Fulcrum Utility Services... Share Discussion Threads

[anley] 24/10/2018 10:01

Is this a warning that the market is NOT in love with utilities?


Miton Microcap Fund comments for September re Yu group.

"The largest detractor was Yu Group, a new supplier of gas, and other utilities, that aims to deliver much better service levels than others to the corporate sector. Its share price fell in September without any change in expectations".

[anley] 18/10/2018 17:23

Can you please point me to where you have extracted your information please......

[sozamyers] 18/10/2018 15:08

Cash from operations doesn't cover current levels of both capex and dividend. So is the strategy working?

[podgyted] 18/10/2018 09:12

Their Business plan is clearly stated.

They use cash from operations to buy some of the infrastucture assets they are building to generate low risk long-term returns.

[sozamyers] 18/10/2018 04:55

Bumper profits ... but where is the cash?

[sozamyers] 18/10/2018 04:36

£20m+ received from customers in advance of work starting and getting bigger each year. A liability for this is showing in the accounts but where is the cash?

[sozamyers] 18/10/2018 04:17

Watching with interest to see where this goes ... question marks on the balance sheet and profit to cash conversion, and why all the Directors selling?

[anley] 16/10/2018 12:27

It may be oversold but if so there will be reasons for this which we are not aware of.

50p may not be the bottom and until the BOD can assure investors that the magins are secure and the cash rolls in then perhaps the market is right by saying "we do not like civil engineering shares".

[jeanesy] 15/10/2018 20:19

Seems to me that 50p seems the bottom here, so i expect this to move up from here.

[podgyted] 15/10/2018 19:58

Fulcrum is for life - not just Xmas.

Seems very oversold at present probably caused by the EV froth coming off and market volatility. The basic business is sound and justifies a share price 60+.

Patience, patience .......

[solarno lopez] 15/10/2018 10:24

And its in my sons LISA arghhhhhhhhhhhhhhhhhhhhhhhhhh

[anley] 15/10/2018 10:19

and still the market and me does not like the story - hence the price of 51p.

Its all about the cash flow and bedding down the acquisition they made. Sorry I could not be at the AGM otherwise there would have been a lot more technical balance sheet questions.

Will be watching this one..........

[zeppo] 11/10/2018 17:40

Topvest

Big players entering or have already entered the charging market including oil majors.

z

[topvest] 30/9/2018 16:35

Thanks - interesting points. Point 2 should result in a 1+1 = 3 scenario at some point. Think the EV charging market will attract a lot of competition though as everyone seems to be heading into this market.

[glaws2] 28/9/2018 06:41

I went to the AGM; the three take away points for me were

1. Palpable confidence by the board in being able to deliver this year's growth.
2. The ability to offer both electrical and gas services is opening big opportunities from developers. This is only just starting to feed through into the business. Have recently adopted their first electrical assets.
3. The tie up with Chargepoint has opened doors into the EV charging market. No revenue from Chargepoint (and in my view probably will not get much - they are relatively small in the UK compared to Europe) but revenue has begun to flow from others (Ecocity and Tescos mentioned). They see EV charging infrastructure as potentially a big market.

[podgyted] 26/9/2018 08:16

Postitive AGM statement. In-line but with upside potential.

Regulated assets building nicely.

[anley] 24/9/2018 13:38

I can see your point - as I leave for a month away o business - but after I bought a few to come on board the shares started to fall away - a bad PR on director sales and the market becoming risk adverse towards the word "infrastructure".

The next thing that is happening is what Labour will do towards energy and the City is horrified......so keep an eye on that topic.

Cash Flow is important but until that acquisition is bedded down and one can see that plus at least 6-12 months of figures with the new consolidated balance sheet I not inclined to invest anymore capital.

I have said before that I am unable to come to the AGM and I am not hopeful that the FD will stand up and make a statement and I will be surprised if there is any information released to drive the price back up to 75p and behond.

I hope that helps.................

[podgyted] 21/9/2018 00:37

anley - ? "how their cash flow operates"

What are you getting at - I've only just come back into this share after a few months and I've never considered cash flow a problem here. In fact, they essentially get a free loan from customers having to pay up front - if you have to deal with a utility company on a connection you have to even pay for the quote up front (or a least you did when I was active 5 years ago).

Equally I have to say what attracts me to this company is its core business - very profitable and adding to FA infrastructure which produces a very good stable future income stream. Not interested in Chargepoint - its froth - why I sold out last time when the valuation got ridiculous.

( Did they ever announce a deal with Chargepoint - remember looking at the time and didn't find it)

[anley] 18/9/2018 17:17

I see that 2 big brokers have:

one reduced its stake from 10.9 to 8.6 and the other increased their holding from 4.9 to 5.02................

That is a reason why the share price has been weak and perhaps this is a new base if antone wishes to add.

[anley] 18/9/2018 12:49

The questions as to how their cash flow operates MUST be asked at the AGM.

As I have mentioned before I am abroad so unable to attend the AGM in Sheffield.

[topvest] 17/9/2018 21:30

The Dunamis placing was done at 60p and so not really a big deal. Just volatility. Been looking at Nexus Infrastructure as well. That looks a good company, but not bought yet.

[jeanesy] 17/9/2018 20:48

Still sitting on the sidelines here. Such a drop is normally not a good sign. I hope for those on board that the market is currently wrong.

[patthehat1] 17/9/2018 12:36

Not seeing any reasons for the drop. All looks good. A lot of decent value companies with low share prices at moment on UK indices. I think we're going to see a big influx once the undervalue is noted and macro concerns are lifted.

[scooper72] 17/9/2018 11:43

Any thoughts about the drop?