The chart for this stock says it all.

The company is quickly becoming a real gem in the telematics field, over the last month the co. has announced re-seller contracts which will bring in min. 2m or >30% of last years T/O alone.

The company is already experiencing massive organic growth so the co. should be profitable now following last years 500k loss.

The co. has approx. 6m cash and is in one of the hottest growth areas at the moment.

With a market cap. of 25m this will be re-rated x2/3 minimum within the next 6-12 months IMHO.

MM buys went through on Friday with T/O continuing to build, one to put on your monitor...

very low volume traded - directors normally buy into own company shares at a low price as they can see the forward position - and hence can make money - have always thought cyh postioned way way too low for the market sector, like all get sick of this low sp - should be c 120/150p - or 2.4/3.0p as was pre 1:50
few buys creeping back in again..

Interesting article in M2 today...

Cybit extends real time fleet tracking and asset management with powerful new GPRS capability; Extends modular Fleetstar Online functionality with integration of real time GPRS monitoring system;
M2 Presswire
06 January 2005

Cybit, the UK's leading online telematics service provider, has extended the functionality of its modular Fleetstar-Online Internet-based fleet and asset management solution with the addition of a powerful real-time vehicle location monitoring capability using the latest GPRS technology. Combining Fleetstar-Online with GPRS technology provides continual positional updates, enabling real-time reporting through the extremely tight matching of GPS positions to mapping. This allows organisations to track their fleets and assets in real-time, giving fleet managers the ability to implement next generation telematics capabilities in real-time such as a new 'Find My Nearest' service.

Cybit's modular Fleetstar-Online telematics technology platform is the industry's first fully-scalable telematics solution - from an entry-level 'reporting-only' solution, offered primarily through Cybit's expanding reseller channel and available from as little as GBP20 per vehicle per month, through to the industry's most comprehensive telematics offering.

Fleetstar-Online combines key architectural strengths - such as an OpenAPI and decoupled technology and application layers - to enable organisations to easily integrate Cybit telematics technology with their own applications and bring them to market quickly. In addition, raw telematics feeds of highly accurate data collected at twenty second intervals can underpin the development of third party services in the insurance risk management and traffic planning sectors.

"With the addition of real-time GPRS functionality we're continuing to set the technology agenda by making real-time telematics a reality for European businesses," commented Richard Horsman, Cybit's CEO. "When we first developed our latest version of Fleetstar-Online we introduced a modular architecture that would allow us to deliver enhanced functionality as it became available. Adding real-time connectivity via GPRS is just the first example of our ongoing commitment to ensure that Fleetstar-Online keeps on setting the telematics technology agenda."

The latest release of Fleetstar-Online also features a range of additional functionality, including support for Government road-charging initiatives - this is particularly applicable for the German market where a new Toll Collect system went live on German autobahns on 1st January.

Fleetstar-Online is the first telematics solution to deliver accurate monitoring and reporting of fleet autobahn usage to help verify the accuracy of Toll Collect charges.

Fleetstar-Online also delivers enhanced input activity control, enabling - for example - power take-off switch activity to be monitored. In addition, a new 'Event Manager' capability allows Fleetstar-Online to react interactively to incoming data messages and forward alerts as applicable.

This works by letting the user set up a number of parameters attached to an input and specifying actions to occur when those parameters are satisfied.

For example, if a vehicle grab arm is activated between 23.00 and 06.00 on weekdays or at the weekend, then an alert can be triggered and an e-mail or SMS message sent to a nominated contact.

GSM phone location tracking with Fleetstar-Online Following its recent acquisition of the innovative mapAmobile mobile location service, Cybit has also extended Fleetstar-Online with a unique GSM phone location capability that allows mobile phones to be tracked through the Fleetstar-Online interface. This will be particularly applicable for the growing number of businesses that use sub-contractors or temporary staff to support their day-to-day operations.

