Activities

Provision of secure transaction systems and services to the international banking, telphony, retail, and security markets, using a range of smart and magnetic card solutions

In the recent Agm the chairman said "the company has made a positive start to the financial year and the board remains optimistic about prospects for the business."

Pre-tax losses have also nearly halved from 6.4 mln to a loss of 3.4 mln on cost cutting. They have also had a successful fund raising.

Also chart indicators show that it may be time for the next leg upwards past recent resistance at 7.5p. and please remember you are responsible for the timing of your own buying and selling actions.




gf.

I'm still holding bought loads @ 11.75p. Will continue to hold as the company is heading the right direction.

Azhar - do you have any idea what flavour the results will have?

anybody know for definate when the interims are ? a few people said the 18th dec , is this a definate date?

Yes,the 18th it is

Does anyone with L2 know why the mm's have dropped the price by 16.6% when the buy volume outwiegh the sells 34:1?

It opened down (@5.75) The question is whether they dropped the price to get some stock and the 280,000 sale fell out of the tree, or if the 280,000 was sold pre-market hence the drop. My view is that they wanted stock as they know the results tomorrow are going to be fantastic! (ever the optimist - lol!)

Fantastic results? - hope you're right!

Yes one to ponder over!!!!!!!!!!!!!!!!!!!

gf.

whats L2 and where can i look to see buy and sell volumes for individual companies? also , i am optimistic that the results are going to be good .

well i dont really know what to say about todays results. some good , some bad things. but i do like chairmen who look long term instead of short term gain .

Yes not too bad (for an optimist :-) ) I was actually suprised to hear them mention national ID cards. I thought that was mostly in the minds of investors but there it is in black and white...

"Continued investment in sales and product development will improve the
contracted customer base. The company is well positioned to supply Chip and Pin
cards to the UK and international banks and has already received firm
indications of commitment.

Similarly, major marketing activity around Origin-J, the full Java smart-card
solution, has led to significant interest from end users, competitors and
governments. We see the technology being adopted initially in the GSM, banking
and National Identity Card smart-card application areas. Origin-J remains the
only full Java J2SE VM technology available for smart cards globally. As a
result of our continued confidence in this technology, we have undertaken to
increase our investment in 180 Software in the expectation of licence sales over
the coming years."

Had this item e-mailed to me.

Smart jury still out on ID Data

Published: 17:01 Thr 18 Dec 2003
By Joanne Wallen, Associate Editor
Email to a friend


ID Data's results show an expected drop in turnover and an increase in losses, but the chief has not given up on the story that next year will be good and, contrary to rumour, has increased his holding in the company.

Peter Cox did actually sell 200,000 or 2 million shares in October, which, he told Citywire, was to put cash into one of his other businesses. He was then alleged to have sold a further 10 million shares, which in fact he simply transferred into his pension scheme. However, this triggered a series of comments on bulletin boards suggesting that he had lost confidence in the smart card business.


Cox said he has actually increased his stake in the past year, particularly since he has taken a 400,000 convertible loan note, which will convert into the equivalent of 7.3 million shares. He owns 37,377,027 shares in the company, a net increase of 3,146,842 shares since 1 January 2003.


Cox said today's interim results to 30 September were exactly as expected and as explained to investors that backed the company's 3 million placing in August.


Turnover was down 48% on last year at 5.4 million due to last year's inclusion of a big deal for cards for the launch of the Nectar loyalty scheme. Losses were up to 1.7 million from 1.3 million last time.


However Cox stressed that all development costs at ID Data (IDD) are expensed, the company has cut costs without impairing its production capacity, and while the rest of the year is expected to show some growth, Cox reckons 2004 is looking strong.


'We are building the order book very nicely,' Cox said. Most of the orders the company is now taking are for chip-based smart cards, Cox said, where to date much of ID's business has still been in supplying magnetic stripe cards.


The company is still waiting for a big push from the major UK banks toward providing everyone with smart cards, but with Visa and MasterCard having set 2005 as a deadline for all banks to become smart card-compliant, things should start to move next year.


ID Data has also invested in 180 Software, the company that developed its OriginJ Java software engine. Java is a programming language and environment that enables applications to be written once and run on any kind of device. OriginJ enables anyone with Java training to write applications that will run on a smart card, and Cox still holds out very high hopes for it.


As part of the deal ID Data has also extended its exclusive licence for the software for a further ten years.


It does sound like 180 Software was seriously in need of some cash, but Cox's positive spin on the situation is that by taking some equity in the company, ID Data could get a double whammy, benefiting twice from the success of the software.
It has to be said that ID has not yet sold any licences for OriginJ, but Cox said there are fifty evaluations going on as we speak.


A-rated Roger Whiteoak holds 1 million shares in his Framlington UK Smaller Companies fund and 12.8 million shares or 5.99% in his Throgmorton Trust, although he offloaded 100,000 shares at the end of October.


Technology entrepreneur Michael Jackson, chairman of FTSE 100 accounting software company Sage, bought a small stake recently but sold 200,000 shares at the end of November leaving just 160,370 shares in his holding.


Shares are currently up 0.25p at 6.125p.


Citywire Verdict:


We said in August at 4p that this was one for the high risk punter and the same still applies.


Frankly there is little trading success factored in to the current share price, and the renewed call for money in the summer shows that things are still very tight.


There are still plenty of 'if's' in this story, but if banks start adopting smart cards pretty quickly and if they chose ID Data as their supplier and if the company can sign a couple of OriginJ licences and if OriginJ really takes off, there could be massive upside in this stock.


However if none of the above, it will be downhill all the way. Chose your preferred scenario. ENDS.

Well Im sticking with this one.

cheers GF.

Thanks for that GF, excellent input
Count me in too, all the way!

very interesting and informative article gf.i feel better about putting these to one side and hopefully being able to forget about them for a while.looks like a good medium to long term play ........if , if , if , if ...........lots of ifs , so i will be keeping an eye on it too.

Some very exciting if's though. I've been reading a bit about the origin J technology and reckon it could be huge, not only in itself but in promoting novel uses for smart cards as it opens up the smart card as an easily programable (and cheap) software delivery platform. It also allows a different breed of programmer to think creatively about how they might use such technology. I reckon if ID data can sell this right and think 'outside the box' then there are some whole new big markets for smart-cards here.

Thanks for your post GF, it has restored some confidence that this company and smart cards is a smart share for investors mid to long term. And thinking a little 'outside the box' and the application of compulsory National I.D. & Bank smart cards which are huge markets, with these and a tie-up with applications for the new smartphones and telematics systems and the potential becomes enormous.

GF,

thanks for the post..
I will copy this to other BBs if that's ok.
I wonder if COX sold to invest in Origin-J

Starting to stir at last. Heard that Capital one are ready to place a large order.

cheers GF

GF where did you here that rumour ?