Water Intelligence Share Discussion Threads

[shanklin] 03/5/2019 07:24

Albeit it still takes WATR a very long time to issue its FY results, at least the delay is currently showing signs of declining YoY even though the business is growing.

[silverfern] 03/5/2019 07:08

I think Someuwim won that one - 9 May it is

[someuwin] 02/5/2019 14:52

...The quote above is from the trading Update RNS on 12th March 19. So I'd hope results are out soon ish.

[effortless cool] 02/5/2019 14:46

I wouldn't hold your breath - it is a brand new tradition.

Last year, results were their earliest ever, at 17 May. Previous years have always been in June.

[someuwin] 02/5/2019 14:31

Also, results soon...

"Audited 2018 results are expected during early May as traditionally released."

[someuwin] 02/5/2019 13:06

WHIreland...

"Water Intelligence (WATR) – Corporate – Third top US insurance company contract signing fuelling further strong growth momentum Market Cap £44.1m Share Price 335p

WATR is an international leader in precision, minimally-invasive leak detection and remediation in both drinking and waste water, using highly advanced solutions such as infrared and acoustics and which continues to expand its technology offering. The company has been proactive and imaginative in opening up insurance channel sales as a meaningful driver for the business in recent years, and all the evidence suggests this has been a vibrant and meaningful trigger for growth since the first top-5 US provider was signed up by WATR in February ’17. The client acquisition momentum has also been good, with a second major signing (top 5) in January ’18; and we expect that this morning’s signing of a third major client will be another accelerant to the already strong growth.

Already, insurance channel sales have nearly doubled in recent years, and the whole development of the insurance opportunity by definition opens up a very large US market in which WATR remains the only national player. The differentiated model – advanced technology integrated into multiple and efficient delivery channels – offers meaningful opportunities, while selective franchisee reacquisitions are also adding to the growth momentum and optimising the group’s capital structure. 50,000 pinpoint detections already on a national structure basis demonstrates further the strength of the proposition. The scope to grow this channel significantly, in the US alone, is reinforced by the article referenced in the announcement that states that insurers face annual claims of over $13bn for water damage with one in fifty homeowners filing a water-damage claim each year. This also reinforces the trend towards “InsureTech221; products with Water Intelligence well positioned to provide solutions to homeowners.

We expect today’s positive news to be followed by further encouragement when WATR reports FY2018E, with strong proactive and reactive growth and hence share price upside. We view the company’s advanced technology as a key differentiator against typical support services companies, and one which deserves recognition from a valuation perspective. The company’s strong year-end update on March 12th demonstrated the scale of the growth momentum, with FY18A sales at +44% and a 14% beat to PBTA expectations. The strong update led us to upgrade for the current year by as much as 9%. We also expect continued reacquisition news, and note that with detailed knowledge on the part of WATR of the characteristics of each franchise, these are low-risk and high-return opportunities. The strong perpetual royalty stream is among features which underpin a SOTP / DCF-based, fair value estimate of approximately 475p, approximately >40% upside on the current price"

[someuwin] 02/5/2019 08:29

...We are well-positioned to provide solutions for this hot new area of "InsureTech."

"Today's contract is unique in terms of the additional work that the companies will also be doing on analytics."

Presumably selling leak data to the insurance industry. Potentially high value work I'd imagine.

Excellent news.

[silverfern] 02/5/2019 07:54

Perhaps a question at this year's ATM then EC. Bit of a stock shortage I reckon. Up like a rocket.

[effortless cool] 02/5/2019 07:13

More good news - a third national insurance agreement established, this time with an "analytics" element.



It would have been nice to get some information about what was involved in the analytics part.

[silverfern] 25/4/2019 14:13

As an aside, having invested in WATR since 70p, although this share remains tightly traded, it's good to see volumes picking up as time goes by. 30k a day is still small, but that would be a month's trading back in the day!

[montyville2] 25/4/2019 11:03

Although the wins are relatively small, I think the important message is that cross-selling initiatives are buoyant, and the strategy to tap into the municipal market is working well. In any case it is great for investor relations. GLA

[shanklin] 25/4/2019 08:53

I was not sure this even merited a full RNS but perhaps it is a precursor of major things to come.

