Initiation Report archive

G3 Exploration Limited - Operational update


G3 Exploration (LON:G3E), previously Green Dragon Gas, published an operational update for its Baotian-Qingshan (GGZ) Block, located in the Guizhou Province of Southern China.

Published: 10:22, 05 Mar 2018

Plastics Capital PLC - Trading Update


Plastics Capital (LON:PLA) released a trading update on March 1st, for the year ending March 31st. The company reports that trading remains broadly in line with market expectations. Revenue growth has remained strong in the second half, particularly in the Films division, reflecting the company’s programme of investments in expansion. In terms of profitability, the...

Published: 09:55, 01 Mar 2018

Sanderson Group Plc - Reputable Track Record of Growth


Sanderson is a well established software and IT service provider in the UK. The company has a proven strong revenue model and a reputable track record of delivering both organic and acquisition-led growth. The Sanderson shares climbed 18% during 2017 and we believe the share price has more room to grow. We find Sanderson well poised in the growing multi-channel retail...

Published: 15:17, 26 Feb 2018

Crossrider - Still More to Come


Crossrider Plc (LON:CROS) is a B2C software business focussed on security/privacy and performance solutions. The company operates three core brands:        

Published: 11:28, 22 Feb 2018

Evgen Pharma PLC - Harnessing Sulforaphane's Therapeutic Properties


Sulforaphane, a natural compound first isolated from a precursor in Brassica plants, has shown therapeutic potential, but has also proven too unstable to be manufactured as a drug on commercial scale. Evgen Pharma (LON:EVG) has developed a proprietary technology - Sulforadex® - that allows the synthesis of sulforaphane in the form of a stable, solid powder that can...

Published: 13:53, 21 Feb 2018

Rose Petroleum - Update on 3D seismic data interpretation


Rose Petroleum (LON:ROSE) announced the completion of the initial structural interpretation of the 3D seismic data it acquired over its Gunnison Valley Unit (GVU) which is part of its larger lease holding in the Paradox Basin, Utah, U.S.A. As a result of this work, key geological structures and multiple drilling targets have been identified, with to date 53 well...

Published: 08:56, 07 Feb 2018

PCF Group - Forecast Update


Following the release of the 2017 full year results for the financial year to end September 2017 on the 5th December 2017, and ahead of the release of the 2017 annual report due on the 6th February 2018, we have updated our forecasts for profit and earnings for the period 2018e to 2020e.

Published: 11:45, 29 Jan 2018

Avacta Group Plc - On track and undervalued


At the AGM of January 18th, Avacta reported good progress for both the Affimer therapeutic and reagents programs. Their lead immuno-oncology development program is proceeding according to plan and multiple development milestones are expected in the course of 2018 (see next section for further details).

Published: 10:18, 24 Jan 2018

Genedrive -On Track to Launch the First CE-market Decentralised HCV Test


Overall Genedrive PLC (LON: GDR) reported a business and financial update for the six months to December 2017 in line with expectations Launch preparation of Genedrive® HCV test with partner Sysmex on track, expect sales to start coming through in CY2018 £1.3mln income from the ongoing collaboration with the US DoD, in line with...

Published: 09:48, 18 Jan 2018

Spirent Communications Plc - Smarter Connectivity


Spirent Communications is a world leader in providing products and services for test and measurement of communications systems across fixed and mobile voice, data and video applications and networks. In this report we argue that the company is positioned for increased earnings growth in the coming years, based on the success of the recent cost-base reduction program,...

Published: 15:24, 08 Jan 2018

McColl's - Positioned to Succeed


McColl’s (LON:MCLS) is one of the UK’s leading neighbourhood retailers, with a growing estate of over 1,600 managed convenience stores (80%) and newsagents (20%). The term “neighbourhood” refers to residential locations, for example villages or housing estates, which tend to mean a loyal customer base and little immediate local competition.  

Published: 14:22, 08 Jan 2018

Northbridge Industrial Services Plc - Taking the long view


Northbridge Industrial Services plc (LON:NBI) hires and sells specialist industrial equipment to industries including utility companies, oil and gas, shipping, construction and the public sector. The customer base spans major markets globally (see chart p2). Northbridge Industrial Services plc (LON:NBI)  has two core operating activities.

Published: 14:09, 08 Jan 2018

Harvest Minerals - It Remains All About Cashflow


The key attraction for investors here is significant, near-term, cashflow generation. The simple, low cost, low capex Arapua fertilizer project has begun production on a trial mining basis. We believe the company can generate free cashflow yields of between 30-80%pa from Arapua, based on a range of reasonable sales price & volume assumptions. The most likely outcome...

