Intercede Share Discussion Threads

[yump] 05/4/2013 08:32

Doesn't convince me at all now. They've been 'well placed for growth' for ages now. Commenting on R&D spend doesn't exactly tie in with what investors want to hear and the 'challenging' year stuff is the same old. Obviously the product(s) are anything but no-brainers for their customers, otherwise we would have had a pattern of growth.

If they just came clean about the actual prospects and likely revenue for their market I'd be more confident.

[igoe104] 05/4/2013 08:23

Positive update, looks like igp have produced some contracts at last.
it would have been nice to see alittle more detail.

[looby loo] 01/4/2013 20:19

The Next IT Revolution: Bring Your Own Identity (BYOI)
By Richard Parris
27 March 2013

[pyman] 26/3/2013 13:37

SADLY- YUP. NO MOMENTUM AT ALL. THE MS TIE UP- WHERE'S TEH SALES!

[ianhamo] 24/3/2013 17:33

Agreed looby loo

[looby loo] 24/3/2013 15:30

..... or put the "For Sale" sign up.

[ianhamo] 24/3/2013 11:18

I think Mr Parris should either take this private or step down as he is not creating any value for shareholders. He doesn't own the company, we do. I will not be voting for his re- election at the next AGM.

[pyman] 20/3/2013 22:59

which brings us back to teh question of MBO or agreed takeover by someone with a decent salesforce. I m a tad bothered it has not happened already although I got in years ago to stay independant and watch the company grow revenues...

[igoe104] 19/3/2013 08:41

At the moment its all froth but no beer comes to mind when i think of igp situation, lots of shows and prescentations etc but a lack of contracts.

what i find frustrating with igp they get into a country like australia (queensland police) then you start think now we are in and showcasing the product in the country other contracts would soon be on the way in our direction, once they see the benefits of using myid. but nothing else comes of it.

we keeping adding partners year on year but the revenue is still not moving forward ?

whats the point in adding partners if nothing comes from it ?

[looby loo] 08/3/2013 01:22

A piccie of the Intercede guys in the Microsoft Pavilion booth, RSA Conference 2013, San Fransisco:

[iicb] 28/2/2013 19:40

anyone notice how parris wanted more money, but yet ever since is now undelivering and profits falling - funny that.

SELL.

[igoe104] 25/2/2013 08:39

Doesnt look like igp should see contract cuts to me.



So really it should be just a matter of time before, we see some much needed good news and a rise in the s/p.

[igoe104] 21/2/2013 19:08

Latest news.

[igoe104] 18/2/2013 11:05

Heres another growth story.

2012 in Review: Biometric ID Systems Grew Internationally... And So Did Concerns About Privacy

So why the hell arent we cashing in on it. ?

[igoe104] 18/2/2013 11:02

Good points yump.

The cyber security market is showing massive growth, so why arent making a mint out of it.

It does make you wonder if the product is as good as the management make us believe it is ?

[yump] 12/2/2013 22:20

Re: the slowdown in revenue growth.

Since when was there a speed up, for a slow down to happen ?
Sounds like a BS excuse to me. As far as I can see its a slow down from no growth.

Unless you count going from no revenue to some revenue in the first few years, which I guess most investors won't.

Its no good quoting the global market growth at this point without being specific about the share you plan to capture. In any case, I'm pretty sure the global security market has been growing for a long time, so the idea that its going to speed up, or provide some sudden outstanding opportunity seems a bit suspect.

So the key issue is whether IGP actually has something great or not. If it had, I'm pretty sure it would have been selling more.

If they came clean about the sizes of potential contracts that would help.

[distorted vision] 12/2/2013 21:30

They were the answers I was kind of expecting to receive. The reasons cited to Question 1 are the very reasons I think that the CEO and Chairman roles should be a different person.

Didn't really feel that the answer to Question 4 was satisfactorily answered in the context of the flat growth in sales revenue which wasn't even mentioned. I appreciate that it is touched upon in the answer to Question 5. I don't share their optimism for rapid growth in the medium term. I think the economic downnturn is going to be more prolonged.

One issue that I didn't raise was the amount of cash on the balance sheet. To most shareholders this is a strength as they are unlikely to encounter solvency / cashflow issues. However, why is the cash not being invested more productively eg increasing sales revenue from existing products. Too much cash on the balance sheet is not good in my opinion. Interest rates are historically very low and it also makes the company vulnerable to take over.

[distorted vision] 12/2/2013 21:21

I received the reply below from Archie Berens at Pelham Bell Pottinger who handle Intercede's Investor Relations:

1. The role of Chairman and Chief Executive being held by the same individual. Whilst there is no legal obligation for AIM companies to comply with the UK Corporate Governance Code, I like many other shareholders are unhappy with this arrangement.

We do not believe that it is appropriate or necessary for a company of our size and structure to split the roles of Chairman and Chief Executive. Moreover, the Chairman and CEO is a significant shareholder in the business, which should provide significant reassurance that his interests are closely aligned with those of other shareholders.

2. The lack of truly independent Non-Executive Directors. Two of the NEDs have been on the board for more than ten years.

We are very happy with the value adding contribution made by our non-executive directors and believe that they provide an effective mechanism for scrutiny and challenge, providing a suitably independent viewpoint on the company and its direction.

3. General lack of interaction with shareholders e.g. why were shareholders not given a vote on remuneration issues such as LTIP?
We have regularly invited shareholders to meet with us over the years, not just at the AGM. We listen to their views and are receptive to them: for example, the terms of the options under the LTIP to which you refer were changed to ensure they can be exercised only when significant value has been created for all shareholders. The original LTIP was properly approved by the Remuneration Committee and was the first significant incentivisation to be offered to the executive management since the company's formation in 1994.

4. Rising R&D expenditure when sales revenue from existing products is not rising to justify it. Sales growth was just 1% in 2012.

In our industry, it is essential to invest in R&D in order to remain ahead of the competition, to identify alternative and complementary sources of revenue and to provide the platform for long term growth. The reasons for this strategy were explained in the latest Annual Report. We are confident that in the longer term, this investment will provide appropriate returns.

5. Over reliance on US Government for new orders. What efforts are being made by the board to diversify sales revenue?

Many of our largest contracts have been outside of the US Government. However, the US is the market that is most likely in the medium term to deliver the rapid growth that Intercede is investing to exploit. Government markets world-wide have been challenging over the last 18 months as austerity budgets bite hard. Intercede believes the slowdown in revenue growth that has followed is transitory as the global market for security is set for longer term growth.

[igoe104] 11/2/2013 17:20

Worth a read.

[igoe104] 08/2/2013 20:58

Calls for biometic id is stronger than ever.

[roger-lawson] 08/2/2013 20:28

I don't think any offer from me would be accepted. "Not invented here" is one problem.

[ianhamo] 08/2/2013 20:07

Roger, With respect, have you thought of offering your services. Sounds like you fit the bill.Cheers.

[roger-lawson] 08/2/2013 15:40

Yump: the issues are easy to fix. Just get a new Non-Executive Chairman with experience of the software industry. And that has been said before.