Synety Grp Share Discussion Threads

[140661] 22/3/2016 07:18

Very happy with todays announcement. Clearly states that no requirement for further funding and gives the info to support that claim. The tone of the announcement is far more assured with lots of progress with major CRM companies, well done Synety.

[140661] 22/3/2016 07:15

Very happy with todays announcement, clearly stating that they do not expect to need further funding and giving the info to support that claim. I also feel the tone of the release is far more professional, less bull and far more assured, well done Synety.

[shaunstar] 21/3/2016 18:14

Agreed...as it stand i make mid 2017 but that changes if growth picks up or costs fall of course.

I think theyd claim a going concern in the above scenario and perhaps take ankther small loan to tide them over. As it stand i do not think a placing is a certainty....just that snty are cutting it fine.

Happy to share my figures millipede if you catch me on twitter @shauniekent

[deltrotter] 21/3/2016 10:51

All about growth imo. If the change in strategy is working we will see that growth.

[the millipede] 21/3/2016 10:23

Shaunstar, If you are right then there will definitely be another fund raising. There is no way they will allow cash to almost run out..... apart from anything else that won't get next year's results signed off on a going concern basis if there is any doubt they can survive for 12 months from the date of audit.

Obviously I don't know what figures you used Shaunstar but I am thinking growth should be better this year than last. Last year there were two months off for training and leads they made last year should start paying off.

I think they need to be looking at break even by the end of this year to be frank, or there might be problems. And they need to pay the loan back in 2018.....

[shaunstar] 20/3/2016 22:42

I've just spent the evening updating my Synety revenues and costs spreadsheet.
I reckon they have running costs of approx £6.6m at present (using past costs and management figures gien in trading statement for cost reductions made).
To state the obvious they need to get above this number to move cash flow positive.

My best approximations (factoring in likely revenue growth based on previous relationship between ARR and FY revenue, slightly slowing growth and static costs as at now show Synety hitting breakeven almost bang in the middle of 2017 having used all cash and almost all of their 900k loan.

Assumptions made include costs remaining at current levels and growth continuing at recent pace. It really is very close.

I think from my point of view this means i'll be monitoring to see how costs and revenue growth compare to my model/recent historic trends. If they do a better than expected first half of 2016 - then i think its in the bag. If they don't - then ill continue watching and waiting.

Having updated my model i'm actually not so interested in the coming results given we had the figures in the trading statement recently.

AIMHO,
Shaun

[supernumerary] 17/3/2016 17:19

A lot of shares in friendly hands. Isn't a management buyout a risk here?

[deltrotter] 17/3/2016 08:57

A placing would be a good thing IMO - better to get it done and dusted and move on than having it hang over the company. (Having said that, I have written off my investment here so I am pretty relaxed about things!!).

Who knows though - maybe the outlook statement in the results will be really positive.

[shaunstar] 16/3/2016 22:47

Fact is - placings sometimes come after broker has changed. Doesn't mean its certain but its possible. Perhaps mgmt see the benefit of some extra cash at this point in time to do marketing so need an extra £1m.... or maybe the change of name has blown the budget :-p

Personally excited to see results and what they tell us about the companies progress...

[supernumerary] 16/3/2016 22:25

Surprised there's been no comment. The change to Cloudcall seems like a good move to me.

[the millipede] 16/3/2016 10:40

140661, I agree with you. Why would we expect a placing when the company has just secured a £1m loan facility?

[deltrotter] 16/3/2016 10:18

Thanks 140661 - appreciated.

ali - see this mornings RNS. Mentions the change of broker and the name change to Cloudcall (which is a good move imo).

[ali47fish] 16/3/2016 09:48

sorry is there an update on tuesday- and what 'this change of name - did i miss an rns- please help

[deltrotter] 16/3/2016 09:03

Well I am guessing that any placing will be very soon otherwise the market will smash the company to bits.

Maybe announced with the results next week along with the investor call?

[meijiman] 16/3/2016 08:53

You go to Cenkos if you need to raise money. That's what they specialise in.
A discounted placing will occur.

[deltrotter] 16/3/2016 08:44

Agreed, a swift raise and move on. They saw what happened last time they tried to raise - the insti's gave them a good kicking.

[here and there] 16/3/2016 08:41

think they need to lance the boil. it has been expected for a long time. new broker, new clients, fresh money….but they will want a bargain so at a discount so that is what the market expects so the share price drops so the circle continues so……R30;…get it over and done with!!!!!!!!!

[deltrotter] 16/3/2016 08:03

here and there - I wonder if that is the reason for the drop. Market expecting a placing?

I am not expecting one, but I would have thought it would be a good thing longer term.

[bookbroker] 16/3/2016 07:57

Who would wish to be the house broker for this bunch of hacks within SNTY, a thankless task!

[here and there] 16/3/2016 07:51

new broker….new money? 50p a pop?

[deltrotter] 13/3/2016 22:20

Thanks 140661 - I have been enjoying the peace and quiet here but would still be nice to have something (positive) to talk about!

[140661] 13/3/2016 12:53

Full year results expected this week, lets hope we get some good news, GLAH.

[duncandisorderly] 04/3/2016 11:28

I know.From £3.50 down to 0.64p he's doing a sterling job!What did he say???? By now we would be a £100 million pound company,lol.

[the millipede] 04/3/2016 11:05

Well I for one am glad Simon Cleaver is running this show and not you two muppets... Ciao. :-)