Looks like these Guys like it aswell. 'Share Of The Week' at everyinvestor.co.uk
ANOTHER SOFTWARE DEVELOPER WITH MASSIVE GAINS POTENTIAL. 12/5/2003

Bond International Software

Business Summary
Provision of software, hardware and related support services, principally to the recruitment services.

Market: AIM
Website: www.bond.co.uk

Bond International Software, although only a tiny company, has a leading position in the market for software for recruitment businesses. After a disastrous year in 2002 the company slashed costs, especially in its US operations, and has just reported a return to modest profits for the first half of calendar 2003. But the excitement in the share price is the potential for the soon-to-be-launched Version 11 of its software.

Version 11 may sound no big deal but the company has been working on this for years and says the improvements are so massive that it is really a new product. Chief executive Steve Russell says the product will be launched with an important customer signed up. Even more significantly he says that there is scope to sign up some giant customers for the software. A single order could be for as much as 5m which would have a transforming impact on a company with sales last year of 6.4m and a market capitalisation of 4.9m.

I should caution here that managements at small software companies are not noted for their pessimistic outlook on life. A more down-to-earth note from stockbrokers, Seymour Pierce, published after the latest interim figures, forecasts sales rising to 7m this year and 7.5m next, with profits of 300,000 and 500,000 respectively. Even that provides reasonable underpinning for the present share price, but Russell says those forecasts could be left way behind by events. Analysts are paid to make assumptions about the future but they can hardly factor into their forecasts sales from unknown customers for a product that has not even been launched yet. Alan Matthews, author of the Seymour Pierce note, says that he has not built into his numbers any upside for Version 11.
Massive cost-cutting restores profitability
Bond received a bloody nose in 2002 from an over-ambitious expansion in America. It built up a far-flung sales and support operation with 55 employees to service and build the expected fast-growing US arm of the business. The catastrophic attacks on the World Trade Centre on 11 September 2001 were a commercial disaster for the group. New orders for software dried up completely and the business began haemorrhaging cash. In a spectacular slash-and-burn exercise the US labour force was cut from 55 to 6. Amazingly, the group claims that this has been done without destroying the ability of the US arm to operate successfully.

The result of the staff cuts is that administrative costs have dropped from 4.85m to 2.95m. At the same time turnover has crept up from 3.18m to 3.37m enabling the group to turn a 2.1m loss into a 155,000 profit. Profits are also helped by capitalising 75 per cent of the anticipated 1m cost of developing Version 11. These costs will be amortised against revenues once the product is completed.

At the same time as cutting overheads drastically, the group has been focusing on building recurring revenues from customers. These are sales from maintenance, support services and from the managed service package. In the latest year recurring revenues represented 70 per cent of overheads against 37 per cent the year before. The plan is to build recurring revenues to cover 100 per cent of overheads so that new license sales will be pure profit. If the company can reach this position by 2005 and make big license sales the impact on the business will be dramatic.

Who;s who of recruitment giants already customers
As well as having what it believes to be an exciting new product the group also has a formidable customer base with a whos who of the worlds leading recruitment businesses like Manpower already clients. In the UK the group is growing its managed services business through a relationship with recruitment and support services giant, Hays.

Bond’s software helps recruitment companies manage the personnel they are supplying to their customers right across the relationship. Version 11 is a vastly upgraded product that is compatible with third party databases rather than requiring bespoke systems. This has the advantage that customers can configure their systems to their own particular requirements while still using highly cost-effective software. The company claims that there is already considerable interest from potential customers, hence its confidence that some large orders will be signed over the next couple of years.

The risks are obvious. There could be delays in launching the product. Customers may not respond as hoped. But meanwhile there are positive developments including signs of life in the recruitment market, an improving order book with more large prospects in the pipeline and a major deal in the UK and two in the US already won in 2003. The shares look a solidly based speculation with the potential to really hit the jackpot. ENDS.

Quite a breathtaking report with fair warnings given. I think the most important aspect being that the brokers have not even factored anything in yet for version 11 and they have to my knowledge a BUY note on it whith a further add note after the results on the 9th.

GF PDYOR.

The long term chart showing that the company has started its recovery.




gf.

The companys results which came out on the 9th, and were overlooked by many as Sept 11th fears plagued the market.

Bond International Software PLC
09 September 2003


FOR IMMEDIATE RELEASE 9 September 2003


BOND INTERNATIONAL SOFTWARE PLC

INTERIM RESULTS


Bond International Software Plc, the specialist provider of software for the
international recruitment and human resources industries, with operations in the
UK, USA and Australia, today announces its interim results for the six months to
30 June 2003.

