Gresham Technologies Share Discussion Threads

[qantas] 22/11/2022 21:46

Gresham direct.

Please do your own research as always.

[richjp] 05/10/2022 10:24

It was a good trading update but it takes a lot to move any share price in a positive direction at the moment.

[kalai1] 04/10/2022 13:19

Gresham Technologies plc issued a Trading Update this morning announcing a key Clareti client win, confirming another positive quarter and including some modest positive FY22 guidance. The Company now expects Group FY22 revenues and earnings to be ahead of market expectations currently for revenues of £42.0m and adjusted EBITDA of £9.2m. The Clareti business also continues to grow strongly and in line with expectations. The Company benefits from a solid pipeline of new opportunities and expects to close further new subscription business before the end of the year. The business is growing robustly, margins are widening. Valuation is average with forward PE ratio at 20.1x, share price is in a correction through 2022 so far and lacks near term momentum. But the balance sheet looks strong and the business has growth potential. There is no rush to buy here, but GHT is certainly a here worth monitoring for now....

...from WealthOracle

hxxps://wealthoracle.co.uk/detailed-result-full/GHT/559

[weatherman] 04/10/2022 07:48

Very good trading update.

[richjp] 11/7/2022 17:52

cc, I was not thinking that a bid would come in at the current price, however after the 2022 final results the house broker had a price target of 220P. Since then as we know the overall market has been dreadful.

My idea of a lowball bid would be 220 plus a bit so say 250. Kestrel are indeed a major holder but they and the other institutional shareholders might be tempted at that sort of price.

[crazycanuck] 05/7/2022 17:49

well with Kestrel holding just over 20% of the shares, any offer would need them onside and I can't see them selling on the cheap. In fact I think Kestrel have held Gresham for many, many years.

[richjp] 05/7/2022 17:22

I think it is a good TU. Unfortunately GHT is in a market sector that is unloved at the moment not to mention the malaise in the wider market.

My concern is that someone might have a go with a low ball takeover bid.

[boadicea] 05/7/2022 10:55

Having achieved revenue of £23.1m in H1, the board expects to 'at least' achieve market expectations (£42m) for the full year. I would hope so! That's only £18.9m in H2.

With acquisitions and placings in mid 2021 it is unhelpful to use H2/H1 ratios as a guide, so I await revised broker guidance with interest.

[weatherman] 05/7/2022 08:11

Nice trading statement today. Note (1) The Company believes that current market expectations for the year ending 31 December 2022 are revenues of GBP42.0m and adjusted EBITDA of GBP9.2m, with GBP46.2m and GBP10.6m respectively for the year ending 31 December 2023.

[richjp] 23/6/2022 10:47

I think, or perhaps hope, it's just the general market downtrend particularly with tech stocks.

The first half trading update was on 6th July last year,so let us see what that brings.

[gnnmartin] 17/6/2022 21:11

Disappointing continued fall. I've rather taken my eye off this, thinking they were making steady if unspectacular progress. Hopefully it is just the bear market dragging them down, but the share price does discount good progress.

[crazycanuck] 06/5/2022 07:41

finally some positive news. From Singer this morning:

Gresham has announced a landmark win with a key Tier 1 existing banking customer worth up to £6.3m over a minimum of c. 5 years. Building on an initial 3 year contract signed in June 2020 worth £1.7m over 3 years, the scope of work has materially expanded with Clareti being chosen as the customer’s single enterprise platform across its whole UK business, covering retail accounts, cards, payments and as well commercial banking. Clareti will replace manual processes and, of particular note, legacy vendor systems. It continues to displace incumbents, whether greenfield or land and expand. The contract adds an immediate £0.5m of incremental ARR which is expected to grow to £0.8m over time as well as £1.3m of services over the next 12 months. It thereby provides increased confidence regarding FY22 expectations for 16% organic ARR growth and extends visibility beyond. We introduce FY23 forecasts with recurring revenues anticipated to grow c. 18% to £33.4m and EBITDA margins advancing 100ps to 23%. We calculate the market is valuing this fast growing and FCF generative FY23e revenue stream at 3.3x when stripping out Services and Legacy revenues and cash. We reiterate our 220p price target and Buy recommendation.

[matthew palmer] 09/4/2022 12:28

Anyone on TECHINVEST, I am wanting to form a group of similar minded people to discuss its views etc and information.

Click my name and send a message.

[planit2] 10/3/2022 13:46

They are moving to the reporting style of a larger company. Each contract is smaller in the overall scheme of things now so they are not material to the performance.

The main points are that we have earnings visibility now GHT operates more under an SAAS model and this should be valued as such.

The current market is terrible and true price discovery of companies at a real low.

[crazycanuck] 09/3/2022 08:45

I was hoping to see some new contracts signed in the last couple of months because most of the highlight stuff we already knew. I'm hoping they get a couple of new contract wins and that should hopefully get it back closer to £2.

[jadeticl3] 09/3/2022 08:37

Does anyone have any ideas on why this is falling badly on good news from the company and big rise in market generally this morning? I am shocked!

[richjp] 08/3/2022 17:27

Excellent results.
Terrible market.

[gnnmartin] 08/3/2022 14:55

Well done. I wasn't watching. :-( I had to pay 148.1625 (how exact!). Still, I didn't have much cash to invest.

[wjccghcc] 08/3/2022 12:09

Results look fine to me and outlook brighter if anything. Welcome to a bear market where people sell even on good news. Added at 139p.

[gnnmartin] 08/3/2022 11:52

Gosh, I thought those results were pretty good, but the shares are dropping. Is it just market chaos, or can someone tell me why I was wrong to be pleased by the results?

[km18] 18/2/2022 13:59

...from last year...

Gresham Technologies Plc is a software and services company that specialises in providing solutions for data integrity and control, banking integration, payments and cash management. Market cap is around £132m, PE ratio 28.9.

Today’s H1 21 interim results showed Group revenues up 19% to £14.5m. (H1 20 £12.2m), net cash up 9% at end-H1-21 of £8.1m. (H1 20 £7.4m). No new figures for operating profits, EPS, are provided yet. But on the face of it the commercial side of the business is growing healthily as are cash piles on the balance sheet.

Revenues derived from the Clareti platform, the Group’s main money spinner, were up 30% over 12 months at £9.6m. On a forward-looking basis, Clareti Annualised Recurring Revenue (ARR) will be £12.9m., another sizeable increase in the year to come. Other non-Clareti revenues were up a more modest 2%....

...from WealthOracleAM