Triplearc Share Discussion Threads

[kimboy2] 22/11/2006 10:08

I don't see a problem with repayments as long as they at least maintain the level of the first half. I would presume that 400k of the capital repayment was made in September anyway.

Another good contract win though to add to the AOL deal. Hopefully these deals should be higher margin as all the infrastructure is in place.

[minho] 22/11/2006 09:36

Clarkyboy1 The share price has taken account of that in the price, we all know about the debt matters, it is weather the co will go forward or not in the near future, that is what we all gamble on there are no sure bets on the market.

[clarkyboy1] 22/11/2006 09:15

I'd be more concerned as to whether the company is able to repay another £800k of debt in 5 weeks time, especially given their debtor/creditor position at the interims. This seems more smoke and mirrors, turnover is irrelevant, what matters is profit.

DYOR etc

[minho] 22/11/2006 08:57

Sithuk That was a broker projection resently, the analyis was well looked into and it seems with this last contract that there was truth in that?DYOR.

[sithuk] 22/11/2006 08:48

Thanks for the in depth analysis there minho....

[minho] 22/11/2006 08:08

Tipped to go to 10p.

[sithuk] 22/11/2006 08:04

Interesting news, it seems some of those posters predicting a company wind up were a little premature?

Anyone ever even heard of Betterware? Who shops out of catalogues anymore anyways?

I haven't time to crunch the numbers right now... the coffee is brewing  Can someone work out if £5mill over 2 years is significant news? For comparison, what size were the Virgin and AOL contracts worth at the time they were announced?

I realise margins are the key point, not the size of the contract but we can only guess at that based on past contracts and the profit that TPA announced in their results. Anyone care to extrapolate that info to this contract?

[markthecarp] 11/10/2006 13:28

Kimboy2 - Carphone have a deal in place with HH Associates for these type of services. Would make sense to roll them up together. IMO

[kimboy2] 11/10/2006 10:45

Any thoughts on how the Carphone deal will affect the newly acquired AOL contract. From the figures it looks as if CPW will generate about 10X the revenue of AOL's internet revenue.

[kimboy2] 29/9/2006 11:30

The £1m difference may well still be outstanding at the end of the 6 montns and is not repayable during it in the manner you suggest.

Taxes are just paid as part of administrative expenses. In actual fact at the year end they owed £900k taxes which means they have paid £300k off.

This year up to August so far they have repaid £1m of debt which means they owe £800k more this year.

Unless something goes amiss I think they will be OK.

[pippit] 29/9/2006 11:29

There you go again Clarkyboy. The FD has been in the saddle for 16 months. Have you any idea what he inherited? What about the other management changes. Do you think you can just step into the shoes of those who got it wrong and get it right overnight. You obviously know nothing about running companies let alone how much care and time it takes to get a business back on track after its come off the rails. If you loath the Company so much and believe its management is that bad why do you bother to hold the shares or are you just content on making money on the bear tact?

[clarkyboy1] 29/9/2006 11:17

A £1m difference seems considerable to me Kimboy, and you're forgetting the £600k of taxes outstanding (note 5) plus the £1.6m needed for 2 more debt repayments plus interest. That's a deficit of about £3.2m in total. Should profit remain where it is, it'll be interesting to see how they manage this without restructuring their debt.

[kimboy2] 29/9/2006 09:25

Trade debtors are £8.638m and trade creditors £9.645m, so hardly considerably in excess.

[clarkyboy1] 29/9/2006 09:15

The FD has been handling the situation for almost 16 months, in which time the business has declined further. Threewheels is correct in suggesting that the debtors and creditors are unlikley to be pushed any further, the latter now exceed the former quite considerably. I would hope the board had enough sense to appoint an FD who had previous experience of this to get them through, but he can't do it alone. The company needs to generate considerably more profit and there isn't any evidence of that so far.

[pippit] 28/9/2006 17:23

Clarkyboy, Threewheels was contructive in his comments he was not knocking the Company just pointing out the facts as he sees them. I too am very interested on how the new FD can handle the situation he inherited. I'm sure that we can at least agree on one thing: men can be made out of such adversity.

[kimboy2] 28/9/2006 13:54

Threewheels
The loss on Stream in the first half was 300k and there were some exceptionals for 397k as well. Annualised this would add up to £1.4m. There will also be some saving on the interest bill.

The reduction in debtors is partly due to the fall in turnover, and perhaps partly due to the increasing quality of the debtors.

The company also claim an operational gearing that would hopefully mean that further contracts, such as AOL, would result in larger margins.

IMV it is tight, but not impossible, and improving.

[clarkyboy1] 28/9/2006 13:11

Pippit, you must be slipping. Threeheels has clearly said something slightly negative about the company - I'm surprised you're not advocating immediate execution

[pippit] 28/9/2006 11:14

Interesting post Threewheels. I hope the FD has been practising his juggling.

[threewheels] 27/9/2006 10:56

Sithuk - Looking at the interims, I would imagine that the end of Sept is going to be an 'interesting' event in the cashflow cycle of TPA - IMHO the FD will need to find £500k for debt repayment plus £300k interest, when in H1, the business only generated £539k of cash from trading (Note 8) but found the rest from working capital - congrats to the FD for moving the w/cap levers to get in £2m in H1 - the question is whether the debtors and creditors will both allow themselves to be squeezed by the same amount in H2? The AOL win is good news for the sales line but I wonder what it will do to cash as, in the past, the CEO has admitted that new contracts have been cash negative, in the early stages.

[sithuk] 26/9/2006 16:58

Any reason that anyone knows of for the plummet except for shorters getting out?

[knowing] 13/9/2006 17:46

Date Broker name New Price Old price target New price target Broker change
13-Sep-06 Altium Capital Buy 4.88p 10.00p - Reiteration

[pippit] 13/9/2006 16:52

Ding Dong Dell
someones in the well
will someone please
take him out again
cause I can't stand the hell.

[dell314] 13/9/2006 15:32

pippit - Have you noticed how some individuals have attempted to discuss issues from today's results and you have a selection of bullish and bearish points to consider?

Have you also noticed that one individual appears to be unable to make any sensible observations about the results, so chooses to interrupt the discussion with childish comments?
Think about it.

Come back when you have something to add......

Rgds
dell

P.S Kimboy - I agree with your observation that the bears haven't excluded Stream's losses and should have done so, in fairness, but I'm not convinced it's prudent to assume that TPA will produce a set of results with no exceptionals, based on recent experience. And what about capex?
One thing that intrigued me was why the interest cost appeared broadly similar to 12 months ago with all this alleged debt reduction, although I have to admit I only had a brief glance at the figures this morning and haven't revisited them since. I'll have to have a closer look at some stage...

All IMHO, DYOR etc.