SOLCO Ltd ("SOO") sustainable energy co

Does anyone have any thoughts on SOLCO Ltd ("SOO")??

just reported 2Q06 positive operating cashflow of $300K on cash receipts for quarter of $5mil.

sustainable energy and water company:

- solar power systems
- water purification systems
- solar hot water systems
- solar pumping systems

-operates internationally through a licensee-type set-up where SOO sells rights to manufacture their products to international associates often retaining a free-carried interest in the associate

-Hundreds of distributors Australia-wide, including their wholly owned Choice Electric, one of Australia’s largest and most respected distributors of solar powered solutions

-revenue growth of 330 % in FY05

-in November forecast revenue growth of 62 % in FY06 to $16 million

-in December forecast on track to record maiden profit in FY06 on turnover of $18 million (admittedly maiden profit unlikely to be significant)

-expects over the next year to make up to three substantial acquisitions to take turnover to the $50 million to $80 million range
(looking at acquisitions in Australia with products that reduce household water and power bills)

-budgeting for organic revenue growth of 50 % per annum to FY10 through expanded distribution, new products and technology sales

-managing director Duncan Stone states "We believe our renewable energy power and water solutions are futuristic products. They’re cheap to produce and operate cleanly in a world in which the cost of energy and intolerance of pollution are ever increasing. I believe we’re set for long term growth over at least a ten year period based on market demand for decentralised, sustainable energy and water solutions. This fundamental market shift is complimented by external drivers such as the rocketing oil price, Kyoto protocol, and supportive government legislation for our products worldwide"

-check out credentials of MD, Duncan Stone - " graduate of Australia’s elite leadership school the Royal Military College Duntroon where he completed an honors degree in civil engineering from the University of New South Wales. Duncan became the Australian Army’s lead design engineer completing a number of large international construction projects in the South Pacific as part of the federal Governments AIDAB program"

-outsourcing the manufacture of some of the components of their hot water systems reducing overhead costs by $600,000

-The World Bank has allocated substantial funds to locations such as Madagascar and the Congo, where SOO already have trial systems operating.

-recently employed a water engineer who will be exploiting further opportunities in Africa

-highly rated by both David Haselhurst (Bulletin) & Peter Strachan (Stock Analysis)

www.solco.com.au/investors/announcements

- recipient of federal government development grants

- water purification will become a major contributor to growth - strategy is to find a substantial global water company which has difficulty accessing remote areas, such as Coca Cola or Vivendi, to roll out this business model in partnership with Solco

- good relationships with Country Energy/ Ergon/Energy/Telstra etc

-delivered PV systems to Queensland state schools on behalf of the Queensland Government,

- good relationship with Triodos Bank : - World’s most respected Ethical Debt Provider who financed Maldives water trial

-Major intl leading global ethical fund Henderson Global Investors - Sustainable Responsible Fund (SRI) as cornerstone shareholder with about 10% ( who bought in at 30 cents); number of other ethical/environmental type fund shareholders including AMP Sustainable Development Fund

-Market cap at approx $15mil may seem on the high side given lack of profit to date, but given expansion potential, cap seems appropriate

-note that Henderson Global Investors (major shareholder) believe Solco has the potential to be a billion dollar business of the future

-Shares at 12 - 18 month lows, however recent acquisitions/developments/news have put the company i

Wasn't this Solar Energy Systems (SES) before?

Hi Tommy....yep...name changed in Decmeber 2004

Quote:

---

quote:Originally posted by steve fleming

Hi Tommy....yep...name changed in Decmeber 2004

---

Hi Steve,

Thanks, this was on my watchlist a long time ago but never bought any, then the ASX code "SES" on my watchlist was treated as "invalid"... the name change explains it all!

Will dig into SOO again and see what is better this time...

Quote:

---

quote:Originally posted by tommy

Quote:

---

quote:Originally posted by steve fleming

Hi Tommy....yep...name changed in Decmeber 2004

---

Hi Steve,

Thanks, this was on my watchlist a long time ago but never bought any, then the ASX code "SES" on my watchlist was treated as "invalid"... the name change explains it all!

Will dig into SOO again and see what is better this time...

---

Tommy, hopefully your "digging" will find that the prospects of SOO have improved significantly since it was SES!!!

Sold out around 30c mark. Despite good story graph is not a good look. SF you have stirred my interest again and will keep a watch.

cheers

Looks interesting. Like this bit from the investor briefing...

In the short term weÕre looking at acquisitions in Australia with products that reduce household water and power bills. We expect over the next six to 12 months to make up to three substantial acquisitions to take our turnover to the $50 million to $80 million range.

Considering they had total revenue in 2004 of $10m and were forecasting $16m for 2005 (might be on track to beat that with first half sales of $9.6m).

However, like many renewable energy type companies, the profit margins are going to be the crunch point. I value them at about 28 - 33cps, but with the risk attached and significant profits probably not till 2008, plus unknown capital requirements to support expansion plans, my call would be to just put them on the watch list for a bit longer.

Hi Foodee & Lizard

Yep, Solco certainly sounds like a good story, but the market obviously thinks otherwise!!!

IMO, Solco, having just reported record positive operating cashflow of $300K on cash receipts for quarter of $5mil, is in its strongest financial position for a long time...however the SP reacts by touching its yearly low!!!

Wow, the price came down quick on these. Chances of them being a good buy at these prices have improved a little, but still premature.

Interesting announcement today - good to see the ASX querying something that was told to an individual shareholder... now if only they did that with all "the company told me..." titbits posted on forums!

I was surprised by the question and announcement. I thought the question would be to do with reasons for the falling share price and perhaps the directors incompetance at wasting their annual share purchase plan chance by not linking the application price to the market.

Disclosure hold and never received the spp application anyway. Might top up on market, but this does not directly help the company.

Hi Steve,

SOO skyrocketed today, what's happening in Germany?? Any news? This is speeding ticket stuff!

