Venn Life Sciences Share Discussion Threads

[yump] 17/5/2018 11:58

I suggest everyone looks up the debate about EBITDA and its true or not so true representation of what a business is actually doing.

Particularly as I bet that if you look at all the businesses that concentrate on quoting EBITDA and compare them with those that emphasise final profit, you'll get a big difference in performance.

It all depends on what you think should or shouldn't be taken off EBITDA. imo EBITDA is a lifeline for businesses struggling to 'escape' exceptionals.

"This is what my house would be worth, without the leaking roof and the ongoing legal case about the access road..."

[rivaldo] 17/5/2018 10:03

Cheers AISHAH. I've also just found this from Davy, who forecast €1.1m EBITDA for this year:



"FY results: margin expansion drives EBITDA growth
May 17 2018
DAVY VIEW

Venn has started to benefit from business integration initiatives and infrastructure investments made in 2017. Greater operational efficiency has driven margin expansion and EBITDA growth. With a full service capability spanning early and late phase clinical projects, we think there is scope to develop new business lines and further increase margins. Additionally, management focus on M&A opportunities has the potential to accelerate growth. We forecast FY 2018 EBITDA of €1.1m and remain ‘Outperform’."

[aishah] 17/5/2018 09:34

.@VennLifeScience (VENN) delivers a solid set of full year numbers. EBITDA more than doubling to €1.0m! In a very strong place to deliver on future growth.
@HybridianLLP

[rivaldo] 17/5/2018 09:21

The results looked mildly encouraging. Turnover of €17.8m and €1.0m underlying EBITDA is certainly indicative of potential relative to a £4.3m m/cap if VENN's management continue to simplify and transform the company as they have been doing.

Especially given they have €1.2m net cash to finance working capital and (from the tone of the narrative) an acquisition.

I'd largely written Integumen off almost entirely except as a very long-term possibility, but I do like the look of its potential acquisition/reverse. Let's hope it actually completes (there's a radio silence on this at present, which may be a good or bad thing) - if it does this could just have a material effect on VENN.

VENN's outlook is indeed difficult to discern, but perhaps there are clues for those looking for positives in the outlook given the focus on "improved underlying EBITDA", profitability and sunk investment costs which will hopefully pay off this year:

"During 2017 our focus has been on the delivered improved underlying EBITDA in the business through improved operational efficiencies. Additional investment in systems means that we now have both the expertise and infrastructure to profitably execute new business in scale and our focus is now on the generation of new business opportunities. We have invested significantly in business development and engaged creatively with clients to develop deeper, longer lasting partnerships and our pipeline of opportunities is healthy. We continue to see an increasing number of opportunities that require the full range of services now on offer in Venn."

[elpirata] 17/5/2018 08:24

zzzz just about covers it, a plodder rather than a growth share, they need rns'able material contract announcements to progress

[yump] 17/5/2018 06:51

Yes. 4 months gone and all there is, is the same old mention of 'opportunities'.

Positively, it does look like the exceptional for the losses on Integumen covers just about all of it, so the next results should be 'clean'.

Quick sanity check: if they ever make about £500,000 profit that would be about 0.8p earnings, which at this current share price would be a p/e of 10 ish.

[likitorma] 17/5/2018 06:30

Absolutely nothing on outlook. Very poor.

[cocker] 17/5/2018 06:15

Given that the results have taken some 5 months to produce, very surprised no mention of current trading. zzzzzzzzzzzzzzzzzzzz

[elpirata] 16/5/2018 11:08

just took a pop at this for results tomorrow

buy showing as sell lol

[yump] 05/5/2018 17:05

I thought the idea was to say:
"Don't you mean £18mln yump ? LOL"

I didn't except the Spanish Inquisition

[buywell3] 04/5/2018 13:20

Not many can make profits on £18 turnover methinks

Unless you charge staff £100k a year to work for you , and the BOD works for nothing

Plus no biscuits with the tea break

Apart from that , one of your better attempts 6/10

Re acquisition/s
1) no money to do so without raising cash or taking on debt
2) last one seems to have gone very badly




yump23 Apr '18 - 07:29 - 1161 of 1161
0 0 0
I suspect that whatever the results deliver, the outlook will be rubbish. There hasn't been any contract announcement for ages and ages (Sedana was the last). That implies that there haven't been any material (to the market) ones. So they're just bumbling along with a collection of smaller projects.

Hence, imo, the interest in more acquisitions, as organic hasn't done it. So more share placements, larger revenue from adding acquisitions and a hope for decent profits at some point. Which I think is unlikely as they haven't managed to make clean profits yet on £18 revenue - ie. the business doesn't appear to be viable.

[yump] 23/4/2018 06:29

I suspect that whatever the results deliver, the outlook will be rubbish. There hasn't been any contract announcement for ages and ages (Sedana was the last). That implies that there haven't been any material (to the market) ones. So they're just bumbling along with a collection of smaller projects.

Hence, imo, the interest in more acquisitions, as organic hasn't done it. So more share placements, larger revenue from adding acquisitions and a hope for decent profits at some point. Which I think is unlikely as they haven't managed to make clean profits yet on £18 revenue - ie. the business doesn't appear to be viable.

[elpirata] 16/4/2018 10:14

...The team, which came from a previous successful company, Alltracel Pharmaceuticals, altered the direction and mission to address the glaring lack of infrastructure needed to commercialize the technology...

theres the connection

[gleach23] 16/4/2018 10:05

Looks like a relentless seller having finally cleared and opportunistic buyers taking advantage - let's hope this bounce has some legs

[elpirata] 16/4/2018 10:03

RNS Integumen reverse takeover of Cellulac plc, who's last reported accounts show £1.5m investments on the balance sheet

£7.5m funding raise

[ali47fish] 16/4/2018 09:10

well elpitra maybe you should have acted and not hesitated but i have no idea why the share price has decided to rise from the dead!

[elpirata] 13/4/2018 11:05

some trading activity today, I'm undecided whether to dip in - this should be the bottom reading the last trading statement but who knows whats lurking that they havent yet disclosed

[ali47fish] 12/4/2018 09:27

why hasn't the company informed investors about this state of affairs with the share price in free fall- the last update from memory was not a disaster!

[cocker] 10/4/2018 19:38

Well I think we all most assume something is not right Arthur.

[elpirata] 10/4/2018 17:26

unless anything has changed since that trading update I reckon its most likely a Cenkos led dilutive funding - cash Dec 17 was circa £1.04m vs. Dec 16 £2.965m

its muddied by the FD departure, which strangely hasnt yet been notified on companies house director resignation despite it being 3 weeks ago to date. Unless of course he's 'resigned' as FD but continuing as a director?? Doesnt stack up.

[cocker] 10/4/2018 06:19

TU on the 15/2 says otherwise Arthur. Lower revenue but broadly in line eps for 2017. Since then the Finance guy has jumped ship & results should have been out easily by now, so I guess this does not bode well for investors.

[arthur_lame_stocks] 09/4/2018 19:11

I presume they're going to report a stonking loss this year?