Intercede Share Discussion Threads

[jailbird] 24/12/2007 16:57

Hot: Identity management
Agencies wrestled with several secure identity verification programs, including: Homeland Security Presidential Directive 12 for federal employees and contractors, Real ID for states, and the Transportation Worker Identification Card for port workers.

No agency fully met an October deadline to issue HSPD-12 secure ID cards to employees and contractors, and many agencies might not make the next HSPD-12 deadline in 2008.

Meanwhile, DHS' Western Hemisphere Travel Initiative published its air travel rule in June.

The requirement that U.S. citizens have passports for air travel across U.S. borders threw people into a panic and resulted in a huge backlog of passport applications at the State Department.

Fearing further backlogs and unacceptable costs, Washington Gov. Chris Gregoire (D) announced in March that the state would pilot secure driver's licenses that would meet WHTI's requirements. The new IDs would also fulfill another controversy-mired DHS mandate, the Real ID Act, which requires states to issue driver's licenses based on national standards.

Washington was one of several states to test a secure driver's license. Arizona, Vermont and New York also jumped on the bandwagon.

"Agreements like this one, and the others before it, move secure identification in the right direction," DHS Secretary Michael Chertoff said during a recent press conference announcing the Arizona pilot project.

DHS also launched TWIC for all port and maritime workers, despite union complaints about the price of TWIC cards - $132.50 apiece - and the background check that must be completed before workers can get a TWIC badge. DHS expected to finish deploying TWIC to all ports of entry by September 2008.

[jailbird] 24/12/2007 16:44

Looks like US are going biometrics in a big way

[jailbird] 19/12/2007 14:53

i did not the IC came out on tuesday's..i am missing something.


"US contract delays have knocked the share price hard, but big profits may not be far away"

i like that statement.

[237gmoney] 19/12/2007 09:12

well said WJ, but think 2mm is an almost certainty on an operating level for 2008/9, its just the profit figures could be many more mulitples after that depending on a lot of if's and but's (UKID, etc. etc.)

Agood article for IGP's bread and butter work...seems demand will get stronger

[wjccghcc] 18/12/2007 19:19

Fair summary apart from the comment about their software being used for vetting.

I'd say FY breakeven would be a good result given that HSPD-12 doesn't look like ramping up much before March and the TWIC offset against the RSA license fee. Having struck that note of reality, I think 2008 is looking by far the most positive for IGP since I've been following them.

HSPD-12 ramp-up, TWIC extension news, UK ID card news, UK olympics news, a renewal/extension of the RSA agreement, projects arising from the new RSA and Thales rollouts (and hopefully Verisign), Oracle projects, another 500k NHS cards all are likely in 2008.

They have 99% gross margin, a flat cost base, and a partner network second to none in the field. With all the above, a sales increase (and therefore PBT increase) of 2mm in the next 12-24 months is quite possible (probable even).

[bobbyjim] 18/12/2007 18:36

Investors Chronicle Tip Update - BUY

US budget delays hold back Intercede

Created: 18 December 2007 Written by: Nigel Bolitho

Just over a year ago, Intercede announced a flurry of US government contract wins for its open-platform vetting, registration and access-control software. They came as a result of a presidential homeland security decree that all federal agencies had to develop vetting and access control products for employees and contractors. Intercede's first contract was to provide a smart card management component for the US Environment Protection Agency, this was followed quickly by contracts for other departments via partner agreements including the Federal Trade Commission and the Department of Education.

But there has not been much benefit yet from these new contracts; indeed the rise in sales was due to a £500,000 contract with leading electronics group Thales. The problem is that there has been a delay in securing US government finance for the homeland security project. The contracts have not gone away but Intercede has had to look for alternative contracts with more immediate funding.

And it may be on to a winner with a contract to deliver its MyId smart-card management system for the US Transport Workers Identity Card (TWIC). By end-March 2008, over 50 US ports should have ID cards for employees and contractors requiring unescorted access to secure areas, and all 140 ought to have the cards 12 months later. To date, 1m cards have been ordered and up to 6m may be needed. Intercede may only breakeven in the current six months, but chairman Richard Parris says that the long term growth potential "has never been stronger".

INTERCEDE (IGP)

ORD PRICE: 35p MARKET VALUE: £12.6m
TOUCH: 34-36p 12-MONTH HIGH: 63.5p LOW: 32p
DIVIDEND YIELD: nil PE RATIO: NA
NET ASSET VALUE: * NET DEBT: £190,000

Half-year to 30 Sep Turnover (£m) Pre-tax profit (£000) Earnings per share (p) Net div per share (p)
2006 1.21 -314 -0.7 nil
2007 1.55 45 0.4 nil
% change +28 – – –
*Negative shareholders' funds

Tip Update - BUY
US contract delays have knocked the share price hard, but big profits may not be far away. Still a buy on that basis.

Last IC View: Buy, 48p, 29 May 2007.