What am I supposed to make out of the movement at these markets??

http://finance.yahoo.com/q/cq?d=v1&s...OO.AX+SOOFF.PK

I have made a small punt after looking at the volumes...

Quote:

---

quote:Originally posted by tommy

Hi Steve,

SOO skyrocketed today, what's happening in Germany?? Any news? This is speeding ticket stuff!

---

Hi Tommy

Response to speeding ticket issued by SOO this evening referred to "increase in volume traded on Frankfurt exchange"...

up a further 20% on big volume in Germany tonight as well...

SOO currently have a number of European ethical investment funds as shareholders....looks like some more are buying in...

Good summary of SOO thanks very much to trade4profit on HC
--------------------------------------------------------------
More shares traded in the first 1 minute today than any other full day in the company's entire history...other than the re-listing day.

More shares traded at 31.5c than any other level today.

The highest price the company's shares have ever reached is 40c

Today's VWAP is 27.85c

Issued capital:

Shares: 75,910,344 (2,309,824 in escrow)
Options: 2,507,775 (unlisted - various ex prices)
SPP issue: 2,100,000 (approximately)

Fully diluted: 80,418,109 shares

Cash from options = $435K
Cash from SPP = $443K
Cash at bank (31/12/05) = $1.2m

Current market cap (fully diluted - 28c) = $22.5m
Cash backing per share = 2.6c

Profits December quarter = $300K...impacted by once-off redundancy payouts.

December quarter receipts hit $5m for first time...growth in overseas operations the main reason.

Assuming $500K profit per quarter, we get an an eps of 2.5cps...

PEx10 = 25c
PEx15 = 37.5c
PEx20 = 50c

Exponentially growing market...should be able to carry higher PE values.

International presence, plenty of exposure in some of the worlds largest renewable energy aware markets.

Positive news due regarding support from a substantial financial institution...particularly in relation to enabling client purchases of SOO products via "innovative" financing packages.

SOO looking to expand through acquisition this year...they are currently looking at some seven targets, at least three of which are expected to be acquired over the next 3-9 months.

By years end, they are aiming at lifting incomes to between $50-$80m anually. (currently $18m...last year $10m)

touched 44 cents in overnight trading in Germany on massive volume of over 8 million shares....closed at 37 cents in Frankfurt , which is well up on the ASX close yesterday of 28 cents....hopefully a nice rise today, to go with the +55% gain yesterday!

The CEO wasn't lying when he said "We have some good news coming in the following month and believe the share price will rapidly rise".

Get the hunch that SOO will be better buying at some stage in the future when the traders lose interest.

Hi Steve and Oneup,

SOO now only $0.33, after reaching $0.43 at one point... obviously at the mercy of traders due to T+3! In the absence of any news, the fact that the rise in share price in ASX is primarly attributable to SOO'S hike in Germany means that SOO will likely follow any change in sentiment in the German stock exchange.

It does look overpriced, but when a stock starts to skyrocket, it's very hard to determine a good entry point... I'm going to hold for the time being until the news is out.

I just bought in as well. I must admit to being influenced by watching dyesol (another solar power company) over the last week and missing a huge trading opportunity.

I think the volumes seen today and yesterday indicate more than just some speculative traders. About a third of the company's shares have been traded in the last day and a half. Fundamentally the business looks really good, with revenue heading to $20 million pa and cashflow turning positive. The stated aim of going down the acquisition path and raising revenue to $100 million pa also seems bold and aggressive and I like it. So a market cap of $23 million (at 33 cps) doesn't seem hugely overpriced to me (although why I didn't decide that when it was 18 cps is beyond me :().

Will be and interesting next few days to see where it settles.

Damo

How's this for a statistic. The volume of shares in SOO traded in the last 36 hours exceeds the volume traded in any 6 month period of this companies history. Check the chart [:0][:0][:0].

Hi Damo,

SOO closes 23% higher than yesterday, how's that for an easy trade[:p]

If the SOO keeps on rising in Germany tonight, I think there's gonna be a tug of war tomorrow between T+3 sellers and bullish day traders eager to make a quick buck or two. Keep an eye on
http://finance.yahoo.com/q/cq?d=v1&s...OO.AX+SOOFF.PK

Hmm.. by the looks of the depth chart, I think this morning could hurt:(

Is this what we have been waiting for? Down 18% today, I stop-lossed at a small profit...

_______


ASX RELEASE SOLCO LIMITED 01 March 2006

Solco commission new Manufacturing facility in Malta


Solco Ltd (ASX: SOO) has now completed commissioning of their latest Solco Manufacturing System (�gSMS�f) in Malta for its licensee MB Solco Ltd. The new manufacturing facility will produce a range of sustainable water and energy products including Solco�fs patented polymer
based solar hot water system (Solco GeniusTM ) for Malta and other selected Mediterranean markets.

The Maltese Government has demonstrated its strong commitment to renewable energy with a comprehensive rebate programme that includes significant rebates for solar hot water units. In addition, the Maltese Energy Company, Enemalta, has recently announced another surcharge
on local electricity charges.

MB Solco has also secured the sole rights to sell to southern Italy and Egypt and plans to distribute the full range of Solco products in due course.

MB Solco is a strategic partnership between Motherwell Bridge Mediterranean Ltd, of Malta, and Kaylor Rotomoulders Ltd, of Mauritius and Solco Ltd.

Motherwell Bridge also has operations extending to steel fabrication and crane maintenance, and is part of one of the largest groups in Malta that has interests in shipping, fast food and IT.

Kaylor has an excellent track record in rotomoulding in Mauritius over the past 15 years and is also a Solco SMS licensee.

Solco Managing Director, Mr. Duncan Stone said Solco has retained 20% interest in MB Solco Ltd because the Company is confident that it will generate significant returns under the strong local management team.


