Trakm8 Share Discussion Threads

[40toolong] 03/7/2017 09:07

To be clear, they must make money (they do and will) But if there product is not desirable (it clear is) then there is no growth and no potential endgame.

[pj 1] 03/7/2017 09:02

Strange that you mention 'Monitise'- they always had impressive user numbers but failed to live up to their name in more ways than one.

Cash is king and all that

[pj 1] 03/7/2017 09:01

40toolong=-I'm not sure I agree with that.

[40toolong] 03/7/2017 08:51

Agreed, like all user bases businesses, number of users is primary, ability to monitise, secondary.

Go on trak, just did a nice topup at 103p

[blondeamon] 03/7/2017 08:43

I also have no confidence in what Finncapp says which is why I am not a muppet and research the company myself.

Picture will not be complete until September where we know the number of devices, for me that is the only metric you should ever care for in telematics. That and its recurring revenues.

Turnaround yet to be seen, I'd like to see 250k devices this year to be happy.

[dan_the_epic] 03/7/2017 08:40

I have zero confidence in TRAK attaining those FCF figures in 18 or 19

[boros10] 03/7/2017 08:22

FinnCap pointing to adjusted earnings of £3.5m in FY19 with positive Free cash flow of £800k in FY18 (from negative £3m in FY17) and £1.8m in FY19. Adjusted EPS in FY19 at 10p. Free cash flow per share is forecast to be 5p or so in FY19, so a conversion rate of 50%. Hopefully, the shortfall in FCF will be made up for in the "value" being created from its focus on combined vehicle technologies.

[40toolong] 03/7/2017 08:15

Read the report and see what the board "notes" gives you the truth every time!

[dan_the_epic] 03/7/2017 08:12

Finncap trying to tell investors what to look at

F off Finncap

[boros10] 03/7/2017 08:11

FinnCap: "We believe there is a market misconception about TRAK; this is not a business seeking to maximise near-term profit and cashflow from telematics service provision. It is a technology buy-&-build, investing heavily in both R&D and acquisitions to construct a transport industry analytics service, with a broad range of data-driven offerings simply using own-IP telematics for data collection. Investors in TRAK must appreciate there will be a huge opportunity ahead for combined vehicle technologies far beyond current telematics applications and the company continues to invest heavily in securing a strong position for a market which is evolving radically in the next few years. That is made very clear in FY 2017 results."I am a holder here since the placing but I find this kind of commentary unhelpful. Is it trying to make a virtue out of necessity or is it flagging up the potential to be on the receiving end of a bid? It also suggests that Quartix which is focussed on the here and now (profits and cashflows) will miss out on combined vehicle technologies.

[40toolong] 03/7/2017 07:50

With so much consolidation going on in this sector (fleetmatics and Mobileye in the last 6 months alone) it would make perfect sense for Trakm8 to acquire key strategic partners, grow the customer base and revenues and then let it go.

It was only a matter of time before the board got tempted and i think we are now st that point. Will be good to see what is said later this morning.

Topping up anyways

[dan_the_epic] 03/7/2017 07:48

Pretty lame results though, even if in line. Hardly going to get the watcher-by to go and buy the shares

[40toolong] 03/7/2017 07:46

Where do you get that from? None of the financials are news, built into the price from what has said in the year?

At least quote news or facts rather than just try and deramp! At least my possible sale post has a reference!

[opodio] 03/7/2017 07:41

down to 60p

[40toolong] 03/7/2017 07:29

Buyers will not be the problem. PE loves a subscription / Saas model.

Ready for a hard top up st 8:00am whilst the fools and still working out the big words!

[jamiemp] 03/7/2017 07:25

Yes I did note that one. Definitely sounds like they're up for sale and it fits the Board profile. Not to say there's any buyers though!

[jamiemp] 03/7/2017 07:24

Yes, sorry I did pick it up in the end. I would tend to discount that but I suppose they would argue they forecast it and growth stocks are not my strong suit. Good sales growth at least but no silver bullets.

[40toolong] 03/7/2017 07:23

IMO this comment says it all

"However, the Board notes that recent corporate consolidation has valued target companies on the basis of revenue and installed base, rather than on profitability and cash flows, such is the growth profile of the telematics industry"


Within the coming months they will be up for sale and that means we will be looking st £4-5 in no time.

[40toolong] 03/7/2017 07:18

R&D Tax credits. Every £1 you spend on R&D you get £1.75 tax credit.

[jamiemp] 03/7/2017 07:12

Interesting to see the reaction. I'm up at 2am US time to read it.


At this risk of sounding totally thick, but blaming the late hour, how come the post tax profit is higher than the pre tax? Can't see any notes to explain it.


EDIT: sorry, its very clear there is a tax credit for R&D. New one on me.

[40toolong] 03/7/2017 07:04

Excellent work Trakm8. Well done to all those tho stayed with this one. Short term pain, long term gain!!!

[pj 1] 30/6/2017 19:31

LOL. Well we will know soon enough

[jamiemp] 30/6/2017 19:29

I think its more likely to trigger a series of commentaries that will drive the price up or down from here.