Gore Street Energy Storage Share Discussion Threads

[daveoz1] 12/3/2024 11:55

So Rishi Sunak is going to build new gas fired power stations (quantity unknown) to fill in the gaps in sustainable power from wind and solar 'when the wind don't blow and the sun don't shine' - isn't that what the GSF BESS installations are supposed to do? Doesn't he want to use the battery storage? Or is the battery storage nowhere near the capacity that is needed?

[melody9999] 12/3/2024 11:27

Agreed Nickelmer.

The one thing we know has changed is NG not supporting UK battery storage. That is temporary and revenues will recover in the next months - maybe up to a year.

GSF will be bringing on UK assets as the revenue situation in the UK improves.

[nickelmer] 12/3/2024 09:33

All that is needed here is patience, something most investors do not possess

[stemis] 12/3/2024 09:10

They say a lot without really saying anything. Cash was down by £9m in the quarter, despite raising £16m in new equity. Since net (after costs) cash generation in holding companies was £5.2m and they paid £9.6m in dividends, it must mean they put ~£20m into their subsidiaries. Could be to fund capex, could be because the subs aren't generating enough to pay the loans/charges by the holding company that is then used to pay the dividend. Who knows?

They did disclose a little bit of financial information of subsids in interims. Turnover for a half year was £19.3m. Current EV of GSF is £252m...

[cocopah] 12/3/2024 09:00

I’m more worried about the underlying fundamentals … GB assets only contributed 15% of revenue and so adding Stony, FerryMuir and (soon) Enderby will add income BUT it won’t contribute significantly to income (unless they can drive other revenue streams from the assets (hence my point about battery duration). Also they intend for debt to be 15% of GAV (say GAV is £600m) then that’s £90m of debt to service that isn’t being serviced now … and the US election may impact IRA capital clawback and other tax breaks.

Honest clear comms on the above would be helpful. 🤷‍a94;️

[george stobart] 12/3/2024 09:00

Rathbones are preparing their Sell orders with both fists

Rathbones is waiting to humiliate and destroy every GSF rally

[scruff1] 12/3/2024 08:45

Be interesting to see if the so far 4% lift can be maintained til 4.30. Nice and blue early doors but the sells are kicking back in so I doubt it to be honest. The seller is still on the prowl imo.
Agreed Stemis. Some straight forward intelligible revenue figures would be much appreciated. In their absence it really does appear like a game of smoke and mirrors. Its like a haulage company telling the price of fuel without the mileage figures

[stemis] 12/3/2024 08:41

NAV = what the board think their subsidiaries should be worth using assumptions we don't know.

Dividend cover = what the holding companies strip from their subsidiaries without any indication if this is supported by profits in them.

It would be easy for the company to disclose aggregate turnover and profitability of it's subsidiaries and holding company, so we could judge if dividends and valuation of the business are supported by Group profits. But they don't...

Smoke and mirrors.

[scruff1] 12/3/2024 08:36

Pretty much my take too Coco. Makes the right sort of noises but a tad short on beef. Not enough yet to make a sustained rise - especially if Rathbones are still selling their stakes - but at least its one step forward. And like you its a long way back for me too.
fordtin.
That sentence made me give a wry smile too. And Enderby May 24. We will see eh?

[fordtin] 12/3/2024 08:17

·
Finally!

" Post-period, the Company's energised capacity increased by 49.9 MW to reach 421.4 MW, following the successful energisation of Ferrymuir on 12 February."

[cocopah] 12/3/2024 08:01

Hmm … I see little in the update to move the dial on the share price and no conciliatory comments from the CEO on the decimation of the share price either.

Income for Jan/Feb at £16.1 per kWh but that includes £3m compensation so operational income is a lot lower.

The nod to lower battery costs and lack of commentary about income streams tells me they made the wrong call on 1 hour batteries especially now the 30 min rule has been relaxed.

Communication is gradually improving but it’s still opaque on income and divi cover (like pulling hen’s teeth!).

It’s still a long way back to break-even for me (and I bought way under NAV).

[melody9999] 12/3/2024 07:55

£16.1/MW/hr for Jan/feb standout. Increased from Q4. Reinforces dividend cover.

[waterloo01] 12/3/2024 07:25

The macro-environment has led to a massive decline in the pricing of cells and we are, therefore, able to upgrade our assets where most advantageous to longer duration at a fraction of the prices seen a year ago, opening new profitable revenue streams. Completion of these assets will further reduce our exposure to the weaknesses of the GB market and ensure we continue to lead the sector through a turbulent period."

[waterloo01] 12/3/2024 07:22

Excellent report with a fair amount of detail. Reconfirmed divi level and the effect of falling cell prices on build/replacements. Still no debt at corp level and good cash held.

[spectoacc] 12/3/2024 07:11

NAV down, but another very good RNS, which will likely have the same effect as all the earlier ones - dcb, then renewed falls.

One question I'd like the answer to, when they go on so much about the GB market - what happens to the US market if/when Trump's back?

[waterloo01] 11/3/2024 22:46

What number brings them back to percentages pre investec ?

[rambutan2] 11/3/2024 22:30

Relevant letter to The Times re current malaise across the Trust sector, and I spot Mr O'Cinneide's signature, amongst many others.

[lord gnome] 11/3/2024 21:08

Well I certainly won't be adding any more just yet. If the selling continues then the share price will only go one way. Once the selling is completed these will bounce and will be a screaming buy. I can't complain about the prices I've paid so far or the yield locked in, but possibly the best is still to come. I'll sit on my cash for now.

[scruff1] 11/3/2024 20:06

Interestingly when the first RNS informing of Rathbones circa 1m sale the share price was around 70p. Whether it was assumed that that was it or not but by the time of the next RNS informing of another circa 1m sales the share price was around 90p. Maybe awareness had been raised but this time the share price is around 60p. The selling appears to be continuing and there are still circa 10m to go. Do I don a tin hat or abandon ship?

[george stobbart] 11/3/2024 19:16

Rathbones investment team has group seks with a person of the same gender and are woke radicals and pro Covid vaccine

Shame on them for selling GSF

[yump] 11/3/2024 18:20

So a bit of capital gain would be nice plus a dividend that stays perhaps 2-3% above fixed no risk rates ?

[waterloo01] 11/3/2024 18:13

Due a NAV update and divi date.

[williamcooper104] 11/3/2024 17:56

Indeed DGI9 is interesting in that you could/should get a decent re-rating in the next few months which generates a capital gain that can still be re-invested at a relatively high yield

[cc2014] 11/3/2024 17:36

It looks to me there are several/dozens of IT's in the same boat where arguably one might think it worthwhile someone buying up "inexpensive" shares.

But, whilst they continue to face large redemptions they are going in the opposite direction looking to find buyers of their stock.

I see no end to it at the moment, but in a funny sort of way I'm not sure seeing an end to it helps me. With interest rates at 5%, I can get a 10% return on my capital.

If interest rates go back to 1%, for sure I'd get a great uplift in the value of my holdings and a capital gain but I'd then be struggling to get a 5% return on my capital.

I'd have more capital, maybe 20% more, but my income would have halved.


(That's a bunch of theory of course. So far this year I've made nothing as the loss in capital is balanced by income)