Fdm Share Discussion Threads

[shanklin] 04/6/2009 10:06

GI,

I only sold half, so can now share in the additional exciting upside... yeah right

Cheers, Martin

[greek islander] 04/6/2009 09:35

Interesting - I am sure that he recommended it to me in the first place a long time ago.
Surprised, as I thought CR had held on to virtually every good value low pe stock!
EDIT It's interesting to hear that you sold a few days ago. Bad luck. I had been considering selling out as it was a stock that seemed to be going nowhere but my long term hat got in the way and I decided to hang around at least till the next trading statement.

[shanklin] 04/6/2009 08:32

If I ever do get to speak to the FD, or one of the other directors, I'll tell them what they owe me through not keeping me adequately informed. All they had to say in the AGM Statement, or subsequently by phone, was that "Trading is in line" and I'd never have considered selling. No wonder it was so easy to shift 15k shares the other day. I'm sure it would be a big struggle to buy back that many.

[greek islander] 04/6/2009 08:15

Ludicrous offer price.
I would have thought 170-200p at least to give a fair pe rating.
I hope it is turned down flat. Or maybe another predator might move in and offer a sensible amount.
Ridiculous!
We should email the company with our feelings. CR what do you think?

[stegrego] 04/6/2009 08:11

Only way that 120p can be decent is if the trading has deteriorated badly, which presumably they would have to have already informed the market about...

[davidosh] 04/6/2009 08:09

Absolutely ridiculous and no fair premium for the investment risk. We need to get at AXA and the other major holders to tell them they have a duty to extract a fair offer not just cave in and walk. They are the owners too...

[shanklin] 04/6/2009 08:02

6 x earnings plus the cash on the b/s would be circa £1.50 and still taking the mick. But £1.20 is farcical.

[stegrego] 04/6/2009 07:56

They are taking the mick arent they at 120p?

[shanklin] 04/6/2009 07:20

Very surprised at the time of the AGM that there was no trading statement provided, as has been the case in previous years. Contacted the company on a number of occasions to try and speak with a director to get an explanation for this. No success there and no phone call back to me, which I viewed as suspicious, especially as they also cancelled a planned presentation to one of the Mello dinners, run by davidosh, a few weeks ago on short notice.

As I saw it, trading was either weaker than estimates or some sort of management buyout was in the offing. Given my concerns about potential weak trading, I sold half my holding earlier in the week. Now we find out what IMHO was the reason for their secrecy. They want to buy the company at a price which IMHO is ridiculously low. Good to see management here looking after other shareholders quite so diligently... NOT (IMHO)

AAAAAAAAAAAAAAAAAAAAAAARRRRRRRRRRRRRGGGGGGGGGGGGGGGGGHHHHHHHHHHH.

[cambium] 20/3/2009 14:30

cheers David

[davidosh] 20/3/2009 14:12

Notes from the analyst meeting are available here..

[stegrego] 09/3/2009 22:29

Ive got a few thousand of these, bought in the 80's.

A good 8 page note out today at Edison

[greek islander] 09/3/2009 19:56

UK-Analyst:

FDM Group (FDMG) announced results for the year ended 31st December 2008 that came in marginally ahead of consensus forecasts. Revenues, up 4.7% to 52.2 million pounds, reflected the growing momentum from both existing and new client demand. Pre-tax profit increased by 23% to 5.3 million pounds with strong contributions across all areas in which the company operates (UK, Europe and the US), while diluted earnings per share were up by 31% to 15.7p. More positive news was revealed as the company's net cash position improved from 6 million pounds in 2007 to 10.1 million pounds. The final dividend of 2.5p brought the total dividend for the year to 3.5p, representing an increase of 30%. The company made good progress during the period, winning a number of new contracts and securing contract renewals with both financial and non-financial clients. The most notable of these wins in the financial sector include RBS, Credit Suisse, Swiftcover and Legal and General. In the non-financial sector the company has witnessed significant growth in its government integrator related segment, with wins including BAE Systems and EADS. Other non-financial wins include BSkyB, RSPCA, NSPCC and Asda. The group's current order pipeline for 2009 is encouraging with new and existing clients continuing to deploy FDM resources at a time when many organisations are reducing budgets. Rod Flavell, Chief Executive of FDM Group, commented: "Against a background of continued economic uncertainty and turbulent financial markets, FDM produced another record year driven by demand for our Mountie offering which resulted in strong sales and profit growth. Clearly there is still much market uncertainty, but our new business pipeline remains strong and our key performance indicators continue to highlight the robust nature of our business model." Shares in the company rose by 3p to 93.5p.

[cambium] 09/3/2009 18:20

IT services provider FDM Group unveils record results despite continued economic uncertainty and turbulent financial markets.

Full year revenues rose by 4.7% to £52.2m with gross profit up 22.1% to £13.7m and overall gross margins increased to 26.2% from 22.5%.

Net cash and cash equivalents at the end of December increased to £10.1m - up from £6m in 2007.

Chief executive Rod Flavell said: "At a time when many organisations are focussing on their cost base, our highly skilled consultants and value led offering continues to provide a compelling proposition.

"Clearly there is still much market uncertainty, but our new business pipeline remains strong and our key performance indicators continue to highlight the robust nature of our business model."

[cambium] 09/3/2009 08:42

Cash 10m up from 6m so good cash collection and generation, 20m market cap minus 10m cash puts this on a PE of 3. Debtor days are down. Margins maintained. Looks like on the face of it that costs are under control. All round good show. :o)

[cambium] 09/3/2009 08:37

grteat set of numbers nice

[sheik yerbouti] 19/8/2008 16:39

Also, apparently big companies are being slow in paying small companies in the current climate. Don't know if that is a reason?

[davidosh] 19/8/2008 16:37

They may be investing in new training centres but that does not explain why the trade and other receivables has ballooned to nearly £12m so three months turnover not collected. That is a 25% increase on barely increased turnover

[sheik yerbouti] 19/8/2008 16:29

They are investing in new training centres.
I don't know what the percentage is, but they have a lot of blue chip clients.

"FDM works with over 200 blue-chip
clients including the BBC, Barclays, HSBC, AA, RBS and British Airways."

[davidosh] 19/8/2008 15:35

Agreed all that profit and no cash generated does look rather poor and must have escalated towards the end of the half. I will try to establish the problem

[cnx] 19/8/2008 14:53

one concern is size of trade receivables
what % is blue chip ,what other?

[sheik yerbouti] 19/8/2008 09:17

Good results, cash in the bank and they sound bullish going forwards:

"Our Mountie model continues to gain traction within client organisations and as a direct consequence, demand for our services has increased.

We believe that the potential demand for Mounties far out-strips our current supply capabilities and we will continue to invest in our training centres to deliver increasing numbers of these highly skilled technical resources."