Software Circle Share Discussion Threads

[robbiepaul] 25/9/2007 09:16

Randsys,

you are correct.Medium/Long term===good business.That's why I have kept a holding.

Short term markets=rocky IMHO.


RP.

[randsys] 25/9/2007 09:09

Sinosoft Technology H1 pretax profit up; sees FY in line with its expectations

LONDON (Thomson Financial) - Sinosoft Technology PLC posted an increased
first-half pretax profit in line with its expectations and said it is actively
looking for acquisition targets that will complement its business and facilitate
expansion in China.
The China-based software services company reported pretax profit of 1.50 mln
usd compared with 1.15 mln usd a year ago.
Revenue rose 33.1 pct to 3.63 mln usd against 2.72 mln usd a year earlier.
The AIM-listed company said its revenues are weighted to the latter half of
the year and that it sees full-year results in line with its expectations.
Sinosoft said it sees the higher than expected revenues from systems
integration more than compensating for any delayed sales resulting from the
interface issues in Anhui.
It developed six new products in the first half, which are already revenue
generating and it expects them to make significant contribution to the company's
revenues in the coming years.

[e-mail]
ash/ejb

[randsys] 25/9/2007 09:08

Long term wealth comes from long term investment - I can't understand all these people who just keep looking to make a fast buck! The Chinese economy will be the fastest growing economy on the planet for at least the next 10 to 20 years. Where else do you think you can find such good long term investment potential? Investors today think long term is the end of the month!

[njb67] 25/9/2007 08:50

H1 eps 0.4p/share. So even if full year comes in at close to 1p/share, this still trades around 20x 07eps. With roll out slower than planned, share price currently has both downside as well as upside potential.

No positon but will keep watching.

[robbiepaul] 25/9/2007 08:48

Solid figures,but the market(and me)wanted more than that.

Market not good at the moment.Sold(selling)half,keeping half.

Medium/Long term looks good.Short term rocky IMHO.

RP.

[addas99] 25/9/2007 08:47

Nicely on track for a 2-3 year hold. Unfortunately some were hoping for fireworks today, led on no doubt by the talking up ad nauseum over the last few weeks on this board. Sinosoft are delivering and I believe will be a sizeable outfit in a relatively short timeframe.

[randsys] 25/9/2007 08:39

Software rollouts always have some teething problems so I'm not overly concerned by this. Other than that a pretty solid set of figures to me. Good time to accumulate at these levels. A share for slow steady growth, which for me, is certainly more preferable than a share that rockets and falls back.

[cgequityinvest] 25/9/2007 08:35

First impressions are that the results are satisfactory. Earnings up as expected but earnings per share down also as expected due to increase in no. of shares.

Roll out still on track but some teething problems - so a slight question mark still remains over earnings flow from the tax contract.

I would like to understand better the potential impact of each province in terms of numbers - this would help calculations of the likely impact 2/3 years ahead when they have half a dozen provinces up and running. I think they are planning ot release a brokers report for PI's - maybe this will give additional insight.

Lots of spend on R & D and some evidence that they are successfully diversifying their customer base and product range.

[masurenguy] 25/9/2007 08:35

Results look good and have been met with great.........APATHY !

Less than 20,000 shares traded in the first half hour so there does not appear to be any great rush to jump aboard. Probably needs some good editorial recommendations to kick start the share price.

[apetley] 25/9/2007 08:25

Yes, really nice set of results......and what has happened so far?
Sometimes it is so difficult to understand how the market digests news isnt it.
If I had any spare cash I would be piling it all in here.

[arthurly] 25/9/2007 07:32

Results and news seem fine to me. Main thing is that roll out has started even if a few more problems than envisaged in Anhui province. Still got $16.8m in the bank and that's important to know. Got another outsourcing contract for about $700k too.

[apetley] 25/9/2007 03:15

Hi igoe104, have jmc too, great minds think alike eh?
jii too, great bounce in the last couple of weeks.

[igoe104] 24/9/2007 17:01

Another drop, when there has been alot more buys.

13:35:23 17.5p 17.5p 20p 159 £28 SELL O
11:58:35 19.375p 17.5p 20p 5,000 £969 BUY O
10:50:46 19.6p 17.5p 20p 50,000 £9,800 BUY O
10:43:32 17.5p 17.5p 20p 2,500 £438 SELL O
08:56:30 17.5p 17.5p 20p 3,419 £598 SELL O

This mm keeps dropping the s/p, even though they has been a hell of a lot more buys than sells over the last month, very strange.

[igoe104] 24/9/2007 16:50

THATS the sort of thing i would say if i wasnt holding, and looking to get in the next two months. LOL

With chinese based companies, its diffcult to judge the trades when results are coming to market. they are very good at not leaking information.

so you cant say a jam tomorrow, bacause the share-price hasnt increased, in the build-up to results
thats the impression that most holders think why there will be delays.

