.

Hey MR MOLE,good to see you on this one too!,

Don't forget this in the trading statement. Was it a warning of things to come?

"While this is an important part of the UK market it has always been and continues to be a volatile sector. Our strategy is not to grow this business further.."

Maybee its BIG enough for NOW!!

Hello.... I see same familiar names here on moneyam!!

Hi All,

I think the MM's will push on higher this afternoon, look out for MM buying again :)

Cheers,
PM

Haystack that is only a part of the statement, if anyone wants to see the full parts of the statement and not just a cut and copy of certain out of context words then the whole statement is in my earlier post.

Having grown revenue 75% on the year (100% between end of first half and second half) they say they have achieved best possible growth in that sector with best margin. They are now growing the Retail sector.

Corporate Synergy Forecast is 23 million revenue to be reported in the results and estimates 32 million next year, another nearly 50% increase again coming from the retail side which is where their focus is now.

Terrible deramping Haystack , you are showing how pathetic you are now.

Hi Paul will be watching for MM buying and also T trades at the end of the day.

Hi morj good to see you here, as you can see we have to keep Haystack and his failed deramping in order.

I'll be more than happy with a 0.2p rise each trading day, leading upto the results day.... (if I may be slightly more greedy)... and then we see real fireworks.... now that would be nice

;)

PP

But this is the part of the TS that is most imprtant as their growth has come from the calling card business.


"While this is an important part of the UK market it has always been and continues to be a volatile sector. Our strategy is not to grow this business further.."

Pal, i suppose views from either side help keep our feet on the ground and probably more aware of various probable scenarios, good or bad.... we all have a part to play in our own humble ways i guess.......our own interests resulting in the greater good somehow.... that's the power of the market forces!! It's definitely great to have the market on our side!!

:)

Another point is the VOIP expansion as EVS have an appropriate VOIP infrastructure for outgoing international calls but are building for a cost-effective full UK coverage to BT etc when BT's 21st Century Network comes on line. (Cardiff will be first city in March 2006 with full roll-out by 2008)

Lots more growth coming in the years ahead.


The VOIP info from the very useful poster unionhall who has done much detailed research on Envesta !

Yes morj I am very happy for negative views to counter positive and it makes good assesment possible, but to take a few words out of context or try to compare with IDN when they are in different circumstances is poor. Never mind, onwards and upwards.

Haystack why not put in the other part of that paragraph;

'Existing Managed Wholesale Business

The Managed wholesale business continues to operate in a very important part of
the UK International market-place. Our current commissioned research shows that
the market for International telecoms via a pre-paid calling card remains
significant at 495 million per annum(1). While this is an important part of the
UK market it has always been and continues to be a volatile sector. Envesta
competes in this market by continually seeking new niche opportunities.
Our strategy is not to grow this business further, but use it as a foundation
from which to move deeper into retail products thus removing our reliance on
this single market.'

Or do you not want people to see the move to retain current levels of card business and then grow the retail sector ?

Corporate Synergy on the 2nd Sept forecast revenue up from 23 million to 32 million giving 50% growth coming from the retail side in the coming year, looks fine for me.

I love this someone challenged me that the Hemscott Premium information I copied over was false about a Corporate Synergy 2nd Sept forecast. So I checked and copied it over and there has been an update, Corporate Synergy said same again but now on the 9th Sept. This is why the buying started this Monday as they reiterated on last Friday.

Envesta Telecom PLC
Detailed Broker Forecasts



2005 2006
Broker Date Rec Pre-tax () EPS (p) (p) Pre-tax () EPS (p)
Corporate Synergy 09-09-05 None 1.10 0.34 2.00 0.66
Seymour Pierce 22-07-05 BUY 1.10 0.30 2.00 0.57

Consensus 1.10 0.32 2.00 0.62
1 Month Change -0.00 0.00 0.00 0.01
3 Month Change -0.00 0.00 0.00 0.01

I agree with you papalpower..... any comments made, positive or negative, should be sufficiently backed up by facts & figures.... taking them out of context is misleading & can be financially harmful.

Online I am currently being offered mid price for a dummy sell of 30,000 shares, a tick up soon methinks :)

Cheers,
PM

Yes Paul one just went through for a 100K sell at mid price.

Moving up this afternoon I think too.

Some good information for newcomers and you can trust unionhall in my opinion !


unionhall - 29 Jul'05 - 15:38 - 14754 of 19109 edit


Folks,

I've just had a good discussion with Kevin McGovern.

First of all the company are surprised and disappointed by the market reaction to the Statement. It had been reviewed by the usual advisors etc and noone had foreseen the reaction.

Financials first -

He is very clear on the top line, gross margin has some wiggle room in case of the audit throwing up adjustments and the bottom line PBT which they refer to as market expectation is the 1.1m and again they are conservative to ensure they meet this target.

The significant investment spoken of is not capitalised but expensed in getting to the 1.1m PBT target.

Working Capital issue is arising simply from the business growth and the differing terms to debtors and creditors.

It will be dealt with if possible in line with any acquisition in the six months to December.

They are acutely aware of shareholder value and are looking at the various funding options.


They are not planning growing the Wholesale element of their business further but this is based on current runrates (my estimate approx 22-24m pa). They believe they have achieved the level at which they can retain adequate margins etc.

Acquisitions if they happen will be on the Retail side and they are talking to a number of targets at the moment as the RNS mentions.

The VOIP confusion is around inward vs outward traffic. They have appropriate VOIP infrastructure for outgoing international calls but are building for a cost-effective full UK coverage to BT etc when BT's 21st Century Network comes on line. (Cardiff will be first city in March 2006 with full roll-out by 2008)

To help investors understand this he is hoping to put some slides on the website.

The company are happy with the CCR roll-out but being a conservative he mentioned it is still in its infancy so impossible to trend at this stage.

"The company are happy with the CCR roll-out but being a conservative he mentioned it is still in its infancy so impossible to trend at this stage. "

That's alarming bearing in mind that EVS say that the callng card maket is volatile and they will not expandin that area. It was from that area that their growth came from. So waht is it now? - No growth?

What on earth has that got to do with the sentence you quoted?

Do not worry just Haystack at his pathetic deramping efforts.

Haystack 1/10 on that one.

Corporate Synergy 9th Sept forecast revenue increase to 32 million for the new year, up 50% from the 23 million or so to be reported soon. Growth in all the retail side, its impossible to trend, that is likely due to exponential growth at start up, they have to wait until after the initial surge to trend how growth will be.

Cheaper Call Rate (www.cheapercallrate.com) is a retail international calling
product that delivers higher margins whilst continuing to utilise the Seven
Telecom Network asset more efficiently. It also uses most of the existing
back-office infrastructure that has been developed over the last two years. I am
delighted to report that the product launched successfully on 28 February 2005,
and looks set to deliver our expectations in the second half of this year,
moving through to strong profitability in the next financial year.