Loopup Share Discussion Threads

[huntie2] 06/8/2020 14:59

Hmmm.... a very rapid dip!

[pleco] 06/8/2020 09:23

It's cheaper to buy than sell!!

[apad] 06/8/2020 09:19

Thanks Welly, I'll chase that argument. Could be a clincher.

apad

[apad] 06/8/2020 09:17

WJCC
I can understand LOOP targeting professional networks (particularly by 'claiming' security).
I'm not sure about their stated aim of multinationals being achievable.
Larger enterprises are more likely to have uniform systems and support staff to iron out problems.
What do you mean by 'more sophisticated'?

It might amuse you to know that one of the Jersey users withdrew the system because it was too popular and the charges were going through the roof. That was 3 years ago and LOOP's new charging structures should prevent that. Something of a testimony to 'ease of use' nevertheless.
apad

[welly_59] 06/8/2020 09:14

APAD. Microsoft's calling plans are pretty expensive at about £12 for local calls and £24 for international calls. And you can't bring your existing number over, you need to use whatever phone number Microsoft assign to you.

With direct routing you can port your existing numbers over to your chosen service provider while at the same time saving significantly on Microsoft's calling costs.

Also with Microsoft calling plan there is no support. With direct routing partner you are able to have the transition project managed for you

[apad] 06/8/2020 09:01

someuwin
Users in Jersey recognise the ease with which LOOP integrates with telephony. One has said it is so easy that their workers used it for everything.
Two have said that TEAMS "does telephony".

apad

[wjccghcc] 06/8/2020 09:00

APAD, my understanding is that Microsoft's direct routing plans are designed for the mass market SMEs. LOOP is targeting the larger enterprises who need a more sophisticated solution.

[someuwin] 06/8/2020 08:50

"How Big is the opportunity? The lion’s share of LoopUp clients already
use Teams (c.90%) and the vast majority of these are expected to
integrate regular telephone calls (outbound and inbound) with their
Teams tenancies over coming years. Given that most organisations spend
many times more on their phone calls than they do on remote meetings,
the revenue potential for LoopUp is clear. Margins will depend on deals
with carriers and network costs, but LoopUp has a strong track record of
securing additional margin as volumes grow on its network"

[apad] 06/8/2020 08:49

Teams has a telephony add-on.

"Phone System, Calling Plans, Direct Routing | Microsoft Teamswww.microsoft.com › microsoft-teams › voice-calling
Microsoft Teams allows you to transition your voice calling capabilities to the cloud with integrated calling to landlines and mobile phones."

www.youtube.com/watch?v=Iepnko_v0ro

What does LOOP do that is additional?

apad

[someuwin] 06/8/2020 08:21

Added more here.

[thefartingcommie] 06/8/2020 07:36

re..research note on Loop

Conclusion and summary

▪Microsoft Teams has gained huge market share for internal collaboration within Enterprise technology customers during the COVID-19 lockdowns globally

▪Inclusion of telephony integrationwithin Teams makes perfect sense to such large companies, whose staffcan then make & receive external calls in the same way they have rapidly become accustomed to communicating with colleaguesinternally

▪LoopUp’s customer base is already largely using Teams for internal communication

▪LoopUp has an asset base and infrastructure already relied upon by global corporations to deliver high-quality calls on important remote meetings (often with external third parties). The poor quality on many Teams calls outside an organisation’s network is often a major problem when Teams is used “between”; rather than “within” companies....LoopUp’s platform already solves this challenge for multi-party remote meetings.

▪Finally, LoopUp has a tried & tested team, highly capable of winning and servicing Enterprise customers in multiple geographies,operating globally. Its sales and service operations arguably stand up well to comparison with much large competitors, and its success in the remote meetings market bodes well for similar positive results on the much broader telephony playing field.

[timbo003] 06/8/2020 07:22

There is a new (paid for) research note on Loop here:

[thordon] 05/8/2020 21:41

If the mm have made a mistake by not letting price go higher then they in pickle street if demand has increased.

[rimau1] 05/8/2020 15:27

This should continue to trend up, ST update expected over the next few weeks IMO and then we have interim results in September where i expect guidance of H2 results at least in line with H1. Still only rated at 2x revenues which is a little bit silly.

[74tom] 05/8/2020 15:17

140k bought at £2.20 seems to have shaken the MM's out of their stupor... it's been pretty much constant buying this week, which is no surprise given the fundementals, technical set up & macro drivers here.

[lyndon b] 05/8/2020 14:50

Looking at the trades, if correct, virtually no one wanting to sell their shares here.

[thordon] 04/8/2020 21:22

You may also reflect that Cisco deal is at present much larger in value terms than Microsoft Teams . However the re-branding of Loopup web site indicate that Microsoft Teams is front runner.
without the data we are blind to the facts except turnover and gross profit + debt.
loopup if they achieve just 1% of Microsoft Teams that 750K customers , Microsoft teams is mostly free with there main product.
Verdict - Loopup will be around a long time as no other company went this route and all because they over spent and had no option too, so went for the niche market.

