Ultrasis, a provider of interactive health care services, also features in this weekend's FT. Investors who bought shares early this year when the share price hovered just above 0.2p will be sitting on very healthy paper profits indeed.
http://www.ft.com/cms/s/0/3c83aa18-4323-11e3-9d3c-00144feabdc0.html?siteedition=uk#axzz2jV2hHMc1
It's not a company I'm familiar with, and a quick look through it's financials doesn't inspire me to buy shares in the company. From what I can see revenues and profits have steadily fallen over the past five years, and indeed the company was loss making in 2011 and 2012.
Whilst they have recently won a new, possibly lucrative contract, the financial details of the contract have not been disclosed.
Losses at the interim stage of 2013 have continued and the balance sheet doesn't look very strong.
What would also concern me is that they appear to have just acquired a £0.5m revenue company with a pre-tax profit of just £91,000 for nearly £5m. Ultrasis itself is currently valued at £18.5m.
I might be missing something here, and "Beating the Blues" might be a massive booster to revenue and earnings in the future, but with revenue of just £480,000 at the interim stage, there's an awful lot of expectation already priced in.
As ever, no advice intended or given.
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