Tracsis Share Discussion Threads

[battlebus2] 26/6/2012 06:36

Yep couldn't be better :))

[jakleeds] 26/6/2012 06:23

Cracking statement well done guys

[edsullyjoe] 08/6/2012 09:26

I was listening as well. Bought in about a month ago.

[battlebus2] 08/6/2012 08:59

Yes well done GHF i took your advice from the zulu thread and bought in. In maybe silence but folks are listening.

[pj 1] 07/6/2012 16:07

Have they put any figures to the Dividend Policy?

[glasshalfull] 07/6/2012 16:04

Thanks steg...just getting opportunity to look through investments now, so delighted to learn of the latest contract win.

Again, hats off to TRCS management & employees on delivering.

Thought a few on the ZULU thread might have commented apart from yourself steg. The silence to my earlier posts has been deafening ;-)

Regards
GHF

[stegrego] 07/6/2012 07:45

Looks like another winner for you here GHF. Grats.

[apad] 07/6/2012 07:43

Doesn't say "new customer" could wish it was "french company".
Does anyone know if the large sale at 75p will find its way into the market or be tightly held.
apad

[pj 1] 07/6/2012 07:19

There are x3 Categories of people..
1) Those that make things happen
2)Those who watch things happen
3) Those who say ''what happened''

I suspect a few 3's this morning

Nice Morning!!!! :-))

[cottoner] 07/6/2012 07:18

Another major contract award



Contract award

Tracsis, a developer and aggregator of resource optimisation, data capture and reporting technologies to the transport industries, is pleased to announce that it has secured a key order for consultancy services and software with a major UK passenger transport group.

The contract, with a value in excess of £300K, will be delivered over a period of some 9 months running from mid 2012 through to early 2013 with good potential to be extended. This will deliver revenue to Tracsis in both the current FY11/12 and FY12/13 financial years.

Under the agreement, the customer will purchase software licences for a variety of Tracsis' optimisation tools namely TrainTRACS, TRACSRoster and TRACS-RS along with the provision of various strategic and operational planning consultancy services.

John McArthur, Chief Executive Officer commented "This is another great contract win for the Group and I'm pleased that our proven optimisation technology will be delivered alongside a sizeable professional services element. Looking ahead I believe these sorts of larger agreements combining technology and consultancy services will become increasingly popular with our customer base. Tracsis continues to build a reputation for delivering long term benefit to our target markets."

[napoleon 14th] 04/6/2012 16:33

I like this, but who knows the real volume stats for the last two/three days?

There seem to be both wild & contradictory figures from different sources...

5 million +, according to Bigcharts, 3.72 million from Selftrade.

Ooooii! Someone had a bank-holiday Jubilee fat finger?

[apad] 04/6/2012 12:48

I sort of agree with most of your comments GHF. My original response to g about the acquisition was that data logging kit means that the company generates data as well as analyzing it - makes to a good barrier to entry.
I bought last autumn and will be interested in increasing when the noise dies down.
apad

[glasshalfull] 04/6/2012 10:28

APAD - I've debated the merits of small niche companies with geswan before.

You may remember our discussion surrounding REDT from the previous month and I see a similar one raging re. C21.

Geswan is excellent at looking at companies from the balance sheet perspective but I would argue that the TRCS story has changes markedly in the last few months as evidenced by a number of contract wins, increased International possibilities and the 3rd positive trading update that suggests fantastic momentum. What is the value of MPEC now?

I'm looking to build holdings in ZULU type stocks (agree that TRCS is no ZULU at present) that offer either an entrenched position, disruptive technology or barriers to entry (see OMPP, SPRP, ANP, EROS, SID, ETO, DOTD) and believe that TRCS offers an investment opportunity in such a business where they appear to have a competitive advantage. Also happen to think the current valuation is relatively cheap given the positive newsflow, with downside protected by large net cash equating to 25p per share.

So, while I acknowledge the points geswan makes, nothing dissuades me from the investment case. Yep, they've raised cash previously to assist the acquisition strategy, but in the last 6 months generated £1.26m cash and also initiated a progressive dividend policy. MPEC is clearly going through a period of explosive growth and I'm therefore interested in figures moving forward rather than the historic position of a year ago on acquisition. It would be fair to assume that geswan and myself have a different approach.

I'd also challenge your comment over on the ZULU thread.
The "herd" have yet to arrive (unless you are referring to my good self ;-)

I acknowledged that your interest had piqued my own in an earlier synopsis of the company and despite a plethora of good trading updates the share price has only responded from low 70's to mid 80's...hardly a stampede!

We'll know if the herd arrives with a shareprice spiking above 100p IMHO and increase in posts on the thread. Until the latest t/s there hadn't been a post for a month and in the space of 4-years this will have been the 87th post.

I've no time nor nclination for further analysis at the monement, but absolutely delighted with my investment here which I've been building up over the last 6-weeks.

Kind Regards,
GHF

[apad] 04/6/2012 07:43

Before we all get too carried away, consider these (non-current) negative points (from a respected source)below.
Small software companies are notorious for producing accounts that are difficult to assess.
I'd be interested in anyone's view based on an updating of these negative points.
apad

"Turnover has increased by 0.62m but debtors have increase by 0.93m. This must put a question mark over the quality of the earnings.

They are keen on generating cash from investors.
2008 Issued £1.6m of new stock
2009 Issued £0.18m of new stock
2011 Issued £1.95m of new stock
So you will need to keep your cheque book open.

