Fd Technologies Public Share Discussion Threads

[ezram] 23/1/2019 11:51

I have an interest in this share Galvey. I had held a long time, and I will do so again. Idiots constantly shouting " up up and away" are ultimately responsible for the over correction in the share price recently. [ Which will continue further btw ] It basically made the people behind TW's posts life easy.

If it had independent analyst views and balanced debate the share price would be growing, albeit slower, and it would provide a sensible dividend, and thus a better long term investment.

Idiot accounting that people can use to smear and blur also doesn't help but certain people not taking a rational view, considering both the pro's and con's is a much bigger problem. These forums are used to construct private investor views and essentially the direction of the wind on any particular week.

I yearn for the day you provide sensible.

[glavey] 22/1/2019 19:48

EzraM,
The rest of your post is sensible and reasoned. Why spoil it?

[mog] 22/1/2019 12:27

Thanks, and it will be interesting to see if they address any points that have been raised at the capital markets day (if anyone from here is going?) or in the 2019 annual report

[ezram] 22/1/2019 12:03

Why the fact on the Kx purchase was not made clear is a mystery. The CFO should be asked to explain why not, and what other figures could be considered aggressive. It is not a major concern of mine though. I am sure its common practice.

Glavey, you and Moorsie should meet up. The both of you would get along like a house on fire I think. Horatio Nelson with his blind eye has nothing on you two.

Mog, your comment on the new software is taken onboard. I agree that this is probably nothing to worry about. The lack of expansion though is a concern, and yes, my patience broke. Its nice to read a rational contribution with a balanced view though.

[mog] 22/1/2019 08:13

I'd be interested how you arrive at 30%. Another way of looking at it is if they had paid out £41m 3 years ago for the remaining 35% of Kx the extra interest at 2.25% + LIBOR, say 3% during last 3 years, would have been £3.6m, compared to pre-tax profit of £35m, so about 10%.

[skatersav] 22/1/2019 07:52

I intend to ask the company. However, given this issue represents about 30% of the reported EPS over the last three years, I had thought you might have an explanation. I guess you’re not that worried about the reality of this company’s economics, or accounting disclosure.

[glavey] 22/1/2019 05:13

ds8095,
Why are you asking me? Wouldn't you be better asking the company? (Or maybe you can say how it should be?)

EzraM,
Your silly comment rather beneath you and your claim just semantics. I've nothing more to say in this respect.

[mog] 21/1/2019 00:00

Well they are open in the notes that they consolidate everything but I agree it creates uncertainty until they own 100%

[skatersav] 20/1/2019 17:01

(Yes, sorry, typo: 65% not 35%). It’s not really the revenue I’m worried about; rather the Net income. It’s stabdard practice to consolidate all the revenues and earnings of a subsidiary in which you own 65%. That’s fine. But what’s unusual is the lack of minority interest line on the income statement. The net income to the shareholders of the parent is not adjusted for the minority interests. This is my matter once they actually own all of Kx, but it looks to me like a financial shenanigan which has had the effect of boosting the EPS.

[mog] 20/1/2019 13:22

ss, probably a typo but they already have 65% of Kx not 35%. Including all Kx Systems, Inc revenue as FD revenue does seem aggressive but I'm not an accountant so I don't know the details of what is allowed. At least they are open about it in their accounts, see note on p52 of 2018 accounts:

ii) Subsidiaries
Subsidiaries are entities controlled by the Group. The Group controls an entity when it is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power over the entity. The financial statements of subsidiaries are included in the consolidated financial statements from the date on which control commences until the date on which control ceases.

A subsequent note about "associates" where they own only 20-50% says they do include only their share of the associate's profit or loss.

[mog] 20/1/2019 13:04

EzraM I agree the revenue per employee is low, and sales outside fintech seem slow to get off the ground. So far I've viewed them as a startup trying to establish their product so providing cheap support or consultancy for their products hasn't bothered me. Rather like the model of giving away products or services for free to get them established and then charging for them later. However my patience is starting to wear thin and I do think they now need to start showing significant revenue growth for their products and higher cashflow.

