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Ekay - One to grow and grow (EKY)     

PapalPower - 19 Jan 2006 13:12

94373.pngChart.aspx?Provider=EODIntra&Size=283*18Chart.aspx?Provider=Intra&Code=eky&Size=
Main Web Site : http://www.ekayadvertising.com/

Investor Relations Web Site : http://www.ekay-ir.co.uk/

3 Year Financial Summary : Summary Link

Investor Relations E-mail : investor@ekay.co.uk

__________________________________________________________________

Latest Major Deals and News :

8th Feb 2006 : Notice of Results and Update : Link Here


5th Jan 2006 : Ekay joins AIM : Link Here

__________________________________________________________________

Company History

Ekay was established by Eddie Powell (Chief Executive) in October 1994 to create a full-service advertising agency specialising in direct response advertising to the sub-prime broking, debt consolidation and mortgage broking sectors.
The business was incorporated as Ekay Advertising and Marketing Limited on 20 April 1999.
Ekay's position now in the market is that of a specialist in direct response advertising. This is the process of providing advertising through media targeted at a specific audience, with the aim of creating a direct response from the consumer, typically an enquiry for a product or service. Ekay offers a complete direct marketing solution to its clients, utilising both off the page advertising and direct mail solutions. An advantage of direct response is its easy measurement of effectiveness, relative to other marketing forms. The Company offers a complete design and strategy service, for its clients.
The business has grown rapidly over the past three years into a significant direct response advertising agency in the UK, and on 24 November 2005, Ekay Advertising and Marketing Limited became a public limited company and changed its name to Ekay PLC, prior to its admission to AIM in January 2006.
________________________________________________________________

Shares in Issue = 37 million

Financial Half Year End 31st December
Financial Full Year End 30th June

Interims are due in February 2006

________________________________________________________________.

Notice of Results Ekay PLC 8th Feb 2006

Notification of Interim Results

Ekay PLC, ("Ekay" or the "Company")the full service advertising agency which
was admitted to AIM last month will announce its interim results to 31st
December 2005 on 20th February 2006.

This will be Ekay's first set of results as a quoted company and are expected
to show a period of achievement higher than at any time in the Company's twelve
year history.

________________________________________________________________

Extract from www.allnewissues.com write up, conclusion was buy if you can get your hands on some.

Background - Ekay, a direct marketing business, is a profitable company, throwing off cash of around 750,000 a year. It had bank balances of 1.7 million at the year end to June 2005 and is currently valued at a very reasonable 7.9 million
Operations - Edward Powell learnt the tricks of the advertising trade at The Mirror Group, where he spent a few years selling advertising space to both financial and advertising companies. Convinced that a full service advertising agency was the way ahead, he set off to start his own business specialising in direct response advertising, selling to the sub-prime broking, debt consolidation and mortgage broking sectors. Ekay was born in 1994 and the business was incorporated as Ekay Advertising and Marketing Limited in 1999. The company now provides specialist advice to clients, telling them how best to use various forms of media to get the message across to their target audiences. The focus is on direct marketing which facilitates immediate response, allowing the client to calculate the exact return on advertising spend. Ekay claims to have a history of long term relationships with its clients, some of whom have been on the books since 1999. Ekay's current focus is television, and the board believes it is a 'recognised expert and market leader' in this niche sphere. It is hoping that its entry into new media - SMS, text messages and web advertising - will boost its sales and push its profits higher. The business focus is on the financial services sector at the moment, but recent contract wins seems to have pushed the company into other areas.
Business Development - While the business is charging ahead in terms of organic growth, Powell is keen on buying smaller, complementary marketing services in order to enhance profits growth. Ekay has set up a design department to provide online media services, in house. The team has also identified regional marketing opportunities and might establish regional hubs. Ekay is confident of maintaining its position in the market as it sees advertising spend increasing, digital media becoming more popular, and technology improving. Most of EKay's revenues come from commission generated by the owner of the media space. It also charges a one off fee for its design and consulting services. And while it has predominantly catered to the financial services sector, Ekay has started working with national car dealerships, surgery clinics and shopping centres. The business has a strong record of profitability and has recorded consistent growth over the last three years. While turnover has more than trebled from 6.4 million in 2003 to 20.1 million in June 2005, profits have quadrupled from 208,299 to 751,550 in the year to June 2005. There is clearly no immediate need to pass the hat around as the company has stated that it has working capital to survive for another 12 months.
In the first half of the current year, trading levels have been encouraging. The group has added on six new accounts to its client portfolio and client billings for the first quarter has been the highest since the company's incorporation. The icing on the cake - the business intends to pay out a large chunk of its profits in dividends.