TRCS has organic revenue growth of 368k of which 222k is still receivable. Its increase in unpaid bills (894k) was nearly equal to its declared profit of 907k so it's financing itself through unpaid accounts by almost as much as through profits. Overall, the position seems to be positive in difficult market conditions but probably not as positive as they make out.

The difficulty in assessing the true value of acquisitive software companies is well illustrated by TRCS' takeover of MPEC. This little gem had net assets of 278k of which 706k was accounts receivable and a further 119k was stock. So my estimate of its worth is around -200k, it's a liability. But I'm as daft as a brush without a handle. This firm is actually valued by TRCS at a cool 2 million."

[pj 1] 01/6/2012 18:06

GHF, thanks excellent informative post.

I'll look to double........!!!!!

[glasshalfull] 01/6/2012 17:52

Not IMHO PJ 1

I posted a synopsis of the investment case over on the ZULU thread a little earlier and came to a similar conclusion over the PER.

The share trades don't interest me at all...probably institutional swap.



In post 727 (3rd May) I debated the merits of Tracsis (TRCS) which tickled the fancy of a few of you.

My post indicated that they had already produced TWO "trading ahead statements" in Feb 2012 and April 2012.

Well, they kicked off June on the right note & now a THIRD "ahead" statement.



The year end is 31st July yet again they are coming back with indications that the upgraded, upgraded figures (6.1p EPS) will be beaten.

Tracsis, a developer, supplier and aggregator of resource optimisation, data capture and reporting technologies to the transport industries, confirms that based on unaudited management accounts to the end of period 9 (for the year ended 31 July 2012), the directors consider it likely that the Company will exceed current market expectations and a further trading update will be provided as soon as more complete information is available.

Now, I'd say that in the current market turmoil of the last few years I've yet to see a company issue 3 ahead statements within a 5 month period.

The share price has hardly flinched and currently sitting at 86p (Market Cap £21m with c.£6m cash) so I'd imagine that the most recent statement indicates that the company are at least 10%+ ahead of forecasts and therefore 7p+ likely for the current year providing a prospective PER c.12 & perhaps lower if earnings materially ahead...and not to forget they are sitting on 25p cash per share so cash adjusted they will be on a single digit PER.

Synopsis of my 3rd May 2012 post below which indicated my belief that a third ahead statement was likely....I didn't however expect it 2 months prior to year end.

----

TRCS duly delivered a knockout trading statement on 25th April;



"Tracsis, a developer, supplier and aggregator of resource optimisation, data capture and reporting technologies to the transport industries, is pleased to announce that as a result of continued strong trading across the Group, profits for the year ending 31 July 2012 are likely to exceed current analyst expectations. 

This further upgrade follows on from the Trading Update announced on 21 February 2012."

So, essentially an upgrading to already upgraded figures and this is a full 3 months prior to year end....perhaps you can see what initially attracts me to the merits of the company.

I've since partly researched and built a modest holding and was hoping the shares may retrace before today's announcement of a further contract win.



TRCS is building up a head of steam and while it is far from being a ZULU it is showing preliminary signs of developing in similar fashion to a number of great ZULU stocks.

At 82.5p they have a market cap of £20.3 million & are forecast to deliver 6.1p EPS or £1.9 million PTP for year ending 31st July 2012 and ...have £5.95 million net cash or 25p cash per share.

Yep, theyve had a few fundraisings but H1 2012 saw them generating £1.26 million.

The ADVFN thread is very informative and Poster "Ross1314" is clearly an industry expert with some excellent postings that indicate that TRCS offering has high barriers of entry and we are only 5%-10% into the install cycle.

The company has also initiated a progressive dividend policy and looks to have the makings of lovely recurring revenue model to compliment the more lumpy hardware order side.

TRCS are also beginning to win International orders and there is clearly significant momentum building with directors buying on a number of occasions in the last year.

While I certainly advocate research and have still to conclude my own, I thought it worthwhile flagging again to invite any comment. I'd certainly advise anyone who is interested in giving this a look to read through the last few posts on the undernoted thread which may help to clarify the industry and answer a number of technical points.



I believe that they will leave the upgraded, upgraded, forecast behind for the current year (if you see what I mean ;-) ... and will achieve results that upgrade the upgraded, upgraded figures.

Ehh ???

Regards,
GHF

[pj 1] 01/6/2012 17:42

Own predicted EPS 2012 results plus 54% =6.9p (reading the statement today that could be beaten)
P/E =12.5
PEG =0.23

24.6 M shares issued = 41% of shares traded today

Am I missing something??

[ross1314] 01/6/2012 16:05

Crazy volumes for this tightly held share. I had to buy in batches of 5k and that was a struggle.

[pj 1] 01/6/2012 15:41

WOW, any help with the volumes?

Its lost me but surely we do not have 9,000,000's of sells after a statement like that?

[pj 1] 01/6/2012 15:30

86p, ATH, will it hold??

[glasshalfull] 01/6/2012 12:33

Smashing news ;-)
Well done to all at TRCS.

3rd "trading ahead" update they've released since February 2012.

Regards,
GHF

[apad] 01/6/2012 12:06

Lots of small PI purchases going through. No. of employees is 44.
apad

[ross1314] 01/6/2012 11:40

Nothing more than expected great news.

[marlint111] 01/6/2012 11:19

Love it. This one just keeps beating expectations.

[pj 1] 01/6/2012 11:10

100p on the Horizon........