Proactis Share Discussion Threads

[owenski] 25/4/2018 13:20

"Tim Sykes is a solid FD. One reason I bought in years ago, when he had been part-time, was that I wrote a letter to ask a few questions and Tim Sykes replied on what was one level above toilet paper."


What exactly is - 'one level above toilet paper'?.... Used toilet paper?

[smithie6] 25/4/2018 13:00

Did the share price bounce back today to say 140p or 150p as the mkt rushed to buy a bargain ?

No,,the share price fell again.

imho that is not a positive sign

nor the big sells below the mkt price yesterday. Big traders, one normally assumes they have better knowledge & info & analysts than us PIs. They get invited to talk to dirs & attend dirs. presentations, we normally dont.

[smithie6] 25/4/2018 12:57

pinkfish

your posts talking about losing 4 big customers

& how it is bad for PHD
& could others follow suite or is PHD making mistakes or getting beaten by competition

but then you say its a buy


Can you explain your logic a little since you seem to be contradicting yourself ?

----

imo the risk is quite obvious
'use our software & you will quickly save money'

4 big users stop using it

they dont seem to agree with the truthfulness of the PHD advertising !

Is that/this part of the reason for the share price fall ?

just asking for views, I dont claim to be a PHD expert.

[p1nkfish] 25/4/2018 09:04

jeevsje, this is not a problem really as I have held for a long while, low price, and it has more than paid for itself a few times over. I added yesterday.

ODX is more of a pain as feel deceived by the chumps running the show.

All part and parcel of buying specific company shares rather than etfs or funds.

Have a great day,

[coldspring] 25/4/2018 06:42

Got into this yesterday after seeing the drop. Think it's overdone but will take some patience before recovery.

[jeevsje] 25/4/2018 06:17

Pinkish, you and Rivaldo have been particularly unlucky recently, with the drop here and ODX. At least, the latter has picked up recently and so should PHD in due time.

[p1nkfish] 24/4/2018 23:46

The oil losses were expected on consolidation of software vendors but not quite so early. Hence they can say not expected to repeat.

Reads well. Some useful business wins elsewhere.

[wilmdav] 24/4/2018 23:16

Techmarketview 24 April

In August last year, AIM-listed PROACTIS acquired US-based Perfect Commerce, significantly increasing the organisation’s scale and promoting PROACTIS into the top division of the global Spend Control and eProcurement market. With this market sector rapidly consolidating, there are currently six providers whose annual revenues exceed £50m according to the PROACTIS team.
Results for the six months to January 2018 showed the initial impact of this move. Total revenue was up 124%, EBITDA grew 180% to £8.4m. Management say that they are on track to reach their £5m cost savings target.
During the half-year, the acquisition of new logos exceeded management expectations, with the US operation winning 2 large public-sector deals in a total of 35 new customers signing up across the Group. Management are also pleased with progress in cross-selling with PROACTIS e-invoicing solutions being delivered alongside Perfect Commerce procurement solutions in the US. The integration of the group will continue with the launch of the unified brand, combined portfolio and new website scheduled for June.
Not everything is going well though, as four large customers are ending their contracts (two of them being oil industry majors) and Q3 organic growth is at the bottom end of normal trading levels. This follows on from the low 3% organic growth in the first half and these factors obviously contributed to the sharp sell-off of the shares after the announcement (down 33% in early trading). In H2, the company will also have to contend with stronger sterling (55% of revenue is in US$ and Euros) and profit estimates are being shaded.
The PROACTIS strategy looks sound, but management will have to show that in can execute well, deliver new customers and drive extra share of wallet in order to rebound from the current setback.

[p1nkfish] 24/4/2018 22:29

Below was from not very long ago wrt O&G customers of PHD. None read as oil majors.

"Clients include: Addax Petroleum, Afren Plc, Atlantic Energy, Harouge Oil Operations, Heritage Oil (UK) Ltd, JKX Oil & Gas, Northern Petroleum Plc and ROC Oil."

Now, we don't know who lost what or why.

Was it the Perfect/Hubwoo end that lost them?
Was it down to some conflict of interest concerns after the acquisition?
Was it competition bombing prices to squeeze out Proactis.
Did Proactis drop the ball?
Did Proactis let it go as not making business sense vs competition?

