Tekmar Share Discussion Threads

[indiestu] 15/5/2024 11:47

Good luck. I bought a few more. I was hoping for some signs of life. Looking at the book I would speculate there is a large order being worked at 9.5. Let's see what the day and remainder of the week brings.

[skid35] 15/5/2024 09:59

Watching this from the sidelines for sometime, first small purchase at the bell. A lot to like here, especially control on bidding margins and not chasing business at all costs. Interesting seeing the financial separation of existing business operations, from the potential impact of m&a/ dilution from clns. The sale of sil did send to indicate they want to avoid the prepriced clns.

[indiestu] 15/5/2024 09:05

If they could halve that loss for the final six months and pay down some debt from the 1.9 million due it would set the scene nicely for the following 12 month period. The gross margin increase seems positive but there is insufficient information to understand what has impacted net margins. I'm guessing mostly down to the interest payments on the debt which is scary for a small company and likely why the market seems uninterested. The bigger disappointment is a decline in orders over the previous comparative half and a slightly subdued outlook. I look forward to a "we are pleased to announce" in the opening sentence of a future statement. Under promise and over deliver seems to be the mantra here which I'm ok with.

[igoe104] 15/5/2024 07:32

Improvement on results and margins, finally starting to see seeds of a business...

[cerrito] 06/5/2024 19:28

Good point, Indiestu
The direct counterparty had turnover in 2021 and 2022 of £14m and profit of £2mplus in both years.
Balance sheet dominated by amounts owing to group companies.
Trying to muster time and energy to do homework to see if I should buy more.

[indiestu] 03/5/2024 08:04

Basically sold for the price of the assets and a year's rent. I suppose it makes sense to offload and focus on the core business. What is not clear to me is whether the big chunk of cash payable in the second instalment is dependent on the debtors ability to pay.

[cerrito] 03/5/2024 07:40

On the face of it,a sensible move though would have been nice to get more cash up front.
Had forgotten if I ever knew that they have freehold property of £3m and no surprise that the bank has a charge on this.

[igoe104] 19/4/2024 12:33

TGP talked about in this interview, about 10 minutes in.

[igoe104] 10/4/2024 14:58

Amercian windfarm approval, hopefully might trigger large contract for TGP.

[indiestu] 08/4/2024 11:06

I make it 10% order intake increase for the full year should the next six months be par for the course and at improved margins. So assuming the margin increase is sound and we do not have any figures to support that the direction towards cash flow positive seems on track.

[cerrito] 08/4/2024 09:37

Trying to assess what I should feel about the following we were told this morning.
quote
These contract awards support order intake of approximately £23 million in the financial year to date.
unquote.
Given that sales in the year to September 2023 were £39m and given positive noises in the Final Result Statement, I feel £23m of orders in six months is par for the course.

[igoe104] 08/4/2024 07:21

Great to see 6 million of contract awards. Decent amount for a mirco cap company..especially when the company only has a 12 million market cap..

[indiestu] 04/3/2024 12:33

Using the Times Revenue method at 1 X you could value this company at a 40 million market cap so 65 pence per share. Even taking half way between floor at zero and 1 X so 0.5 X you get 30 pence per share. So a three bagger all day long.

[igoe104] 04/3/2024 08:21

Forward looking statement looks decent, talking about profitability, hopefully going forward they can start to build a business..

[cerrito] 04/3/2024 08:07

I have a smallish under water position here and do not follow the company too closely.
I have had a canter through the results and have spent quite a bit of time in the footnotes
On the basis that Barclays do not do a wobbly, the Going Concern statement reassured me.
I read the footnote on collection of receivables with interest and they have, to me, a good commentary on the China situation. However given their tight liquidity position over the last years, I ask myself given that in China you only get paid when the developer has signed off on the whole project, they do business there.
Too bad there is no IMC type event to ask the question.
I thought that the contingent liability section where they discuss their liability with the failings in the cable which was a big issue a couple of years back was well handled.
Not inspired as of this morning to either buy or sell.

[indiestu] 05/1/2024 07:23

I don't think there is anything sinister in using EBITDA. Perhaps they are trying to demonstrate operational profitability. The debt is clear for everyone to see and make a judgement on the risk level. A couple of decent contracts should be able to nail the interest payments, the renewable industry in general is booming.

[gopher] 04/1/2024 13:19

What I find difficult to understand is the references to ebitda break even, we seem a long way from a profitable business despite 40 ml turnover and a dividend looks a pipe dream. All reflected in tiny market cap.

[owenski] 04/1/2024 10:59

I suspect they'll need to raise again at some point this year, even if they're starting to cover the wage bill they'll need some for working capital on top.

They've also got that legacy abrasion issue still in the wind waiting on clarity for who's liable.

[igoe104] 04/1/2024 08:18

TEKMAR GROUP PLC

("Tekmar Group" or the "Group")

New Contract Award

Tekmar Group (AIM: TGP), a leading provider of products and solutions for the global offshore energy market is pleased to announce a significant new contract award.

The contract award is for the design and supply of Tekmar Group's flagship Generation 10 cable protection system (CPS) and associated ancillaries in an emerging region for offshore wind farm development. The contract covers the first phase of the development, with the contract value for this initial phase in excess of GBP3.5 million. Production of the CPS systems is expected to commence in 2024 for delivery in 2025.

[farm8031] 28/12/2023 10:58

Giant Danish wind turbines to power 1.6m British homes
The world’s longest land and subsea electricity cable will connect the two countries’ electricity grids for the first time

The Times 28/12/23

[igoe104] 27/12/2023 16:54

Lots of possible global projects, as long as management control costs and margins there is no reason these can't be a successful business, especially as its a business with lots of tail winds..

[1rickc] 27/12/2023 16:49

When? This share is a mystery. What do people think it can realistically reach within 2 years?

[igoe104] 02/12/2023 10:08

Big opportunities here.

[igoe104] 18/11/2023 17:56

New Contract Award

Tekmar Group (AIM: TGP), a leading technology and services provider for the global offshore energy markets, is pleased to announce a new contract award with a total value in excess of GBP2.5 million.

The contract is for the design and supply of TekDuct, one of Tekmar Group's cable protection products, ballast modules and associated ancillaries for a significant subsea project in the Middle East and is expected to be delivered in the second quarter of 2024.

[igoe104] 10/11/2023 16:43

I think these 27 licenses given out to oil and gas companies in the North sea, could be very beneficial to TGP..