I dismissed this company as froth when I first looked at it. Since then the sp has doubled and continues to steadily rise. I looked again and when I saw the countries and contracts this firm is in---I was impressed and bought some to tuck away. anyone else bought in or interested?

Seems to go from strength to strength. My target of 70p seems more realistic. Does anyone else have a target price in mind as Goldman have a target of 100p.?

New high today @62p.

Hello Skinny
A good article by Maik Schwabe on Sept 10. Just gives a few good reasons why Monitise is going to be getting bigger. It has the backing and scale!
Hope you find it interesting!!



I wrote an article back in June, discussing the tailwinds effecting mobile payment specialist Monitise (MONIF.PK) and pointing out the company's characteristics that make it the go-to-partner for m-commerce solutions.
Since then the stock advanced about 50% to the upside, breaking out of its multi-year trading range and marking new all-time highs. Especially last Wednesday´s move, on the back of two new co-operations, pushed the stock upwards, with trading volumes not seen in half a year.
Monitise announced a couple of new deals since June and also released its full year results last week, which I want to take a look at to see if my growth projections and investment opinion are still valid.

Recent Deals

Monitise and Lloyds (LYG) Commercial Banking Unit struck a co-operation to develop and offer mobile payment solutions for small merchants and start-ups in the UK, which will be launched in fall of this year.

A 5 year partnership with Telefonica (TEF) was announced, making Monitise the preferred technology provider for the telecom giants mobile payment projects.
Telefonica of course is probably the most globally diversified telecommunications operator on the planet with brands like O2, Movistar and e-plus; counting over 300 million subscribers in 24 countries, mainly across Europe and South America.
This deal is a major milestone for Monitise, expanding their reach particularly in the fast growing markets throughout Latin America. As I mentioned in my first article, emerging markets post a special opportunity for the mobile payment/banking industry. When whole populations are considered under-banked but savvy consumers and enthusiastic cellphone users at the same time, the potential for a quick adoption and a direct leap into the mobile commerce age is very high.
Growth rates and transaction volumes could easily outstrip its developed world counterparts, fueling Monitise´s growth rates as well.
Considering that there are roughly 24 million people transacting on Monitise´s platform through various financial institutions at the moment, the potential by gaining a mobile operator with 300 million subscribers becomes obvious.

India´s largest private bank, ICICI (IBN), struck a deal with Movida (the Joint Venture owned by Monitise and Visa (V)) to offer its mobile payment services to their own banking clients. The importance of this deal lie in the same neighborhood as the Telefonica deal: broadening the customer base in the fast growing emerging markets.

Desjardins, a Canadian financial cooperative, chose Monitise to develop its NFC (near field communication) offerings. Operations are planned to go live sometime in 2014, and even though this deal is a far smaller one than with ICICI and Telefonica, it still underlines Monitise´s expertise and reputation in building world class mobile payment ecosystems for its clients.

CSCU (a group of Credit Unions) decided to go with Monitise to provide its 2600 member unions with mobile banking solutions.

"Big-Blue" IBM and Monitise partnered to extend the reach and scale of services offered to Visa Europe´s partner banks.
Even though the last mentioned partnership already exists to some extend for quite some time now, combining Monitise´s solutions with IBM´s "Smarter Commerce Initiative" will enable Visa members to bring mobile applications quicker and to a wider range of mobile devices.
Furthermore, the company acquired Grapple Mobile, a specialized app developer for retailers; opening the doors for Monitise to offer advertising features within its platform.

Full year results for 2013

Last weeks numbers were a bittersweet pill to swallow for Monitise stockholders. On one hand, the company kept pace with its past revenue growth rates, doubling sales for the fourth year in a row from £36.1 million to £72.8 million and lifting gross profit by 133% from £24 million to £55.2 million. On the other hand, operating expenses also more than doubled from £34.4 million to £74.5 million, widening the EBITDA loss from £-10.4 million to £-19.3 million. Considering the original guidance to break even in the second half, the bottom line results are a huge miss.
Management explains the risen expenses with technology and staff spending, to anticipate the increased demands of those large deals announced, particularly the Telefonica partnership. Guidance for the next 12 months aims at a more than 50% revenue growth and a break even for the second half, basically pushing profit targets out exactly another year.