Published: 10:45, 13 Dec 2017

Green Dragon Gas - Plans to List Production Subsidiary


Green Dragon Gas Ltd (LON:GDG) announced its plans to list its production subsidiary on the Hong Kong Stock Exchange as a dividend in specie. This operation requires shareholders’ approval and a vote will take place at the AGM to be held on 20/12/17 at 11:00 am. We expect the details of the listing, in particular the shareholding structure of the listed entity as well as...

Published: 08:35, 13 Dec 2017

PCF Group PLC - Final Results 2017


PCF Group Plc (LON:PCF) announced full year results to the end of September 2017, on the 5th December. The newly established specialist bank, which only received UK regulatory approval to accept retail deposits in July, has delivered a strong set of results, exceeding market expectations and beating our forecast for portfolio asset growth by £1m. The recent strategy to...

Published: 12:48, 12 Dec 2017

Diploma PLC - Precision delivering results


Diploma PLC is an international group of businesses supplying specialised technical products and services. The company acts as a value-added distributor of products sourced from third parties. The high value-add business model produces strong operating margins – 17-19% in the last 5 years. 

Published: 09:17, 11 Dec 2017

Morgan Sindall - Secular Growth Trends


Morgan Sindall (LON:MGNS) operates in construction and regeneration, with activities in partnership housing, UK infrastructure, office fit out, and general construction. Morgan Sindall (LON:MGNS) operates through six divisions:  Construction & Infrastructure, Fit Out, Property Services, Partnership Housing, Urban Regeneration, and Investments.

Published: 13:58, 06 Dec 2017

Plastics Capital Plc - Reaction to the Interim Results


Plastics Capital Plc (LON: PLA) reported interim results (H1 end Sep 2017) on Wednesday 6th. These show positive progress on new business wins, reflected in the H1 organic revenue growth of 13.5%, and an increased pipeline of new business (see chart p2). At the same time the company guided to a less favourable margin mix for FY Mar 2018, with some projects delayed in...

Published: 10:31, 06 Dec 2017

Stride Gaming Plc - Eye Catching Metrics


Stride Gaming (LON:STR) is a leading online online gaming operator, working within the regulated markets, with a top 4 presence in the UK bingo market. Stride recently reported FY Aug 2017 results which confirmed strong operating progress, cashflows, and balance sheet. The UK bingo market continues to grow at mid-high single digits, and within that Stride has been...

Published: 08:36, 04 Dec 2017

Widecells - Fast-growing Provider of Stem Cell Services


WideCells Group PLC ( LON:WDC) was originally set-up in 2012 in Portugal, as a provider of stem cell storage services for the Portuguese and Spanish markets. In 2016 the company was listed on the London Stock Exchange, raising £1.7mln - net of fees, largely used to establish a new research and storage facility in Manchester, UK and to support the ongoing international...

Published: 13:02, 30 Nov 2017

Norcros PLC - Smartest player in the smallest room


Norcros PLC (LON:NXR) is a market leader in supplying innovative branded showers, taps, bathroom accessories, tiles, and adhesives. The company operates a multi-brand strategy, with operations primarily in the UK and South Africa.

Published: 11:05, 30 Nov 2017

Gamma Communications - The Beauty of Being Different


Gamma Communications (LON:GAMA) is a communications services provider to the UK business market, with a focus on specific services where the company has a competitive edge. The share price has dramatically outperformed UK business telco peers in recent years (chart p2). In this report we focus on some of the key differentiators.

Published: 14:19, 27 Nov 2017

Robert Walters - Leadership Through Experience


Robert Walters PLC (LON:RWA) shares have gained 79% in the last 12m, 219% in the last 5 years, strongly outperforming peers. We argue this is driven by growth in NFI (Net Fee Income), up 18% like-for-like in H1 2017, or 11.5% overall NFI CAGR in the last 15 years, with only one down year. In this report we examine some of the drivers which underpin this sustained...

Published: 13:55, 22 Nov 2017

Empresaria Group Plc - Perspective on the trading Update


Empresaria released a trading update on November 21st, lowering the expected growth rate for FY2017 PBT. This was due to the weak market conditions in the Mideast which were flagged in the H1 results, and also to changes in legislation in Germany. The German issue, also previously know, relates to rules restricting the length of tenure for contract workers (Empresaria’s...

Published: 13:15, 22 Nov 2017

Genedrive PLC: Overlooked Story Entering the Launch of their HepC Diagnostic Kit


Genedrive (LON:GDR) on track to become a commercial stage, point-of-need diagnostics company Launch of Genedrive® Hepatitis C (HCV) test at IFCC World Lab October 2017, with commercial sales expected in the coming quarters (African markets) Distribution agreement signed for HCV test for Asia Pacific Collaboration with the US Defense Department...

Published: 20:56, 15 Nov 2017