The main points at the Year end results were:
* Strong cash position: $55.2 m and no borrowings (2001: $56.6m)
* Significant R&D program maintained
* General and administrative overheads reduced by 37% - in line with strategy
* Awarded an exclusive contract with a leading regional Bell operating company in H2
* Won first major contract for VOIP platform in the US

The company is increasing its presence in several markets which have substantial potential, including the Far East and despite the recent decline in revenues, they are now serving more customers in more countries than ever before.

Dr Zvi Marom, Chief Executive has ensured the company is debt free and cash rich. He has kept a tight control on expenditure and been very smart as to whom he chose to do business with.

The high speed Internet business just taking off and systems have to be upgraded to take up high data load and telcos simply need equipment’s made by makers like BATM.

With time, Financial Institutions will seek out companies which represent good value and strong potential in terms of their growth and BATM is one such company.

BATM shares are trading at cash position 8.50p but at half their NAV of 17p, with all this good points, and the trend on the chart is definitely on the up since the start of April, time to get on board. Dates -- News
09 Dec 08 Signed a contract of medical equipment in excess $1m with substantial upside in the future
07 Jan 09 Revenues will exceed $132m for the full Year 2008, results early March
17 Mar 09 Year results Pretax rise 20% sales 39% and dividend to 0.69p
1 April 09 Vigilant Technology Expands Operations to US & Singapore
12 May 09 Update - cautiously optimistic it will meet targets
14 May 09 CEO Zvi Marom, buys 200,000 shares @ 31.375p
Newspaper comments
18 Dec 2008 Share Magazine selects BVC for the Growth Portfolio
18 Dec 2008 Share Magazine selects BVC for the Growth Portfolio
05 Feb 2009 investegate/article Investech shareholding
18 Mar 2009 CEO video after results - post 19569
18 Mar 2009 Investors Chronicle says "BUY" after 2009 results -

Intraday

4 month candkestick with Indicators ad support /resistance

6 month Bollinger Bands,RSI, S Stochastic and 50 days MA

Charts - 5 days

Links    batm web    Vigilant Web    PLUS Market Trades

           

From the "UPS thread .............

The Times -- February 9, 2010 9 (Tomorrow's market report Small cap)

..............BATM Advanced Communications tumbled 8p to 45p after disappointing results from the Israeli telecoms equipment company and former darling of the dot-com boom. Altium Securities urged clients to stop buying the shares and advised sell instead.

Surveillance unit big losses were only emerged at investor meeting. Another hiden thing by the Doctor.

From the FT.com .......

BATM hit by weak US market

Shares in BATM slumped more than 15 per cent after the telecoms equipment maker reported unexpectedly slow growth in its key US market and a downbeat outlook for the coming year.

Investors disappointment that Israel-based group had seen profits eroded by slowing growth at its telecoms division and a greater reliance on its medical division overcame news of a special dividend of 0.55p to shareholders.

Some analysts were also disappointed that news of $3m of operating losses at its surveillance unit only emerged at a morning investor meeting. Shares in the group closed down 8.5p at 45p.

Earnings for the year were below expectations. Revenues to December 31 rose 0.7 per cent to $135.4m mainly on a favourable euro-dollar exchange rate. However, pre-tax profits fell from $23.7m to $18.5m as its lower-margin medical systems business offset weak growth at its telecoms business. Earnings per share fell from 6.15 cents to 5.08 cents.

Sales at the telecom business fell from $116.1m to $105.7m while medical sales rose to $29.7m ($18.4m).

Jonathan Imlah, analyst at Altium Securities, downgraded his rating to sell from hold as two out of three divisions were loss-making and were likely to remain so in 2010.

With the core telecoms division predicted to be flat, the expected upturn in fortunes for BATM is likely to be materially slower than we had previously anticipated, he said.

Zvi Marom, chief executive of BATM, said earnings for 2010 would see a greater contribution from its medical division while the telecoms market was uncertain. We have begun the year with a healthy pipeline and remain cautiously optimistic for the coming year, he added.

The dividend nearly doubled to 1.35p per share, which included the one-off distribution, after it improved working capital and continued to generate cash.

from Sharecast yesterday

"FinnCap expects greater activity in the market for mobile-related equipment in the second half of 2010. The broker does expect margins to come under pressure, though. Longer-term, the medical division should provide growth.

KBC Peel Hunt has maintained its 2010 underlying profit forecast at $30.2m."

The Company has been informed that, Dr Zvi Marom, Chief Executive Officer of
BATM, has today bought 375,000 ordinary shares in the Company at a price of 41.5
pence per share.

Following this purchase, Dr Marom has a beneficial holding of 91,594,500
ordinary shares representing approximately 22.76 per cent of the Company's
ordinary issued share capital. Dr. Marom does not hold any options over the
Company's ordinary shares.

