Tungsten Share Discussion Threads

[edwardt] 27/7/2017 09:22

EJ - he has options so why pay out of hard earned cash?! if I were him, I would settle for that to.

[andrewdbl] 26/7/2017 16:59

Still have a holding too.

As BS76 said, will buy at ~50p and lower.

Did anyone notice that no-one has mentioned GE recently?

[edwardt] 26/7/2017 13:21

even if it is growing top line at 20%+?

[andrewdbl] 26/7/2017 12:57

I expect a trend downwards until EBITDA breakeven.

[edwardt] 26/7/2017 11:00

well I thought the results were ok but hey ho stock goes lower. would be nice to see more management buying wouldn't it?

[chemistdude] 25/7/2017 22:36

Speaking on the occasion of the Group’s FY17 results, a video interview with Richard Hurwitz, Chief Executive Officer, can be found here:



and a conversation with David Williams, Chief Financial Officer, can be found here:

[edwardt] 25/7/2017 11:57

agree - Rick probably wrote it!

[pkarnezis] 25/7/2017 09:51

The latest glassdoor review (24th July) sounds more like management's reply to those badmouthing ex-employees:

[chemistdude] 24/7/2017 20:17

Tungsten Corporation Plc Annual Report

[chemistdude] 24/7/2017 18:35

Edison report

[bs76] 24/7/2017 15:13

Spot on Manics. I agree :) lessons learnt.

I'm able to reduce my exposure to Tung by buying and selling at right time (or may be i was lucky). I will still buy Tung at anything below 50p. My main issue was Tung going bust for which the probability has gone down.

Tung revenue has to go around 40m before cash runs out which looks quite feasible. I suppose with reducing cash burn rate, they do have more than 2 years from April 2017.

FY17 revenue - £31.4m
outlook for Fy18 is for 15% which will take it to £36m

the above looks reasonable based on-

1) "renewed 41 of these Buyer contracts during the year at a weighted average price lift of 49%. This compares with 34 contracts at 64% in the prior year."
Still 70-80 buyers remaining. I hope half of these will come to renewal this year.

2) 10 new buyers in FY17

3) 4 new buyers since 1st May 2017, and Rick sees a strong pipeline of sales which will take above 10 in FY18.

4) on Supplier's: 50-55% revenue contribution (£17.4m out of total £31.4m)
Increase of supplier's by 48K from 203k to 251K. That's a big jump compare to 22k in Fy16.
As per Rick's interview (posted by chemist), the number is already 260K by mid July 2017.

Last point on supplier's - In Jan 2015 number was 171K and in Dec 2017 (Half yearly update) was 213K, that was 42K in 2 years and in last 6 months 47K :)

[andrewdbl] 24/7/2017 13:59

I will read it tonight



On skim reading, nothing stood out.

[manics] 24/7/2017 12:31

Yes indeed. Then it was beast mode so far as hype went. I felt the opportunity and calibre of management justified it. I was wrong.

Completely mispriced by the market as we have since been well shown. Those of us with high averages (like me) are looking at a decent tax loss imo. I decided long ago not to buy any more TUNG (personal unbreakable portfolio rule) so averaging down isn't an option.

To some degree that's a shame perhaps since TUNG floating today, at this price, with these prospects, isn't too bad a proposition in my view (though ideally I'd like to see further maturity in financing).

For the record I don't hate on Edi or legacy management. I think he believed and then fell victim to his own hype. They all did. That's why they were buying in buckets at 330p. After the final defense of 200p though during the short activity, as it fell below 150p, it seemed the rats started deserting the ship as the easy ride (I'm being flippant) to unicorn status was eventually and evidently disproved.

Blah blah story stocks, blah blah lesson learned. AIM is littered with PI's sharing such musings ...but for real. Lesson learned!

Rick and the team will hate such talk because guess what? They (rightly) don't care where TUNG used to rate. They just care about growth from where we are today, and they'll want that to be the focus in the investor and analyst communities imo.

Sphere25: I honestly don't think TUNG's been ramped anywhere for a few years now 8)

[edwardt] 24/7/2017 10:50

if you look at fundamentals , we are definitely moving towards profit. as such this business is actually a business that will make profit. sphere25, thank you for your pearls of wisdom but you should have been here when the market cap was 400m or whatever and there was f all revenue...

[dollarzpounds] 24/7/2017 10:30

A great summary Edward . And Kenyo neither am I

[edwardt] 24/7/2017 10:26

all true but alas that was true 2 years ago. at least they have right sized it and on 2 times revenue with it set to go grow reasonable double digits we should at least do ok from here. basically lesson learnt is sell the hype, buy the reality.

[keyno] 24/7/2017 10:12

I ain't laughing!

[dollarzpounds] 24/7/2017 10:10

My local chippie makes more profit than Tungsten and it doesn't appear that is going to change much anytime soon . "Millions, Bilions and Trillions" - Mr Edmund Truell. What a laugh !

[andrewdbl] 24/7/2017 09:15

------------------------------
Outlook
We successfully delivered against our targets for FY17. Our targets for FY18 trading are as follows:

●Constant currency growth in revenue in excess of 15% (FY171: 12%);
●Gross margin reduction to a minimum of 90% (FY171: 92.8%), reflecting a higher mix of our lower margin Invoice Data Capture sales; and,
●Adjusted operating expenses of less than £40 million (FY171: £40.8 million). This excludes one-off restructuring costs of approximately £2 million expected in FY18.

We remain on track to achieve monthly EBITDA breakeven in calendar 2017.
----------------------------
So a nice little co that will produce a (small) steadily increasing profit.
One eye on cost control.

A little concerning that the other eye is not explicitly on sales.

[edwardt] 24/7/2017 09:05

tangible momentum says the main man...

[manics] 24/7/2017 07:57

Called to open +1%. Little excitement so far (though it is early!!). At a guess it's a continued bounce around existing channels for another 6 months or so.

[manics] 24/7/2017 07:56

ADVFN newsfeed is broken this morning on a lot of or all of the BB's.