KEY POINTS

• Sales increased 6.1% to 3.4m (2002: 3.2m)

• Group operating profit of 200k (2002: operating loss of 2.1m)

• Earnings per share 0.64p (2002: Loss per share 13.71p)

• Growth in UK business including one major contract with Rullion

• Considerable improvement in business prospects in the US with two major
orders in the Healthcare Staffing sector from StarMed Staffing Group and
Career Staff

• Australian subsidiary trading successfully. Largest order to date
received in August 2003


Commenting on the results Chief Executive Steve Russell, said:

'We are pleased with these results and are hopeful that we have started to see
signs of optimism in the market with some larger deals starting to come through.
We are well positioned to benefit from any upturn in the market.'

For further information, please contact:


Bond International Software Plc: Tel: 01903 707070
Steve Russell: Group Chief Executive e-mail: bmorrison@bond.co.uk
Bruce Morrison: Finance Director


Buchanan Communications: Tel: 020 7466 5000
Tim Thompson e-mail : nicolac@buchanan.uk.com
Nicola Cronk

Bond International Software Plc and Subsidiary Companies

Chairman's Statement

Overview

When I last reported to you, the Group had already begun to feel the positive
effects of the overhead restructuring carried out in the first half of 2002. I
am pleased to say that these benefits have continued through the first half of
this year and, together with a 6.1% overall increase in sales, have resulted in
a Group operating profit of 200,000 compared with an operating loss of
2,073,000 in the same period last year.

UK & Europe

During the first half of this year, the level of order taking has begun to
improve and some larger deals have reappeared. In April 2003 the Board announced
that a 400,000 agreement to supply Adapt to The Rullion Group had been
concluded. Negotiations are continuing with a number of other potential
customers and your Board expects to be able to announce further contracts in the
near future.

There has also been an increase in the recurring revenue streams and in
particular, with Adapt VMS, our Managed Services product, which now provides
significant monthly income.

North America

I am pleased to say that we have seen a considerable improvement in business
prospects in the United States. In my last report I emphasised our need to
evolve there and to maximise our offerings in niche markets. This strategy has
been successful and has so far this year resulted in two major orders in the
Healthcare Staffing sector, one with StarMed Staffing Group which we announced
on 18 July 2003 and the second with Career Staff.

Australia and Asia Pacific

Our Australian subsidiary has continued its success, recently concluding their
largest order to date worth around 150,000.

Product Development

Having resisted the temptation to cut back on product development, the Group has
actually increased efforts in this area in order to ensure that we continue to
offer the most advanced software solutions. In the first six months of the year
the Group spent 551,000 with further development projects planned for the
second half. The result will be a range of software solutions second to none in
the recruitment industry and which the Board believes will enhance the Company's
position in the UK market and overseas.

Outlook

Business conditions continue to improve. The rate of order take is increasing
and some of the larger deals have begun to re-emerge. These factors, together
with the exciting products that we have in development, will ensure that we are
well positioned to benefit from this continuing upturn. ENDS

Ilike the point they make about sorting out the recurring revenue streams, something in the past that as been a thorn in this companys side.

GF.

Growth Company Investor have a BUY note on the stock this weekend.


Bond International Software - BUY
Recruitment software developer Bond International bounced back from an appalling 2002, by generating a 155,000 pre-tax profit for the six months to June. Last year's first-half numbers showed losses 2.1m and reduced sales of 3.2m

gf.

Miss this one at your peril.

GF.

I note the MMs marked this one down at the open. Are they short of stock?, I think so. Will be adding. Anyway excelent TA from Investtech on the company.

http://www.investtech.com/main/market.php?CompanyID=44102158






gf.

Thanks for the tip Goldfinger.

No problem Snoball. Just one sale of the new version 11 backed up by the service contract will blast this one through all analyst targets. And the management are hinting at just that in the vert first article on this thread.

gf.

ps, did you see the 2p mark down before the off today. They have me as a marked man.

Up 19% this morning, said this one was undervalued and missed. Just one sale of version 11 software platform will catupult the shares into orbit.
GF.

Just a reminder of the potential.......

CEO Russell says those forecasts could be left way behind by events. Analysts are paid to make assumptions about the future but they can hardly factor into their forecasts sales from unknown customers for a product that has not even been launched yet. Alan Matthews, author of the Seymour Pierce note, says that he has not built into his numbers any upside for Version 11.

