Fireangel Safety Technol... Share Discussion Threads

[harrogate] 03/11/2022 11:07

At this exchange rate with the dollar I doubt they can make very much money. All the hard work they have done has been cancelled out by the dollar strength. Now if they were owned by someone who had dollars that would be a different kettle of fish. Been a hard road and hard to believe I sold a few of these at over £3.50. And then kept buying all the way down to 10p. Not very smart

[tiswas] 03/11/2022 11:00

masurenguy

I see she mentions possible interest from US shareholder or possibly Techem.

I know that their portfolio is not doing too well this year and they have a 12% of fund holding in Real Good Food via loan notes that seems to be in trouble looking at the share price. I have also read elsewhere in their blurb that they worlk closely with management on matters such as exit routes.

It would not therefore surprise me at all to see them try and steer FA in to an early takeover to recoup some losses and I would imagine that other smallcap funds suffering similarly could easily be persuaded with a decent bid premium.

All imo but I can see this being stolen from us at a time when it MAY have just turned the corner.

[masurenguy] 02/11/2022 16:21

Judith Mackenzie from Downing Asset Management on FireAngel at circa 42 minutes in.

[emperors tailor] 02/11/2022 16:07

This company should have an award for selling the sizzle for 20+ years whilst promising a never to materialise sausage to gullible shareholders whilst maintaining eye watering salaries, pensions and share options for the directors. That anyone would be hoodwinked and let them get away with it is shocking but full credit to them, they have. Their main competitor has market share and is highly profitable with £23M in the bank. The products are in a very competitive market fraught with the potential for recalls. I bought at £0.08 p when they dropped from £3.57 and sold straight after for a quick profit but I would not buy now for £0.01. Too risky at any price;earlier comments show that some investors are seeing the light.

[the big fella] 04/10/2022 18:11

I have let the dust settle before posting. The first thing to note is they seem to be unable to read a basic FX chart. How on earth have we ended up with a blended rate of 1.15 for q4 when we were hedging at 1.38/1.40 earlier in the year is beyond me. I agree this is basically a currency play. In JCs presentation he was talking about upgrades at 1.17/1.25 very recently. So a return to somewhere near 1.20 will be ok.
I have called this badly wrong so far and at my paper cost. They never seem to get a break with something derailing them just when it looks like they have turned a corner. There are clear signs of underlying business improvements, and given the potential sales from Techem which aren’t that far away there is always hope. But they sure test the patience. Maybe their ducks will all fall in a row in 2025 with the 10 French renewal cycle. Who knows but they need a break.

[harrogate] 30/9/2022 13:11

Yes they have been stuffed by the exchange rate here which has wiped out all the pretty impressive margin improvements they have worked on. In a way this is a currency play now. Can't see how they can make money at this GBP level but if we get back to 1.25 when the FED stop raising and dollar reverses they will get very interesting. Don't seem to be stressed although continue to not supply all the demand thru have.

[microscope] 27/9/2022 13:25

When I read the last update I added this to my watchlist as there seemed to be real green shoots. But yet again external factors are biting them on the bum.

There's actually lots of underlying decent stuff going on which as others of you have said makes it all the more frustrating.

Debt lower than expected, revenues higher, expecting to be cash generative going forward, and strong product demand. Techem possibilities, revenues best since 2017.

But firstly PPV has hit hard, and now it's inflation and the currency mix going from bad to worse.

I couldn't possibly invest in the current climate, particularly with ebitda forecast to be well below expectations.

They've cash of 0.7 million, cash generative going forward, and 4.1 million of debt drawdown available. But whether that or a fundraising would be the better choice is debatable, particularly should cashflow become tight, as it well might.

Fingers crossed for them, and for holders, especially long term ones.

You deserve a break!

[sebass] 27/9/2022 10:36

It's infuriating to be invested here every update is always negative. I am still holding as there might be some value in partnership with Tenchem but I wish they would put themselves up for sale.

[kor_wraith] 27/9/2022 10:27

Gotta love the adjusted gross margin malarkey showing that if you ignore their increased costs they actually did very well...

[pictureframe] 27/9/2022 08:15

about time they had another name change, rinse and repeat.

[masurenguy] 27/9/2022 07:53

Interim Results

[gnnmartin] 13/8/2022 16:29

I'm intrigued by that LSE report (I've seen similar in the past). Why is the transaction marked 'unknown' rather than 'sale'? What do they use apart from price and spread to determine whether a transaction is buy, sell, or unknown?

[red ninja] 13/8/2022 09:40

LSE shows a trade dated 11-Aug ie Thursday

11-Aug-22 08:46:26 13.00 898,504 Unknown* 13.00 14.00 116.81k

[harrogate] 13/8/2022 09:14

Thanks - where did you pick that up though? It is not showing on my screens anywhere ?

[masurenguy] 13/8/2022 09:02

Someone sold 898,504 shares @13p before 9.00am yesterday morning but the Bid and Offer range still remained unchanged throughout the day.

[harrogate] 13/8/2022 08:58

Hi there. Where are you seeing that volume ? Thanks

[the big fella] 12/8/2022 18:34

Looks like someone threw in the towel this morning. At least the market makers happy to take them on board and not drop the price. A couple of months ago a sale like that would have been at a huge discount. Onwards and upwards hopefully.

[the big fella] 01/8/2022 22:07

Encouraging to see a few buyers recently. Nice 300k+ Buy this morning.

[microscope] 27/7/2022 15:06

That would be my take, Harrogate. Encouraging they think they'll be cash generative this half, but that's not quite the same as smooth cashflow, particularly as I suspect their revenue recognition policy is rather forward looking.

[harrogate] 27/7/2022 13:56

I think they will have to cut their cloth to fit their funding as I just can't see any appetite to do a raise at this price.

[microscope] 27/7/2022 13:45

Think I referred to flickers of light at the last t/s and they appear to have continued to make progress on most of their margin targets - and with the supply chain improving, are finally building the right foundations.

As Harrogate rightly says, currency could continue (as well as inflation) to be tricky.

Also, with the 30th June cash figure boosted by the one-off Techem payment, they may have to call on some of their IDF (loan facility) for funds, (or a raise), as the debt figure still looks a bit high, though improving, without something along those lines.

But I'd definitely say to flickers of light can now be added more substantive green shoots.

[harrogate] 27/7/2022 12:22

The key here is what assumption are those brokers making about the £/$ exchange rate. The company is massively sensitive to it and the drop to sun $1.20 must already be hurting 2023. Maybe they can increase prices to cover this off and still get to the 30% margin they talk about next year. If not it is going to be hard work making those numbers. There are still plenty of sellers into any uptick so it is going to take something else to move it short Term.

[tiswas] 27/7/2022 11:55

jojaken

I would recommend joining Research Tree if you want access to these notes but the 2 house brokers are suggesting adjusted eps of 1.4p-2.1p in 2023 and 2.4p-3.0p in 2024 meaning on a p/e of 4-5 for 2024. One has a 12 month price target of 27p and both naturally are buyers. TBF above also sums it up nicely.