Patientline is begining to reach critical mass with its penetration of the NHS.
This from their website:
"The market-leading pioneer of bedside communication and entertainment services within the NHS healthcare sector since 1994.
We offer a comprehensive solution partnering Trusts in delivering digital TV, telephone, free 24hr radio, internet, email and information services direct to bedside.
Our state of the art technology delivers a range of Trust focused facilities designed to reduce hospital staff workload thereby improving patient care.
Patientline is exclusively focused on providing bedside services and remains committed to improving the hospital experience for patients and streamlining patient care for our hospitals.
Patientline continues to be the market leader in offering bedside communication and entertainment services."

A round of fundraising in June 2002 saw the company raise 128m - this on top of 40 from its flotation in March 2001.
On 15th December, PTL delivered a strong set of results which reassured many in the city that the company is on track to corner the patient bedside information/comms/entertainement niche in the NHS.

The rollout is going to plan and PTL now has 51% share of the hospitals in its target market with 19% yet to decide.

Revenues are now at 16.1m - up 77% in the first half, with operating margins up from 44% to 50%.

PTL's business plan is augmented by the Government's Patient Power Directive which is promting bedside TV and communication services and has stipulated that any hospital >400 beds must have contracted a service provider by end of 2004.

However compelling the core business is , the exciting kicker here could be provided with the possiblity of dislpay of electronic patient records at the bedside. For anyone who has worked in the NHS and experienced the frustration of being slow - or even unable - to find patients notes, especially in emergencies, this could be very important if PTL's network is used to facilitate the bedside delivery of the Integrated Care Records Service.

Techncially, the stock looks strong having broken out of a 4 month consolidation.
Next level seems to be around 1.40 however any more positive newsflow could drive it quickly back to old highs over the 2 mark.
With the next few months seeing a number of key NHS IT contracts being awarded, 2004 could well be a pivotal year for PTL.

Please DYOR.

I have a brokers note should anyone care to read more - email me at ninadan@hotmail.com
http://www.patientline.co.uk

Just opened a new position in these. Looks like it as a monopoly position in the NHS in its business. Cat says 220p next level up, good stuff. Not doing so well today mind a lot of small caps arent. Think were waiting for the off from the Yanks.

cheers GF.

Not a good day for the majority of small caps.

cheers GF.

Just read through the last broker report on these from Evolution Beeson gregory an 8 page report and it makes for superb reading.

This company have a virtual monopoly of the Uk market and Holland.

It really is a cracker of a growth stock and worth buying on the broker note alone. Will post more of it out in the morning.

cheers GF.

Some of the main points taken from the Evolution Beeson Gregory BUY note published just recently..................

1. Under the Governments Patient power directive, it as a virtual ownership of this market under long 15 year contracts and has huge potential for the future.

2. PTL now has 51% share of the market in its targeted range with 19% still to decide.

3. Operating margins before central costs have improved from 44% to 50%.

4. At present the enterprise value of the business is 114.2 million and increasing.

5. In England the government as now stipulated that the very large hospitals with greater than 400 beds must have selected and contracted a provider by the end of December 2003 and the services installed by the end of 2004.

6. Present revenues continue to be based primarily on phone calls and Tv charges, but other revenues from the internet and e-mail are at an early stage.

7. New revenue streams coming online, include catering menu- displays and menu ordering, screening of information videos and advertising, and satisfaction questionnaires.

8. Electronic patient records will provide significant extra revenue streams, this is seen as a massive new area.

9. PTL has a massive presence in Holland and further growth is seen there.

10. Cost are being reduced all the time through economies of scale, and EBITDA margins have been maintained above 20% despite the growing network.

11. Critical to the company is the cashflow position and cash of 1.7million was generated in the last 6 months which more than covered interest charges. This is a big plus as it highlights the commercial viability of the model once the sites become mature.

12. Terminals most are now second generation models which offer , telephone, e-mail, internet, radio, TV, as well as access to the hospital intranet. Patients are charged for usage whilst Patientline staff are on site to maintain the units and provide customer care. ENDS

All in all an excelent Business model I feel and one worth backing.