The Malta facility was completed within budget and ahead of schedule.
It is the second SMS facility in Europe to become operational in the
past 18 months following the commissioning of a facility for its licensee in Portugal.

Through its licensees, Solco is focused on developing and providing sustainable, decentralised power and water solutions tailored to the specific needs of households and communities in each region.

- ENDS -
For further information, contact Duncan Stone on (08) 9334 8100 or 0402 987 000.

Ive held these for three years and have recently increased my holding fourfold as ive watched the company go from a nice idea to positive cashflow. The good news being referred has still yet to be announced. This extract is from corporatefile.com.au open briefing dated 14/12/06 and is referred to by Duncan Stone in a recent ASX share price query.
Once the European Instituions get a real hold of this we could be in for a few more rises...then again it can always drop!!! I'M HOLDING




START

Open Briefing®. Solco MD on Capital Management Plans

Solco Ltd MD, Duncan Stone has been interviewed by Corporatefile.com.au on the companies
capital management plans. This is a record of the interview.

EXTRACT FROM FULL REPORT

We’re also working with a leading Australian financial
institution on a highly innovative, low cost customer finance package which will help us sell a
whole range of integrated water and power saving systems to households. These include grid
feed solar power, both the steel and the polymer based solar hot water systems, and water tanks
incorporating the Davey Rainbank system that allows households to use rain water in toilets and
washing machines. The details of the finance package will be available in January.

END

This is from an announcement made by SOO on the 19th of September last year:

Option Payment received from Western Africa
Mr Stone also announced that this week Solco had received a $30,000 USD option payment to
secure the Solco Manufacturing System rights for a number of countries in Western Africa
including Ghana. The businessman behind the deal is US based and has an excellent business
background with IBM and other major American businesses. The option must be exercised by
23 March 2006 and the fee is $900,000 USD.

Getting reasonably close to that date. It would be nice to see this option taken up. It's unlikely someone is going to throw away $30k USD for nothing. Maybe this could be 'the good news' ??

Quote:

---

quote:Originally posted by Damo79

This is from an announcement made by SOO on the 19th of September last year:

Option Payment received from Western Africa
Mr Stone also announced that this week Solco had received a $30,000 USD option payment to
secure the Solco Manufacturing System rights for a number of countries in Western Africa
including Ghana. The businessman behind the deal is US based and has an excellent business
background with IBM and other major American businesses. The option must be exercised by
23 March 2006 and the fee is $900,000 USD.

Getting reasonably close to that date. It would be nice to see this option taken up. It's unlikely someone is going to throw away $30k USD for nothing. Maybe this could be 'the good news' ??

---

Thursday is D-day...although I would have thought that SOO would know one way or the other by now...anyway if this option is not taken up SOO will then be able to negotiate with other parties...

Up almost 10% on very big volume in Frankfurt o/night...so that is promissing for Monday

anyone interested in 0.8% off their home loan rate for using solco products that save you running costs (power and water). This is the "good news" that duncan stone was referring to.

http://imagesignal.comsec.com.au/asx...f/00599433.pdf

Quote:

---

quote:Originally posted by steve fleming

Quote:

---

quote:Originally posted by Damo79

This is from an announcement made by SOO on the 19th of September last year:

Option Payment received from Western Africa
Mr Stone also announced that this week Solco had received a $30,000 USD option payment to
secure the Solco Manufacturing System rights for a number of countries in Western Africa
including Ghana. The businessman behind the deal is US based and has an excellent business
background with IBM and other major American businesses. The option must be exercised by
23 March 2006 and the fee is $900,000 USD.

Getting reasonably close to that date. It would be nice to see this option taken up. It's unlikely someone is going to throw away $30k USD for nothing. Maybe this could be 'the good news' ??

---

Thursday is D-day...although I would have thought that SOO would know one way or the other by now...anyway if this option is not taken up SOO will then be able to negotiate with other parties...

Up almost 10% on very big volume in Frankfurt o/night...so that is promissing for Monday

---

Well no announcement. So unfortunately looks like the option wasn't taken up. Oh well...

Wow, this company has been interesting to watch!

Now we have the CEO leaving - due to conflicts with the board over the direction of the business - and the Financial Controller leaving due to "family commitments"...

Summary Announcement. Solco. Senior Management Appointments & Company Re-structure
Date of Report: 18-Apr-2006

Solco Ltd (ASX: SOO) announces the appointment of Mr. Dermot Patterson as Chief Executive Officer of the Company to replace Mr. Duncan Stone who resigned on 3rd April 2006. Mr. Patterson has an impressive track record of strong international business management performance over more than 25 years. His extensive experience in international market development means Mr. Patterson is well equipped to lead the Corporate Development activities needed to drive the expansion of the Solco business in accordance with its strategic plan. Most importantly, he has deep practical knowledge all aspects of disciplined operations and asset management including the effective integration of alliances, dealer networks and acquisitions to maximize the synergies of such business relationships. Prior to joining Solco, he was CEO of the public listed Medec Limited and spent 20 years with Huntleigh Technology Limited, a large UK based international healthcare firm. In the last 10 years of that association, Mr. Patterson had responsibility for all operational and administrative functions for Huntleigh Australasia (including China and Japan), Canada and Latin America. Mr. Patterson has been working as an external consultant with the Solco Board and Management over the past 4 weeks undertaking a detailed business review as part of its strategic planning process.