Further inside of the results, that I did not see reported but it was with the poor results .........The telecoms division had a weaker fourth quarter


From Digital look

BATM boss buys after share price fall
Date: Tuesday 09 Feb 2010

BATM Advanced Technologies chief executive Dr Zvi Marom has bought 375,000 shares at 41.5p each after the telecoms technology supplier reported disappointing 2009 figures. The share price has fallen by one-fifth since the results announcement.

Dr Marom, who founded BATM in 1992, invested nearly 156,000 in the shares, which took his stake to 22.8%. Last May, Dr Marom invested 62,750 in shares at 31.375p each.

Dr Marom bought the shares in time to take advantage of the near-doubled dividend. The dividend has increased from 0.69p a share to 1.35p a share although 0.55p a share is classed as a special dividend. Dr Marom will receive 1.23m in dividends.

The special dividend is designed to return some of the companys cash to shareholders. There is $28.1m in the bank and investments of $38.7m. This is offset by debt of $6.14m.

Total revenues were flat at $135m in 2009 and pre-tax profit fell from $23.7m to $18.4m. The telecoms division had a weaker fourth quarter and the medical side fell into loss during the year even though the growth in its revenues from $18m to $30m was faster than expected.

After the 2009 results were announced Dr Paul Cornelius of FinnCap said: We clearly expect share price weakness over the near-term and are reviewing our FY10 estimates which currently stand at revenues of $148m and adjusted EBIT of $30.5m.

Dr Cornelius expects the medical division to provide the most significant growth over the medium-term but he points out that this could put gross margins under pressure this year.

I have been around to other places of BVC threads, if my negative comments were really out of proportion,
but it seems on other places they thing much the same as me if not worse...........


Mon 10:55 improbable
I too have held BATM shares for about ten years, and despite the acclaimed latent potential of the company, it has turned out to be one of the poorest, and most disappointing investments I have made.

Mon 21:28 happypills
Re: this company hasn't got a clue
Because he wanted to buy some more shares on the cheap?

Tue 17:42 car1petbagger 2
Waiting until the results are announced to declare a fall in profit is so crass. Does Zvi not understand the market? Hopefully it will creep back up to 50p at which point i will sell. Why did he almost double the dividend? It makes me wonder how he manages the company - absolutely clueless!!!

plus From the FT.com
Some analysts were also disappointed that news of $3m of operating losses at its surveillance unit only emerged at a morning investor meeting.

analyst
Altium analyst feels he was used and stabbed in the back.

Being negative for a GOOD reason about SPECIAL DIVIDEND

It is not surprising that the Dr Zvi Marom decided to pay the dividend to HIMSELF considering he is the biggest shareholder, and buying more shares last week is a further motive to people believing this and that the strategy was all well prepared in advanced of the results being announced.

The last adquisitions puts everything well clear he has run of ideas on the TECH sector and maybe the reason is, he is reaching retirement age, so a good cash pile in his account is better than on the company's one.

re - Special dividend

Any cash should have been for adquisitions or earning enhancing like shares buyback , not special DIVIDEND at this time when there is so many companies in trouble and so easy to get them with so much CASH, and not loss making companies with no synergy that the company acquired last YEAR.

The charting has not been positive lately

From the "UPS" Thread ...........

UPS

BVC 40.125p (40 / 40.25)

Reason - The large drop after the results have reached the point where the propper bounce is due as the Indicators have been exausted on the oversold position

Done the chart at lunch time, but I was waiting for a clearer closing signal and a white Candlestick, after the strong order book I decided that it will finished with a gain and positive candlestick.

Level 2 / order book

WINS ( the Market Maker was at close at bid 39.75p), but as usual likes to lay games, so it open tis morning at 39.25p.
Since private investors have place orders to buy at higher prices and bid is back at 40p

spread 40 / 40.50p

at bid price 12.8K
offer 21K

Positive order book with 2 extra trades at bid side

Telco Systems moves to a new corporate office in Mansfield

Telco Systems has moved its U.S. corporate headquarters to a recently purchased 28,220-square-foot office building in Mansfield.

Posted Mar 05, 2010

Telco Systems, a BATM company and a leading provider of Carrier Ethernet access solutions, has moved its U.S. corporate headquarters to a recently purchased 28,220-square-foot office building in Mansfield.

The new location combines multiple existing offices into a single facility, which will allow the company to better serve its clients with more seamless operations and enhanced collaboration among employees.

This move ushers in a new era for Telco Systems and is further testament to the commitment we have to our customers, vendors and the industry, stated Robert Resinger, chief operating officer at Telco Systems. We look forward to many more years of providing leading edge telecommunications solutions to service providers and carriers worldwide.

Located near the former offices in Foxboro, it will house all personnel currently located at 2 Hampshire Street as well as the companys Mansfield-based manufacturing operations. Purchase of the building in Cabot Office Park was finalized in late 2009.