The only doubts I had before reading this note was the cash flow position, but my mind as been put at rest by the figures produced within the report and also the last company interims.

cheers GF.

Strong looking TA and chart.



Positive Candidate (Medium term) - Jan 20, 2004
Has risen 279% since the bottom on 4 Apr 2003 at 38.00. Has broken the rising trend up. This signals an even stronger rate of growth.

Period Vol.bal. Volatility Liquidity +/- %
1 day - 1.41% 64.34 -1.03%
5 days 39.25 6.07% 54.46 +7.46%
22 days 31.10 19.42% 42.61 +36.49%
66 days 42.92 43.85% 25.48 +85.81%

cheers Gf.

still in the blue and going north.

cheers GF.

From Robbie Burns Frequenttrader...............

The market makers are up to their usual tricks with Patientline, a rise followed by a lunchtime dip - come on guys you're not fooling anyone - all us holders have to do is wait for this one to hit 200!

Yup and 200p seems a little conservative to me Robbie.

cheers Gf.

Big holders are being bid for stock by the market. Something could be going on here.

Great news cat its up 4p aswell. Many thanks for the tip, I really think we have a gem of a share here. I initially was fearfull of the cash flow as I am with any cental government and local government orientated business, but when I went through the accounts I saw that net cach inflow was positive and cash generated was easily eating up interest paid. Well done a real find.

cheers GF.

I make 1.80 next level - but any positive news and then could fly st. thro to 2.20

Exciting news indeed cat and they are flying this afternoon despite the best attentions of MMs to try and keep them down. Will have to have a look at the free float on this one.

cheers gf.

A few words of experience from Robbie burns the Frequenttrader........

Patientline continues its excellent progress, there’s the same pattern every day – up 3 or 4p, then a tree shake with a markdown and then it rises back up later.

cheers Gf.

Hoping this one goes up then like Robbie Burns points out above.

cheers GF.

A fantastic piece of research from the Robbie Burns site..........

The mm's continue to play with Patientline - they keep trying to scare out holders but it is not happening and the shares will continue to rise I reckon. A couple of interesting comments from readers regarding Patientline: One reader reckons:

"This company will in my opinion, do very well if they can keep up with the expenditure of installing each site which averages 1.5 million- for an average of 350 beds, approx 4300 per bed head. Given that each bed generates approx 5 per bed head, per day the repay period is approx 860 days.

It is estimated that each hospital will have an installed lifespan of 5 years, before terminals and cabling need replacing, giving a notional profit of 2.1 years per bed head at 5 per bed head per day.

The cost of maintaining the site is also minimal. This will improve obviously if they can push up revenue per terminal. This will generate some serious cash surpluses."

And Dave comments: "My daughter has just spent 4 weeks in a hospital with Patientline installed. It cost me a fortune and everybody was using it.

TV 3.20 per day, Phone inbound 39p per min off peak, 49p per min peak, outbound 10p per min. Internet 10p per min. Kids under 16 get free tv and over 65's get half price tv.

I haven't done the sums, but bearing in mind they are not installed in 50% of UK hospitals yet and they have got a captive cash customer base you might need to review your target price.


regards Gf.

got the latest note from Evolution on PTL - out today - still rating it as ADD - update outlines the potential for the electronic patient records delivery ...

anyone want a copy email me ninadan@hotmail.com

Cheers cat got a copy from a pal and here it is very upbeat aswell.........

Evolution Beeson Gregory

Patientline (PTL) Add (unchanged)

Mkt cap: 133m Net cash: -26m

IDX success bodes well for Patientline
Fujitsu, partnered with IDX software, has won the last of the 5 LSP regions
up for tender. IDX is already the supplier in the London region where it is
working closely with Patientline in delivering records to the bedside.
Fujitsu Services has been appointed the Local Service Provider (LSP) for the
Southern cluster; including Kent, Surrey, Sussex, Hampshire and the Isle of
Wight, Berkshire, Oxfordshire, Buckinghamshire Somerset and Dorset, Avon
Gloucestershire, Wiltshire, Devon and Cornwall; an 896 million contract.