The Board also announced a significant re-structure of its business to more effectively deliver its vision of becoming a world leader in the delivery of decentralized, sustainable water and power solutions.
The Company is to be organized into separate water and power divisions that both have a strong market focus and proper delegated authority to operate and control all aspects of their business based on a clear approved strategic plan and matching budget.
The Company has appointed Mr. Michael Starling to be the General Manager of the Water Division which will have responsibility for water products, technology and international business. Mr. Starling is a Chartered engineer with more than 14 years experience in water related projects in various UK Water Authorities and consultancies, most recently as water treatment team leader with global engineering firm, Sinclair, Knight, Mertz Consulting. Mr. Starling has completed an MBA and has been head of Solco’s international technology licensing activities and R&D since December 2005. Mr. John Cooper who has been Acting CEO of Solco will become the General Manager of the Power Division which will be managed through wholly owned Solco subsidiary Choice Electric Co. Mr. Cooper has over 20 year’s experience in the sustainable power industry, is highly knowledgeable on emerging new technologies and is well connected with international developers and suppliers of such products that can be effectively introduced through Choice Electric Co.’s wholesale network. The appointment of Mr. Patterson allows Mr. Cooper to focus on developing and expanding the Choice Electric Co.’s power business. Messrs Patterson, Cooper and Starling will, along with the Solco CFO, form the Executive Management Committee for Solco which will have responsibility for the development of strategic plans in conjunction with the Solco Board and lead responsibility for the execution of such plans and the management of all operational management activities.

Summary Announcement. Solco. Third Quarter FY06 Cash Flow Report
Date of Report: 28-Apr-2006

Solco generated a negative operating cash flow for the 3 months of $606,000. As expected cash receipts for the quarter were lower than the previous quarter as a result of the Christmas closedown. In addition the final payment from the commissioning of our Maltese licensee was delayed but has been received during the first half of April.

Revenue receipts for the quarter were $3,15m taking the total receipts from customers today to $13.23m.

The company increased its inventory levels of solar modules by approximately $500,000 over this period in a strategic move to capitalise on opportunities in a market where supply is scarce.

The Company raised $691,000 after costs during the quarter from the proceeds of a share purchase plan and the exercise of options under executive employment arrangements.

The share purchase plan that was conducted during February raised $442,000 in cash before costs, which encouraged the Solco board given it occurred during a difficult period when the share price actually dropped below the issue price. The exercise of options also provided $280,000 in cash before costs.

Cash at Bank at the end of the quarter was $1.2m, down from $1.25m at 1st January 2006.

-----

probably a positive cash flow at the end of the year and an improving SOLCO share price !

SOLCO rebound ?
Share price jumped up at Frankfurt on monday. High trading volume (991.453 shares = 124.111,60 Euro) http://www.solco.com.au/var/corporat...mps_medium.jpg

Summary Announcement. Solco. Financial Update

Date of Report: 29-Jun-2006

Solco Ltd (ASX: SOO) expects an EBITDA loss for the full year ending June 2006 of $2.3 million on projected revenue of $15.8 million. The estimated EBITDA loss for the second half year is expected to be in the order of $1.66 million on forecast revenues of $5.9 million. The loss in the second half reflects recent restructuring efforts.

This EBITDA loss follows a detailed review of operations by external consultants and the resignations of the previous CEO and CFO on April 3 2006. Significant once off restructuring costs and write-offs have been incurred to address operational problems identified in the external review.

The focus of the restructuring effort has been to return the Company to a cash positive and profitable operating position as quickly as practicable. Steady improvements in the underlying operating performance are being achieved.

The Company has restructured its business into a Power Division (the national Choice Electrics solar power products distributors based in Brisbane) and the Water Division based in Perth.

Gross margins are expected to improve due to a marketing focus on profitable areas, outsourced manufacturing, and stream-lined processes and cost reductions. In addition, stronger working capital and overhead management practices have been implemented, in part by better leveraging the successful Choice operation and experienced management team.

Management is now returning its attention to pursuing its vision to become a global leader in the decentralised sustainable power and water market. Solco is examining alternatives to expand its offshore licensing of its unique polymer solar hot water system as a result of encouraging ongoing technical and marketing work.

Solco’s domestic business is moving into emerging segments that are seeking to reduce their reliance on traditional high cost non renewable power sources. Solco’s range of solar power, thermal water heating and water pumping packages have a demonstrable immediate competitive advantage in sectors such as the mining, new eco residential developments and solar grid power systems.

Solco

since my initial post on Solco in January, the previously forecasted $18mil rev turned out to be $16 mil, whislt the profit forecasted in December turns out to be a $2.3 loss (and thats just EBITDA!)...

....the previous key management team has walked and the company is continuing to 'restructure' (as they have been for the last 18 months)...

...the qtrly cash surpluses have turned into substantial deficits..

...oh yeah, the major shareholder is selling down as well!! with no sign of stopping!

so, what looked so promising at the start of the year has ended miserably...the company is basically where it was about 18 months ago, has a long road ahead of it to regain credibility and market interest...

@ steve fleming

....ended miserably ??
Look at Frankfurt. On 30.06.2006 SOLCO share price jumped up to 0,15 Euro.
Trading volume 10.272.298 shares = 1.499.037,75 Euro !!!

up to 0,15 Euro and again down to almost 0,10 Euro !
Reason: push by a German stock letter recommendation followed by the usual fall back! What a crazy game!

Nothing changed at SOLCO: business as usual. Expect news very soon.
Stay cool....

Quote:

---

quote:Originally posted by StockExplorer

up to 0,15 Euro and again down to almost 0,10 Euro !
Reason: push by a German stock letter recommendation followed by the usual fall back! What a crazy game!

Nothing changed at SOLCO: business as usual. Expect news very soon.
Stay cool....

---

Big placement to Germans @18 cents....Stock explorer - what is the Germans fascination with this stock???

Todays environmental problems have led to increasing demands for environmentally harmless, long lasting and high quality products.
Germany is far ahead of other countries, concerning the environmental business (Solarworld, Q-Cells, Conergy, etc.).
In Australia / New Zealand it is a starting market.
One of the most interesting companies in Australia is SOLCO Ltd.
SOLCO products help to create a sustainable and healthy environment and improve populations' quality of life.
SOLCO products: solar water heaters, solar pumps, solar power systems and water solutions (clean water / waste water treatment).