About Fleetstar-Online:

Fleetstar-Online is Cybit's scalable Internet based telematics solution that features real time vehicle tracking, exception reporting, replay mode, customised reports, mileage information, SMS messaging and live traffic information. Fleet vehicles are fitted with a small electronic in-vehicle-unit (IVU) which is tracked by GPS in real-time and data transmitted to Cybit's online control centre. It provides companies with a cost-effective ASP-based fleet management solution, which offers users anytime, anywhere access to the system via a standard web browser.

Fleetstar-Online also features added value solutions support, with fully integrated Smartnav satellite navigation and RAC Trackstar Plus stolen vehicle recovery system functionality.

About Cybit:

Cybit is a leading Internet-based Telematics Service Provider (TSP) and supplier of fleet and asset management solutions to the business-to-business sector. Cybit's solutions portfolio includes vehicle tracking and management, lone worker support and car pool management. Hundreds of companies across a wide range of industries already use Cybit's online solutions to improve the management and control of their fixed and mobile assets. Additional information is available at www.cybit.co.uk.

CONTACT: Andy Gray, IBA Tel: +44 (0)178 072 1433 e-mail: agray@iba-europe.com Sophie Geering, Marketing Manager, Cybit Tel: +44 (0)148 038 9100 e-mail: sgeering@cybit.co.uk

((M2 Communications Ltd disclaims all liability for information provided within M2 PressWIRE. Data supplied by named party/parties. Further information on M2 PressWIRE can be obtained at http://www.presswire.net on the world wide web. Inquiries to info@m2.com)).

Wow! That's your company, chaps! Should really get going this year. Thanks, optomistic, for thoughts re Mary. Back in the UK and she is in good hands - to have ultrasound scan to help to decide action. Canada was great, including snow, skiing and hospital put ours to shame.

Everything looks right about CYH except the numbers. Has anyone tried to make sense of the accounts? The problem is that there is no division into sources of business. Potential categories are: Indirect (includes Lex and Norwich Union); International (Sweden with Germany starting); consultancy (appears to be growing in importance and led to Sainsbury); direct Fleetstar-online business. There has been an increase from 10000 to 12000 to in-vehicle assets in the six months from 600 customers (500). I assume that they took credit for the 10000 assets in previous periods. They are talking about a delay in revenue of 950K in 'recognition costs'. Does anyone understand what that means? It sounds as if it could say that the 2000 new assets are worth an average of 570 (1/6th credit taken straight away). They also say that 500K of 'cellular costs' are delayed and this will eventually mean a reduction in operating costs of 600K over a 36 month period. Does anyone undertstand what this means?

The problem is that we have been given limited information and it is difficult to understand what it means. Therefore it is very difficult to undertake projections on this basis. If someone can provide some insights I think it would be helpful for investors, like me, taking a fundamentals approach.

At the moment, it only sems feasible to take a broad brush approach. Revenue in 2003/2004 was stated as 8m with profit of 1m. Under the new approach this should presumably have been about 5.2m with loss, though less than current period. This year takes the main hit with two-thirds or relative revenue and profits being delayed to the following two years. The change should have worked out in year 3. Year 2 (transitional year) may be just getting back to profitability. The plus will be that it will be evident that year 3 will be profitable and that profits will "continue for evermore, amen" thereafter.

Lets focus on this years results. The second half should be significantly better than first half: 400 assets from Sainsbury; good continental progress, etc. Still a loss. But ... the good news. It will become clear that the new policies will be starting to give benefit the following year and there should, hopefully, be a forecast of a move into profits. The present market cap. is about 13m. There could be a case for that doubling. CYH should be moving into a major growth period.

Look, folk, I am trying to get to grips with the fundamentals. Is anyone able and willing to help? If so, please give some constructive feedback. This is where a colum like this can help each of us.

Eric

Wish I could help but can't ...manythanks for your effort Eric

can't get my brain around it either though there must be a man that can! Can only follow my instincts and the institutions like Artemis- that this is at the moment, an undervalued company. Also, if we are confused the tipsheets are not going to come onboard until the mud clears! It maybe a long haul but patience hopefully will be rewarded.

