Fulcrum Utility Services... Share Discussion Threads

[anley] 09/11/2018 14:44

Clean Energy is what its all about and you agree to that - see your last post.

Fulcrum state:"........and meter infrastructure sales across mainland UK". This statement was made in the 2018 Report & Accounts.

I am now deeply into the 2018 Report & Accounts.......................

[podgyted] 08/11/2018 19:08

How many new houses/commercial properties are being built currently which do not have connection to the national grid or Gas infrastructure? Answer virtually Nil.

How many new houses/commercial properties will be built in the coming decade which do not have connection to the national grid or Gas infrastructure? Answer virtually Nil.

Your look into the future is probably correct, but its many years off - currently and for quite some time connections will be necessary.

Gas will be the heating fuel of choice for many years to come.

Fulcrum will not compete with the likes of Shell/BP/various utilities to build EV charging networks ...... but it will do the work to put them in place.

The logic of electricity usage (however generated) being the norm in decades to come is virtually a given, this doesn't stop me investing in Fulcrum now, it has got me investing in the resource companies that provide the building blocks to make that happen, which will be in short supply in coming years. That way I don't have to choose who wins the battle.

[anley] 07/11/2018 10:20

If you think about what is going to happen in the UK energy market one could see the National Grid becoming a "battery" storage business as well as what it does at the moment but with a lot more competition.

If my house has Tesla tiles and a Tesla battery why do I need a supplier such nPower?
I will conceed that the UK does not have the sunshine hours of Florida but you will be surprised that others will tell us we have.

We wont need gas connections as we will be generating Clean Energy so you need to look at where big oil will be by 2030.............still needed but not for EV only charging points so this is as far as I can see is where FCRM will be positioned.

However, will the company be able to beat SHELL......they own First Utility so customers is what they want and thousands of petrol stations in the UK and other areas of the world........so can big oil turn themselves around when oil starts to be unprofitable and gas dwindles away as demand for EV and battery storage and solar keeps growing.

Hope that makes sense........

[podgyted] 03/11/2018 10:05

I think Topvest was just pointing out that YU (energy sales) was nothing like FCRM (Energy infrastructure connections/investments).

Cannot comment on "something strange" - except to say I don't think there is. The TU on 26/9/18 seemed pretty good to me.

On the other BB you mention PV. Most homes will not have this by 2025 - just look around you - growth stalled on subsidy reduction. Finally the vast majority of home PV installations are still connected to the National Grid, so someone has to connect new homes (and indeed commercial properties) to the grid, which is where FCRM comes in.

I agree the current market and into 2019 looks challenging but that applies to everything

[jl5006] 02/11/2018 18:00

Anley

Step by step = FCRM is what it is = a small cap growing concern. It is building from its origin = National Grid I think - .It does what it does - read site data.

What has Solar energy got to do with this Coy. YU is not in the same category as FCRM as you have been told before. DYOR before posting more!

[anley] 02/11/2018 17:18

ALL read my posts on the other BB - you need to know.

[anley] 02/11/2018 17:17

On another aspect are you able to forecast the UK future for SOLAR ENERGY?

BY 2025 - not long to go most houses will have solar panels and storage batteries. That means that nuclear, natural gas and coal will be obsolete within 7 years and there will be no need to use expensive Scottish Power or Brit Gas for example.

But in our case I am putting Fulcrum to the test with its long term stratergy to see if it can survive.

There are other cases such as YU as an example and all those small IT businesses trying to get us to switch suppliers as the world is going for CLEAN ENERGY and the tools are there and getting cheaper all the time.

[anley] 02/11/2018 17:07

Enough cash to do what they want to do without going bust and the problem is that with a £22m acquisition and increased borrowings you are going to have to reply on 4 December for news and what are you going to do if you are not satisfied with their statements.

There are to many small companies and Fulcrum is one of them on AIM which are still trying to get BIG. So sit back and wait until 4 Decemebr - a long time in today's markets for the BOD to tell us IN DETAIL just what is going on with the cash flow.

[jl5006] 02/11/2018 16:30

Anley

What is your problem? I did not read your posts before posting -and now have.
Whats to like or not like?

