Margins should improve with the acquisition of the franchisees and their past revenue CAGR is good. I hold. |
How does the company get so much wrong in the way they communicate to investors and the content in their updates and interviews. It seems they are so wrapped up in the detail and the ‘plan’ that they forget fundamentals that the market needs. Not words about the latest way to detect leaks and tying your products from co owned firms but net profits, cash flow, investor rewards, timelines. Pointing to broker reports with £8 targets as some form of pride is just nuts. The in house brokers do that for every company. Seriously if they truly want shareholder growth and market respect grow net profits and give a presentation on financial projections.
Tempted to ask for a job, with options, to boost the share price |
 Any company can grow revenue at the expense of profits. It seems the concentration on growth ie revenue without reference to PBT hasn’t gone unnoticed. It is so sad to see that a company operating in an industry sector with a huge market and at a scale to dislodge local firms is unable to generate substantial profits and positively impact the share price.
Yes they are still growing and executing their strategy of growth and scale but the share price has been on a downward trend for three years. Part of me loves the possibilities the sector offers but equally frustrated by the company’s failure to turn opportunity into visible share price returns.
I think Patrick is eloquent and convincing, Will Knell not so much but although he may look uncomfortable infront of the camera I don’t really care if he is as good at his day job as Patrick believes. His numbers from the franchise back this up but we are now operating in a new environment where initial believe that small firms would enjoy a better macro environment is fading. Markets are turning and inflation persisting.
I am conflicted here. I have given them three years and had nothing in return. Their prior year statements also talk about growth and a starry future but that didn’t happen. So again we are back to hoping this year will be different. Starting the year of by selling the buyback as an investor benefit only to take those shares for themselves in the way of options is not a great optic. At least they should allay some concerns with indicating strike price and even then it looks like private investors are last on the list of beneficiaries. They just seem to be unable to get their timing and priorities right yet if they tweaked it they could build something special. How long do you wait when in the last three years valuations elsewhere have been motoring. Maybe it’s me just a bit disillusioned with the company, the market, world politics, dictators, land grabs, destruction of democracy, humanity, basic values…..sod it time for some Netflix |
Agree that it looks good for now. Locking share options, they must be expectant of further share development. |
Continued growth is revenue and earnings and prospects look bright.
Directors want shares rather than cash for 2024. |
Nice article on Vox Markets too. |
Can't see much wrong with today's update. Is it just the classic sell on news playing out? |
I was hoping for a really buoyant update. |
News leaking perhaps, but looking at the trades it would appear it's only PIs selling, let's see how the update reads this week. The cynic in me thinks the trading update might be lacklustre and they'll talk up their strategic plan |
Notice of 2024 Trading Update and Strategic Plan
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, announces that it will release a trading update for full year 2024 during the week of 24 February. In addition, Water Intelligence will also provide an update on the Group's strategic plan to drive strong growth and deliver shareholder value in 2025 and beyond. |
What's happened here today |
Increasingly losing patience here as the rhetoric (when it does come) never seems to match the company financials.
The integration with Saleforce was pitched over 2023 as an enabler to increase growth. Delivered late, but at least complete, but where is anything from the company to show the before and after metrics attributed to this investment. How have the supposed efficiencies fed through? The new training centre for onboarding new staff, how has that gone? Is the backlog diminishing? Are we stepping up marketing to gain custom to utilise these resources? Have we not won one significant contract since Feb 2024?
Just a contradiction between the boards words and what is a measurable tangible delivery. Yes there is growth but not at the rates we need.
Let’s see what the Feb results provide. Like I said they work in a fragmented market with supposedly superior technology that supports a one stop shop for customers. Exploit it. |
Agree. Economic headwinds not helping and was unable to break out of the range for now. |
Falling in to its normal trading pattern unfortunately. Not able to push forward over 430-440 and hold for a new opening to higher highs. Obviously not helped by increasing yields on gilts punishing government plans and by default small caps as risk aversion rises with the levels of compensation available.
The new trading range may now only be achieved by company news and that is something the company is shy on. That said there are signs of some volumes but you have to question why there are no presentations detailing the metrics from a 2 year investment phase. It should be shining through by now.
Great sector, great potential market, pretty recession proof due to necessity of service. This should be a home run |
Someone happy to dip in £70k. |
Must break out in the next couple of days. |
Nice momentum. Look for a break over 430 to signal a break out. |
Sorry I meant I was a new investor. |
Tricky Red
Who is the new investor you mentioned? |
Well I see this as a step year change for the company if they can get their internal structure tuned to match the market demand. Most see US Smaller companies as a beneficiary of the Trump administration and although quoted in the UK that is essentially what it is. The location listing conditions is maybe a debate for a later post but let’s say we would have a very different mkt cap if listed in the US (but currently too small)
The major investment phase is complete along with the embedding of a corporate strategy that embraces both the best of the franchise model and in house methodology. I am also a keen supporter of the CEO. The conditions are in place for a good year if at a macro level tariffs and potential unemployment along with inflation are kept in check (not an easy task). However, those are outside of the companies control. What they must do is demonstrate that the innovation, investment, product development and strategy lead to increasing sales and importantly grow margins. I am betting it is harder to fail than succeed. The market is enormous and competition fragmented. Ripe for consolidation
If we can break 430 the chart favours a rapid rise. ‘Educated̵7; fingers crossed |
tiger60- Very fair analysis - Been on watch list for ages but as you say going nowhere. Could well (imo) at risk of being downplayed under Trumpism.
Also has a slight smell of being a lifestyle company (Possibly unfair) |
Interesting link. Any chance of posting full article?
Firstly, I hold here and enthusiastic about the sector as a whole which will only grow and consolidate. However, the last few years has been tough and the share price movement mirrors the ROE reduction over said years.
We have had two years of investment and software integration to streamline the offering but yet to see the benefits. The last RNS related to new contracts was the start of February last year. True not every contract is worthy of a news release but does highlight a lack of investor engagement.
In addition, the buyback is a farce and should never of been initiated. Either further internal investment or a small dividend is preferable. Buybacks are limited each day based on a % of daily trades. Daily trading volumes are minimal resulting in buybacks limited to a couple of thousand. It will take a year to buy any notable volumes.
A lot hangs on the Dallas franchise being brought in house and the new manager. Macro wise this looks a winner all over but we need that net income up and the investments to shine through. Patience needs its reward or others will walk. Gear up the investor engagement and aggressively set targets. The market is there go get it. |
Same here. Some good volume over the last 5 trading days with a smgentle rise in the share price, looks good. |
New investor here. Liking what I see. |
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