Research, Charts & Company Announcements
Research Tree provides access to ongoing research coverage, media content and regulatory news on CENTRALNIC GROUP PLC. We currently have 12 research reports from 2 professional analysts.
|14Feb17 14:27||RNS||TR-1: Notification of Major Interest in Shares|
|21Dec16 10:10||RNS||TR-1: Notification of Major Interest in Shares|
|15Dec16 08:48||RNS||TR-1: Notification of Major Interest in Shares|
|14Dec16 07:06||RNS||Premium Domain Name Sale and Trading Update|
|07Dec16 07:00||RNS||Chinese Government approves .XYZ|
|13Sep16 16:46||RNS||TR-1: Notification of Major Interest in Shares|
|07Sep16 07:00||RNS||Half Year Results|
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CENTRALNIC GROUP PLC
CENTRALNIC GROUP PLC
Sale of premium domain name for US$4.5m, pre-close trading update
14 Dec 16
CentralNic has announced that it has sold a premium domain name for a total consideration of US$4.5m in cash, representing its largest premium domain sale to date. The business has also issued a pre-close statement in which it confirms that it expects to finish the year with earnings in line with market expectations. While the business continues to grow recurring revenues in its Wholesale and Retail divisions, new corporate customer acquisition is taking longer than expected in the corporate market segment. Hence we have decided to defer some of the earnings growth in our projections beyond FY17 as outlined below. Despite reducing numbers in FY17, in our view, trading on 5x EV/EBITDA for next year the shares are extremely good value versus the sector. If the shares traded on 9x EV/EBITDA, which is below the sector, the price would be 74p, 58% upside to the current share price.
.XYZ domain one of first to receive accreditation for local hosting in China
07 Dec 16
CentralNic today announces that the .XYZ TLD, for which they act as exclusive distributor, has received official accreditation from the Ministry of Industry and Information Technology (MIIT) in China. What this means is that businesses and individuals in China can now use .XYZ domain names to host their websites locally. CentralNic worked closely with .XYZ to put in place a customised technology platform that has been approved by both ICANN (the global internet regulator) and MIIT, succeeding in securing .XYZ a ranking among the first batch of non-Chinese new gTLDs approved for Chinese citizens. MIIT accredited .XYZ web addresses will be available via Chinese domain registrars from 16th December 2016. The MIIT accreditation was a planned development for the group and is positive news in the context of one of the strategic objectives to increase recurring earnings. We are leaving our forecasts unchanged however we note that the approval opens up significant new opportunities for CentralNic to drive further domain growth within the large Chinese market. The Group continues to evolve at a pace and updated forecasts beyond FY17 will form part of the year-end updates expected in the Spring.
Small Cap Breakfast
07 Dec 16
Creo Medical group—Schedule 1 update.. £20m raise. Expected market cap £61.2m, admission expected 9 December. ECSC—Schedule 1 from provider of cyber security services. Raising £5m. Vendor sale £0.8m. Target date 14 Dec. Expected market cap £15m. RM Secured Direct Lending - The secured direct lending fund intends to float on the Main Market on 15 December raising up to £100m
FY16 Interims – improving quality of earnings, FY on track
07 Sep 16
During the first six months of FY16, CentralNic has demonstrated how the acquisition of Instra has driven the company’s growth strategy by both increasing recurring revenues (now 60% of sales versus 51% in H115) and improving the quality of earnings. In terms of headline numbers, sales have increased by 101% to £8.9m (£4.4m), adj. EBITDA by 29% to £1.3m (£1.0m) and adj. PBT by 12% to £0.9m (£0.8m). The Retail division was significantly enhanced by the contribution from Instra, while there were minimal premium domain name sales in H116 compared to £0.7m H115, which diluted the overall gross margin to 26% from 43%. Management are in advanced discussions with trade buyers for premium domains and anticipate securing significant high value and high margin sales in H2, and as a result, remain confident of achieving FY numbers.
