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.

Hi GF -
I have a mixture - some I'm holding for the longer term but like to capitalise on short term opportunities - not sure enough about this so will probably hold (knowing my luck, the BDI news comes when I'm out!) - thanks again for your feedback
Anna

Anna, did you run the rule over Caldwell Investments CDW ????. Well worth a punt.

cheers gf.

Do you know what kind of short term period on CDW? Have a cash flow situation to consider - cheers

Anna, its a steady eddie riser so may not suit your present position.
cheers gf.

:-) thanks GF

Hope you stayed in these Anna as we got the contract we were looking for....

RNS Number:0110S
Bond International Software PLC
13 November 2003


FOR IMMEDIATE RELEASE 13 November 2003


BOND INTERNATIONAL SOFTWARE PLC


MPS GROUP EXTENDS ADAPT ORDER


Bond International Software, the specialist provider of software for the
international recruitment and human resources industries, with operations in the
UK, USA and Australia, today announces an extension of a substantial order for
its Adapt software with recruitment firm MPS Group .

The deal follows a successful deployment 3 years ago of a 400-user Adapt system
within Badenoch and Clark, MPS's finance, banking and investment recruitment
subsidiary

MPS Group CTO Guy Deterding said "Although we knew that Adapt had been a success
at Badenoch and Clark, we wanted to reassess business requirements and consider
other products equally, rather than simply go with what we already had. I am
pleased to say that after a thorough analysis, the Adapt product emerged as the
preferred solution. When selecting a solution for such a multi-faceted and
diverse business as MPS Group, we knew that flexibility and scalability would be
paramount, but we also wanted to look at the company behind the product. We
needed to be sure that we selected a partner with whom we could build a long
term relationship, and had the experience and commitment to support us with such
a large rollout.

We were also pleased to see that the technology has moved forward in the
intervening period, and we are interested in the opportunities Adapt now offers
to do business over the web.

Bond International Software's European CEO Tim Richards said

"We are delighted that such a prestigious company as MPS Group were so happy
with their experience of Adapt within Badenoch and Clark. It is always
rewarding to have such an emphatic endorsement of our product and service in the
form of further business from existing clients. We recognise that MPS Group
work hard to provide the best possible fit to their clients needs, and in turn,
we can deliver a system to them that is equally well matched."

For further information contact:

Tim Richards Tel 01903 707070 or email trichards@bond.co.uk
Bond International Software

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

Notes to editors:

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.

MPS Group is a global provider of human capital solutions including professional
staffing, e-business and systems integration, IT resource management, career
management consulting, and knowledge worker e-procurement.


This information is provided by RNS
The company news service from the London Stock Exchange
END

cheers GF.

Hi GF
Yes I did stay but only just! Was contemplating releasing capital by selling them only yesterday but thought knowing my luck.... so glad I stayed - I don't hold a lot - 10,000 but still.... like you, also tempted to invest in DEMG but just don't have cash flow right now - did you buy or still waiting for a price drop?
Anna

Sorry I D Data was posted on wrong thread. im cracking up.

Anna no havent gone in yet, waiting for it to go down in price hopefully. Posted it on another board and a lot like it but two Guys said they werent that confident with the management.

Anyway done more research and I just have to buy it. Its got buy written all over it and if that throat thingy gets approval, wow we could see some action.

Im hoping for about 22p or 23p ish.

cheers GF.

GF - I definitely want to buy DEMG but as I mentioned, cash flow not good - what I did do today is buy a RHPS tipped company, Northgate - great results expected in Dec (date to be confirmed) and the projection is for a short term gain ie 75p - their website: www.northgate-is.com
and btw, well done you re: TMG, great call!

Hi Anna , going to have a look at Northgate. My pal usually gives out tips to shares tip sheets, like this. No joking.

By any chance was it RHPS or CSW ??????.

cheers GF.

Thanks GF - and NIS was a RHPS tip - results expected 2nd week in December
Regards
Anna

Cheers anna , I see Basil is up again this morning, Loads a money.

What a great start to the weekend. Going to get the Beer in now ready for the big match, England V France, may the best team (England) win.

There you are just goes to show how Unbiased I am.

cheers GF.

SW - Hope you found this

Anybody still in this its doing very well................

Bond International is 22.2% better at 82.5p following recent strong interim results and a lot of good press.

cheers Gf

We have lift off.



cheers GF.

Wow well done to those still in!!

Looks poised to move up even further.

cheers Gf.

And it continues to rise.

cheers GF.

Wow really cranking up now.

cheers gf.

After am impressive run, this one has settled down for a few weeks - but its just starting to move again - any information anyone?