Xlmedia Share Discussion Threads

[bor491] 26/2/2019 12:10

what do they mean by media business? My understanding is that a company like XLM operates a stable of affiliate websites and they make money thru revenue share deals with online casino/betting websites?

[tsmith2] 26/2/2019 11:55

It moves down from 65-55 on very little volume so would expect a swift move up if the volume is good..

[elsa7878] 26/2/2019 11:49

Write down is non -cash, so that is OK - also intangible assets so not of interest in my current assets calculation. Increased investment is.

I do see that they are not totally closing down the media business but see revenues were $66m in 2017 and 2018 forecast at $47m so the decline has been substantial. If in 2019 it is going to be $30 million less than that implies approx $17 million.

Publishing 2018 - $66m - 2019 $70m?

Revs 2019 - $87 million = gross profit around $60 million.

Expenses have been approx $32 million per annum - assume some fall but compensated for by the increase in investment in the publishing arm (minimum of $7 million over 3 years).

Operating income is therefore approx $28 million.

Finance expense has been around 3% of OI in previous results (though why with cash is beyond me) = $750,000

= $27 million.

Tax rate has been between 16 and 20% - call it 18% = $22 million = approx £17 million.

PE of 7 - and add cash of £26 million (assuming they do not buy more publishing assets) = £145 million market cap or 66p per share. If they spend on the cash on buying more assets then fair value is around here...

[tsmith2] 26/2/2019 11:46

Move up through 55p on strong buying and we could move up very very nicely. They've basically kitchen sinked everything.Cash generative, growth opportunities, stacks of cash very undemanding PE..it's what it trades at currently that matters

[tsmith2] 26/2/2019 11:29

Ditto at 53.2p and bid firms up to 54p..

[franki8] 26/2/2019 11:13

TraderGLT are you a labour supporter by any chance? lol

[truemuppet] 26/2/2019 11:11

wot-like Patisserie Valerie?

[traderglt] 26/2/2019 11:03

That's because most things listed from over in Israel are corrupt - they can get away with anything they like

[truemuppet] 26/2/2019 10:54

take account cash on balance sheet p/e is let's say 'undemanding'. Buy back in clover currently as a following wind.My guess is brokers have told them to kitchen sink the estimates too. Biz obviously faces challenges but they are responding with clear strategy. No excuses for last year though. Communication rubbish etc

[tsmith2] 26/2/2019 10:53

first buy over ask @ 52.5p looks like seller/selling done. Could see a very decent move

[tsmith2] 26/2/2019 10:52

Stream of buys now, some real meaty ones too. In

[hatfullofsky] 26/2/2019 10:27

Elsa - Checking the previous results - historically Net profit has been 50% of Gross Profit (very broad-brush and not at all scientific).

I'm forecasting FY18 underlying PBT $18M - $20M (excluding the Media write downs)

FY19 LFL Rev $85M / Gross Profit $60M / uPBT $30M (Upper End)

[amunro] 26/2/2019 10:17

Yup. Agree with EezyMunny; I was a holder at one point and could not work out how they make money. Maybe the business model is hard to get your head around?

[multiplural] 26/2/2019 10:17

Why are there always problems with these companies run by people from Israel. I followed another company Telit ( TCM) for a while. On the surface it looks really interesting, but somehow they too spoils everything for investors. It is as if one should simply keep away when looking at management from over there, it should not be so.

[eezymunny] 26/2/2019 10:07

I never once saw a comprehensible explanation of what XLM does. And yet the PI monkeys screamed "it's too cheap". Same old same old....

Some right PI duffers invested in this by the looks...

[timmy11] 26/2/2019 10:01

sell .505
buy .50375

[tsmith2] 26/2/2019 10:00

The company should be hoovering up stock. Looking at 50p as entry

[bc4] 26/2/2019 09:51

Hang on luisfrg that is when XLM was 81p so NO it was not undervalued in fact quite the opposite

[tsmith2] 26/2/2019 09:51

Massive trades reported

[elsa7878] 26/2/2019 09:50

Just days before a profit warning....

Currents assets - liabilities was $38m at the interims approx £29 million. Minus buybacks = say £26 million now.

What is net profit forecasts going forward?

Stating gross profit is not helpful.

[multiplural] 26/2/2019 09:47

Have any of the many acquisitions had some of the XLM management as owners ?

[mount teide] 26/2/2019 09:33

'What kind of a company starts a share buyback then issues a profit warning?'

One with clueless Institutional shareholders! They should have been on the phone reading the riot act long ago.