The Fujitsu Alliance, includes IDX Systems as preferred supplier for the core
clinical applications, whilst iSoft had been partnered with Plexus in this
tender. Although the iSoft share price weakened on the news, the failure of
this bid still leaves iSoft with 3 of the 5 regions, a very creditable result which
will underpin revenues for the foreseeable future.

The IDX success is a good geographic fit since it already supplies many of
the clinical applications in the London region, and indeed is part of the BT
alliance which won the 996m tender for the London LSP region. It is good
news for Patientline, which already works closely with IDX to supply
electronic healthcare records to the patient’s bedside in London. One of the
hospitals leading this innovative area is the Chelsea & Westminster Hospital
where IDX supplies its LastWord integrated care records system using
Patientline to deliver the information to more than 600 bedsides. Similarly
the UCLH will be deploying IDX’s system, this time to over 1,000 beds.

Patientline continues to roll out its network on track, and it should receive a
significant boost from additional revenues earned by delivering electronic
healthcare records securely to the bedside. The market environment is very
much moving in Patientline’s favour and in spite of the steady rise in the
share price we continue to rate the stock an ADD.

cheers GF.

One for cat to have a look at.

cheers GF.

Plexus Secures Exclusive Supply Chain Contract With Patientline PLC
PR Newswire (US)
05 February 2004
[What follows is the full text of the news story.]
NEENAH, Wis., Feb. 5 /PRNewswire-FirstCall/ -- Plexus Corp. , a leading global provider of electronic manufacturing services, today announced that it has secured an exclusive contract with Patientline PLC to manufacture, supply and install the Patientline bedside multimedia and entertainment system.

The contract gives Plexus sole manufacturing rights over a two-year period and covers the whole of the UK. According to the agreement, Plexus will provide complete product engineering, testing, volume manufacturing and installation services for the bedside units.

The contract also includes Plexus managing the complete supply chain for Patientline from component sourcing to warehousing, logistics, installation and repairs.

The state of the art Patientline unit has now been installed in over 100 hospitals throughout the UK. The bedside unit brings TV, Telephone, Radio, Email, Internet and Entertainment access direct to the patients' bedside.

Ms. Jo O'Connor, Managing Director of Patientline PLC, added, "Plexus and Patientline have enjoyed a long and productive relationship which recently culminated in the appointment of Plexus to the role of exclusive Supply Chain partner. As Patientline's UK operation is currently installing hundreds of units per week in acute hospitals it is essential to maintain a highly effective supply chain and this new agreement will cement the strong partnership between the two organizations."

Andy Allen, Managing Director of Plexus Corp (UK) Ltd, commented, "This new contract has further strengthened the already close relationship between Plexus and Patientline, a relationship which has spanned 8 years. We look forward to continuing to help Patientline enhance their reputation as a supplier of a world class product."

About Patientline PLC

The Patientline system was first installed in Northwick Park Hospital, Harrow, early in 1995. By mid 2000, contracts were in place at 25 hospitals; demand was then further accelerated by the Patient Power initiative within the NHS Plan, published in July 2000, setting a target for the introduction of such services in all major hospitals in England by 2004.

Patientline is one of only four full licenses to provide Patient Power services and is still the only service provider with experience of providing a fully-managed, integrated communication and entertainment system across a substantial number of acute hospitals throughout the UK. For more information visit http://www.patientline.co.uk/ .

About Plexus Corp.

Plexus provides end-to-end product design, test, manufacturing, fulfillment and aftermarket solutions to branded product vendors in the medical, networking/data communications, industrial, commercial, defense and computer electronics industries.

The Company's unique materials and manufacturing solutions, strategically enhanced by value-added product design and engineering services, are developed to optimize lowest total cost, scalability and responsiveness for programs requiring flexibility, technology and quality. Plexus provides award-winning customer service to more than 150 original equipment manufacturers (OEMs) in Europe, North America and Asia. For more information visit http://www.plexus.com/ .

nice write up this weekend
:-)

In the newspapers I take it.

cheers GF.