Anyway good luck . Long term investor need 800p to break even on my bad investments 20 years ago.

Not that bad started investing again last year and nearly cried in April but invested by luck and research in covid 19 shares.

[maddox] 04/8/2020 12:24

LoopUp added video in June 2019 overcoming the technical challenge of syncing the video channel via Broadband with the voice channel over PSTN. This won't have been a minor technical accomplishment and is a good example of their expertise in this arena.

LoopUp's business model has fortuitously required them to build the global network infrastructure that precisely fits the new adjacent market opportunity for Direct Routing. My understanding is that other market players with an 'over the top' model would need to build a new technical architecture in order to compete in this market. Whereas LOOP is already a Microsoft Gold Partner it is an open question in my mind whether Microsoft would allow integration with more direct competitors?

I'm still getting my head around the competitive landscape but it appears that LOOP are extraordinarily well positioned. I'd welcome someone with telecoms knowledge to give an alternative view point.

[arcadian] 04/8/2020 10:50

thirty

We can agree on the present and as always the future it uncertain. We need to be alert as technology makes new solutions possible; I don`t have the answers but will continue vigilance (how???) given the attraction of the visual especially among the young and that includes young business. Loop must do the same or be part of history.
I`m sure they share our thoughts and maybe there will be an opportunity to ask them how they see their position going forward.

PS I write as a holder of a decent amount of this rapidly expanding company growing market share profits etc

[thirty fifty twenty] 04/8/2020 10:32

thks Arcadian - is secure video feasible?
I didn't think so over the internet by definition?
I also thought that LOOP remote meetings are not just voice only but also offer video which is transmitted separately through the internet.
Have I misunderstood?

I think longer term LOOP is in the relationship business with these niche businesses.
so with technology developments they keep expanding their own network to meet customer requirements. The next big thing is 'direct routing' of calls - then businesses effectively have their own network. I think LOOP is able to do this with much more credibility now that it has MS Teams.

[arcadian] 04/8/2020 10:20

Thirty

You are discussing the here and now and as a holder I agree with you that the firm is well placed, doing well growing market share, making growing profits etc

I think robert is looking ahead to the possibilty secure video which could weaken Loop`s attractiveness.

[thirty fifty twenty] 04/8/2020 09:59

hi Robert p - wow that is some roller coaster you have been on.

I am not an expert on the industry but I think their difference with using the telephone is their big advantage! we know ourselves that the mobile network is more reliable than wifi and also more secure. LOOP clients are global law firms and global PE firms where the smoothness of the meeting and secure are invaluable. For me the clear evidence is that annual sales are 60m - I just think that at a very simple level , one doesn't sell 60m annually to these global business unless your product is adding value i.e. these global businesses want the non-wifi security. LOOP has already built its own global network so the extra data volume with MS teams will be deliverable without further major investment.

in effect LOOP is like a specialised VOD serving a niche market with a more secure product. I think thus that once a business has gone with LOOP it is likely to be a sticky client (so long as the product is good). This, for me, is then also part of the attraction with the MS teams tie up as it means LOOP with provide the full communications service to these clients and I think will make any client more sticky... What else does the client need..? is has one user interface to communicate for everyone in the company, anywhere in the world, on any device, and if it the client chooses it can go 'secure' using LOOP network, and all of this is cheaper than the current service + MS team current charge. It really does seem like a no brainer to me.

the 400% jump in profits for H1 spoiled us and I think made some people want the upside benefits of PAYG minutes. But actually SAAS with longer term stickier clients I think will be valued much more higher in the market because it is more secure and more recurring and less volatile.

The presentation is really worth listening to - especially the Q&A. The big take away for me was not the content per se but the obvious excitement in his voice in answer to the questions - I think he found it hard to contain himself from revealing the financial details.. thus why I think it potentially exciting if their H1 results are released in August compared to mid Sept last year.

time will tell and aware I have holder bias.

All IMHO, DYOR + BoL
LOOP is in my top5 hldgs

[arcadian] 04/8/2020 09:29

rp


Your concerns are perfectly understandable. I wonder if Loop share them or whether there is a large and growing market for secure voice without image for serious business. It`s good to see someone but the real issues in business are not visual for the most part and only require information and agreement/disagreement.

[robertpeacock] 04/8/2020 08:30

Thirty fifty twentyNice write up! Thx I don't disagree with any of what you say. I think loop are nicely differentiated from competition but I'm a bit worried that there keys difference is telephone wires when everyone is using WiFi. Hence the Zoom model growth has been substantial. What I'm hoping is the loop does both and is more secure and now complements teams therefore they will naturally get revenue via Teams. But like we all know MS are massive and Loop is this tiny player who have a link to be able to use teams through their platform (if I have that right). I'm hugely in favour of loop doing well as I bought 10k at IPO and have seen my holding worth 50k and then 5k. I held as I'm an optimistic investor!! Haha.

[bigbigdave] 04/8/2020 06:36

A bit more on the Microsoft teams thing.........