Today, imho, has been overdone. Some ran for the door, some were stopped out, the result is close to £1 as an excellent buy point for the patient.

[pj0077] 24/4/2018 22:14

Smithie6, please stick to the facts, the reality, the truth.We're not interested in your opinion.

[pj0077] 24/4/2018 22:12

From today's TechMarketView comment on Proactis:"four large customers are ending their contracts (two of them being oil industry majors)"

[smithie6] 24/4/2018 19:49

the data I have posted is from official RNSs

and some others saw some negatives in today's RNS, not just me ! , otherwise it wouldnt have fallen 40% !!

pros and cons to all shares

[p1nkfish] 24/4/2018 16:15

Rod Jones was scheduled to retire about 12 months before he did.
Keep trying the scare tactics, wasting your time.
The new Proactis just needs time to settle, address integration and move closer back to its root ideas - be Yorkshireman tight.

Tim Sykes is a solid FD. One reason I bought in years ago, when he had been part-time, was that I wrote a letter to ask a few questions and Tim Sykes replied on what was one level above toilet paper.

That frugalness needs to return and this will fly.

"This too will pass."

[lewis winthorpe] 24/4/2018 15:58

B lox. On all counts

[smithie6] 24/4/2018 15:47

4 large clients left ..according to Techview (someone posted)

did Tim Sykes leave/retire ?
(correction. it was R.Jones the MD)

did he see it coming ??

---

I dont care what the share price does

but had a quick look at some RNSs

In Feb the MD said
'exciting" "successful" "results endorse the acquisition"


so
the 40% share price fall appears to be the mkt saying they feel he was either lying or twisting the truth

or business has fallen off a cliff since then

or the mkt is stupid (unlikely for 40% drop !)

[its the oxman] 24/4/2018 14:23

Surprised Finncap can cut their eps forecast by c.15% and push the same price target. Doesn't make a lot of sense but hey ho.

[nimrod22] 24/4/2018 13:51

I bought some more at 108p, looks af if my buy at 132p was premature!!
I see Share Prophets is giving it as a speculative buy at the new low prices

[rivaldo] 24/4/2018 13:42

Beginning to bounce now.

As well as retaining their 250p target, Finncap's revised estimates are now 10.2p EPS for the year ending in 3 months' time, and 11.8p EPS for the year starting 1st August - with 1.5p and 1.6p dividends.

Net debt "is expected to be comfortably below 1x EBITDA at FY19".

So, given the potential, the cost savings coming through etc, the fundamentals remain pretty good.

This is likely just a "bump in the road", as Finncap put it. Especially if the pound weakens again against the dollar as it has been over recent days (and is expected to by most people).

[rubberbullets] 24/4/2018 12:35

Nice to see Fincapp target of 250p

[rubberbullets] 24/4/2018 12:34

Will be 150p in a week I reckon

EXpect directors buying news in morning

[its the oxman] 24/4/2018 12:18

Looks like worst may be over.

[opodio] 24/4/2018 12:12

Fincapp 250p target


Proactis - Growing up in public

Company Note
24 April 2018

Proactis (PHD) : Corp

Technology and Telecoms

Growing up in public
Key data
Share price (p) 190.0
Target price (p) 250.0
Market cap (£m) 176.6
Enterprise value (£m) 206.4
Proactis has reported interims in line with the February trading update, confirmed as EBITDA of £8.4m from revenue of £26m. The challenges we anticipated following the acquisition are on track, and we expect progress with synergies in FY18 (July year end) and revenue growth in FY19: synergies are on track for delivery of the net £3m in the year’s income statement from a year-end run rate of £5m; and catalysts for growth into FY19 remain strong. While the expected challenges are in hand, FY18 revenue is now likely to be affected by the unexpectedly high churn of several single product customers, which – given the subscription nature of the new contract wins – is unlikely to be able to be offset in the current year; and also by the strengthening of the pound (56% of EBITDA is non sterling). Prospects remain undimmed and we see this as a bump in the road; however, forecasts are reviewed (FY18 revenue -6%; EBITDA -14%). Target price 250p unchanged.




250p target

[p1nkfish] 24/4/2018 12:09

8uspect a good 25% bounce not impossible.

[p1nkfish] 24/4/2018 12:08

Tried a dummy order and it has firmed to 1.0675 currently.

[opodio] 24/4/2018 11:51

Directors filling boots size 10 i think