Syqic Share Discussion Threads

[nashwan123] 18/8/2014 10:34

MikeJa

Any indication of expected EOY share price?

[dasv] 18/8/2014 10:18

mikeja - the fact that the January 2014 payment has been received from PTNP was mentioned at least twice in that RNS. Why no mention of payments for February 2014, March 2014, April 2014 etc. ?

Maaduu's revenue (not profit) is lower than the projected costs per month. There is clearly synergistic scope here - binding the user base to premium content (pay per view/subscription), but initially at least Maaduu will be a liability - it's pre profit and an running costs are higher than sales. What are your thoughts?

SYQ's revenue of £1m for June indicates that revenue could be ahead for 2014? - from memory I think 7.8m was forecast. Annualised 4.6m is 9.2 but it could be higher if June's revenue is replicated: 6x1 + 4.6m is 10.6m for starters.

I want to see working capital increased and I want to see the PTNP payment backlog cleared.

I thought PTNP's back payments would easily cover working capital for 2014 but now there's a placement where working capital requirements are 20% of placing. I like the fact they are sorting out working capital but it's a shame it's coming from a dilution, not from trade receivables from PTNP who still owe quite a bit.

[professor x] 18/8/2014 10:14

Excellent news this morning.
I wonder how we maintain at such a low market cap with this kind of growth and cash flow? Not long I believe before we re-rate!

[nfs] 18/8/2014 10:13

thanks Mikeja
all very good news

[mikeja] 18/8/2014 10:04

Could not comment before as took up shares in placing.
The receipt of money from PTNP means that cash flow from this source alone is now running at £400k-£450k per month including the payment plan.
Revs were £1m for June,indicating total revs for 2014 around the £11m mark.
Content costs have been running higher.Maaduu gives SYQ access to huge new source of content.Maaduu's larger rival was bought out recently for $200m.
It seems to me that SYQ's exit will be by being bought out.
Jamal described the acquisition as transformational.

[nashwan123] 14/8/2014 16:33

Topped up at 16:06 and tried again on closing bell but routed to dealer so may miss out. This cash machine looking good value.

[nashwan123] 14/8/2014 11:06

Looking at CDOG operating in similar business to SYQ recently states their business is flourishing; so todays drop (temporary?)for SYQ looks a good buying opp.

"Trading during the three month period ended 30 June 2014 continued to build strongly on the momentum achieved in the first quarter of 2014 while the recent new campaign launches are expected to lead to further revenue diversification.

Revenue for the first half of the current financial year is approximately EUR4m with EBITDA no less than EUR1.4m representing year on year growth of above 100 per cent for both. Free cash flow for the same period (excluding one-off items relating to the AIM listing) reached approximately EUR 0.5m further enhancing our cash position which was at the level of EUR 1.75m as of 30 June 2014".

[mikeja] 12/8/2014 15:22

One of the minor drawbacks of CDOG is that 50% of revenues come from Iraq.

[nashwan123] 07/8/2014 18:47

Loading

Thanks for above article which is very enlightening. Let's hope SYQ continue to receive outstanding revenue and move to a more reliable system of receipt.

[loading] 07/8/2014 17:05

Examples of how two apparently similar profitable companies can differ enormously in terms of cash generation are mobile content providers SyQic (SYQ) and CDialogues (CDOG).

Today, 5:00 PM

[m1das_touch] 05/8/2014 10:20

The share-price seems to me to be simmering ahead of the next leg up - rising today on apparently low volumes. Decided to pick up a few more this morning; continuing positive news-flow anticipated over the coming months, should act as a good catalyst for the share price to re-rate.

[dasv] 22/7/2014 08:25

mikeja - thanks for writing up - good stuff.

[mikeja] 21/7/2014 17:17

Incidentally M1das I raised your point about development costs and was assured that the bulk were written off last year.However they have been doing a few hires including an exFO man to advise on political risk and national barriers on TV rights.Content is paid for as used or I should say when received from users.
The backlog payments are still up to date but 2014 revs from PTNP are being paid about 6 months in arrear.They constitute about 50% of business but are steadily falling as a %age as the migrant business begins to take off and they sign with more telcos.If they do get to revenues of £10m as I expect a lot of that will fall directly into profit so I think my 11p estimate for eps is conservative.

[geraldus] 18/7/2014 21:56

Thankyou for your report mikeja,concise yet informative.I still believe there is a lot of mileage in this.

[m1das_touch] 18/7/2014 18:38

Yes, really encouraging - thanks for the feedback. All seems really positive and the potential here is clearly huge.

No reaction to the AGM statement in the share-price today, but that might be down to wider market nervousness and a general summer lull. Price may well drift down further over the next few weeks, in which case I'll be topping up.

[androyd] 18/7/2014 17:50

Thanks for the update mike, much appreciated.

[mikeja] 18/7/2014 17:23

Attended AGM,only shareholder.Impressed with CEO,Jamal who is driving force.
What I really took away is the huge potential on multiple fronts,revenues driven by more subs,more content,new markets.he again mentioned that by end 2015,the new migrant community business should be bringing in as much revenue as existing telco business and at higher margins.In my view that would indicate revs running close to £25m of which about half would fall into pretax profit.The co would be selling at less than 1.5x earnings.The cash position is likely to be very strong by year end and 2015 could see them ending with cash of £8m or more.
I dont know what a realistic valuation is for this business but it is a multiple of the current price.Oh and we can expect a good newsflow,they have taken that on board.

[dasv] 18/7/2014 08:25

Yep - AGM statement seems to indicate all on track. Good to hear about PT Nextnation Prisma paying up too.

[geraldus] 18/7/2014 07:14

From the AGM statement it would seem they are on track.Tight market,could be an interesting ride. - Backno,are you still about?

[nashwan123] 17/7/2014 11:23

One day to go till AGM!

[mikeja] 10/7/2014 15:18

May be update for AGM on 18th

[m1das_touch] 09/7/2014 14:56

Shareprice seems to be holding steady in the mid-sixties, which is not bad in an overall risk-off market. Picked up a few more this morning, ahead of the anticipated next leg up on good news.

[mikeja] 29/6/2014 07:47

Looks like eps will be around 11p this year with a further big jump next as migrant communities come online.
AGM on 18th July,I will be attending