Being disappointed by the bottom line results and selling the stock would be a plausible reaction but would miss the big picture of recent developments; as you can read in my June article, Monitise´s story is one that will play out over the next five years and not the next five months.
One very important factor to keep in mind is the complexity of building a platform that is able to seamlessly connect merchants, banking institutions, phone operators and consumers safely and on such a huge scale. Whoever is leading the charge and technological development in this area will likely continue to draw in big customers in the future; therefore Monitise is setting the entry barriers for new system operators very high, as it takes years to build the confidence and reputation the company is enjoying right now.
During last weeks presentation, management mentioned that the only real competition they see out there are internal IT-divisions of big companies, playing with the thought of building their own platform instead of partnering with Monitise.
And this is probably the point where huge co-operations with the likes of Telefonica, IBM and Visa will move the needle and convince corporations to rather go with Monitise than doing it on their own.
If this trend continues without any major players building a comparable platform, Monitise could become the de facto standard in the space; a space that will continue to see explosive growth over the next 5 to 10 years.

And a lot of the presented numbers are indeed very encouraging if you are willing to look a little closer:
Take for example the fact that the share of user generated revenues made up 65% (£29.2 million) of total revenues in the second half, up from 37% (£7.1 million) a year ago and those revenues carry a stunning gross margin of 92% compared to a 53% margin in the development and integration segment.
Monitise posted a customer acquisition chart during its presentation, and after doing the calculations you end up with the following table about how much customers are actually transacting using the companies technologies:

In (A) Monitise had (B) registered clients, each of them making on average (C) transactions with an average value of (D) per year.
A B C D
In... # of clients avg. # of transactions per year avg. value of transaction
June 2010 2 million 60 *< 0.01$
October 2011 6.5 million 74 6.45$
Clairmail Acquisition
April 2012 13 million 96 11.2$
August 2012 17 million 98 12.05$
February 2013 20 million 100 15.5$
August 2013 24 million 125 16.67$

*I think we can disregard this number

The trend shows a clear rise in customer engagement and a continuous rise in $ transacted; and I would argue that the big wave of mobile payment engagement is still way ahead in the future, pointing to a steady exponential increase in user generated revenues that yield those juicy 92% gross margins for Monitise.

(click to enlarge)

Conclusion

Given the companies outstanding reputation, and list of partners I conclude that Monitise will continue to be perfectly positioned for a perfect storm of mobile commerce applications taking over our shopping and banking behavior.
With a cash position of around £85.6 million and basically zero debt, operations should be well funded if there are no bigger acquisitions around the corner.
The company also announced to move its stock listing from AIM, the UK`s exchange for young companies, to the LSE´s prime market at some point during 2014, which should give the stock an additional boost of institutional interest.
With fundamental tailwinds in place and the company being able to attract huge corporations (Telefonica and its 300+ million clients) to its platform, I continue to be a raging long term bull on Monitise´s stock.
The table of revenue and profit expectations I posted in my June article should still be valid for the years 2015 and 2016, as I expected profit margins for live operations to hover around the mid 80´s while in fact they stabilize in the 90´s and management also gave a 2014 guidance of at least 50% growth in revenue.
Therefore I will stick with my price target of 200 pence per share by 2016/2017.
The recent leap probably took a lot of short term potential off the table, and cautious investors who are well ahead on their position might take some profit at current levels, even though I will stay fully invested, as my investing horizon extends at least 2-3 years into the future.
Investors who would like to open or add to a position should be advised to take dips under 50 pence as an opportunity.

Thanks - I'll have a read later.

Goldman raised its price target on the stock to 100p from 60p and it has been added to their conviction buy list. In addition to this, Berenberg have just initiated coverage on the stock with a 70p target price and Leon Cooperman CEO of Omega Advisors, a hedge fund with an equity portfolio of over $5.0 billion, stated on CNBC that one of his latest acquisitions was a stake in Monitise. Goldman expects Monitise to emerge as one of the biggest beneficiaries in the technology sector, benefiting from the ‘mega trend’ of mobile money. Goldman also highlighted that valuation remains attractive given the strong projected revenue growth over the next five years and the prospects of cash profitability after 18 months.

Directors' Dealings

The Company announces, having been notified on 17 September 2013, that Duncan McIntyre, a Director of the Company, has donated a number or ordinary shares of 1p each in the Company ("Ordinary Shares") to Cancer Research UK (the "Charity"). This donation occurred on 17 September 2013 when 164,609 Ordinary Shares were transferred for nil consideration to the Charity.

Following the transaction, Mr McIntyre's beneficial holding has decreased and he now holds 18,602,324 Ordinary Shares representing 1.15% of the Company.

Bought another 10,000 at 60p
Total holding 44,000 at average price of 46p

Too far, too fast imo. As per your post 217, a correction is probable, so somewhere around 50p is a better place for a top up. Of course there is the risk of being left out if it doesn't correct.

I think you should focus on the long term with this share! I think if you tuck a few away at regular intervals a few pennies on the price will make little difference. I do not mind a pull back as I top up and see it as an opportunity.

Annual Report and Accounts and Notice of AGM

Monitise plc announces that the Annual General Meeting ("AGM") of the Company will be held on 17 October 2013 at 10.00 a.m. at 26 Southampton Buildings, Holborn Gate, London WC2A 1PB.