Solar Energy Systems (now SOLCO) was established in 1998.
In September 2004, Solar Energy Systems acquired Solco Industries; a solar hot water systems manufacturer established in 1988. Choice Electric, with 16 years of profitable operation, was purchased in March 2005.

SOLCO has manufacturing licensee’s in Sri-Lanka, Mauritius, Malaysia, Borneo, the Philippines, Portugal and on Malta.

SOLCO Total Revenues
2004: 2,30 Mill. AUD
2005: 10,23 Mill. AUD
2006: 15,80 Mill. AUD
The company is on target to break even this year.

SOLCO Ltd. is ready for today’s and tomorrow’s markets!

----

On 30.06.2006 a German stock letter (NTV page 299/Frick) recommended SOLCO as a buy. The Peak with 0,153 Euro was on that day.
Now we experience an extreme fall of SOLCO share price.
This has nothing to do with the SOLCO business!
It’s simply a bad but wellknown manipulation by short selling.
Due to the falling share price many shareholders got nervous and sold their shares. It was the intention of the short sellers to bring the share price to an all-time low.
On one of the next days we will see a huge buy of SOLCO shares and the share price will rise again.
For Australia and New Zealand - being ahead of Europe - it is a chance to buy shares before short sellers will do it.
This is no recommendation to buy SOLCO shares!

I talked with SOLCO Chairman Robin Forbes on Friday (14.07.2006). Robin: "We expand the operations particularly in the solar part quite significantly. We are pretty well on budget." An SOLCO update will be issued probably next week.

So, I'm fairly optimistic....

G8 Summit: most countries favourite nuclear power for further use, even not knowing where to leave the nuclear waste!
With those world leaders mankind will never survive !!
Isn't crazy to use an electric heater, instead of using endless and inexpensive solar power ????
You better count on SOLCO .....

Hi StockExplorer

While agreeing that solar power should get much more use and attention (partly because I hold share is SOLCO of course ;)), I have to point out that in no way is solar power inexpensive in todays market. If it was as cheap as fossil fuels, or even nuclear, we'd have no problems.

Unfortunately holding shares in a solar power company, we're relying on people and companies that are environmentally, rather than economically, motivated. I think this market is growing (and carbon trading adds a little economic motivation), so hope to see solco pay off.

Damo

Did someone ever presented a bill for the real costs of burning coal and oil?
Many of us have been a victim of a striking back planet. The future will be worse.
The increasing number of extreme drought, rain, storms, will cause very painful and expensive damage.
Not to forget health problems, caused by polluted environment.

The problem of today: just a very few clever people look ahead and see the consequences of today’s misbehaviour.

I’m using a hot water solar system for almost 10 years and I’m really happy with it. Even in Germany you can use it approx. 8 of 12 month without paying money for the production of hot water. The breakeven was about four years ago.

I hope, SOLCO management is doing a good job. The coming update will be interesting. SOLCO share price is already rising.

The time to buy a stock is when it has reached a low and is prepared to soar again. Now is that time. This stock has seen .43 AUD and can easily return there again quite soon.

All my posts are my personal opinions and by no means recommendations.

talked with SOLCO this morning. For the coming update we have to wait a few weeks more. Robin Forbes is presently in Europe. Business is back on track. Choice is doing very well !

Some interesting news:
SOLCO Ltd. is now distributor for German Company OKU (Pool and Solar Tech)
http://www.okuonline.com/docs/en/site/salespartner.php
The SolarFlow RO Unit http://www.solco.com.au/products/so...larflow_ro_unit
has been improved and is now able to produce up to 2000 ltrs drinking water per day.

Summary Announcement. Solco. Suspension pending recapitalisation
Date of Report: 07-Aug-2006

Solco Ltd (ASX: SOO): The directors of Solco Ltd (“the Company”) request a suspension from trading while they undertake a process to recapitalise the Company.
The directors advise that the Company has not been able to close the placement announced on 13th July 2006 because the market has traded below the placement price of AU $0.18.
The Company is undertaking a further financial review of its business in light of the recently reported financial performance for the June quarter.
The Company has also commenced negotiations with parties to recapitalise the Company subject to the appropriate approvals. The Company considers that it is prudent to suspend trading in its securities pending an announcement as to the outcome of such financial review and recapitalisation negotiations.

CEO leaves after 3 months…placement fails…stock suspended pending 'recapitalisation'….cost and operational problems….Not looking good at all

This will go into Voluntary administration if the 'recap' fails, no question…...discussions being going 7 days at least, so very much up in the air

The one saving grace for SOO is that its balance sheet has no significant debt…...problem is, you don’t know whats been hidden off balance sheet….esp with all their JV's and agency arrangements they have set up.

I'd imagine there would be a few angry Germans if it collapsed!

Quote:

---

quote:Originally posted by steve fleming

CEO leaves after 3 months…placement fails…stock suspended pending 'recapitalisation'….cost and operational problems….Not looking good at all

This will go into Voluntary administration if the 'recap' fails, no question…...discussions being going 7 days at least, so very much up in the air

The one saving grace for SOO is that its balance sheet has no significant debt…...problem is, you don’t know whats been hidden off balance sheet….esp with all their JV's and agency arrangements they have set up.

I'd imagine there would be a few angry Germans if it collapsed!

---

Wow!! details of the re-cap out - what a dilution...issue of 62mil shares (43.5% of SOO) for $1.5 mil = c2.4 cents (compared to last sale= 15.5 cents!)...just shows what a desperate financial position the company got into...watch the sp be slaughtered when (if?) it re-trades in November

My money would still be on a VA sometime in the next 6 months...$1.5 mil is hardly going to go far...a shame really so much potential yet board squables over stategy/direction plaqued the company the last 6 months...writing was on the wall when the major shareholder, who had been in SOO for ages, started selling down

Steve,
trying (very hard!)to put a positive on this news is that the managing directors position will be filled and by someone with experience as far as the release says. Do you know anything about David Richardsons past experience? Hopefully he can kick some heads and stop the board squabbles, the potential is still there and the company holds a large inventory of solar panels for which demand and prices are rising quickly. Its a huge dilution but if the company can match its rhetoric and finally turn the cashflow bleed around theres hope as it remains debt free and revenues are increasing. Unfortunately at the moment thats all until revenues can be translated to earnings.

