Red Squared Share Discussion Threads

[lgpixels] 13/2/2007 14:12

still a very dull share but things are starting to get interesting..........

only 1 month of the first half left, so the intrium results may not be to far away. Long term things seems to be heading in the right direction, would like the company to be more aggresive in its sales and growth stratagy. Saying that the business has changed round a lot over the past 18 months, so guess the momentum will continue to build. Sold profits and dividends are very possible in the future.

[aleman] 13/2/2007 13:04

Lets see if it holds a second time. It would make the chart look quite positive again.

[lgpixels] 07/2/2007 15:09

Can someone please post level 2 price data, just got a feeling the market makers will have to move this one up very soon.

[aleman] 07/2/2007 14:27

This momentum has continued post year end with the Company, working together with one of its business partners, being selected as an IT infrastructure partner to support the UK wide roll-out of a hosted electronic prescriptions solution on behalf of a leading worldwide provider of pharmacy dispensary management systems.

This could be nothing much or a massive deal for such a small company, but there were several deals of significance in the last year. "This momentum has continued" suggests it may well amount to something substantial. An interesting thought is that no new deals in the months ahead may mean they now have plenty to chew on. Also, if it was not substantial, wouldn't there be a 2008 forecast out, given we're half way through 2007? Still risky, but pleasing to see the shares creeping upwards.

[yump] 07/2/2007 13:59

Just on the subject of electronic prescriptions, it strikes me with all the advances in technology over the years, that this sort of facility would have been in place 10 years ago.

Perhaps I don't have a good grasp of the complexity of the issues, but I thought perhaps that sort of organisation was what we should expect from the Blair government and the host of 'managers' that have been put into the health service.

From what my wife says (NHS), the managers mainly form-fill, do finance and interfere with clinical matters, rather than managing.

Although as I understand it the GP's are a law unto themselves, so the chances of them and the pharmacists talking to each other voluntarily were perhaps remote.

Surprised there haven't been more deaths, illnesses and law suits from the impossibility of the pharmacist reading the GP's writing and then the patient trying to read what's written on the bottle and figure out why it seems to be different from what the GP told them at the appointment.

Anyway, if RDS involved and it works, hey presto a multibagger in tha making ?

[lgpixels] 07/2/2007 13:38

lots of small buys, look like we will get another tick up soon

[lgpixels] 02/2/2007 09:59

still no trades today........

Oh well at least things seem to be progressing at Red Squared, just hope we get some good surprices this year

[lgpixels] 02/2/2007 09:20

You got any more details about the Investor´s Chronicle article, as I´m aborad at the moment.

Here is the snipit from the results:

Commenting on the results, Chairman, Graham Cooper, said: "We are very pleased by the underlying growth in the business. We believe the contract wins outlined above, with such leading organisations are evidence of our growing reputation in the systems integration and Managed Services marketplace. This momentum has continued post year end with the Company, working together with one of its business partners, being selected as an IT infrastructure partner to support the UK wide roll-out of a hosted electronic prescriptions solution on behalf of a leading worldwide provider of pharmacy dispensary management systems.

[mjcrockett] 02/2/2007 09:04

The tick up this morning could be down to a piece on RDS in the Investor's Chronicle today. They rank RDS as a buy. They make reference to a potentially high profile pilot contract soon to be announced for sending prescriptions electronically between doctor's surgeries and pharmacies. This was touched on in the recent Final Results statement. I would guess that the IC have had a meeting with RDS and have come away with an optimistic view on future prospects. Sounds promising.

MJ

[lgpixels] 02/2/2007 08:49

Finally a small tick up, now up 1.64% lol.

May even see the market makers reducing the spread to more normal levels, if they want to generate liqudity.

[topvest] 20/1/2007 21:15

Good results. Happy to hold these. We could have done with a specific contract win with the results to help, but hopefully these will come in due course!

[lgpixels] 19/1/2007 16:24

seen some volume in recent days, i guess if directors are to buy, now would be a good time.

News flow for 2007, looks good.............

[yump] 18/1/2007 13:43

Harly an in depth analysis I know, but interesting to note that in 2005, sales were 1mln 1st half and 1.5mln second half. So either there's a 'natural' split, or there was rapid growth.

2006 has 730,000 1st. half (underperformed) and 2.0mln second half.

The current trading statement says that progress has continued into the 1st. half this year. So this year could be significantly different from last.

Failing that, 200,000 profit would give a current year p/e of around 10, while growing quickly. Good enough for me.

[aleman] 18/1/2007 13:08

Well. I'm disappointed at the lack of activity so far, but that spread must be really offputting for potential new investors. I was hoping it would drop back to a penny as it has done in the past when there has been activity. Hopefully there will be media comment to come to stir things up a bit.

[lgpixels] 18/1/2007 12:50

I estimate Recurring Managed Services revenue to now be in the region of £2 million, providing earnings transparancy for the first time. I would therefore be confident of the company meeting current broker forecasts. Any new contracts would have a signficant impact on future profits. The managment could now be more aggresive in their sales and marketing activties, as the business has a very strong platform for future growth.

[aleman] 18/1/2007 10:15

Results were remarkably in line with D.S.'s forecasts, if you exclude the deferred tax write back. This is notable considering how far out they were last time. Will the next year's forecast of 0.6p be met? We are told:

This momentum has continued post year end with the Company, working
together with one of its business partners, being selected as an IT
infrastructure partner to support the UK wide roll-out of a hosted electronic
prescriptions solution on behalf of a leading worldwide provider of pharmacy
dispensary management systems.

Is this significant? It will be interesting to see if the next year's forecast is altered. That would tell us more about the outlook than the results probably. It still strikes me the nature of the business is very lumpy and it would be much better off in the hands of a larger organisation, however the increase in cash helps a little. It is pleasing that there are no surprises but we are still very dependent on contract news. Since everything is in line, I expect D.S. will reiterate their buy stance last issued at 9p. I wonder if the Mail will follow up after causing the spike in October.

[lgpixels] 18/1/2007 09:09

£141,489 after tax was a surprise.

This shows confidence in the business going forward and indicates future profit expectations, interesting to hear from the accountants.

"The net deferred taxation asset has been recognised during the year because the directors consider it more likely than not that there will be suitable taxable profits from which the future reversal of the underlying timing differences can be deducted and therefore the profit for the financial year amounts to £141,489 after deferred tax adjustment.

Momentum has continued year end, so the result to March will show a good profit.

[yump] 18/1/2007 08:45

Worth having this up as well I guess, momentum continuing...

"Commenting on the results, Chairman, Graham Cooper, said: "We are very pleased
by the underlying growth in the business. We believe the contract wins outlined
above, with such leading organisations are evidence of our growing reputation in
the systems integration and Managed Services marketplace. This momentum has
continued post year end with the Company, working together with one of its
business partners, being selected as an IT infrastructure partner to support the
UK wide roll-out of a hosted electronic prescriptions solution on behalf of a
leading worldwide provider of pharmacy dispensary management systems."