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[wjccghcc] 21/9/2009 13:27

It's never wrong to take a profit but not sure I agree with most of your points - lawsuit aside.

IGP have never budgeted any revenues from the public rollout of the UK ID card scheme - they've never admitted to having the contract although reading between the lines, it seems likely. My understanding is that, if they did have it, the revenues come from the issuance to key people and foreigners (who get charged more).

Likewise with TWIC, they actually got very little licence revenue from TWIC last year because any revenue went to RSA in return for the $2mm 3 year licence agreement in 2005. It's only now that TWIC issuance is over 1.2mm that all the revenue comes to IGP.

Management are usually pretty straight in how they call things and their outlook from the finals was the most confident I've seen. Much of the pipeline is from deals already won and they seem happier that the odd project delay (which always happens) will affect them less then previously.

Regarding contract announcements, well as Alice says, they are very tight with unnecessary spending and (now the convertibles are converted), are unlikely to issue separate RNS's unless the contract value is over 10% turnover as required by LSE (so >600k). I suspect you'll find some nice contract wins in the results.

I know they had a target of turnover reaching 10mm in the next couple of years. With their operational gearing, that should give PBT of 4-5mm and EPS of 6-8p on a fully taxed basis. As Alice says, plenty of room for a rerating if/when the lawsuit is settled.

[carly2] 21/9/2009 13:16

Thanks for the reply WJ. I really hope that the full years eps will be higher than last years eps - given that the full years report said the board were 'very excited for the future..' or words to that effect..
Anyway, best wishes, all

[davidosh] 21/9/2009 11:00

WJCCGHCC....You beat me to it. Any questions can be asked on the base of that report.

[wjccghcc] 21/9/2009 10:06

Alice's AGM update is now online at the Fool. Many thanks to him for posting it.



carly2, yes trading update in next few weeks. the 3p EPS in H2 last year was flattered by tax and some good contract timings. It was also pre the dilution from the convertibles. Full year forecast for this year is 3.3p so anything over 1.5p (pre legal costs) would please me. Revenues can be lumpy and project timing is beyond their control so you have to expect some volatility (likewise the very strong cash inflow in H2 which may partially reverse as it evens out).

The major unknown as Alice says is the costs of the legal case.

[carly2] 20/9/2009 20:04

Hello all,
I presume that we will get a trading update in a week or twos time. Looking back over the finals to 31/03/09, we were at around 3p eps for the 2nd half fully diluted - so is the expectation of a further 3p for this half?
WJ in particular, reference was made to the revenues they were getting from the 2 new id contracts up to 31/03/09 ( I think it was around $1.8m) - what, from your understanding of things, is the likely future revenue potential of these contracts (and hence an indication of the full year revenues for 31/03/10)?
Best wishes all

[glasshalfull] 17/9/2009 16:35

davidosh - Much appreciated.

Kind regards,
GHF

[rivaldo] 17/9/2009 16:29

Looking forward to your AGM summary davidosh. Many thx in advance.

[237gmoney] 17/9/2009 16:27

will just have to wait til the end of sept for the half year update. no worries. Just still would like to know why the AGM was delayed 11 weeks this year. all seems very odd.....

[interceptor2] 17/9/2009 16:24

LOL - Maybe they are too busy with the wording for all the RNS to follow with juicy contract wins.

[fft] 17/9/2009 16:01

I didnt know that RNS's were paid for by the word ! :-) I think the person who drew that up still uses telegrams.

[archa] 17/9/2009 13:22

Only four shareholders there last year, I guess all of us over 65 years of age! I never thought that a trip to Lutterworth was worth a hats off award for either bravery or endurance. I must go again next year. Could not make it this year as I am currently in Australia, a bit too far for a return visit to Lutterworth. Now that really would have been worthy of an acknowledgement.

[wjccghcc] 17/9/2009 11:08

Thanks davidosh. I try and see them when they're in London for meetings rather than make the trek to Lutterworth. Hats off to you for making the trip.

[davidosh] 17/9/2009 11:02

I will put an AGM report on here when it is available. There were only four shareholders there. Not an easy location to get to but it does surprise me that more do not make it...

[archa] 17/9/2009 09:24

So who attended the AGM? There must have been some pertinent questions that should have elucidated the reasons for the recent long period of silence. I look forward to a brief summary. Thanks in anticipiation.

[smartmoney100] 16/9/2009 19:12

WJC, thanks for putting me straight.No idea why I expected something today really.

[interceptor2] 16/9/2009 11:21

Some companies issue a statement at the AGM, but as you say IGP haven't in the past. I think investors would like some guidence that the bullish statement back on 10 June Finals is still the same, there would be no harm in a brief statement saying they are still inline with the last sentiment.

[wjccghcc] 16/9/2009 10:41

Not too sure why people are expecting an AGM statement. They haven't done one before. The next scheduled one is the interim update in 3 weeks time at the beginning of October. I suppose they could combine them and do it today but they may want to wait 'til the period end to give the most accurate picture.

[smartmoney100] 16/9/2009 00:07

Will be getting up about 10 in the morning. I'll be very surprised to read anything less than a very good statement. If it is bad you may hear a car backfire at some point just after lunchtime.

[davidosh] 15/9/2009 15:52

fft....No problem. We are having a good run in LOQ, LNG, MUBL and hopefully IGP too

[fft] 15/9/2009 15:49

dd,

great. I will be very interested to see what he thinks when he sees the whites of their eyes.

This is my definite slow burner, with a good financial position, great margins and what looks to be a very good position in the market. very solid.

[davidosh] 15/9/2009 15:41

fft.....Colin should be there trains permitting.

[fft] 15/9/2009 15:35

would like to. bit far away though.

If anyone is going my only question would be wrt to TWIC. AFAIK they renegotiated it so that after 1.3m they got an increased contribution (as opposed to someone else getting the lions share for the first million). any idea as to how much per registration would be nice !

[davidosh] 15/9/2009 14:47

Anyone going to the AGM ?

Sounds nice....Lutterworth Hall. Tomorrow at 11am.