[anley] 02/11/2018 14:35

No no no.......I am asking you two questions:

1 Did you open a new thread because you did not like my posts?

2 What do you think is the potential for charging points in the UK via FCRM?

I am going to assume that the company will just say that its "all in the future" and that is not what the market wants to be told..........we all know that as you do!!

[jl5006] 02/11/2018 14:24

Anley

I usually post on LSE.

Re electric charging - you will have to wait til early Dec for Coy update

[anley] 02/11/2018 11:36

Did you open a new thread because it suited you OR did something I say hit your investment nerve?

[anley] 02/11/2018 11:35

Can you please give us your estimates as to how much a company can make out of charging points please and then we can get a good idea as to what this could all be to the company in question.

Thanks.

[jl5006] 01/11/2018 20:07

Dragged down to 49.5p = ? by MMs - but now back above 61p. Yielding ca 4% = progressive divi policy and involved in basics - LEC Gas and Elec charge points.
Something to consider !!

[anley] 01/11/2018 10:45

PODGYTED..........I am not a confused investor with over 50 years of fund management.

I wonder if TopVest was a bear of YU - so its very easy to comment in the way he did but he makes his point.

There is something strange about this company and at the moment I am unable to put my finger on the reasons. I will find out and I am a very small shareholder.

If the figures are due on 4 December then I think I will watch and wait and monitor the shares.

Markets have turned for the worst in my view and 2019 is going to be a difficult year for all sorts of reasons so be careful especially with small businesses and AIM shares.

[buying] 01/11/2018 08:18

Thanks Glaw2

[glaws2] 01/11/2018 06:56

Tuesday 4 December 2018.

[buying] 31/10/2018 23:02

Anyone know when their results are due. Thanks

[rimau1] 31/10/2018 18:33

Budget infrastructure boost must have helped. Very oversold and good to see. I also added Kier, great sector to be in.

[podgyted] 31/10/2018 11:19

This appears to be another quality share where people seem to have cottoned on to how cheap it had become over the last few weeks, SOM being another prime example.

[topvest] 27/10/2018 11:54

Yu Group on the other hand were a car crash waiting to happen. Lots of new entrants have got into energy supply and haven't got the industry expertise. Billed debt and unbilled debt is a risky area in energy supply and if you don't get everything right then you don't get paid. Why investors thought that Yu Group had a competitive advantage over other industry players is a mystery.

[topvest] 27/10/2018 11:51

Agreed. There is a total lack of understanding on their business model. Fulcrum get paid c30% cash up front on a job before they start any work. That's why they have historically operated with a negative balance sheet. Its a very attractive business from that perspective.
They are now investing in regulated assets with 20 year cash flows and so its perfectly sensible to fund these partly with debt - as does every other network company in the UK as this lowers the cost of capital.

[podgyted] 27/10/2018 10:30

Anley you seem totally and utterly confused!

If you read Fulcrums accounts they fully explain haw cashflow works for them and have done for years - making out this company is anything like Yu is insane.

Watcher describes Fulcrum accurately and simply. Infact this is probably my only holding where I'm looking forward to them going into a cautious debt position as they buy up infrastructure assets and slowly create a low risk income stream to compliment their gas/electric connection work.

[watcher13] 26/10/2018 10:30

There seems to be some confusion here between YU group and Fulcrum. Yu Group supply gas and electricity and are subject to the volatility in gas and electricity prices, competition from the big 6 suppliers and others, and the challenge of billing and servicing hundreds of small accounts. Fulcrum don't do any of that - they install and connect gas and electricity infrastructure under solid contracts with builders, developers and large commercial and public sector customers. They also take ownership of the pipelines and cables earning long term revenues from the gas and electricity that flows through them irrespective of who the supplier is or what the price of gas or electricity is. In other words comparing Yu and Fulcrum is like comparing chalk and cheese.

As to the balance sheet, I expected Fulcrum to use some of their own cash to fund investment in pipeline and electricity assets and that is what they have done - better than leaving it in the bank earning nothing - but as they grow the asset base they should start using their debt facility as the 20 year+ returns make it a very secure arrangement