Srt Marine Systems Share Discussion Threads

[eagle eye] 06/1/2017 09:07

SRT have their reason for moving from WHI to FinnCap, but WHI hasn't had much to shout about over the past 6 months, so its a bit unfair to be critical.
I agree with LaVal that some funding may occur, but at least dilution should be limited as we aren't in the in the dark days of sub 20p.
There is a big difference between requiring cash to keep the lights on or to fund working capital for a large contract.
FinnCap will publish a meaty initiation note at some stage which should drum up interest, but in my opinion its the figures that will do the talking and that is ultimately what will drive the share price.

[crazycoops] 05/1/2017 16:29

Thanks for adding some colour LaValmy. I still hold a decent amount which I am prepared to stick with long-term, although I prefer your shorter term scenario. I hope it plays out that way.

[the prophet] 05/1/2017 15:45

ok, more by luck than judgement found it, I believe total Saudi deal is expected to come in around $20m

[the prophet] 05/1/2017 15:44

don't forget we've had the announcement re Saudi starting. Whilst it won't be significant this f/y, I believe the total Saudi project is considerable. Will look it up when I get a chance

[parsons4] 05/1/2017 15:28

LaValmy I agree with much that you say, they must be signing other contracts soon also I do not think that W H Ireland were good enough for an international company like this one, it can only be positive. I have today topped up as I hold a much smaller number than a year or so ago, they should not yet be written off.

[lavalmy] 05/1/2017 14:55

Crazycoops

No doubt most holders share your concerns about the lack of news and most will have been here before, several times. However, despite repeated optimistic outlooks not having been realised, I am pretty convinced that things are on track.

The Indonesian contract has almost £80 million to go in just under two and a quarter years, if the initial timetable still holds. The last phase of this will allegedly be the biggest, involving the supply of gazillions of Class B transponders. SRT do not, as far as I am aware, have to fit them, just to ship them and they are paid/revenue recognised. So even though there has been no movement since Phase One, it is still on the cards for these revenues to be realised within the initial timescale. Adding a £5 million run rate for other stuff, and you get double digit earnings just for this contract over the next two years. Sure, some might slip out further, but we can also be pretty sure that several other sizeable contracts will be signed and started as well. My £1 forecast is based on some of these being signed and news on the timing and scale of the next phase of the Indonesian contract before year-end.

It is getting later, possibly too late, for any significant new contracts to be delivered in time for year-end, although they did pull a rabbit out of the hat last year to make the numbers.

The change in Nomad still intrigues me. I wouldn't at all be surprised if they needed a bit of funding but would expect that to occur in the midst of a lot of drum banging from finncap, along with new and exciting forecasts. finncap haven't been burnt by SRT's forecasting record yet and no doubt Simon can be relied on to convince them that it is different this time. Which, of course, it is!

[alter ego] 05/1/2017 11:45

oh please.... keep it factual. We don't want this board to end up like all the others with everyone ramping/deramping and devoid of real information

[srtshare2] 05/1/2017 11:28

Heading for 36p.

[yumyum] 04/1/2017 16:40

£1 by March means then £1.25 and beyond by Xmas (for the share awards). finnCap recommended buying SRT last year when price was 48.5p. Would be interested to know if they have a new recommendation.

[lavalmy] 03/1/2017 16:40

Do you think it would know beforehand?

In that case, possibly the share price should be done for insider dealing.

[hjb1] 03/1/2017 15:36

ha ha! pity the share price doesn't know it..

[lavalmy] 03/1/2017 15:17

hjb1

It's 2017. Doh!

[hjb1] 03/1/2017 15:15

agreed! £1 by end of March, just don't know the year, cos obviously won't be this year.

[the prophet] 03/1/2017 14:44

Like your £1 by end of March LaV.Beats me hands down on the ramping front!Yump, that is true, although would make for a very boring board if we didn't speculate/chew the cud on these things.Hopefully we will have plenty of real news to discuss this quarter.

[yump] 03/1/2017 14:19

I don't think anyone on here has any more reason to make a judgement on revenue now, than in the past, seeing as the volume of comment has had no relation to revenues.

The only thing that seems reliable is that SRT will issue results and RNS's when appropriate.

[lavalmy] 03/1/2017 14:19

Maybe 'exactly' is the new 'iminent"?

It is all very unpredictable, even with a contact signed. I still don't think it matters whether they hit or miss this year.

What will matter is continuation of the core at c £2.5 mn per half; the signing of more contracts; the scale of near-term deliveries, whether actually shipped this FY or next.

All that feeding into a new broker's first (and presumably enthusiastic) forecast should see a significant uplift in the share price, based primarily on reality not jam.

£1 by end March.

[the prophet] 03/1/2017 12:52

Yes, fwiw.Made up of core and bits, say £2.5m and sig. deliverables re Indonesia.If not, the trading update statements will look a bit silly, but there is clearly a high belief at SRT that this is all very do-able. And as they will know exactly where they are wrt the Indonesian contract, then I would like to think they are not exactly going out on a limb.

[hjb1] 03/1/2017 12:13

TP, so you reckon they will do £9.3m this half??

[yump] 03/1/2017 12:01

Well I hope the actual payments on deliverables don't suffer from any of the 'timing issues' that seem to happen regularly when dealing with anywhere east of Turkey.

This big order is also back-loaded, so the gloomy option is that the biggest payments may come in well after completion.

I'd quite like to know how tight the payment terms are, but of course that will be confidential.

[the prophet] 03/1/2017 11:56

hjb
Not sure it will take a miracle. In previous years we have been waiting for a decent order, which then needs to be shipped asap in order for some of the revenue to hit that f/y.
This year is different in that we already have a large order and we are working our way through that.
My understanding is that the order is broken down into different phases, and each phase, when delivered, is a 'deliverable' and that sum can then be invoiced.
It's very clear that SRT are expecting significant 'deliverables' this f/y, as well as other projects to start, which may not necessarily help this years figures, but would help give a good platform for 2017/2018, Indonesia should also feature heavilly that year as well.
So we await news or a trading update, but, as things stand, I fully expect SRT to hit the forecast figures for this year and I'm looking for a big leap in revenues for 2017/2018.

[hjb1] 03/1/2017 11:37

well barring a miracle it looks like rev for this financial year is pants again!I just hope that a couple or three big orders come in to offset the figures somewhat.

[the prophet] 03/1/2017 11:26

I've not spoken to anyone recently, but I've no reason tho think anything other than the Indonesian order is progressing along nicely.
I think (and hope!) that the newsflow over the next three months, ie up to f/y end, should be good.
I've said it every year for something last last 7 years, so no harm in saying it again, this is the year SRT comes good big time! Well, have to be right sometime.
There more than a little factual info to give that statement some credence.
So, fill yer boots time and this one is going to the stars!
Sorry, unashamed ramp to kick off the New Year, what the hell.

[hjb1] 03/1/2017 11:18

hmmm! not a great start it seems! need some (good)news asap.Anyone spoken with Tucker lately and what is going on with Indo deal?

[eagle eye] 03/1/2017 09:38

Happy New Year to all SRT shareholders.
I opened the jam at Xmas as I thought we'd have more than enough jam to deal with in 2017. Very enjoyable too, thank you SRT.
Look forward to seeing you all at the AGM, with hopefully some decent announcements along the way :-))