14th Nov 2006 T&G Comment in Post 3 : Link Back to posts Click Here



Group Web Site : http://www.xko.co.uk/

Powerdebt Web Site : http://www.powerdebt.co.uk/home.php

UBM Web Site : http://www.utilitybilling.co.uk/

Shares in Issue : 42.68m

Following the sale of the Software Services side, which on a pro-forma basis reduces debt to basically nothing, XKO is now all about Revenue Assurance. This should be an area of high growth, and XKO should soon reflect this in terms of performance put in so far and prospects to come, by a re-rating.

What is it ? The Revenue Assurance division specialises in complex Revenue Assurance and debt management for major utilities. There are two units in this Division, UBM ( current customers include giants like npower, Centrica etc..) and then Powerdebt (which is a specialist Revenue Assurance and Debt Management business based in Solihull.

So XKO is now in basic terms debt free, putting in decent earnings, with good prospects going forward, UK based and with a nice dividend to boot.

Add on to that some earnings enhancing acquisitions in the Revenue Assurance side, and a strong growth high margin business is building nicely.

L2 up and now 3 v 1 @113/115

are u talking to yourself papal?

Yep :)

On todays free email from GCI ( http://www.growthcompany.co.uk ):

November marks the dawn of a new era for the company formerly known as XKO Group, with a new name, a new sector and a new focus on 'revenue assurance'. It has appropriately been re-named Revenue Assurance Services (RAS), having sold the last part of its erstwhile divisions for 15 million in October - making for a gross 28.5 million for the sum of the old business. This allows chief executive Simon Beart to concentrate on the revenue assurance businesses acquired last year.
The group provides three services to its utility company customers: consultancy, where experienced consultants and proprietary software identify and secure un-billed debts; collections, which is telephone-based debt collection of existing debt; and metering services, where a meter-reader is sent to business premises to physically check gas meters. RAS has around 30 per cent of the gas utility market at the moment, including customers Shell, eOn and Centrica - but at three times the size, the electricity market is a significant target.

Utilities face ever more pressure to keep their costs down and RAS offers a great outsourcing option, with no clear competition - yet. Although there is some opposition to their adoption from the utilities' in-house collection departments (and contracts can therefore take around two years to win), Beart stresses that his consultants' levels of success are incomparable and he is confident of adding contracts in both gas and electricity. He says the balance sheet 'is under-geared' and is pondering acquisitions.

The business is achieving 40 per cent margins, taking 3.3 million cash from 7.9 million sales in the half year to September, with profits before tax of 2.1 million. House broker Bridgewell has upgraded year-end numbers to sales of 16 million, profits of 5.66 million and earnings of 9p per share.

Growth Company Investor recommended buying the shares at 106.5p in June but, with earnings upgraded to provide a prospective p/e ratio just over 11, it's worth adding to your holding.

Market cap: 48.44 million Ticker: RAS Share price: 113.5p

No you are not talking to yourself.
I am following this. It climbed 6p today to 119.
Has it run out of steam?
FDP just finished a climb.

News is due on contract renewals.

I am hoping for 125p to 130p as a new support level once it goes through it.

Up we go again :)

Good news today :)

Creeping upwards....

Any idea why the riser P..

Guesses are news on Centrica deal, or some other deal in the offing.

thanks mate.

Nice update today :)

Nice news today :)

Lovely set of results and a contract win too :)

GCI had a "Strong Buy" rating yesterday.......and looks like more buyers in today as well.

Somethings happening perhaps........

From Luke Heron, posted on http://www.sharecrazy.com BB ;


Luke Heron Reged: 27/06/07
Posts: 7
Re: Revenue Assurance - RAS [Re: rebecca]
#394218 - 04/07/07 10:56 PM Edit Reply Quote

I tipped this one at 88.5p in August last year. There is still a lot further to go - I have a target price of 183p. The numbers out from the company a couple of weeks ago were ahead of my forecasts. Based on my conservative forecasts for the current year, I think we should attach a 15 times multiple, which is perfectly fair for a management delivering such solid growth. 12.2p in earnings for the year to 31st March 2008 suggests a target price of 183p, which I expect will be reached before the calendar year is out. The fact is, that earnings for next year could be comfortably up to 15p, which suggests a target price of 225p. Whatever way I look at it, the shares look strong.

Moving well again today :)

Yet another possible takeover :) Yummy

Revenue Assurance Statement re Possible Offer

RNS Number:1616A
Revenue Assurance Services PLC
12 July 2007

Revenue Assurance Services plc

Talks announcement

12 July 2007

The board (the "Board") of Revenue Assurance Services plc (the "Company") notes the recent share price movement and confirms it is in preliminary talks which may or may not lead to an offer being made for the Company.

There can be no certainty that an offer will be made for the Company or the terms on which such an offer may be made.

Further announcements will be made as appropriate.