This company floated on AIM today. Already recording spectacular growth (see announcement). Could be a rival for paypal and (conceivably) Earthport, but branching into other areas such as the currently clumsy 'swift' banking.
Well worthy of close inspection.Floated today i bought in just below float price, of 200p, @197.55p.

NETeller joins AIM. Announcement as follows:

"NETeller plc, one of the leading online money transfer services, is pleased to announce the admission of its shares to trade on the Alternative Investment Market (AIM) of the London Stock Exchange plc.

Highlights:



In conjunction with the AIM Admission 15,000,000 new ordinary shares have been placed on behalf of the Company at a price of 200p per share. In addition 2,500,000 existing ordinary shares have been placed at a price of 200p on behalf of selling shareholders

As a result 30 million has been raised for the Company and 5 million for selling shareholders.

The Directors intend that the net proceeds of the Placing will be used for website development, to make acquisitions, and for general working capital.

The principal purposes of the Admission are to create a public market for the Company’s ordinary shares; to raise its profile and status; to enable employees to be incentivised by the grant of options in publicly traded shares; and to provide access to capital.

Canaccord Capital (Europe) Limited (“Canaccord”) is the Nominated Adviser and Joint Broker for the Admission. Durlacher Limited is also Joint Broker to the Admission.


Commenting on today’s announcement, Gord Herman, CEO of NETeller said: “The level of institutional support for NETeller’s placing has been very satisfying. Having successfully completed this stage of the Company’s development we are now committed to getting on and delivering for our shareholders.”
- Ends -


Overview
The NETeller Group operates an online money transfer service that utilises and extends the existing international banking structure to provide a secure means of transferring funds worldwide. A NETeller System account is like a virtual wallet which enables Members (an individual who has opened a NETeller account) to deposit, withdraw and transfer funds to any Merchant (or internet site) that supports NETeller System online payments for goods or services. In June 1999, Stephen Lawrence, the founder and major shareholder of the NETeller Group, conceived the idea of an ‘e-wallet’ that could be used to fund Internet based transactions without the security risk of processing each transaction at each separate Merchant site. In August 1999, John Lefebvre teamed up with Stephen Lawrence to develop the concept and to assist with raising capital.

As at 31 December 2003, there were approximately 586,500 Members using the NETeller system, growing at 1,600 per day. At the same point there were 1,250 Merchants registered to use the NETeller System. Since processing began in July 2000, an average of 30 new Merchants have been added each month.

To date the most receptive market segment to NETeller Group’s ‘e-wallet’ concept has been the online gambling market.

In 2000, private funds of US$200,000 were raised to establish the NETeller Group. Growth to date has been financed by internally generated cash flow.

Gord Herman, was appointed Chief Executive Officer in February 2003 and under his stewardship NETeller HAS INCREASED MONTHLY REVENUE from US$866,000 (September 2002) to approximately US$4.335m (December 2003). In the year ended 31 August 2003, NETeller generated annual profits of US$13.5m, before other income and expense.

Proof of quality. The numbers from IC are:

"turnover soared from $8.2m to $36.0m and, with margins edging past 50 per cent, profits came out around $19m. This year it is expected that NETeller’s turnover will hit $71m and profits will be $37m."

(100k, I think NOT - beware the shorters and their misleading "publicity"!!).

Impressive! Shorting, lol, not a good move!!!!!!!! As soon as this one settles down and gets on a few broker radar screens, expect a big move up.

(I gather from a well respected poster at the fast improving www.unquoted.co.uk site that more Canadian companies will be listing in the UK later this year. Good news :) .) Such salaries are commonplace in Canada and the US - infact this one is relative peanuts.

Lots of cash in the bank as the institutions backed this welcome new addition to Aim - good to have such high profile additins to the UK markets.

I unlike you have the prospectus, the profits are $256,000 before tax to Aug 03.

That is circa 100,000 after tax.


Your market cap is also 30m short on your Aimquoted post under Scotland. It was 230m at 190p.


But I see it's now down 11p & 185p to sell, so my view that it too expensive, it would appear the market agrees.


As for profit takers LOL, investors are locked in, so maybe it's the institutions getting cold feet, realising they have overpaid in what must have been more rosy times a few months ago.

Don't know why you insist on such out of date numbers, when the rate of growth here is so explosive and has made your numbers long since redundant.

From IC, for your benefit, again, as you appear to have missed it first time.

"turnover soared from $8.2m to $36.0m and, with margins edging past 50 per cent, profits came out around $19m. This year it is expected that NETeller’s turnover will hit $71m and profits will be $37m." No confusion there despite your protests.

Take it you have shorted this? Big mistake as you will all too soon realise, imho.

As for institutions buying and taking a loss, clearly that has confused you, they have plenty non-locked in Canadian holders. Institutions not that dopey.

Explain what sort of profits then


Operating profit
Post tax profit
Or Pre-tax profit.


Numbers so out of date, they are the numbers of the last accounts available and the p/e of something like 2400 is derived from.

My numbers aren't forecasts they are factual, you can forecast 200m profit if you want.


If you read the prospectus rather than bulletin board research, you would know.

It isn't without risk either.....it's all in the prospectus, clearly explained :-)



Nice of a company to put out what was it $13.9m, profit BEFORE expenses in their first RNS......hmmm....guess some got confused.

Perhaps my question was too difficult?


183p bid, it appears the bulls have gone quiet on this one, I guess they have moved on to something else, this one isn't working out.

I expect it to go below 180p on the bid.

Down another 3p not too long to go before they get sub 180.

180p bid this morning, could break the sub 180 sooner than I expected.

