 13/5/2024 15:06

Ok I’ve been told there’s a general problem for Mello links sent out for TRT and ELIX sessions so contact their PR or Mello for a solution.

[bhoddhisattva] 13/5/2024 14:38

I click on that link and it says Error establishing a database connection”

[davidosh] 12/5/2024 21:49

Masurenguy....great timing !

Elixir will be featured on the MelloBASH tomorrow evening

[masurenguy] 07/5/2024 10:06

Nice rise on minimal trading volumes today. ELIX now up 30% in the 5 months since I first invested ! 😊

[simon gordon] 01/5/2024 15:13

Spectator - 28/4/24:

How America plunders Britain’s tech economy



=====

Now the Yanks are coming for the Premier League and wanting games played in America.

Being listed is optimal for ELIX's ownership structure. The UK is struggling to scale businesses, here's hoping ELIX stay listed and grows over the next twenty years into a big cap.

[masurenguy] 01/5/2024 13:20

A couple of predators targeting Alpha FM Consulting. Alpha are circa 3 x sales and 2 x market cap compared to ELIX but it indicates the interest in consolidation within the sector and ELIX's more specialist digital/AI expertise could have them already on some predators radar.

"The Board of Alpha Financial Markets Consulting plc notes the recent press speculation and confirms that it has received a non-binding indicative proposal from Bridgepoint Advisers Limited regarding a possible cash offer for the entire ordinary share capital of Alpha FMC. The Board also confirms that Cinven Limited is considering a possible offer for the entire ordinary share capital of Alpha FMC, although no indicative offer proposal has been received currently. Alpha FMC is now in an offer period. A further announcement will be made as and when appropriate. This announcement is being made without the consent of Bridgepoint and Cinven."

[gopher] 29/4/2024 17:17

I added to existing after watching presentation on Investors Meet which helped me to understand strategy much better. Well worth a look and if they continue to deliver will surely be re-rated. This is a lucrative field but City always wary of people business, they say that as they build scale and capability they reduce risk.

[bhoddhisattva] 22/4/2024 09:16

Surely due a rerating on this good and continuing growth - I hold.

[mammyoko] 22/4/2024 07:57

Nic beat against consensus eps forecast 37.2p vs 32p