Water Intelligence Share Discussion Threads

[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.

[metis20] 28/3/2019 07:14

Another acquisition that will be immediately accretive to earnings and -

"We continue to deliver on our strategic plan. Our recent 2018 trading update communicated another strong year compounding 40%+ sales growth but also significantly increasing profits. 2019 has only reinforced this trajectory. As we have previously remarked, the first quarter started in rapid fashion with a variety of corporate development wins from a franchise reacquisition (Canada) to a sale of franchise territory (Ohio) to commercial release of our proprietary sewer technology. Meanwhile, our business, as always, is growing organically with our national channels such as insurance and new municipal contracts in different parts of the world. The reacquisition of Orlando now provides a great close to the first quarter and significant momentum for a very strong second quarter."

[gucci] 27/3/2019 12:50

topped up a few this morning - next leg up

[glaws2] 22/3/2019 15:55

The WHI note is dated 12 March so takes into account the trading statement

[shanklin] 22/3/2019 15:13

Hi EC

Yes, thank you, I appreciate there has been a change in broker.

I just wondered if the WHI note was written after the FY TS, and what made WHI take a more bullish stance than both FinnCap (albeit the update was pretty positive) and your current one, EC.

Its interesting that EC are more optimistic than you currently whereas FinnCap were always (wrongly) more conservative than you.

Cheers, Martin

[effortless cool] 22/3/2019 14:40

Martin,

Bear in mind that finnCap are out of date. They have ceased coverage after being replaced by WHI in January.

[shanklin] 22/3/2019 14:31

Glaws2

Please would you advise:
- Are these WHI numbers from a note published after the FY trading statement?
- If you have access to the note, is there anything in to justify their stance being more bullish than finnCapp

Thank you, Martin

[effortless cool] 22/3/2019 13:58

Thanks, Glaws2. (except you want $, not £). We're not too far different. After a prompt, Stockopedia are now getting the WHI forecasts.

[glaws2] 22/3/2019 13:40

EC - the WHI figures for 2019 are :

Revenue - £29.6m
Adj PBT £3.1m
Adj EPS 15.3p

[shanklin] 22/3/2019 12:49

I hadn't realised how much the increased Brexit uncertainty could affect the number of leaking pipes.

[effortless cool] 18/3/2019 07:22

No problem, Shanklin. Always happy to pimp my investments.

[shanklin] 18/3/2019 07:00

Thank you EC

[effortless cool] 17/3/2019 17:54

Header updated to reflect 2018 q4 trading update.

[shanklin] 15/3/2019 16:04

Thank you EC.

Quite a lot of the WHI research has been posted here recently. Just not their updated view on revenue and P/L going forward.

[effortless cool] 15/3/2019 15:55

Hi Shanklin,

It was finnCap that made their research available to experienced PIs. However, WATR recently switched brokers to WHI, who are unfortunately not so accommodating.

[the oak tree] 15/3/2019 14:48

You can use unjustified / wrong media write updates to your advantage as you'll beable to buy the stock at a lower price, plus your not paying too much now the trading update is out (normally a good trading update like this would have the shares motor upwards).

Realise some will have bought their full allowance, but if not AND you believe in the stock nows maybe your time.

Im not a believer in the numbers / company though so not for me. Maybe I'm wrong but with so many stocks out there why take what I think is a bit too much risk.

GLA

[shanklin] 15/3/2019 13:30

Glaws2

Okay thank you. In the header EC mentions free access to WH Ireland updates.

[glaws2] 15/3/2019 13:17

Shanklin - they are on Research Tree - subscription required I think.