I don't know if Shakti Software, Inc is significant, do they have a website yet?, only registered 31/1/18. Anyway there's a lot more to a successful software product than its core technology, otherwise if Kx really is so much faster than the competition FD would be wiping the floor with the competition. If Arthur Whitney does have some great next idea he's got a lot of work to make a successful product out of it. Hopefully FD can develop products the market wants, there are and always will be competitors to FD.

[skatersav] 20/1/2019 12:16

No, sorry, I’m not getting my point across. The issue is that since 2015, they have been including all of the Kx profits in their EPS, but they only own 35% of the company. I realise there is a liability on the balance sheet to account for the NCI Put. That’s the point: they have been treating the Kx subsidiary as if the put option had already been exercised. But it hadn’t been exercised, until the summer of 2018. I see this as highly aggressive, with the effect of inflating their reported EPS.

[ezram] 19/1/2019 22:43

mog I tend to agree on this point.
I don't think paying this off will be a serious issue.
The loan to market capital ratio is an issue of sorts especially after the price drop but again its not a serious issue.

What worries myself are the following:

The revenue per employee. That simply does not add up to a software company making lots of sales. It looks like the old model of people revenue is still generating a large % of income.

The way shakti has emerged. Maybe this is over reacting but it is another valid concern.
Kx ( or the product kdb+ )is world leading software in the finance sector and has been for a number of years. However the fact that the founders have started something in the same space. Has kx reached the end of its shelf life?

No apparent sales outside the financial sector. When will these start, because as of now they seem thin on the ground. Lots of activity but no real results. The red bull racing story is red herring. Will anyone ask at the chat day exactly how much sales revue that generated. How many others are lie this?

[ezram] 18/1/2019 16:48

ds,

Glavey will take your post and comment on any spelling mistakes in order to negate the valid point you make. Same applies to the revenue of the company per head.

Glavey, I didn't question your sincerity, I said it fell short.

Splendid headline over on share prophets. Not called for but entertaining and a valid underlying point again.

[badger36] 18/1/2019 13:55

The way this has been slammed I'm surprised the Russians are not implicated. Let's hope they can get one big one over the line with details and hopefully we can have another twlo. That was slammed back from 70$ to 20 and now 100

[pcuser] 17/1/2019 21:16

"What is a datalex?"

Well you may ask



LOL

[ezram] 16/1/2019 14:40

Glavey

Clearly flybyknight has some difficulties with the english language recently but he has a few fair points overall, none of those you have addressed

May I suggest trying to debate on this board with points of a technical nature rather than the approach you are currently on

Your attempt at sincerity has fallen short


What is a datalex?

[badger36] 16/1/2019 14:10

Have we another datalex?

[glavey] 16/1/2019 03:02

"Entitled to my view"

Although you previously wrote "I not have opinion".


"I have no difficulty. I will not resort to attacking person privately"

It wasn't an attack, it was a sincere attempt to understand your contrariety, etc.

[flybyknight] 12/1/2019 19:21

My post all been fact based and on observation

Entitled to my view

If can please take any post I write and disagree with content giving evidence

You not like first report or share prophet print but report is based on fact and evidence

Well wrote and so proved with price move

Ignore fundamental metric of company simply because of emotion will turn costly

I have no difficulty. I will not resort to attacking person privately

[glavey] 12/1/2019 05:29

Really I would have expected that you might make the effort to review your own posts, not ask me to do it for you. Please be conscious of what you write. Your earlier posts were notably more lucid than recent, almost as though they were written by another person - have you some difficulty of which we are not aware?

[flybyknight] 11/1/2019 09:49

"But you just did!!"

Where I do this point? Please supply post I do?

[glavey] 11/1/2019 04:47

"No person would suggest this company is dishonest or dodgy"

But you just did!!



(" flybyknight 9 Jan '19 - 20:28 - 4820
Sham red bull deal... ")