Telit Communications Share Discussion Threads

[mauricemonkey] 19/1/2021 08:27

Well, I sold soon as I could after the bell.

7% revenue miss.
They’re meeting “management expectations” for ebitda - they just never told us what their expectations were. Handy. Miss consensus expectations likely.

Oh, and by the way, nothing to worry about. We’re being sued by Philips. Yeah, we won’t bother telling you the potential impact of this.

I’m amazed this hasn’t dropped like a stone. I thought I’d be getting 150 rather than 190+.

[savagedstock] 19/1/2021 08:19

have followed this one for a few years and got no position (to me it is a clear short)...

1 ublox walking away - agree it was all shares and no cash, but quick question is what did they find? My hunch relates to point 3 below...TCM are not exposed to teh rapid growth telehealthcare market.....
2 penultimate para the key....Philips suing TCM and others (interested to know who else),a nd on what products? this will take years possibly to work through and remain an overhang issue...and of course the additional costs of defending themselves
3 thought the headline figures are mediocre at best...there has been a global explosion in IoT, especially medical related, but that is not their area. You would have expected double digit growth given the market backdrop.....they need to make a acquisition in this area
4 core products are not good enough....inadequate certification in key markets, component changes that do not allow a seamless move to next gen products etc....an AWFUL lot to be done on the basics

[weatherman] 19/1/2021 08:00

Other items: Koninklijke Philips N.V. ("Philips"), the owner of purportedly standard essential patents covering technology allegedly used by the Group in certain of its products, has issued proceedings in both the US International Trade Commission and Delaware courts. Telit understands that similar proceedings have been issued against several other leading industry participants. Telit is reviewing these claims with its external advisors and will respond in due course.

[timmy11] 19/1/2021 07:52

we are in a pandemic...other companies are down...people so unforgiving !

[weatherman] 19/1/2021 07:46

Other items doesn't look so good.

[timmy11] 19/1/2021 07:10

like this The Board remains confident in Telit's prospects as an independent company and believes it remains significantly undervalued when compared to similar companies. We do not believe this discount can be justified

[timmy11] 19/1/2021 07:08

Telit Communications Plc (LSE)
LSE:TCM



Telit Communications Share News (TCM)
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Share Name Share Symbol Market Type Share ISIN Share Description
Telit Communications Plc LSE:TCM London Ordinary Share GB00B06GM726 ORD 1P
Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
0.00 0.0% 205.00 203.50 205.00 0.00 00:00:00
Industry Sector Turnover (m) Profit (m) EPS - Basic PE Ratio Market Cap (m)
Technology Hardware & Equipment 296.0 45.1 27.1 7.7 271
Print
Alert
Telit Communications PLC Year end trading update
19/01/2021 7:00am
UK Regulatory (RNS & others)

Telit Communications (LSE:TCM)
Intraday Stock Chart

Tuesday 19 January 2021

Click Here for more Telit Communications Charts.
TIDMTCM

RNS Number : 0990M

Telit Communications PLC

19 January 2021

The information communicated in this announcement is inside information for the purposes of Article 7 of Regulation 596/2014.

Telit Communications PLC

Year end trading update

London, 19 January 2021- Telit Communications PLC ("Telit", "the Group", AIM: TCM), a global enabler of the Internet of Things (IoT), has published a trading update for the year end at 31 December 2020.

The Group is pleased to report that revenues are expected to be $343.0 million (2019: $382.8 million excluding automotive), a decline of 10.4 % , which shows considerable resilience in the face of the significant impact Covid-19 has had on the Group's global markets. It has been very encouraging that IoT cloud and connectivity revenues have continued to grow and are expected to be up by 6.1 % to $43.5 million (2019: $41 million), driven by the continued strong performance of both the connectivity and platforms businesses, supporting the Group's primary strategic focus on industrial IoT services.

As previously notified, the Group has taken decisive and timely mitigating measures to limit the impact of the pandemic on the Group's adjusted EBITDA, which is expected to be in the range of $38-$41 million (2019: $38.2 million including two months EBITDA contribution from automotive business).

Group profit in cash is expected to be in line with the Board's expectations.

As at 31 December 2020, the Group's net cash position is expected to be $63 million (31 December 2019: net cash $48 million).