DISC...holding...cant do much til november

Quote:

---

quote:Originally posted by transmuter

Steve,
trying (very hard!)to put a positive on this news is that the managing directors position will be filled and by someone with experience as far as the release says. Do you know anything about David Richardsons past experience? Hopefully he can kick some heads and stop the board squabbles, the potential is still there and the company holds a large inventory of solar panels for which demand and prices are rising quickly. Its a huge dilution but if the company can match its rhetoric and finally turn the cashflow bleed around theres hope as it remains debt free and revenues are increasing. Unfortunately at the moment thats all until revenues can be translated to earnings.

DISC...holding...cant do much til november

---

Hi TM
DAve Richardson is ex WorleyParsons (5 yrs) and prior to that had his own engineering business...so some decent eperience.... The positive is that he has been a director for 6 months now, so as an insider would have a fair idea of both the flaws and the potential of SOO...you wouldn't think he would be in the habit of throwing $1.5mil away, so he must be reasonably confident of a turnaround

The problem for shareholders is not only the dilution/collapse in share price but also an upcoming rights issue...it will be a tough few months...but at least the company is still trading, the board didn't throw in the towel, so credit to Richardson for showing his faith in SOO.

Shareholders in Europe (almost 100 shareholders with a total of approx. 4.7 million shares) intend to issue an open letter to Management and Board of SOLCO Ltd.
We request all SOLCO shareholders to participate and add questions, comments and suggestions to the text down below. Thank you for your co-operation.
For confidential messages email: StockExplorer@web.de


"On behalf of a number of European shareholders (see attached listing for details) we would like to express our gravest concerns about the recent recapitalisation plans as well as the lack of adherence to due process in terms of keeping shareholders informed about events that lead to the current financial crisis.

As a starting point we would like to note that SOLCO Ltd initially advertised its activities using words such as "ethical" and "sustainable", "service" and "results", which instilled trust and made shareholders believe, that SOLCO Ltd was worthwhile investing. Shareholders are concerned that, given the recent events, SOLCO Ltd is not fulfilling its promises implicitly contained in its company value statements as proclaimed on the web-site nor living up to its obligations towards shareholders.

In particular, the shareholders would point to the following shortcomings in terms of shareholder communication and commitment:

· SOLCO's share price was subject to a very substantial devaluation, experiencing a fall by more than 50 per cent since March 2006 with expectations of further share price erosion when trading will resume in mid-November this year;
· shareholders were not notified of significant and grave financial problems caused by warranty claims in the hot-water-solar branch and consequently were prevented from and unable to act appropriately;
· following investments in excess of AUS$3,5 million undertaken by the management for restructing purposes in 2006, no results have been made public nor have shareholders been informed about progress on such restructuring;
· shareholders are aware that the global SMS-licenses business is experiencing difficulties, however shareholders have not been officially notified by the SOLCO management;

In relation to the present recapitalisation proposal, shareholders are concerned that these restructuring activities will mainly benefit Mr. David Richardson and will exert enormous pressure onto shareholders.
· Firstly, shareholders will be subject to a very significant dilution in terms of share value and consequential loss of their invested money;
· if shareholder approval will be given, Mr. Richardson will own 47 % of SOLCO Ltd.(including his wages); and
· if shareholder approval is not given, Mr. Richardson will claim AUS$1,5 million from the company.
The above begs the question, what will become of SOLCO Ltd and shareholders are concerned that the future of SOLCO is at best dim and entirely uncertain in terms of reassurance of their investments."

Quote:

---

quote:Originally posted by StockExplorer

Shareholders in Europe (almost 100 shareholders with a total of approx. 4.7 million shares) intend to issue an open letter to Management and Board of SOLCO Ltd.
We request all SOLCO shareholders to participate and add questions, comments and suggestions to the text down below. Thank you for your co-operation.
For confidential messages email: StockExplorer@web.de

---

Hi S-E, i am no longer a SOO shareholder, but i do have a question you might want to add to your list:

The SOO Board has indicated their intention to undertake an underwritten shareholder rights issue in early 2007. Why could they have not undertaken this underwritten rights issue now, thus avoiding the substantial shareholder dilution? If SOO was in desperate need of cash, which it appears they were, Richardson could have advanced his funds short term, with the proceeds to be repaid from the subsequent rights issue raising.

Good luck - this has turned out to be a real shambles.

SOLCO LTD important announcements:

Notice of Extraordinary General Meeting
Annual Report 2005/2006

http://www.asx.com.au/asx/research/C...=SOO#headlines

any comments ?!

Received the following from Australia:

....I attended the Solco EGM / AGM. All resolutions were passed, the company
should re-list in one - two weeks.

Here are some dot points I made from the presentation, which obviously was
all about addressing the issues the company has:
- reducing the cost base - since June 30, they have reduced the cost base by
$1.6 million.
- have addressed all major technical issues and management processes
(mentioned all management systems had broken down, which is true).
- most contractual issues with suppliers and dealers have been addressed
- Warranty issues: They had been receiving up to 30 calls per day, but many
were repeat calls, and a lot of them were plumbing issues only
- The Goal is profitability second half of 2007.
- They are removing low margin products, and / or improving the
manufacturability of products.
- They expect to be back in production of the Hot Water Systems by December.
- Have streamlined the assembly of the Sun Mill and are looking at other
products to complement it but have also lost the distribution of Lorenyz
pumps because of an issue with the Australian Lorentz distributor (which I
know in detail, and is a smart move).
- Choice continue to go well and are profitable.
- They have a grant for developing a polymer solar hot water "split system",
but wouldn’t give a timetable on when it will be ready as it needs to be
100% right
- They have a new business unit - Sustainable Global Business Solutions,
which is a consultancy business assisting new technology companies to
commercialise their products (and which can leverage off the existing Solco
distribution)
- The SMS business looks like selling again.
- The rights issue planned for next year is not for working capital, it is
for Future business.