Grumpy old men like me still prefer a good map. Not a holder of CYH, but quick look at the interims shows why holders are confused. Always think of Alan Sugar's "show me the money" in such situations and CYH got through 1.4m of cash in 6 months to September. Prudent to put overdraft facility there in case of need, but if they ever do need it watch out.DYOR etc

Benn holding and topping up for some while. 'show me the money'

I have said this before about CYH - problem is have so much tecnobabble - their Marketing is awful - ref the M2 article I know what they are on about but how many of you do? TSP, OpanAPI, telematics, etc so what? what are benefits of using CYH not the features? (You write letters, do accounts or surf the Internet at home on your PC to find info - you dont really need to know about 1mbcache, 3.5GHz, processors, USB2, proxies do you?) On the accounting side they cocked up the figures, now they are doing it properly to show profits, they have reduced operating costs, etc. Very undervalued for this sector. Innovative technology used for some very clever solutions. Info and marketing needs to follow suit, others will jump on the bandwagon.

Thanks for responses. Agree m100 that part of problem is the technobabble, particularly the emphasis on features rather than benefits - well put! CYH are not in the retail market, partridge, thank goodness - the primary market is fleet management, with Sainsbury a good example.

Not surprised that no constructive answers to my posts - these were very much thinking on my bb! (that's not bloody bum, by the way! - lol!). However, I can see the situation much more clearly and will work it through off-line at the weekend and post it here first. Then submit it to the company plus advisors; probably also to Shares to seek to get them to do a piece. I will try to do things: 1. What would present accounts look like if they had operated the conservative accounting policy from day 1; 2. what will forward accounts look like on altternative scenarios. The reason for doing this is based on the assumption that the fall in share price is partly due to poor trading in the first half and partly due to confusion and negativity driven by the accounting change. I think there is a reasonable chance that the exercise might flush out some clarification. In the end of the day my view as an outsider, but potential holder, is with you holders - that the sp is way too low. This exercise is called 'LEGITIMATE RAMPING'! Lets give it a go, anyway.

Eric

I notice in todays I C that it seems the whole board purchased varying (20k to 1.3k) amounts of shares on 21 dec at 66.5-70.5 any comment on this move????

SEADOG. So now the IC are selling old news! Cybit releaswed these details on the 21st Dec:


Directors buy in:

CybIT Holdings PLC
21 December 2004


CYBIT HOLDINGS PLC

Director share dealings

Cybit Holdings PLC was informed on 21 December that the following directors had
purchased ordinary shares of 0.1p each in the company on 20 December.

Name of director No. of shares % of issued Price Enlarged % of issued
purchased share capital shareholding share capital

Neil Johnson 1,000,000 0.10% 1.41p 26,330,000 2.65%
Richard Horsman 666,666 0.07% 1.41p 24,856,666 2.50%
Kevin Lawrence 333,500 0.03% 1.41p 2,663,500 0.27%
Sir John Wheeler 100,000 0.10% 1.41p 400,000 0.04%
David Robins 500,000 0.05% 1.41p 1,300,000 0.13%

Cybit Holdings PLC was also informed on 21 December that the following directors
had purchased ordinary shares of 5p each in the company on that day.

Name of director No. of shares % of issued Price Enlarged % of issued
purchased share capital shareholding share capital

Neil Johnson 20,000 0.10% 66.5p 546,600 2.75%
Richard Horsman 15,900 0.08% 66.5p 513,033 2.58%
Kevin Lawrence 6,670 0.03% 66.5p 59,940 0.30%
Sir John Wheeler 2,000 0.01% 66.5p 10,000 0.05%
David Robins 10,000 0.05% 66.5p 36,000 0.13%

Enquiries:
Cybit Holdings PLC
Kevin Lawrence
01480 389100

Oh dear now that makes me guilty of posting old news :-(

SEADOG

The purchases were the last day before the 50 for 1 issue and the first day of the new issue. The timing of the purchases immediately followed the EGM which included the 50 for 1 resolution. Obviously a concerted endeavour. May have been intended to give confidence in case the market took the issue badly. The shares have eased since, hence my intention to try and clarify the issues around the change to a conservative accounting policy.

