valuemanbuyer
17 Nov 2016
Re: Finals Good points about the increased costs - I will ask himNext week when I see him
Muzzletoff
17 Nov 2016
Re: Finals Hi HardboyA brief look at the continuing operations side of things (before disposals and acquisitions) shows a flat to slightly reduced profits. Though at EBITDA level still showing good margins.The continuing operations admin costs seem to have increased by circa £1m compared to the prior year and this seems to have absorbed all the benefit of the increase in turnover and gross profit.So yes, some questions to answer there as to why these costs have increased quite so much. It is difficult to track this increase in costs back through the segmental analysis. As ever, acquired operations make it difficult to benchmark.
Hardboy
17 Nov 2016
Finals Another year of great growth - sales up nearly 30%. I need to study the figures more closely because although the headline numbers were suggesting profits up over 20%, when I had a quick look at the numbers, even taking off one offs it appeared to me the operating profits had fallen; and it maybe a concern that they are not controlling costs as well as they might. However, they seem to have an unequalled position in the UK, and the international potential is huge, so I am particularly encouraged by this bit: "Significant order secured with a North American Class 1 railroad operator for Remote Condition Monitoring (RCM) hardware and software" & "post year end achieved a software sale in the United Arab Emirates"
Muzzletoff
27 Oct 2016
19 shares bought today so far. That's not going to keep the market makers in gravy.
Muzzletoff
26 Oct 2016
Re: Volume That's pretty juicy volume. Surprised it didn't have more of an impact on the share price.
Hardboy
26 Oct 2016
Re: Volume Muzzletoff, Good Point. I'd forgotten that.Volume yesterday was 890k. largest daily volume for at least 3 months, and over 10 times the daily average. Just looked at the chart & it seems there was a higher volume early in March. Presumably when IP sold & Schroders bought. So let's hope it is another institutional buyer.
Muzzletoff
26 Oct 2016
Re: Volume HardboyI missed the volume figures for yesterday.This is a close period for the Company, pending the release of full results, so technically the Directors shouldn't sell at this time as they are deemed to be in possession of price sensitive information.The price sensitivity has been diluted a little bit by the earlier trading statement, so doesn't totally rule it out. But the lack of announcement today suggests maybe no Director sells.It would be a worrying sign if there was. Once the CEO has done it there must be a temptation by others to follow suit.
Hardboy
25 Oct 2016
Volume Large Volume today. I hope it's not more director sales.
Muzzletoff
01 Sep 2016
More Director change Looks like another non-exec has been signed up. That slightly seems to increase the status quo for non-exec representation, as the last appointment filled the gap left by Sean Lippel's exit. Maybe another non-exec is approaching rotation towards the exit door, under the Corporate Governance rules, having served 5 years?Obviously they are ticking a few useful boxes by having more female representation at board level, which if they are experienced (which they appear to be) is no bad thing. I guess it is not a significant cost in the great scheme of things.
Muzzletoff
25 Aug 2016
Re: Director change Decent volume of trades by Tracsis standards.Be nice to think it could be maintained, and get rid of that circa 20 to 25p price spread!
Hardboy
25 Aug 2016
Re: Director change It would not surprise me if today's large trades were something to do with director dealings too.
Muzzletoff
25 Aug 2016
Director change New non-exec to replace Sean Lippel.On the face of it Tracsis non-execs look like quite an experienced lot.I do note that one member of the non-execs sold shares which netted him circa £600K back in April. I have to say that worries me a bit, just from the point of view of the objectivity of that person.
Muzzletoff
22 Aug 2016
Re: PCTS Hardboy.I agree you have to question your own investments. Tracsis is on a juicy multiple (approx. 20x current earnings), so it is quite vulnerable to a downgrade due to performance issues.I think they do a reasonable job of calming PI fears, by setting out their acquisition criteria, and their cash generation speaks well for them.But acquisitive businesses do stumble and fall, and unlike stellar organic growth, it is harder to reconcile the complicated mix of the business model. Also, unlike say Melrose Industries, who buy big businesses, make them over-perform, and sell them on for a profit, Tracsis are pretty much the final buyer, and a much smaller player of course.. So it is in management interests (for options and the like) to maintain the line that performance is good, because the market tends to over punish under performance. That can start to corrupt how results are reported. Politician-like they start emphasising and rejigging the numbers to put a good spin on it. Let's face private investors have to be cynical. Test and prove that your investment is safe is not a bad mantra.
paccamac
22 Aug 2016
Re: PCTS There was loads of murmurings about Globo long before it blew up. For one thing their client list was all overseas from random companies no-one had heard of. Secondly, their accounts were a mess with reportedly huge profits but negligible cashflow and constant fundraising. These points were massive red flags.On the contrary, even if you knew nothing about TRCS you can see they don't take cash from the market and have bought 8 or 9 companies for hard cash i.e. retained profit. Even without reading the audited accounts this gives investors a lot of confidence about cash generation and quality of earnings.
Hardboy
22 Aug 2016
Re: PCTS I am heavily invested in Tracsis, and have been impressed with their business performance since I first came across them. I want them to be successful and grow well from here; and I was pleased with this morning's release. However I always try to take the rose coloured specs off when reading up dates from companies I'm invested in and look for negatives, because I try to challenge my own logic. Emotionally it is too easy to just see the positives of companies you are invested in and miss the negatives.The margin concern is genuine; but growing & acquisitive businesses often suffer from this and the long term prospects are good. Several comments regarding my Globo comment, as it seems to have sparked a reaction. 1) I am always nervous of investing in AIM shares, as this is where the fraudsters operate. The majority of AIM shares are perfectly sound; but if there is going to be fraudster, this is where they will be; so I'm more comfortable with businesses on the main market, and maybe Tracsis should look at moving up.2) I first came across Tracsis at a Shares Evening in London where 2 of the presenters were Tracsis & Globo - both lead by charismatic hands on CEO who engaged with retail investors and each with a reasonable personal holding in the business. Both had plausible business plans, good (audited) figures and impressive plans. The only difference to someone not at the cutting edge of mobile technology was I understood the Tracsis business I did not understand the Globo business. 3) Although Globo's operation was a fraud - it's easy to say that with hindsight, and (Grant Thornton I think were the auditors) did not pick up on this till too late. 4) As I said I understand Tracsis' business - condition based maintenance was something I was involved with in the past; but having read this morning's release I have no idea what Nutshell really do; and that worries me. Having said that it's a piddling little investment, so it is of no great concern. But it is behind nebulous businesses like that that Globo built their fraud.I am not suspecting Tracsis of anything other than building a successful business legally and doing what they can to improve shareholder returns. I am just trying to keep alert to any potential threats.
