Ibs Opensystems Share Discussion Threads

[tole] 12/3/2006 16:53

Well nice to see a new contract win announced on their website - significant amount too...very quiet here.

Latest News
Sunderland City Council signs contract with IBS OPENSystems
07th March 2006

IBS OPENSystems, a leading provider of software and services to Local Authorities and housing providers, has announced a new contract with Sunderland City Council to implement its OPENRevenues system. The Council is investing £900,000 in an integrated IT system for the management and administration of its Council Tax and Benefits.

Sunderland City Council required an IT solution which would support its e-government initiatives, deliver efficiencies, provide better working practices and boost customer service performance.

IBS was selected ahead of the competition because of its proven reputation, experience and the functionality of the OPENRevenues system. The solution will support 170 users and will go live in July 2006.

Councillor Dave Allan, Cabinet Portfolio Holder for Resources at the City Council said:
"We recognised the need to move away from our in-house system to improve collection rates and our service levels. It was clear that the IBS OPENRevenues system will enable us to streamline our benefit processes and improve customer service. The system will help us to generate efficiency savings which we can use to reinvest internally and will also support our future initiatives such as home working and improved working practices for our staff".

Bill Loughrey, Sales Director, IBS OPENSystems, comments:
"We are absolutely delighted to have been awarded the contract by Sunderland City Council. It is a significant customer win which reiterates our footprint in the local government market. It is testament to our team and all involved that we were the natural choice to be selected by Sunderland City Council. IBS have worked closely with Sunderland City Council to understand the challenges which the council faces and its long term objectives, and we believe that OPENRevenues will deliver many operational and business benefits to the Authority".

[tole] 08/3/2006 08:27

Looks like we are a market maker short this morning, ALTS not woken up yet, hence the tick down since they were on the 165 bid.
Anyway, I got sent the Numis note, though havent had any joy with Altium. So let me know if you want it.

[tole] 06/3/2006 17:56

Looking at Numis profit forecast above - I can clarify that they also must have upgraded forecasts on results. Heres their new figures I obtained.

£m Dec 06 Old Dec 06 New Dec 07 Old Dec 07 New
Turnover 21.3 21.3 23.2 23.4
EBITA 5.9 6.1 6.5 6.6
PBT 6.1 6.3 6.8 6.9
EPS (p) 10.6 10.9 11.8 12.0

[tole] 06/3/2006 09:53

The IC gave it a mention as Good Value in their company results round-up.

It notes that IBS added to its core offering of software solutions by launcing OpenQuery, OpenMobile and Workflow, and also the releases of new products like OpenExec and Contact MAnagement. All that helped boost sales and improve underlying margins to 29%. It notes the business as cash generative producing £4m operating cashflow in its 40 weeks. On a pro-forma basis pre tax rose 17% to £5.5m in 2005. Numis expects profits of £6.3m, giving EPS of 10.9p (9.9p 2004-05)


"With cash in the bank, decent cash flow and a strong order book, the shares offer good value"

[tole] 02/3/2006 19:04

Still waiting on that broker note though was promised they would forward it on. Suprised by the lack of intrest here, but suppose it isnt on that many radar screens. Will be interesting to read what Altium had to say in upgrading their forecasts.

[tole] 27/2/2006 08:39

Also noticed it was highlighted in the FT at the time of results - can't currently access the full article online, but normally they lift their census a few days later - so i've posted the link for anyone who wants to check.

https://registration.ft.com/registration/barrier?referer=

IBS OpenSystems advances 16%
By Gary Evans
Published: February 24 2006

IBS OpenSystems, the software and services company that joined Aim last year, saw a 16 per cent increase in pro forma profit before tax and goodwill from £4.9m to £5.67m in 2005.

Turnover rose 9 per cent to £18.7m. The company, which focuses on providing solutions to local government and social housing, has been trading since March 2005 and results for its first 40 weeks to the end of the year showed a pre-tax profit of £3.33m on turnover of £15.6m.

[tole] 25/2/2006 14:27

Well thats the first upgrade after the results - plenty of upside to come :)
Still waiting to find out if I can get a copy of the broker note.



IBS Opensystems OPN

Date - 23rd Feb
Broker - Altium Capital

Recommendation - Buy
Share Price - 166.50p
Old Price Target - 180.00p
New Price Target - 195.00p
Broker Change - Upgrade


Also noticed it got a mention in the TimesOnline stating the upgrade -

Altium raised IBS Open Systems to "buy" from "add"

[tole] 24/2/2006 07:46

No problem WJ and thanks SG for upating the header - have emailed the company to find out when the Investors section will be updated and what information will be at hand.
Also trying to get hold of the Atrium Securities note if one is available, will let you know what I come across - unless anyone has it already?