The notice of AGM and annual report and accounts for the year ended 30 June 2013 have been posted to shareholders and electronic copies of these documents are available on the Company's website (www.monitise.com) via the Investors Relations section of the site.

Better day so far! Was the drop a buying opportunity?

Additional Listing

Application has been made for 6,000,000 new ordinary shares of 1p each in the Company ("Ordinary Shares") to be admitted to trading on AIM ("Admission") pursuant to the exercise of warrants granted to Visa Europe, as previously announced on 6 March 2013. The new Ordinary Shares will rank pari passu with the existing Ordinary Shares in the Company and it is expected that dealings in these new Ordinary Shares will commence on 1 October 2013.

Following Admission, Monitise will have 1,620,029,298 Ordinary Shares in issue. This figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the FSA's Disclosure and Transparency Rules.

U.S. Bank, lead bank of U.S. Bancorp (NYSE: USB), and Monitise plc (LSE: MONI), a global leader in Mobile Money solutions, today announced an agreement to accelerate the delivery of an innovative product discovery and shopping service by U.S. Bank that provides an easier way for top-tier retailers to help consumers interact with and buy from leading brands via mobile.

U.S. Bank and Monitise will develop an advanced mobile shopping experience including product selection and instant checkout payment capabilities. Leveraging unique digital and audio watermarking and scanning technology for product discovery from Digimarc Corp. (NASDAQ: DMRC) and Nellymoser, a division of Gruner+Jahr, an initial pilot will integrate mobile action codes, mobile shopping and mobile payments to create a quick and easy way for consumers to discover, learn about, purchase, and share the products they want from their favourite brands.

Mobile is increasingly becoming the platform of choice for delivering innovative payments and commerce capabilities that financial institutions can leverage to maintain their competitive advantage in the constantly evolving financial services landscape. By reducing the time and friction associated with product discovery, simplifying the purchase checkout process, and helping retailers optimise their media budgets, U.S. Bank is playing a key role in connecting consumers to the brands they love and increasing the likelihood of sales, which is of significant value to retailers.

losses to much last result, further loss to come next result, s/p 48p before coming result.moni is not on its own will consider buy @ 48p 2014 ends

Monitise takes full ownership of Asia Pacific JV

LONDON - Monitise plc (LSE: MONI) ("Monitise", the "Company" or the "Group") announces today that it has agreed to acquire full ownership of Monitise Asia Pacific Limited ("Monitise Asia Pacific"), its 50:50 joint venture with First Eastern Mobile Investments Limited ("First Eastern"), a leading Hong Kong-based investment group controlled by Victor Chu.

Under the deal, Monitise has paid a total consideration of 20m ordinary shares of 1p each in Monitise plc ("Ordinary Shares") to First Eastern for the remaining 50% stake in Monitise Asia Pacific, valuing First Eastern's stake in the joint venture at £11.25m, based on Monitise's closing share price on Wednesday 16 October 2013 of 56.25p.

Application has been made for 20,000,000 new Ordinary Shares to be admitted to trading on AIM. It is expected that admission of the Ordinary Shares will take place at 8.00 a.m. on 21 October 2013. Completion of the acquisition is conditional only upon admission taking place. Following admission, Monitise will have 1,640,029,298 Ordinary Shares in issue. This figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the FCA's Disclosure and Transparency Rules.

Following the transaction, Monitise will take full control of Monitise Asia Pacific's 49% stake in its Indonesian joint venture with PT Astra Graphia Information Technology. That partnership, which was entered into in 2011, was created to develop new mobile services for financial institutions targeted at both banked and unbanked consumers in Indonesia.

17 October 2013

Monitise plc

(the "Company")

Result of Annual General Meeting

The Board of Monitise plc (LSE:MONI.L) announces that at the Annual General Meeting held today, Thursday 17 October 2013, all the resolutions set out in the previously published Notice of Annual General Meeting were duly passed.

About Monitise

Monitise (LSE: MONI) is a world leader in Mobile Money - banking, paying and buying with a mobile device. Leading banks, payments companies, retailers and mobile networks utilise Monitise's technology platforms and services to securely connect people with their money.

Already 24 million consumers benefit from our patented technology to 'bank anywhere', 'pay anyone' and 'buy anything', accounting for $50bn of payments, purchases and transfers annually. More information is available at www.monitise.com.

Another good day for MONI.
Got back in last week on a pull back at 55 and pleased with the finish today at 59.25.
I think tomorrow it will either pull back to 57 or push on up and break through 63 which is then blue sky territory.

Sub 50p I think I might be tempted again.

market cap £855m, loss making, keep the faith!!

Back on the up.