http://michae1mouse.blogspot.co.uk/2013/08/13-rise-for-belgravium-technologies.html
released their trading statement for the full year on Friday, and stated the following:-
"The board of Belgravium Technologies plc is pleased to announce that as anticipated it's trading
performance for the second half of the year ended 31 December 2013 has been stronger than the first half and that as a consequence the Directors expect the result for the year, before exceptional costs, to be broadly in line with expectations. Exceptional costs have been incurred principally in relation to the acquisition costs of Feedback Data earlier in the year and in respect of further restructuring undertaken within Feedback and other parts of the group, which the board is confident will bring benefits in 2014. The results for the year ended 31 December 2013 are expected to be announced on 5 March 2013."
As a long term holder, I'm quite happy with the progress they are making. Certainly the statement held no nasty surprises, and since this is a company committed to paying dividends and which is looking forward to further progress in 2014, I shall continue to hold.
The full year results and outlook statement in early March will make for interesting reading, but with broker forecasts of £9m revenues, 0.35p EPS and 0.1p dividend for this year and just over £10m in revenues next year, 0.6p EPS and a 0.2p dividend, the shares still look cheap. The 2013 P/E ratio will be around 14 dropping to 8.5 in 2014, whilst the dividend yield is predicted to be around 2% this year, jumping to 4% in 2014.
Angle Plc also released their interim results last week. These also held few surprises, but as commented previously they do appear to be making excellent progress with a diagnostic device that could make a major contribution in the fight against various types of cancer, although this is not the only area in which the device has potential applications. From an investment point of view the target market is worth billions, and if Angle are successful then the rewards could be very substantial indeed.
However, this is undoubtedly still a very speculative investment since there is much work to be done before they see meaningful revenues.
The task they face shouldn't be underestimated either. This paragraph from the interims:-
"ANGLE is working to establish the use of Parsortix in clinical practice through identifying key clinical applications with medical utility, securing clinical data that demonstrates the medical utility of those applications in patient trials and obtaining key opinion leader support for the adoption of Parsortix in the routine medical care of cancer patients",
tells us that getting the product to market is quite some task because this not just a case of selling an excellent product into established markets, they've pretty much got to create the market in the first instance.
In the interims it also states that:- "As we establish each clinical application supported by proven clinical data and key opinion leaders, we would expect sustained revenue growth for that application. We intend to amplify this growth by developing key relationships with major medtech companies and pharmaceutical companies over the same timeframe. We intend to amplify this growth by developing key relationships with major medtech companies and pharmaceutical companies over the same timeframe."
My suspicion is that if this device is as successful as it appears to be then a major medtech company will probably be far more interested in buying Angle lock, stock and barrel rather than some sort of partnership. We shall see. Overall, I am very encouraged by progress here and I would look to buy more shares on any share price weakness.
Finally, Trakm8 released what at first glance looked like a fairly innocuous RNS headed "Grant of Options and sale of treasury shares". It was the sale of treasury shares that caught the eye. Basically, an employee has bought 220,000 shares out of treasury at 46.25p per share i.e. £101,750 worth. Not a bad vote of confidence. Mind you if you bear in mind that Trakm8 is achieving very good growth in an attractive and expanding market, having scaled up with the acquisition of BOX telematics, the current £15m market capitalisation looks very cheap when compared against any number of similar small cap. listed companies.
As ever no advice intended or given, and I am a shareholder in each of the companies mentioned above. Please do your own research.
No comments:
Post a Comment