[metis20] 25/4/2019 07:25

Water Intelligence International Wins



Water Intelligence plc (AIM: WATR.L), a leading multinational provider of precision, minimally-invasive leak detection and remediation solutions for both potable and non-potable water is pleased to announce a series of business development launches for Q2 by UK-based Water Intelligence International Limited (WII) - the Group's subsidiary focused on municipal solutions. These wins - in the US and Canada - point to a strong first half of 2019 and beyond for WII. The wins underscore the growth synergies from cross-selling solutions with American Leak Detection (ALD) - the Group's core subsidiary focused on water leak solutions for residential and business-to-business customers such as insurance companies. These results are firmly in line with the Group's stated strategy to layer-in a municipal business line in the US, which had previously been passed on by ALD. The transactions add to the 2019 growth trajectory advanced by the Group's strong first quarter as discussed in previous releases.

WII Objectives. In Q4 2016 the Group acquired UK-based WII to complement US-headquartered ALD and offer municipal solutions in order to capture a share of the anticipated rise in infrastructure spending worldwide. The Group envisioned WII would directly acquire utility customers in the UK and EU and cross-sell its solutions in the US and other countries leveraging the substantial market presence and reputation of ALD. As indicated in our 2018 Trading Update and as will be evidenced in the Group's upcoming release of its audited 2018 Accounts, WII has exceeded the Group's sales expectations, including leading the way in the development of new proprietary technology for sewer diagnostics. Importantly, WII has also helped drive the growth of the Group's Sydney corporate location, which was reacquired in 2016 from a former ALD franchisee, through previously announced wins at Sydney Water and Hunter Water.

New WII Wins. The Group is pleased to announce that five contracts in the US and Canada worth at least $300,000 will be started between April 29 and June 11. These contracts leverage ALD market presence and will be executed by both US and UK personnel. WII personnel will also assist in training additional staff in the US and Canada during 2019 and beyond, enabling the Group to execute a greater range of contracts in parallel. Two of the contracts (Syracuse, New York and Ontario, Canada) will take a page from the Sydney/Australia development playbook and drive growth in upstate New York and eastern Canada after Q1's reacquisition of ALD's Ontario franchise. Another contract - Flint, Michigan - because of that city's public controversy with lead in the water, offers the Group an incredible opportunity to take a brand leadership position in working with municipalities and communities on a range of value-add water infrastructure solutions. WII's technology leadership will also be highlighted during this period as it begins to deploy its new proprietary sewer technology at UK municipal sites.


Dr. Patrick DeSouza, Executive Chairman, commented: "ALD-led wins during Q1 produced a strong start. These Q2 wins led by WII will add to 1H momentum and help build an exciting story for 2019. Steve Gayler, our leader at WII has the operational experience and drive to enable WII to exceed our expectations. The reputation that WII is developing for its technology and execution leadership will produce increasing levels of opportunity for the Group"

[gucci] 15/4/2019 13:24

yes can sell 3k easy at 302.5 no quote to buy

[silverfern] 15/4/2019 13:20

impossible to buy online til this rise. I added 1k as I think it's woefully undervalued at these levels

[gucci] 15/4/2019 13:19

Wooooshhhhh started

[someuwin] 11/4/2019 10:54

No online buy quote available now.

[someuwin] 04/4/2019 14:57

WHIreland comment on Today's news...

"WATR has been growing all lines of its P&L rapidly – revenues by 44% in 2018 and we forecast continued fast growth in current and coming years. Strong profit growth as well (PBTA c.47% up YoY in ’18). Together with last week’s Florida reacquisition, this morning’s announcement of the sale of a new franchise illustrates the mechanics of this. (1) Reacquisitions, which are typically earnings enhancing and extremely lowrisk, help to drive the already strong growth in the business which WATR manages directly. (2) Franchise royalties continue to grow despite the reacquisitions, and this is further underpinned by the sale of new franchises to highly commercial new or existing franchisees. Demand for security of water is growing – but on top of this WATR has tapped in to the acute need of the insurance sector, which pays out $13bn or more annually in the US for water damage. WATR’s insurance-led sales nearly doubled in 2018 and are driving growth right across the business. In 2018, the franchise royalties grew, despite significant reacquisitions. The company outperformed against expectations in 2018 (by 14%), and will doubtless do so again, holding out the prospect of potential upgrades. A business swinging upwards justifies a much higher share price than the current price."

[expletive deleted] 04/4/2019 08:59

Another nice little deal today, extending the reach of the business across the USA.Also important to note the confidence regarding the quarter just completed and the quarter just started: "... the first quarter was very productive in reinforcing last year's strong revenue and profits trajectory ... we believe the second quarter will continue along the same exciting path".

[effortless cool] 28/3/2019 12:42

JAF111,

The sold franchise territories and are buying back selected franchisees to create a corporate network alongside and supporting their franchisee network.

There's more info in the header.

[someuwin] 28/3/2019 09:30

gets better and better here. Especially with the growing concerns about global water shortages.