Paolo Dal Pino, Chief Executive Officer Telit, commented:

"Telit has been able to successfully improve operational results, profitability and cash generation in the face of the ongoing impact of the COVID-19 pandemic thanks to our refocused strategy and operational transformation in recent years, as well as the swift actions taken by the Group early in 2020.

This resilience has allowed us to fully maintain our strategic and operational plans despite a market slowdown in customer demand, and to continue to offer leading 4G products and an expanded 5G offering, which received additional certifications and design wins in 2020, to customers looking for long-term IoT solutions.

"We have the right strategy in place and expect to further expand our innovative offering fully focused on industrial IoT. Telit is well-positioned to harness future opportunities in a world that will become even more connected.

We have noted the announcement from u-blox yesterday that it does not intend to continue with its offer for the company. We have a sound strategy and strong fundamentals. The Board remains confident in Telit's prospects as an independent company and believes it remains significantly undervalued when compared to similar companies. We do not believe this discount can be justified and will continue to work on initiatives that will help to eliminate it and deliver the increases in shareholder value that our underlying performance justifies."

The Group expects to publish its full year results in April 2021.

[muchodinero] 18/1/2021 20:43

My thoughts exactly..we should be trading somewhere near 300p by now imho hence why the Telit BOD fought of bidders with low ball offers

[weatherman] 18/1/2021 19:52

"Telit looks forward to providing a fuller update on its financial performance on or before 21 January 2021 ahead of its final results in April 2021." So could be tomorrow. Looking for 13c (10p) for last year, and 19c (14p) for this coming year on forecasts - 200p gives forward PE of 14 - too cheap for a growth high tech company in my view.

[muchodinero] 18/1/2021 18:55

Yes I agree..Telit were at 360p a couple of years ago before Oozi went rogue...all those issues are out of the way and we now have at least £60million cash in the bank...IOT bigger than ever so 300p shouldn't be to far away even without any hostile takeovers...looking forward to trading update maybe this week.

[timmy11] 18/1/2021 18:35

As the BOD said they are looking after our interest, ie the shareholders

why sell on the cheap

[timmy11] 18/1/2021 18:34

merger never looked good,
no cash ,shares only low offer
better off without them

[chess123] 18/1/2021 18:00

I hope we get the trading update tomorrow , which would be great, I'm Disappointed the way things went with Ublox ,as the merger looked sound, seems like the market got this correct, share price never got up to the offer price..

[muchodinero] 18/1/2021 17:34

RE: No Bid.
I'm not sure how they managed to keep that decision a secret from the markets all day? Im also somewhat confused as to why the share price crept up to 205p without the cat probably out of the bag before the RNS came...The Telit BOD had better deliver on the strong trading update they eluded to in last weeks RNS, when they terminated discussions with UBlox.

[chess123] 18/1/2021 17:28

Be interesting how the share price reacts Tomorrow Morning, or no Deal already priced in, anyone's guess.GLA..

[tonysss13] 18/1/2021 16:52

no intention to make offer

[weatherman] 18/1/2021 16:51

Disappointing - no deal at present.

[weatherman] 18/1/2021 16:09

Maybe they are working on documents to leave a statement so late - just a hunch.

[chess123] 18/1/2021 15:34

Seems like Ublox , keeping everyone waiting, surprised they haven't said one way or another, with the share price rising recently it's a difficult one to call , just don't understand why ublox leaving it so late if they do intend to put in higher offer, GLA..

[w1lbur01] 18/1/2021 15:33

Probably after market close. But hopefully a good update in the next 3 days by Telit

[af004] 18/1/2021 15:21

In accordance with Rule 2.6(a) of the Code, u-blox is required, by no later than 5.00 pm (London time) on 18 January 2021, to either announce a firm intention to make an offer for Telit in accordance with Rule 2.7 of the Code or announce that it does not intend to make an offer

[techno20] 18/1/2021 14:30

Are we definitely expecting an rns today one way or another or given Telit said talks terminated does u-blox need to say anything?

[muchodinero] 18/1/2021 11:07

Seeing as U Blox share price rising significantly since they put the offer in, then surely with an all shares offer they could go much higher and still get Telit for the same price now probably in the region of 300p by now? Not that that is a good offer still.

[weatherman] 18/1/2021 08:13

Should get some news today from UBLOX.

[muchodinero] 15/1/2021 15:18

Next Monday