Learning Technologies Share Discussion Threads

[multibagger] 22/7/2019 07:18

You could be right christh, but I am expecting end of day close of about 8-10p+. In the past we have occasionally had circa 15p added on (if memory serves me).

The spoiler being overall global stock market is subdued due to geopolitical concerns. Fed cutting interest rates should be a counterbalance ?

It is the shorter covering that will make it all the more interesting !!

Good luck all :)

[christh] 22/7/2019 07:15

It might open up 108p-110p.
The results are too strong as well as the future earnings.

[multibagger] 22/7/2019 07:14

LTG will also benefit (to a degree?) from weakness of GBP v USD as majority of revenues looks to be USD based - but acknowledge that debt is also USD denominated.

[multibagger] 22/7/2019 07:09

Another exceptionally strong set of results....which could cause a significant increase in share price not taking into account short covering.

Hope to see 8-10p+ being added to share price today !

RNS Number : 1988G

Learning Technologies Group PLC

22 July 2019

Half Year Trading Update and Notice of Results

Strong sales momentum, with EBIT materially ahead of expectations

Learning Technologies Group plc, provider of services and technologies for digital learning and talent management, announces the following trading update for the six months to 30 June 2019.

For the first half of the year, the Board expects Group revenues to be approximately GBP62.5 million (H1 2018: GBP33.8 million), an increase of c.85%. Adjusted EBIT is anticipated to be ahead of expectations at not less than GBP20.0 million for the first half of 2019 (H1 2018: GBP8.9 million), representing an EBIT increase of c.125% and EBIT margin increase from 26.3% to c.32.0%. The Board is confident that full-year adjusted EBIT will be materially ahead of current market expectations.

Approximately 67% of revenues are from recurring contracts (H1 2018: 51%), primarily driven by the transformational PeopleFluent acquisition in May 2018.

Revenues in PeopleFluent were supported by a higher-than-expected retention rate for its software licences. This underscores the Board's confidence that, as previously guided, PeopleFluent is on track to return to growth in 2020. Breezy HR has integrated swiftly and is growing revenue ahead of expectations. Excluding PeopleFluent, organic revenue growth in the Software & Platforms division was strong for H1, and the expectation is that this trend will continue in H2.

Content & Services organic revenues were up significantly on H2 2018. Strong sales momentum from LEO and Preloaded has continued from Q4 2018 into H1 2019, with notable successes including a large multi-million dollar contract win for LEO in the US. As a result the Board expects substantial organic growth in the Content & Services division in the second half of the year.

Net debt is in line with expectations at GBP13.9 million (31 December 2018: GBP11.5 million), following the acquisition of Breezy HR in April 2019 for an initial cash consideration of GBP8.8 million, the final deferred contingent consideration payment to Rustici vendors of GBP2.8 million, and a final dividend payment of GBP2.3 million.

The above results are stated on a comparable basis with the Group's 2018 Annual Report and Accounts and exclude the impact of the adoption of IFRS 16 with effect from 1 January 2019. The Board also intends to restate adjusted EBIT to include the share based payment charge. Further details of the impact of these adjustments will be provided in the Group's half year results announcement on 16 September 2019.

Jonathan Satchell, Chief Executive, said:

"I am particularly delighted by the sales momentum in our Content & Services division that has built over the last nine months. Our Software & Platforms division continues to go from strength-to-strength.

LTG's outstanding margins and cash generation provide additional capacity to invest in further sales growth in the second half of the year, and pursue a number of new initiatives to augment organic growth into 2020. We continue to consider a number of very interesting acquisition opportunities that would meaningfully enhance the Group.

This strong H1 performance underpins the Board's confidence that full-year EBIT will be materially ahead of expectations."

[christh] 22/7/2019 07:08

Trading update today.
TREMENDOUS!
sales doubled

For the first half of the year, the Board expects Group revenues to be approximately GBP62.5 million (H1 2018: GBP33.8 million), an increase of c.85%. Adjusted EBIT is anticipated to be ahead of expectations at not less than GBP20.0 million for the first half of 2019 (H1 2018: GBP8.9 million), representing an EBIT increase of c.125% and EBIT margin increase from 26.3% to c.32.0%. The Board is confident that full-year adjusted EBIT will be materially ahead of current market expectations.

[phillis] 19/7/2019 14:07

In context
Eps
16 -0.32p
17 0.36p
18 0.64p

[christh] 19/7/2019 13:54

Income Statement
................2016......2017.......2018
Turnover........28.26.....51.35......93.89

Trading update possibly next week

[christh] 18/7/2019 14:34

I do agree , clever MMS accumulating stock for the results.
I expect to fully recover today to 100p

One of the best companies around.

[rampmeister] 18/7/2019 14:20

Although we did get some intel with the agm there were no hard numbers. Last year they issued a proper trading update on 24th July so hope not much longer to wait.

RM

[rampmeister] 18/7/2019 14:08

Maybe mm’s trying to spring a few stop losses. If so not working at the moment buyers piling in to snap up bargain level shares.

RM

[christh] 18/7/2019 13:18

It depends what you call top...
I paid 101p because the brokers say its target price is 125p
Still a long way to go as it's only a setback today

[traderglt] 18/7/2019 12:20

Another one you bought at the top Chris ?

[christh] 18/7/2019 11:10

Strong Buy (4 of 4)

[christh] 18/7/2019 10:00

Tomorrow will be over 100p, the trend is upwards.
Brokers have said 125p

Oversold today, good stock, very promising.

[phillis] 17/7/2019 09:33

missed out on higher exit then

[fruitcake1965] 16/7/2019 14:14

Me too I’m holding, had these since 2015!

[leadersoffice] 16/7/2019 13:54

Hope they get burnt

[fruitcake1965] 16/7/2019 13:45

Shorttracker.co.uk 3 shorts to 2.19%

[saucepan] 16/7/2019 12:19

Fingers crossed for a strong close.

On 24 July last year, LTG issued a "trading update and notice of results". We could be only a few days away from something similar this year? Might attract trading interest?


What makes me slightly doubtful is that LTG did issue a kind of update with an "AGM statement" on 5 June. In 2018, LTG only issued a "result of AGM" notice, with no accompanying statement.

"Targeted product and services investment, early stage success in cross-selling initiatives, and a continuing focus on cost control are already generating momentum with a very positive YTD performance in 2019."

No numbers there, of course, which makes me hopeful that we will get something of that kind in the next few days.

[leadersoffice] 16/7/2019 12:12

Second attempt to hit £1.00... could this be the day it smashes through the glass ceiling ?

[leadersoffice] 16/7/2019 12:12

Whose shorting ?

[fruitcake1965] 16/7/2019 09:27

Short increased on the 11th now over 2%

[saucepan] 11/7/2019 12:43

Interesting comments, Tarrant777

100p is proving quite a glass ceiling at present, but I don't think it will be too long before it is shattered.

[tarrant777] 10/7/2019 10:38

The two principal companies chaired by Andrew Brodie (RWS and LTG) have wisely in recent years, under his guidance, expanded their businesses outside the UK and both seem set fair to materially benefit from a very high percentage of their profits being generated in US$ and €, both of which are very strong against sterling. Recent positive movements in the price of RWS shares suggest that the fact has not gone unnoticed by their shareholders, whilst the movement at LTG has been more subdued. Perhaps investors are awaiting a half-year update from management, which has already been publicly flagged as likely to be positive.Fingers crossed.