[drewz] 24/9/2007 16:42

I'm expecting a lacklustre response from the market to what will essentially be a 'jam tomorrow' statement from SFT.

But after a couple of months we will pick up traction and 2008-9 will be very good for SFT shareholders, imho.

I continue to hold SFT, and am now into 50% BATR territory.

[igoe104] 24/9/2007 13:24

YES apetley, me too.
I feel the next RNS will be a big defining moment in the companies history.
Im feeling very confident it will be good news, and expect a rise to about 30p share by the end of this month, but im not selling any until 2010 year end, one because of tax reasons, another is i want to benefit from the full roll-out.
I think the only reason this one is being held back, because its a chinese based company, which has made some investors cautious.

not all chinese based companies are having a bad time, im holding a good amount of shares in jmc, a chinese investment fund, which is doing very well over the past month.

[iankn73] 24/9/2007 12:47

I got the same reply from them this morning addas99.

Good luck all

[apetley] 24/9/2007 12:11

Thnx for the info addas99.
Here's hoping for some stonkingly good news.

[addas99] 24/9/2007 11:10

At least an email reply, received this morning: -

I am sorry for the error on the Sinosoft website hence its sudden removal when this was pointed out.
As you are no doubt aware Sinosoft have until the end of this month to put out their Interim results and expect to release them this week, ahead of the deadline.
Apologies for any confusion.

[nickgrant2] 22/9/2007 16:59

Arthurly,

that bit was meant with a wry smirk.

[arthurly] 22/9/2007 10:29

It does seem to me that some of these Chinese companies do not take their reporting duties as seriously as they should (some do - GNG appear very good indeed for instance). But in that case surely the UK advisers should be ensuring that they do ? They should have checked that the website still said 20 September a couple of weeks before that date and been in communication with the company and the auditors (I know interims are not audited but I would think the auditors would have put the accounts together from management accounts of the company), to ensure that the date was adhered to. If they weren't going to make that date they should have ensured that the date was taken off the website some time before the 20th.

NickGrant - from my experience of the last few years investing in AIM shares I would say that the phrase 'perfect market theory' and 'AIM' should never be used in the same sentence. You only need to be able to do a few sums. The roll out is currently valued at very little in the share price The market is currently saying 'I'll believe it when I see it'.

[lyncroft7] 21/9/2007 23:08

igoe - maybe I've got unrealistic expectations but it just strikes me as a bit Mickey Mouse, that's all.

[igoe104] 21/9/2007 20:41

Come on guys, you surely don,t expect them to email you back with any sort details, when they are going to release an RNS soon.
WITH them only just entering auhui province, they probably pick up some good business which they thought would make a good addition to the rns.

ITS time to be cool, and let things run the course.

[nickgrant2] 21/9/2007 19:34

Okay,

I thought I'd take into my own hands the mysterious case of the disappearing results. To do this I consulted some key contacts who are close to the Sinosoft team, next doors cats, Messrs astrophe and arrh.

I asked them about the 20th Sept date, the lack of any announcement, when any actual results would appear and how on earth such a PR debacle had occurred, including the lack of any interim or holding statement once the initial foxtrot uniform had been detected.

They looked at me for a while, then at a nearby bird, arrh then cleaned himself for a bit and they both disappeared.

After about half an hour they came back and told me that they had spoken to their contacts. The Sinosoft support team were well aware of the problem as they had been inundated with queries and complaints. The 'poor PR' message had been well and truly rammed home, that won't be happening again!

They said the results would be out next week, even they could not give a date but that they would be out before the end of Sept which is the date when they must be out.

Astrophe did ask them how on earth this had happened and why had anyone not seen fit to issue any holding statement. Again, their contacts did not have a good answer apart from the fact they are very busy.

Arrh finally asked how good the results looked and whether he should buy now just before the results but no-one would give him any guidance.

So, if we are generous, this is just a small company mistake, the company's communications team should probably be sacked, or at least not get any pudding at the next AGM.

At best, we are non the wiser, it's still down to risk appetite. Perfect market theory, which must partially breakdown with very small companies says all the known upside is factored in. The question is , do we expect a surprise?

A good surprise? Contract confirmed? Better than expected (unlikely given its software development) or worse, more problems, scope creep on requirements, changing requirements as the laws change?

Of course we will all be happy if its better than expected so the main thing to dwell on is what if its worse than expected. How bad could it be?

In summary, sorry for the rambling and disguise, I am a frustrated writer (and will remain so) but, from the reliable horses, or cats, mouth, that's what I know about this.

Buuuurp.