Hawick said:

"Strong buy.

Indeed this is the first Aim float in many years to be a potential FTSE 350 company within three years, which i believe is not impossible. The growth here is explosive, as the numbers above demonstrate."


Down another 4.5p today, more like it's heading for the small cap index at this rate.....I would think in a few weeks it may settle @ 150p.

hawick you seem to have gone quiet, where have you gone, i'm sure if the price moves up you'll be on here gloating about how right you were, but yet when it goes against you, SILENCE!!!!!!!!!!

lol

Now after today's release is the time to consider these at a much lower price!



PRESS INFORMATION

For Immediate Release 5 May 2004

NETELLER REPORTS STRONG GROWTH
WITH TRADING FIGURES FOR QUARTER 1

NETeller plc ('NETeller' or the 'Company'), the leading global online money
transfer provider, today announces its trading figures for the period 1 January
2004 to 31 March 2004, ('Quarter 1'). Neteller in accordance with the AIM rules
will in due course produce Interim results for the six month period ending 30
June 2004

HIGHLIGHTS:

Revenues
2004 - Q1 $15.4 million; 2003 - Q4 $12.5 million - representing a 23%
increase
This represents a 161% increase in revenue against Q1 2003, which was
$5.9 million

Gross Margin
2004 - Q1 69.5%; 2003 - Q4 70.7%
The gross margin for Q1 2003 was 71.2%
Margin maintained despite the Company's ramp up to facilitate the
anticipated growth and the European and Asian expansion efforts. The
Company believes that 'Normalised' Gross Margins have improved
dramatically.

EBITDA
2004 - Q1 $9.3 million; 2003 - Q4 $6.9 million, representing a 35%
increase
This represents a 138% increase in EBITDA against Q1 2003, which was $3.9
million

Net Income
2004 - Q1 $6.3 million; 2003 - Q4 $1.9 million, representing a 231%
increase
Net Income includes certain non-reoccurring management and shareholder
compensation schemes that were incorporated as part of being a private
company and as such is not a true indication of the company's performance

Average Daily Sign Ups
2004 - Q1 1,634; 2003 - Q4 1,068, representing a 53% increase
Average daily signups were 715 in Q1 2003
Total members were 735,168 at end of Q1

Average Daily Deposits
2004 - Q1 $1.4 million, 2003 - Q4 $1.1 million, representing a 27%
increase
Deposits are up by 187% over Q1 2003 which was $500,191

Other Events
European Expansion - the company launched its European platform on 17
February 2004 and is continuing to see strong growth in this market

Commenting on today's announcement, Gord Herman, CEO of NETeller, said:
'NETeller continues to perform strongly, and has exceeded our growth aspirations
in all categories. We are exploring a number of exciting opportunities to
develop the Company's global presence and our recent admission to AIM will help
us achieve our goals.'

Detailed quarterly financial information (All figures in $US):

Unaudited
Actual Actual Actual Actual Actual Calendar
Q1 - 04 Q1 - 03 Q2 - 03 Q3 - 03 Q4 - 03 Yearend 03
Revenues 15,399,607 5,939,608 6,941,016 10,337,982 12,499,810 35,718,416
Direct 4,702,086 1,705,916 2,395,367 3,826,110 3,819,027 11,746,420
Costs
General 1,393,368 324,727 670,589 1,047,329 1,789,318 3,831,963
and
Admin
EBITDA 9,304,153 3,908,965 3,875,060 5,464,543 6,891,465 20,140,033
Other 1,605,358 4,071,614 4,036,438 4,958,531 4,811,299 17,877,882
Expenses*
Income 1,347,289 (44,500) (44,500) 31,678 81,456 24,134
taxes
Net Income* 6,351,506 (118,149) (116,878) 474,334 1,998,710 2,238,017

Daily Sign 1,634 715 715 1,114 1,068
ups
Total 735,168 320,030 385,796 488,252 586,477
Members
Average 1,434,897 500,191 585,406 960,221 1,142,282
Daily
Deposit

* denotes amortization and non reoccurring shareholder remuneration expenses

EPS is not applicable as the Company was a Private entity

Further enquiries to:

NETeller
Gord Herman, Chief Executive 020 7796 9999
Eric Hughes, Chief Financial Officer

Haven't been here for a while, because there was no new information, (happy to let other vessels prematurely claim hollow 'successes'), until today, I see the news has been posted already.

Having a little difficulty equating:
'NETeller continues to perform strongly, and has exceeded our growth aspirations
in all categories.'

With the previous contributor's conclusion:

'time to consider these at a much lower price.'

?? Sure you can explain. Up 13.5p since your post. :confused: ??

Soon be above float price imho. :)

Well well, we do like ambiguity. I see you have come round to my way of thinking and Bought Neteller Third Eye!!!! At least according to yourpost on the finny farm.

From 'heading for the small cap index' to a shareholder within a couple of weeks. Perhaps he has taken a salary cut or something to convince you to do a U-turn? You seemed very worried about that.

My my, What a tangled web we weave!

Welcome aboard.

The price is dropping like a stone, I am watching but have not bought though I like the growth story. Is this the time to buy?? I am very tempted--any views on this. Third eye you must have a comment to make as it is going in the right direction for you. regards MP

Yes seems I'm good at picking stocks to short mp.

I have now bought a few as they are rising slowly-fingers crossed the September figures are going to be exciting!!

Price has broken through the float price fingers crossed for good results!

lookslike the results are exactly what you were hoping for. Which way now and how much?

Anyone still short?? Could be expensive!

Fantastic results--why the drop in SP? What more do they want from this company. I am holding long term.