[accumulat0r] 18/12/2007 18:29

Investors Chronicle have put out a BUY note today, saying IGP "MAY" be onto a winner with a contract to deliver MyId for the US Transport Workers Identity Card (TWIC).

They also mention how the shareprice has been wacked hard because of the US contract delays - but big profits "MAY" not be far away.




I love the way they play it super-safe saying, "MAY"! We know it's a dead cert!

Now that IC are following IGP, I suppose it's possible they might include yesterdays director's share purchase in this Friday's IC Table of Directors Dealings – providing a little more exposure.

[pyman] 18/12/2007 17:59

It would be a great one to tip for the new year- all set and proven and ready to fly. No funding worries but probably a few takeover ones!

[igoe104] 18/12/2007 15:08

YES the company has to be looking to nail down some of the real big contracts in 2008, (uk national id card, oracle on-line smart cards) i sure when they do the share price will sail past £1.

[237gmoney] 18/12/2007 14:03

We all wait in anticipation for this broker note...and hopefully IGP will hit the radars of others including the share mags for tips for next year....

Hopefully the company can announce a Oracle based contract or something that were not expecting in the new year as another bonus contract like the one before will lift cashflow and EPS for the full year....

[rivaldo] 18/12/2007 11:31

Armshare's updated verdict on IGP - note a new broker note on the way:



"The interim results to September 2007 showed sales of £1.5 million (2006: £1.2 million), operating profit of £90,000 (2006: £(264,000)), pre-tax profit of £45,000 (2006: £(314,000)) and EPS of 0.3p. The company reported that gross margin was 99% (2006: 98%).

Research Standing

As a small UK company, the winning of high level contracts in the US is testament to the quality of its offering. Achieving gross margins of over 90% combined with using channel partners (note also the quality of these) is an attractive model - well worth following.

An updated broker note is in the course of preparation."

[jailbird] 18/12/2007 08:22

WJ,

would it not have been a 'T' trade then.

oh i see FSG is falling ...mind you so are many others around.

some stocks to buy soon maybe.

[wjccghcc] 18/12/2007 08:19

Might have been a buy order worked through the day at mid price which caused the tick up in the offer.

[jailbird] 18/12/2007 08:02

just spotted a 25k trade @34p late yesterday..looks like a sell from the timing
and 'o' trade too..yet the price was up on the day!

[237gmoney] 17/12/2007 12:39

Gosh Im in shock, a DIRECTOR BUYS...what ever next...the amount he bought is not really important, the principle is he bought and didnt sell....coming up to xmas as well, must be treating himself to an early xmas present....would be nice if all the others follow suit....

At least make an effort....show us you mean business guys....with the market down again nice to see a safe haven here. Growth is certainly on the up here...

[jailbird] 17/12/2007 12:12

pyman,

In IGP's , this is very good news...even though it £2500 worth

[pyman] 17/12/2007 12:07

MASSIVE director buying today! nearly £2,500 quids worth. Well at least he s [thinking] its cheap as chips.

[taurusthebear] 17/12/2007 11:20

jailbird - I am about 65% in cash. The market is up Sh*t Creek. I don't need to try. The market will do the dirty work for me. If it's not IGP, it'll be something else. Have you looked at your monitor lately? :0)

[jailbird] 17/12/2007 11:14

it would be nice if we got this as a tip for next year.

[jailbird] 17/12/2007 11:13

TTB,

keeping trying pal...:-)

i think the placing price is as far as it will go..it seems it is the support price now.

[taurusthebear] 17/12/2007 11:11

237 - never judge a share price on daily moves and individual trades! The banking crisis is far from over, IMO.

Nice to see IGP fighting the red trend, though. I do own IGP, but I'm not buying anything in this market.... :0)

[237gmoney] 17/12/2007 10:47

Someone taking advantage of this low price, guess that goes to show it will not get below 30p like some wish for....99% margins, this company could increase profit in two years imo to 1/5th of current market cap and this share price should be closer to £1 by then than 50p so what odds does a few pence make now....

[jailbird] 15/12/2007 17:15

this is where i read it..from annual report 2007

As reported in previous periods, the Group's results in the short term continue to be dependent on the timing of a small number
of relatively large prospects. However, this dependence is starting to reduce and during the period, no one project or customer accounted for more than 20% of our turnover

[njp] 13/12/2007 12:34

riv

Just catching up with posts and see you've joined the club. I've held for coming up to 2 years now. Seen it more than 2 bag and then come right back down again, but it's one that'll get there in the end and impossible to buy when it's moving, so it's a 'bottom drawer' stock for me and I lurk periodically to catch up with WJ's and others excellent comments.

Also have CRA and EDA nestling in that 'bottom drawer as well, which may interest you.

[237gmoney] 13/12/2007 10:41

How big is this SSC card??? Intercede classed as world class partners?? I think this could be bigger than we think......and all for a company with just over a £10m mkt cap???? come on guys your having a laugh!!!