Pelatro Share Discussion Threads

[mikeh30] 09/4/2019 08:49

Again - decent corporate governance. Better than him dumping into open market. I'm sure they have already been sold on to an II. Announcement to follow shortly.Look what happened when price dropped to 83p last month it bounced to all time highs following contract wins. Same again here

[rivaldo] 09/4/2019 08:44

How to ruin all-time highs! I'd have hoped the price could have been keener given the cheap fundamentals and rosy prospects, but PTRO is illiquid/tightly held, and the sell is hardly unexpected from a passive and uninvolved shareholder.

As paleje says, the identity of the new holders will perhaps reveal new institutional interest.

[threeputt] 09/4/2019 08:38

MG, judging by your posting histoey I dont think you were in in the first place, nice try !

[paleje] 09/4/2019 08:26

Another announcement to follow.

I don't see anything wrong with him selling, it would have to be at a discount for the quantity. No dilution. Be interesting to see who the new holders are.

[mg1982] 09/4/2019 08:17

What the?!!! First the cars and now this. I'm out!

[mikeh30] 04/4/2019 20:14

I think one of the misconceptions here is that people haven't clicked on to is that Pelatro are not dealing with dinky little telecom company's.Singtel - $12 billion revenueTele2 - $3 billion revenueOoredoo $9 billion revenue The list goes on.Think of the revenue shares available to PTRO with its products.

[mikeh30] 04/4/2019 09:33

Someone's buying and I don't see any PIs talking about it

[rivaldo] 04/4/2019 09:30

Looks like PTRO has attracted some serious interest now, with healthy volumes going through most days despite the relatively limited free float.

[daz] 01/4/2019 09:49

It does look like PTRO have guided conservatively, with a pipeline of $15m (before the contract win of $0.7m) and with now only $4m of the forecast revenue of $10m needed to meet expectations, you would think they would be able to convert a sufficient proportion of the pipeline by July/August to allow for the implementation time before they invoice.
With change requests contributing to revenue, I think they only need to sign another 3 or 4 contracts (depending on size) to meet forecasts

[mikeh30] 01/4/2019 09:39

And still under the radar!

[rivaldo] 01/4/2019 09:32

Looking good - new highs now.

[mfhmfh] 29/3/2019 15:42

nice volume/rise today.

[mikeh30] 29/3/2019 10:55

In short, the vehicle purchase relates to two cars purchased for the use of the executive directors in India as part of their remuneration package duly authorised by the Remuneration Committee. The purchase was funded by a secured loan, so minimal net cash was used.

[mikeh30] 29/3/2019 10:54

Re vehicles:Comment from analysts: We also note that the fixed assets include the purchase of two vehicles for $270k. In India, foreign marques are needed to impress visiting customers, but the country has c.140% import duties and sales taxes on executive models, suggesting the vehicles are actually worth £45k each, which does not seem excessive.Typical aim: A profitable growing company declares everything above board in line with corporate governance and people jump on it spin it out of control and people panic sell. A couple of quick short profits taken probably.Onwards and upwards

[rivaldo] 28/3/2019 07:38

Good to see a maiden contract win in Thailand - and lots of opportunities to grow further with the huge Singtel group.

[daz] 28/3/2019 07:24

Another contract win announced this morning of $0.7m in revenue + on going support and the visibility of this year's revenue increases to around $6m of the $10 forecast.

[sharw] 27/3/2019 16:34

I think we have to keep the car question in perspective - they have been open about it. I remember the fuss when the large figure for company vehicles at Aegis was questioned and it turned out that "vehicles" included two private jets for board use.

[rgmgo] 27/3/2019 16:13

Alan00 thanks for the informed clarification. My thoughts were based the 2017 numbers but as you've picked up the 2018 executive reumneration breakdown is in note 12 of the preliminary release. The good news is that I suspect we will all keep a watchfull eye on this going forward and as long as we have full disclosure we can take a considered view. I still think we need to keep the vehicles and total remuneration in perspective. Subash is the highest paid director with total remuneration including benefits in kind (one assumes principally the car)of $223,000 (£169,000). That doesn't seem a disproportionate number to me for the CEO of an international business, albeit a small, but rapidly growing one, especially when there is no company pension contribution.

[westofengland] 27/3/2019 14:57

I think that Pelatro is fortunate to have talented people running the business. It is worth noting that to get new clients signed up, they will have clients visiting the offices and in the Developing World,in particular, its important to have decent vehicles. It would infer if the two senior officers don't have decent cars that the business isn't doing so well.

[alan00] 27/3/2019 13:41

rgmgo - Thanks for the details on the vehicles, however I think you are incorrect on the exec pay for 2018. The two exec's that had the company car's (S. Menon & S. Yezhuvath) were paid $78k each in 2017, however in 2018 their basic salaries were $192k each (plus benefits in kind totalling $49k which might be mainly the cars).

I am a holder, but am concerned at the level of director remuneration (inc. the cars).

[rivaldo] 27/3/2019 13:30

Cheers Daz, appreciated. No further angle other than just to see if PTRO had anything specific to say. Capitalisation is high, but at this stage in their development probably justifiable given the amount of new products coming on stream.

[daz] 27/3/2019 12:30

Rivaldo, not specifically but I had to leave before the end, so may have missed something, though they did discuss the incorporation of PSPL - the Indian software development centre, previously these costs appeared as cost of sales but now appear as administration expenses.

The results statement says '... Over the year the Group capitalised relevant costs of around $1.6m (2017: $752,000) out of a total of underlying costs of approximately $2.7m, of which the majority were incurred in Bangalore. This investment reflects the continuing expansion of the development team (around 70% of Group staff in the year) and underpins the planned further improvements to and diversification of products and hence further growth in revenues.'

He did say they continue to develop the product, mainly through feedback from the Telco's and some of this would be charged for in change requests.

Was there another angle you were thinking of when you asked?