Opened a new position in these after finding them to be extremly cheap, and also cheap going forward. P/E now circa of 12, forward P/E to end of june 2005 is 8.7.

Broker Numis is forecasting full year pre tax profit of 8.8 million and Earnings per share of 30.3p, stunning growth

Highlight Of results Interims 31/12/2004.

Profit of 4.45 million before goodwill amortisation and tax
(2003: 3.15 million)
Earnings per share 15.1p before goodwill amortisation (2003: 14.3p)
Interim dividend increased to 7.25p per share (2003: 7.0p)
Brightview acquisition completed
Current trading encouraging

Director Speak

The Company enjoyed a good half-year to 31 December 2004. Cash generation was
strong and as before a high proportion of this cash is being returned to
shareholders as dividend.

In the six months to 31 December 2004 Invox made a profit of 4.45 million
before goodwill amortisation and tax, compared with 3.15 million for the six
months to 31 December 2003. This includes a contribution of 1.26 million from
Brightview, the Internet Service Provider acquired on 9 August 2004.

During the period the postal promotions business continued to demonstrate its
resilience with a broadly maintained operating profit of 3.19 million (2003:
3.15 million). Most of the six months under review showed year-on-year profit
improvement but December, though still profitable, was not as strong as December
2003. Once again, margin improvements arose from a deliberate and increased
focus on our own highly responsive database, and a reduction in less profitable
third party campaigns. Further new promotional and prize innovations, such as
portable CD players, have allowed us to maintain a fresh and attractive
offering. A number of test SMS-based promotions have been conducted during the
half year, but with inconclusive results. Current trading is encouraging and we
continue to seek new ways of leveraging our database.

As an independent Internet Service Provider, Brightview has a relatively large
customer database of over 300,000 users, the great majority of these accessing
the internet via dial-up rather than broadband. It appears inevitable that
dial-up business will dwindle over the years, and management is therefore making
strenuous efforts to establish Brightview as a significant presence in the
broadband marketplace. We are looking to convert a significant proportion of our
Brightview customers to broadband as soon as possible, as well as attracting new
customers. We are now able to offer a range of broadband services, making us
more competitive than before. We are therefore promoting the offering in a
number of ways. Our experience to date has been that converting existing dial-up
customers to broadband is proving much easier, and more profitable, than
recruiting new users from advertising. Brightview's broadband customer numbers
have increased from around 3,600 at the time of the acquisition to almost 10,000
now, and the rate of increase has accelerated in recent months. Shareholders
should be aware, however, that while broadband customers are potentially a very
valuable asset in the longer term, in the short term they contribute relatively
little to profit, owing to the initial costs of connecting a broadband customer
and supplying a modem.

Outlook.

Further progress is now likely with its database of over 400,000 mobile phone users, and Brightview will be a challenge converting customers from dial up to Broadband. The core mailed promotion business which is highly cash generative should see the company realise Broker forecasts.

Highly Speculative but derd cheap. As a high beta and hopefully we should see a re - rating .

DYOR

cheers GF.

3:1 buyers to sellers so why is the price down ?????

Hi GF.
Been watching this for a while,
standing at 116p must say now looks very oversold.
Down 70% in last year, Ouch, when it should have
been a growth stock.
Interesting to see the board quoted on 26 july ptp
will not be less than 7.4m which counters the quote
on 20 may saying it will not meet expectations.
Even if eps growth will still be down.
Aim stock paying dividend in double figures (will reduce no doubt )
eps also double figures
and forward p/e under 4
the market is mad sometimes, unless the board
are lying through thier teeth.
Which in this case i doubt.
1 month relative strength over 20
seems this is now a massive buying opportunuity.
I dont follow recovery stocks as a rule but i believe
this is in fact not a recovery stock, but somthing
the market has misread by a long way, unless there is
somthing sinister i have missed.
Dropped 4% Friday but i will be be onboard very soon.
All the best
HUSTLER

A 50000 buy just before 4 o'clock took the buy/sell ratio firmly to the buy side, but still 1p down on the day ... maybe we will see a higher opening price tomorrow.

I don`t understand why this hasn`t taken off, i might still be a novice at this game but i know this is a bargain even if the dividend is cut down!
DB66

A 6% rise so far today ,i think people are missing a trick here .
Profit of not less than 7.4 million and market capital of 19.43 million,the dividend although its going to be cut could still scrape into double figures.
Can anyone tell me whats the catch because i can`t see one.
DB66

moved a little today 8:1 in favour of buys maybee same again tommorrow massively undervalued IMHO hoping from more exposure via T1ps.com

nice move again should get past 130p soon with 150p results due in september
and still expect nice fat divi

another small rise today am I talking to myself ? anyone a firm idea of the results date and a view of the potential final divi ?

Gordon,
Don't worry - you are not alone !!
The results are due in the third week of September I believe
The final dividend will be decided upon the state of the business at the time - it will be cut for sure but to what extent is still to be decided.
This is the last trading statement:

Invox PLC
26 July 2005




Trading update



On the basis of unaudited management accounts, in the year ended 30 June 2005
the Company made a profit of not less than 7.4 million (2004: 6.8 million)
before tax and amortisation of goodwill, giving earnings per share of 25.0p
(2004: 30.1p) after tax but before amortisation of goodwill, on the weighted
average number of shares in issue. These figures take no account of any
provision which may be made for impairment in the value of the Company's
investments in its subsidiaries.



As previously announced, the level of any final dividend to be recommended by
the Board will be set when the preliminary results are announced in September,
and will take into account trading and prospects at the time. The Board will
also provide shareholders with an update on the outlook for the current year at
that time. Group net debt as of 30 June 2005 was approximately 3.5 million.



Current trading is satisfactory in both Home Gaming and Internet Service
Provision. The strategic review announced in May 2005 has thrown up a number of
interesting possibilities and shareholders will be kept informed of any
significant developments.


As has been suggested on this board the shares are fundamentally very good value IMO.

K******

I've just jumped in with both feet as I also believe that the shares are currently good value.

Hi all

I'm now in for the run up to results (and hopefully beyond!)

have been on the advfn site a each of the last few days a big buy goes thru for 50k which gets delayed and looks to use like a sale but is actually a buy any views

IMHO could get back to 200p after results and 150p before them

Yeah - it certainly looks like there is a lot of interest building, but the MM are trying to hold it back.

Definitely oversold imo and will go higher - all will be clearer in september.

also found out nigel wray got nig shareholding anyone know how much ?

any views on results date last year was 21/9 also divi paid 7p at interim
expect the same this time ??? well hoping anyway

T1ps have target of 175p and expect they will review the tip between now and the results

A good rise so far today and not before time, i`m a bit surprised a the lack of movement in SP lately given results are due any time.
DB66

Results due by end of September.
At least 7.4 million profit!
I might be a novice but i`m sure given todays rise there is a bit more to come out of Invox to get to its real value.
Anybody else agree?
DB66

DB66

Totally agree. INX is seriously unervalued at the moment. I think a lot of people were spooked by the earlier profit warning but that is behind them now.

I expect more rises as we get towards the results and then hopefully we will get a clearer view of where INX is going!

I phoned the company today - results definitely out on Friday!


http://www.smallcaptrader.org/mydiary.html#12

What's your feeling on their positive (or otherwise) nature someuwin? They could do with some good news as the sp took another hammering today.

Yeah they took a bit of a hit today - but I remain quietly confident.

There are some unknowns here (i.e Brightview) but I am convinced the positives far outway the negatives.

We'll see what happens Tomorrow, but the real action will be on Friday!