___________________________________________________________________

My feelings on EKY, firstly they have cash in the bank (around 1.7m) but earnings enhancing acquisitions could be done cash, debt or the paper way . If you look at EPS, then on a historic basis with profit after tax being 751K for year to June 2005 then last year EPS was 2p so at 25p they are on a historic PER of x 12.5. Considering there should be a very decent dividend paid out, that to me is too low, and with earnings enhancing acquisitions being lined up, I see potential for some very strong growth with plenty of earnings upgrades and a rising price. Worth having a holding in I think, things could get exciting come interim results in Feb.

skyhigh - 25 Apr 2006 15:14 - 116 of 151

What the h%@ll's going on ! Bid hiked to 30p?
doesn't make sense... something sinsister going on here !?
(not complaining though!)
Is there some good news about to break ?

britshare - 25 Apr 2006 15:25 - 117 of 151

Golden cross soon to be formed?

britshare - 25 Apr 2006 15:29 - 118 of 151

I've just pushed the bid up to 32, got myself another 3000.

skyhigh - 01 Jun 2006 18:29 - 119 of 151

From the Feb results....
'In the second half we plan to increase our infrastructure through recruitment
and improved internal facilities enabling us to provide a consistently high
level of service to all our clients, both new and established.

'We have a keen eye on growth through acquisition opportunities and are
considering a number of earnings enhancing, synergistic targets and look
forward to the second half with confidence.'

As we enter the last month of the current FY does anyone have any news and views on what might be going on ? and what we might expect ?

PapalPower - 02 Jun 2006 01:41 - 120 of 151

skyhigh, with the present market sentiment they might put it back a little ?? I do not know.

britshare - 20 Jun 2006 11:45 - 121 of 151

Final results out on the 30th?

2517GEORGE - 20 Jun 2006 11:51 - 122 of 151

britshare, I wouldn't think so that's their year end date, results maybe 6-8 weeks after the year end.
2517

britshare - 18 Jul 2006 15:09 - 123 of 151

The supertight Bolinger Bands suggest we should move sharply out of this range soon:

Chart.aspx?Provider=EODIntra&Code=EKY&Si

2517GEORGE - 18 Jul 2006 15:27 - 124 of 151

Up or down.
2517

britshare - 18 Jul 2006 15:34 - 125 of 151

It is all a guessing game at this stage, but I'd say up. The share price has held relatively well considering the current market conditions. Granted, the trading has been thin to non-existant, but that might change if we get news on any potential acquisitions the company has set out to do this year.
Anyway, the results should get us moving in the right direction.

skyhigh - 26 Jul 2006 07:43 - 126 of 151

Wonder if this will get us going in the right direction ?




Ekay PLC

Trading Update

Ekay PLC, ("Ekay" or the "Company") the full service advertising agency,
announces an update on trading following the year end of 30th June 2006.

The positive trend as outlined in the Company's Interim Results statement has
continued into the second half of the year. Preliminary results, which will be
announced in early September, will report an excellent year of trading, with
turnover considerably higher than in the preceding year. Accordingly, profits
will be in line with the expectations set at the time of the Company's
admission to AIM in January 2006.

Ekay's infrastructure has been strengthened through additional staff
appointments across all areas of the business and the Company is well placed to
build on its position in providing a first class client service. The client
base has expanded during the period with diversification into a wider range of
industrial groups. This, together with possible earnings enhancing
acquisitions, will lead to continued growth in 2007 and improved quality of
long term earnings.

The Directors and staff were gratified and proud to win the company of the year
award against 33 other nominations at the recent Kent business awards, thus
bringing a fitting conclusion to an exciting year.

26 July 2006

PapalPower - 26 Jul 2006 07:54 - 127 of 151

Good news :)

britshare - 26 Jul 2006 08:54 - 128 of 151

A nice and und expected trading statement. Hopefully the trading will pick up from now on, with results reported in early September.

britshare - 26 Jul 2006 09:07 - 129 of 151

Interesting to see bid higher than offer. Doesn't happen often :)

skyhigh - 26 Jul 2006 09:47 - 130 of 151

would've been nice to a statemt that said results will be ahead of expectations to really set things alight ! however, it's encouraging that the sp has not gone down (yet!)...

Let's see if there's a gradual increase in the sp up to results...

britshare - 26 Jul 2006 09:52 - 131 of 151

Skyhigh, the market is a strange place. One of my stocks reported double turnover and double profit in its annual report and it's been falling since...

skyhigh - 08 Sep 2006 16:42 - 132 of 151

"Preliminary results, which will be announced in early September, will report an excellent year of trading"

Well, early Sept is nearly over... should see the results released next week ?

skyhigh - 12 Sep 2006 10:16 - 133 of 151

beginning to move up a little... watch this space!

skyhigh - 04 Oct 2006 07:51 - 134 of 151

should we be concerned that the results seem to be delayed.. is this a sign of bad news due or there is something else the're working on ?

britshare - 06 Nov 2006 12:52 - 135 of 151

Looks like news is on the way!
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