[sharegod] 23/2/2006 16:59

updated header

[wjccghcc] 23/2/2006 16:39

Thanks Tole.

[tole] 23/2/2006 16:13

Be nice to get the web address in the header, since they are undergoing some modifications on it and would be interested to see if they put up any broker coverage when the investor section comes online.

[tole] 23/2/2006 15:27

In reference to some of IBS' new revenue streams which should start to kick in this year, heres a bit off their website on OpenMobile launched at the end of last year -

IBS OPENSystems launches mobile solution for housing professionals on the move
15th December 2005

IBS OPENSystems, a leading provider of software and services to housing providers and local authorities, has launched its Mobile Working Solution, OPENMobile. The solution, which works on a handheld computer such as a PDA, enables housing staff to access core data, and enter information into "live" housing systems whilst on the move.

Pressure to improve performance and increase efficiency has never been greater in the housing sector. A plethora of agendas are forcing housing organisations to look at innovative ways in which savings and/or enhancements to performance can be achieved. The ability to input and receive data in real-time is integral to efficiency and performance and can only be achieved through genuine mobile working. The launch of OPENMobile therefore signifies another route whereby further improvements can be realised.

Through having mobile access to these applications, housing staff can update systems as they work. For example when undertaking repair work in rural areas, there is no need for staff to return to the office to update records – it can be done in real-time. Through using mobile applications across the workforce, data entry is minimised, accuracy improved and overall productivity enhanced.

Specific modules within OPENMobile include Repair Job Processing and Management, Tenancy and Arrears Management, Estate Management and Reporting / KPI information. A dedicated administration module ensures security while a built in panic button facility allows users to issue an alert should any compromise to safety occur. OPENMobile is fully integrated with OPENHousing and OPENContractor.

Bill Loughrey, Sales Director IBS, comments:
"Real-time processing of information holds the key to unlocking much of the
efficiency and performance targets which housing organisations are under pressure to achieve. Through using OPENMobile, real-time management of data becomes a reality and brings with it huge savings and improved productivity." He continues: "OPENMobile is currently being piloted by a number of our customers and feedback so far is good. We're always looking to develop new solutions which help our customers achieve their aggressive targets and the launch of our mobile solution is an example of just that."

[tole] 23/2/2006 08:36

Nice piece on the new software solutions - and good mention on their diversification, alongside the potential in new orders especially since they were newly launched in the marketplace...

A number of new software solutions have been developed and launched during the
latter part of the year, which have opened up new markets for the Company and
produced additional revenue streams. These include OPENQuery, OPENMobile and
Workflow, all of which have been well received by both new and existing
customers with over 50 orders taken in the latter part of the year. These
solutions can be used in both the Local Government and Social Housing markets
and are not limited to just IBS OPENSystem's sites. Orders to date only
represent a small percentage of the possible future market potential.


Also as you say a very good outlook statement too...all nice and positive
- results very pleasing
- development of new software
- opening new market sectors
- further new initiatives planned
- significant market opportunties
- look forward with confidence to coming year
- underpinned by strong cash position
- excellent products and staff
- loyal and expanding customer base

Can still get within the spread 164-168 at the moment.

[wjccghcc] 23/2/2006 08:07

Strong results ahead of expectations with good cashflow and a very good outlook. 9.9p puts them on a historic pe of 16.5. I reckon this year's EPS should be upgraded from 10.7p to around 11.5p (16% growth) putting them on a current year PE of 14.3. That's a lot cheaper than their peer group like civica etc.. They'd also make a tasty morsel when consolidation starts happening in this sector.

[wjccghcc] 22/2/2006 16:28

Yup. Topped up with a few. Trading ahead of expectations and rating is at the low end for the local government/social housing software peer group. Not really on anyone's radar screens yet.

[tole] 22/2/2006 16:06

From last week -
Altium says add IBS Open Systems (target 180p).

Results tomorrow...

[wjccghcc] 16/2/2006 15:07

Sorry Sharegod, missed your post. Forecasts are 9.55p for the year just ended (results announced next thursday) rising to 10.7p for this year. Puts them on a PE of 15.9 but I suspect they'l get upgraded at some point.

[azalea] 16/2/2006 14:53

Any thoughts on the biggish 'sell' today?


Edit: correction to the above: yesterday 15/2?

[sharegod] 09/1/2006 17:09

wjccghcc.do you know what the profit forecasts are?

[wjccghcc] 09/1/2006 16:30

Good trading statement. PBT ahead of forecasts. Director buys a month or so ago. Rating much less than the other local government/social housing software providers. Bought a few first thing.

[sharegod] 18/9/2005 20:06

click me to go to website