Eric

Eric,
Hope yr endeavours are successful.

optomistic,
Sorry, I missed the original release, and picked it up in the IC yesterday, apologies to all. SD

Hey SEADOG go light with the apologies. They're not necessary!!
opto

Unless your names chrissie!!! lol

triangle

Are you the triangle who keeps appearing on charts? resistance and support converge but never meet to close the triangle because the sp breaks away in one direction or the other. In other words you lose your head! ROFL! Good one, eh, Chrissie?

Eric

I promised to post some numbers when I completed my financial model of CYH. Well, I've decided not to do that until I've had a chance to build up a position. Well that's a strong BUY hint, isn't it? But then you would have to do it on my recommendation and they always say DYOR. That is particularly unhelpful in this case because there is a real lack of help from the company in sorting out the impact of the change in accountantcy practise. I have made, what to me, seem reasonable assumptions and the shares come out as very cheap indeed. Anyone with a reasonable understanding of finance is welcome to a copy of my working papers in return for their attempt to validate or otherwise my workings.

What I plan to do is build up a stake and then submit my papers to the company, the advisors and copy the papers to Shares. I think they will be interested enough to pursue cybIT. At the same time I will post a summary on this thread. My assumptions may not be valid but the results are in line with my intuition which is enough for me. Well done to current holders, I say!

Eric

m100

You may be able to help! In tackling a financial model for CYH, I made the assumption that cellular costs would be charged on the basis of 'assets in the cab'; assuming that these were charged out to recover comms centre and transmission costs in line with usage. The quote from the interim results is:

"A refocus of our policy around underlying cellular costs has reduced revenue, margin and cash by approximately 500,000 during the period. The trade-off from adopting this policy will be a reduction in operating costs of approximately 600,000 over a comparative 36-month period .."

This appears consistent with making the charges, however based, over the 36-months of the contract. But how would operating costs be reduced? Hope you can help.

partridge

I understand your concern re cash. However, read the piece on the internal leasing book which I quote:

"At the end of Sept., cash generated from recurring revenues, internal leasing book and services stood at 130K per month. This represents about 30% of monthly fixed cost base before considering cash collected from sales to new and existing customers. This represents a three-fold increase over the comparative prior period. This figure is expected to grow substantially during the second half as cash from the internal leasing book and recurring revenues increase thus further reducing CYH reliance on third party funding."

Taking 'an asset in the cab' as an example my interpretation of this is that
the costs of the asset are borne by the internal leasing book which then passes through revenue and costs on a monthly basis. The system was only started on 1/1/04, prior to which the company took all contract revenue and costs up front. Realising this is the start of understanding how much stronger CYH finances will be under the new system once it works through. The answer to your point is that we are talking of a once-off knock. But no wonder the market has hit CYH shares. That is our opportunity!

By the way, I think you are referring to Trafficmaster re your own use. CYH market is lorry fleets with systems to monitor them from the centre.

Eric

My apologies Eric for not taking enough trouble to understand the basics of this business. Couldn't wait to look at the numbers, which is what I enjoy! If they are dealing with relatively small number of good quality corporate customers then chances of success would imo be much better than retail. Internal leasing always makes me nervous - if they have lots of sales success then short term cash need is high and business can become at the mercy of its lenders, whose appetite can change quickly. Actually find it encouraging that they say markets are challenging, which smacks of honesty in their approach - if I recall correctly Versailles Group appeared to be doing lots of new business (invoice discounting, but still some parallels) until it was discovered many of their "customers" were non existent.This is too risky for me, but could be multibagger and wish holders well.

partridge

On my reading the internal leasing is somewhat different. They fund the asset acquisition themselves. Rather than take credit for it immediately, they assign it to an internal leasing book and then take credit for it over 36 months. That explains the negative cashflow in the last period and provides a positive basis for future results. Do others concur with that reading?

Eric