01 Aug 16
AVACTA GROUP PLC (AVCT LN) | BIOMED REALTY TRUST INC (BMR US) | CENTRALNIC GROUP PLC (CNIC LN) | FORBIDDEN TECHNOLOGIES (FBT LN) | GEMFIELDS PLC (GEM LN) | GEMFIELDS PLC (GEM LN) | GFINITY PLC (GFIN LN) | LOK'N STORE GROUP (LOK LN) | OPG POWER VENTURE PLC (OPG LN) | PROSHARES ULTRA SILVER (AGQ US) | SIERRA RUTILE LTD (SRX LN)
FY15 Finals – strong performance with much more to come
25 May 16
FY15 results show that CentralNic has delivered revenue of £10.4m (+71%), adj. EBITDA of £3.3m (+47%) and adj. PBT of £3.0m (+113%), with growth in both revenues and profits experienced across all three group divisions. In our view, the business is well positioned for continued growth, thanks to a growing and impressive track record of diversification and M&A.
N+1 Singer - NCC Group - Further issues in Assurance
22 Feb 17
NCC released a trading update yesterday afternoon highlighting further issues in its Assurance division. Sales growth has been lower than expected in all regions, resulting in a significant reduction in full year expectations. We have reduced our EPS forecasts by 25% in FY’17 and 22%/25% in FY’18/’19 respectively. Escrow continues to perform in line with expectations. In response to these issues the Board has announced a strategic review into all of the Assurance businesses. The results of the strategic review are expected to be announced at the FY results in July. With an extended period of uncertainty on the horizon we believe it will be hard for investors to gain confidence in NCC in the short term. That said we see fundamental value in the stock. Escrow is unaffected by this warning and remains an extremely high quality business, which we value at £353m in our SOTP. At the current share price this leaves Assurance valued at c.5x cal’17 EBITDA. While this appears to be an attractive multiple for a rare cybersecurity asset, we would like further clarity on the underlying nature of the current issues, hence our Hold recommendation. Our 138p target price assumes a 12x EBITDA multiple for Assurance but we apply a 20% discount to the group to account for the current uncertainty.
20 Feb 17
Hayward Tyler Group* (HAYT): Trading update and financial position (CORP) | Petra Diamonds (PDL): Interim results (BUY) | Gemfields* (GEM): Interim results (CORP) | Premaitha Health* (NIPT): Middle East momentum (CORP) | Sound Energy (SOU): Acquisition update and TE-8 well spud (HOLD) | Proactis* (PHD): Interim trading on track (CORP) | 7digital* (7DIG): Automotive contract win (CORP)
The Slide Rule
12 Jan 17
What is The Slide Rule? The Slide Rule has been designed to dramatically simplify the identification of the best companies in the UK small/mid-cap sector by making a quantitative assessment of the relative potential of each company. At its core, The Slide Rule aims to identify those companies that create genuine shareholder value through strong returns on capital and solid growth, but also present a value opportunity with the potential tailwind of earnings momentum. Companies are assessed within a Quality, Value, Growth and Momentum (QVGM) framework.
21 Feb 17
Lighthouse Group* (LGT): Middle Britain growth (CORP) | Utilitywise* (UTW): Double-digit sales growth (CORP) | Trakm8* (TRAK): Earnings expectations cut again (CORP) | dotDigital* (DOTC): Myriad growth opportunities (CORP) | Artilium* (ARTA): Five-year Telenet deal secured and prepaid (CORP) | Netcall* (NET): Cloud investment pays off (CORP)
N+1 Singer - Small-cap quantitative research - New quality style screen + 11 quality focus stocks
09 Feb 17
We introduce our fourth and final style screen representing “quality”. This screens for stocks with the best combination of high returns on capital/equity, EBIT margins and operating cash-flow conversion rates. These criteria should help us monitor how strong underlying returns translate into share price performance over time and under varying market conditions. The screen selects the “best” 25 stocks from our universe of just over 500 stocks and, as usual, we focus on a shorter list of stocks we cover or otherwise know and believe to be particularly interesting. We provide brief investment summaries on these focus stocks on pages 4 – 9. We will monitor performance and refresh the screen in approximately 3-4 months time.
N+1 Singer - Morning Song 22-02-2017
22 Feb 17
CORETX (COR LN) Contract wins and new Lifestyle facility | Gooch & Housego (GHH LN) Solid Q1 trading plus earnings enhancing acquisition of StingRay Optics | NCC Group (NCC LN) Further issues in Assurance | PCI-PAL (PCIP LN) Strong H1 underpins positive outlook | UBM (UBM LN) Results | Verona Pharma (VRP LN) Phase IIa RPL554 add-on trial to tiotropium commenced