Telco Systems designs and develops innovative, multi-service Carrier Ethernet access and demarcation solutions to enable carriers and service providers to deploy highly reliable and manageable Ethernet services to both business and residential subscribers. These solutions support a cost effective evolution to a service-assured all IP/Ethernet network and enable service providers to introduce new services to capture additional revenue by supporting mixed services across a carrier Ethernet network. Telco Systems is a wholly owned subsidiary of BATM Advanced Communications.

From Bloomberg
By Kelly Riddell and Amy Thomson

March 8 (Bloomberg) -- IPhone users coping with jams on AT&T Inc.s network may get some relief from an unexpected quarter: cable companies.

Time Warner Cable Inc., the biggest pay-television provider in New York City, is pitching phone companies including AT&T and Verizon Wireless on a service that uses its underground cables to carry mobile calls and Web downloads -- easing the congestion spurred by data-hungry users of smartphones like the iPhone.

The service, known in the industry as wireless backhaul, has become Time Warner Cables fastest-growing business after revenue tripled last year, said Craig Collins, senior vice president of business services. Across the cable industry, sales from wireless carriers may reach about $3.6 billion in 2012, according to researcher GeoResults Inc.

Backhaul is a growth play that we are pursuing aggressively, Collins said. These mobile players want to get the bandwidth they need at a cost-effective price and our structure allows them to get that pretty seamlessly.

U.S. smartphone use has grown almost 700 percent in four years, according to the U.S. Federal Communications Commission. Mobile-data volume is more than doubling annually as people use devices like the iPhone, BlackBerry and Google Inc.s new Nexus One to send photos, watch videos and surf the Web. When networks jam, consumers face dropped calls and may find they cant access Web pages or TV, analysts said.

link ... bloomberg

RUS - "broadband plan"

March 16th 2010(CNN) -- The U.S. Federal Communications Commission released a national "broadband plan" Tuesday that aims to give 90 percent of Americans access to affordable, high-speed Internet by 2020.
"This is not something that is nice for us to do; it is everyone's right," FCC Commissioner Michael Copps said at a commission meeting Tuesday.
The plan calls for billions of dollars in programs to extend fiber-optic Internet cables into new corners of rural America and to educate people about why they need the Web and how they can learn to use it.

A VERY GOOD FINISH as the UT went into the offer price 37.50p
so the candlestick was a HAMMER, but we had it before ( a couple weeks ago )and the bounce was small, will see this time the volume today was much higher


Definition:
The Bullish Hammer Pattern is a significant candlestick that occurs at the bottom of a trend or during a downtrend and it is called a hammer since it is hammering out a bottom. The Bullish Hammer Pattern is a single candlestick pattern and it has a strong similarity to the Bullish Dragonfly Doji Pattern. In the case of Bullish Dragonfly Doji Pattern, the opening and closing prices are identical whereas the Bullish Hammer Pattern has a small real body at the upper end of the trading range.

The chart is looking a bit better with the Closing candlestick today, once again after the large volume gives new hope for the turn around, share price at lower Bollinger Band ( they say buy at this point) and RSI and Slow Stochastic at oversold and turning.

Not much volume but at least all buys at the moment

slightly better order book on the bid side

Brokers Forecast

Peel Hunt said BUY yesterday

Brokers Forecast

Telco Systems Business Demarcation Products Receive USDA's Rural Utilities Service Acceptance

Carrier Ethernet leader continues to support the growth of rural broadband

MANSFIELD, MA - Telco Systems announced today that its T-Marc family of Ethernet demarcation devices has been accepted for use in telecommunication projects funded by the United States Department of Agriculture's Rural Utilities Service (RUS). The approvals enable service providers to extend guaranteed SLAs to business customers in their FTTH service area.

"The T-Marc extends the value of PON deployments by enabling providers to offer differentiated higher paying services to business customers such as assured bandwidth and TDM over IP, eliminating the need to maintain old legacy networks," stated Irit Gillath, vice president of product line management for Telco Systems. "The T-Marc also fits seamlessly into an Active Ethernet FTTH network, along with other RUS accepted solutions from Telco Systems like the EdgeGate and T5C aggregation switches."

The T-Marc product family is a multi-port customer-located demarcation device for business services and packet backhaul solutions. It provides extensive Ethernet OAM and test features for Ethernet, MPLS/VPLS and IP networks. Certified to multiple MEF, IEEE, ITU-T and IETF standards to ensure interoperability with the providers current infrastructure, the T-Marc family has been purpose-built to optimize CAPEX and OPEX for service providers as they continue to deploy managed services. The devices support a range of customer interfaces including 10/100BaseT, 100/1000BaseX and T1 ports, which support Circuit Emulation Services (CES).

USDA Rural Development Telecommunications program offers many programs for financing rural America's telecommunications infrastructure, and is dedicated to increasing economic opportunity and improving the quality of life in rural communities. The department has received $2.5 billion from the broadband stimulus package for broadband deployment in rural areas in the United States.

source: http://www.batm.com/int/index/en/presspage/pr/55