All in all, my feeling is that there is more hard work to do, but the people
in there are the right ones to do it. Can it be done? Only time will tell.....

SOLCO share trading will resume on Monday 18.12.2006
(see latest ASX info) !

Well the first good choice I made in this stock was to sell for 11.5 cents (about a 60% loss) just after it restarted trading. Now at 6.5 cents and I can see penny dreadfull status on the cards... Ouch!!

Quote:

---

quote:Originally posted by Damo79

Well the first good choice I made in this stock was to sell for 11.5 cents (about a 60% loss) just after it restarted trading. Now at 6.5 cents and I can see penny dreadfull status on the cards... Ouch!!

---

good move Damo... i not only see penny dreadful status on cards, but voluntary administration in the not too distant future...under capitalised and with major cash flow problems,

SOLCO closed today (28122006) at 0.09 (plus 38%).

For those interested: the most read discussion thread in Germany:
http://www.wallstreet-online.de/dyn/...hread_page=434

another thread:
http://www.ariva.de/board/249656?secu=305579

Talked with SOLCO-Chairman Robin Forbes this morning.
A short summary: the SOLCO business is in a stable condition.
There is no more cash burning.
Robin Forbes: “It's really a bit like starting a new company. You certainly need to look ahead 5 to 10 years and plan accordingly.”
The company is negotiating with two potential new directors. Robin Forbes (70) will – as indicated – step back.

My opinion: the company is probably in a better situation than ever before.
But time will tell the truth.

Warren Buffet: "Patience is a virtue !"

just released:

SOLCO generated a positive operating cash flow for the 3 months of $0,37m ...... !

see ASX-news
http://www.asx.com.au/asx/research/C...on&asxCode=SOO

SOLCO receipts from customers increased by 27% 2Q to $3,42m (1Q: $2,699m). If this continues, more than 100% gain within a year ??
SOLCO generated a positive operating cash flow for the 3 months of $0,37m (1Q: $-1,359m)!
Stock has increased from 2.6m (1Q) to $2,7m (2Q) and positions SOLCO well for the early part of 2007.
All looks very promising.

UN Intergovernmental Panel on Climate Change (IPCC) issued its strongest warning ever that human activities are causing a damaging global warming likely to bring more heatwaves, droughts and rising seas.
To slow down global warming, Governments will be forced to act accordingly.
These activities should cause increasing demands for environmentally harmless, long lasting and high quality products and could boost SOLCO sales. Using SOLCO-products, greenhouse gas emissions could be reduced.

I compare the present situation with another little solar company 3S SWISS SOLAR. This company increased sales by 130% and is now making profit for the first time in it’s history. In October 2006 share price was below 2,90 Euro and is now above 4,10 Euro.

My opinion: similar should happen to SOLCO. We have seen the low and share price should rise from now on.

Disclaimer: I am neither an investment advisor nor do I offer investment advice. You should seek advice from your financial advisor before acting on ANY information you read on this site or sites of a similar nature. It is reminded that your investment decisions are made absolutely at your own risk.

Now released:

SOLCO Half Year Report (- 31.12.2006)

http://www.solco.com.au/investors/an...006_financials

Solco Ltd Settles Two Contractual Issues
16.03.2007

Solco Ltd (ASX: SOO): Solco Limited has signed agreements to settle two matters previously highlighted as actual and contingent liabilities in its accounts.

Acquisition of Solco Industries

In August 2004, Solco (formerly SES Limited) acquired Solco Industries Pty Ltd and Poly Tuff Pty Ltd. Initial consideration was paid in the form of shares in Solco. There were additional payments potentially due under a Net Proceeds calculation for each sale of an SMS license up until 30th June 2006 as defined in the Sale Agreement.

In late June 2006, an interim settlement was reached for payments due under the sale of the Malta license which was to form the basis for subsequent payments for the Malaysia, Tunisia and Ghana transactions which were being progressed but have yet to be completed. Solco has now reached a final settlement on these transactions with the previous owners of Solco Industries Pty Ltd. The full and final settlement involves the re-payment of funds loaned to Solco under a convertible note of $200k and additional payments of $168k by 30th May 2007.

Possible Legal Action

The inventor of the original Sun Mill pump that Solco sells submitted a claim against Solco when it operated as Solar Energy Systems Pty Ltd (SES). The matter has now been settled at no significant cost or future liability to the Company.


For further information, contact Mr. David Richardson on +61 8 9334 8102 or Mr. John Beech 0400 10 3675

Talked with SOLCO-Chairman Robin Forbes this morning. SOLCO Board will meet on Monday, 16.04.2007. For future growth acquisitions are planned.
I guess there is already something in the pipeline. Expect news after above date.

19.04.2007

Solco Ltd (ASX: SOO) The Directors of Solco are pleased to report to the market on the progress of its phased corporate re-invigoration.


Phase 1 (Addressing the Past)

The Company believes the significant negative operational performance has now been substantially arrested through systematic remedial action since late August 2006 under Managing Director (and major shareholder) David Richardson.

This program of remedial work to resolve the underlying problems of the past is not complete, and has lead to a revenue reduction, as underperforming lines of operation have been rationalised. However, the Directors believe that Solco now presents as a sound base from which to leverage the future potential of the Company.


Phase 2 (New Board)

From 18 April 2007 the Board of Solco is to comprise:

Steven Cole (Chairman)

John Beech (Non-executive Director and Company Secretary)

David Richardson (Managing Director)

Mr Robin Forbes has retired from his position as Non Executive Chairman of Solco Limited effective from 18th April 2007 although he will remain temporarily as an alternate director to Mr Richardson.