Version 11 may sound no big deal but the company has been working on this for years and says the improvements are so massive that it is really a new product. Chief executive Steve Russell says the product will be launched with an important customer signed up. Even more significantly he says that there is scope to sign up some giant customers for the software. A single order could be for as much as 5m which would have a transforming impact on a company with sales last year of 6.4m and a market capitalisation less than 4 million.

gf.

Goldfinger,

Good thread.

Looked at this, covered in Chart Breakout today. Good story but may be premature (read - sometime to go before business really picks up). Recruiters will only spend "big" when they see a sustainable pick up in their own business. I think we are a long way from that right now. Its had a good run from circa 15-50+p. Difficult to see it x2+ in price from here with it being imo so far ahead of events.

TomL

TOM L, did you see the drop in unemployment figures today??????.

Seems to me we are indeed turning the corner and please remember this it aint the retail trade or call centres that are fueling the growth, no its manufacturing thats seeing a world wide pick up at last.

Dont get me wrong but I think these babes will be very volatile, but as a long term investor that downt bother me.

Good luck Tom and please keep in touch.

GF.

ps, one thats going to blast away and please dont ask me why, just keep your eyes on RNS, INC, Incite Holdings.

Cheers, Goldfinger, I'll take a look at Incite over the next few days. All the best for now...:>)

ps..on employment numbers, it seems from your text header that Bond management don't see it all coming together very quickly -

"The company claims that there is already considerable interest from potential customers, hence its confidence that some large orders will be signed over the next couple of years." (3rd last para of thread header).

Yes I see your point Tom, but if you have a look in todays Shares mag, they are predicting new orders for the older software version.

Theres also this point re- to the latest add note produced by the broker on the 9th of this month........

Russell says those forecasts could be left way behind by events. Analysts are paid to make assumptions about the future but they can hardly factor into their forecasts sales from unknown customers for a product that has not even been launched yet. Alan Matthews, author of the Seymour Pierce note, says that he has not built into his numbers any upside for Version 11.

GF.

Heres the note from the brokers in PDF format.

http://www.seymourpierce.com/pdf/Bond%20International%20Software-mmnote9thSeptember2003.pdf

GF

Marked up at the open. Could see agood day in store.
GF.

Up 12.1% now, well worth a punt.

gf

Its stil up and bombing.




Well look at this fantastic TA from Investtech has broken through the ceiling og the upward price trend. The chart was at close of businees last night so come Monday we should have a BUY reco on this from Investtech.

gf

goldfinger, I wish you well on this one - its all relative..:>)

Many thanks TomL, think we could have another good one in the morning.
GF.

A new contract signed and the CEO also hints at other new customers.

Bond International Software PLC
22 September 2003


FOR IMMEDIATE RELEASE 22 September 2003


BOND INTERNATIONAL INTERNATIONAL SOFTWARE PLC

BUPA Healthcare Professionals choose Adapt Staffing Software


Continuing its success in the Healthcare Staffing Market, Bond International
Software has recently concluded an agreement with BUPA Healthcare Professionals
to implement the world-leading staffing software, Adapt, within BUPA Healthcare
Professionals' businesses. The deal, worth 300k, will be implemented over the
next 18 months.


BUPA Healthcare Professionals has a national branch network supplying nurses and
carers, a specialised business providing doctors and a London based business,
Strand Nurses Bureau, which provides homecare. BUPA Healthcare Professionals'
clients include the NHS, independent hospitals, care homes, industry and private
individuals. BUPA Healthcare Professionals has annual turnover of over 50m.


Helen Parr, Operations Director of BUPA Healthcare Professionals, said 'BUPA
Healthcare Professionals' focus is on finding the best people for the job and by
choosing Adapt as our preferred long-term partner we hope to be able to perform
this role more efficiently. Importantly, the system can be tailored to the
various working practices of the different specialist businesses.'


Tim Richards, Managing Director of Bond UK said 'The healthcare staffing market
is becoming increasingly important to us worldwide and we are delighted that
this prestigious client has chosen to implement Adapt.'


Bond, which is this year enjoying its 30th anniversary, is the world's longest
established provider of staffing software and with over 28,000 users in 36
countries.


BUPA Healthcare Professionals is part of BUPA, the UK's leading, independent
health and care organisation.



...ends...



For further information contact:

Tim Thompson/Nicola Cronk
Buchanan Communications Ltd Tel: 020 7466 5000


This information is provided by RNS
The company news service from the London Stock ExchangeENDS.



Best not let this one get away, down a tad with the whole market today, but long term strength will show through.

GF.