Mr Forbes' retirement was foreshadowed during the final quarter of 2006 as part of the re?structuring of Solco when it was agreed he would step down as a director when a new appointment was made. The Board would like to acknowledge Mr Forbes' contribution to the Company through some very challenging times and his stewardship over the recent period of transition.

Mr Cole brings high level commercial skills in the areas of corporate governance, capital and financial markets, and mergers and acquisitions expertise. In addition, Mr Cole's experience in strategic and business planning, and financial and risk management will be important as Solco develops and executes its growth strategy for the future.

Mr Richardson said he was pleased that Solco prospects are now such that it can attract the commitment of someone of Mr Cole's calibre to the Board.

Mr Cole said he believes that the world is only now beginning to realise the potential of the sustainable energy sector. "The opportunities for Solco, as an emerging participant in this dynamic sector, are significant. I am also delighted to be working with Managing Director, Mr David Richardson, and the team with strong commercial and engineering disciplines he is assembling at Solco."

Mr Cole has 30 plus years of professional, corporate and business experience, through his legal training, as well as a range of other non-executive and executive corporate appointments. Steven is a senior partner of leading national law firm Allens Arthur Robinson, Deputy Chairman of the Professional Standards Councils of Australia, Vice President of the Australian Institute of Company Directors (WA Division) and Chairman of two investment companies with over $20 million under management.


Phase 3 (Capital Raising)

Solco announces an initial capital raising program of $2.95 million for development and working capital to allow Solco to build its human and strategic infrastructure requirements pending refinement of its strategic pathway forward. These funds are to be raised as follows:-

1. $2.45 million (approx) from a 1:4 renounceable pro rata rights issue at 7 cents per share to existing shareholders (as at a Record Date, yet to be set, but anticipated to be in June) following preparation and lodgement of a prospectus with ASIC and ASX.

2. Subject to shareholder approval in EGM (anticipated to be held in June), and in compliance with applicable ASIC and ASX requirements, $0.5 million by the placement of 7,142,857 shares at 7 cents each to interests associated with Steven Cole (representing approximately 4% of Solco's fully diluted share capital base).


Phase 4 (Strategic Pathway Forward)

In anticipation of completion of the Phase 3 capital raising initiatives, the new Board, in conjunction with executive management, are actively developing Solco's future strategic pathway in the growth driven sustainable energy and water sectors,

Third Quarter Report

30.04.2007

Solco generated a positive operating cash flow for the 3 months of $67k. This is the second consecutive quarter of positive operating cash flow.

The Company is benefiting from the tight control of its costs and working capital over the past 6 months. The latest result covers specific new expenditures aimed at growing the business.

Cash receipts for the quarter were $2.4m bringing YTD receipts to $7.9m.

Cash at bank at the end of the quarter was $870k up by $21k as at 1st January 2007.

As announced on the 16th March two contractual issues were settled. The first saw a final settlement reached with the original owners of Solco Industries, including an initial $33k cash payment made during this quarter. The second, involving possible legal action with the original inventor of the Sunmill pump, had no current or future impact on cash.

http://www.solco.com.au/investors/qu..._4c_march_2007

SOLCO up 55% !

Budget to energise solar power

The Government has revealed a range of measures to tackle climate change will be part of tonight's Budget, including spending $150 million over the next five years to increase the use of solar power in homes, schools and community buildings.
http://www.abc.net.au/news/newsitems...5/s1916879.htm


SOLCO-owned CHOICE ElECTRIC
has been very active in the Solar
Schools program in Queensland, which is
administered by the Environmental
Protection Agency of Queensland (Qld
EPA). Choice was contracted to install 5kw
grid-connect school systems for 19 schools
in the Torres Strait; 8 of which were
completed in 05/06. All of these school
systems have now been successfully
installed and commissioned on time and on
budget.
Choice has over the past five years installed
65 grid-connect systems in Queensland
schools working with Qld. EPA and Ergon
Energy. Due to the successes with solar
schools Choice has been awarded 3 more
2kw grid-connect school systems in late
2006, giving us the opportunity to work
closely with Energy Solutions Team.
The newly formed Choice Western
Australia, whilst only operating for a short
period has been awarded 13 solar schools
with 8 of these systems successfully
completed to date. Choice presence in WA
will be expanded during 06/07 to become
part of our core Distribution and Project
business.
Annual Report 2006 http://www.solco.com.au/investors/annual_reports


SOLCO SP ASX 08.05.2007
Code Last % Chg Bid Offer Open High Low Vol
SOO 0.135 55.17% 0.135 0.140 0.090 0.140 0.090 3,299,329

0,135 AUD = 0,0823 Euro

received following for FOREIGN SHAREHOLDERS
July 20, 2007
Dear Shareholder,
RENOUNCEABLE 1:4 RIGHTS ISSUE (“ISSUE”)
- RECORD DATE : 20 JULY 2007
- RIGHTS TRADING COMMENCES : 16 JULY 2007
- RIGHTS TRADING CLOSES : 31 JULY 2007
Solco Limited’s prospectus for the Issue is dated 5 July 2007 and has been lodged with both ASIC
and ASX. A copy of the prospectus may be viewed on
http://www.solco.com.au/investors/an...nts/prospectus.
Solco has a significant number of Foreign shareholders and wishes to ensure that they have the
maximum opportunity to participate in the rights issue where it is allowed under the ASX Listing Rules
and Corporations Act and to derive some benefit where they are precluded from the rights issues
under the regulatory framework.
Solco’s Foreign shareholders generally fall into one of two categories:
1. Foreign Shareholders registered with overseas addresses on the Solco Australian Share
Register managed by Computershare. Under the regulations, these foreign shareholders are
not able to participate in the rights issue. However arrangements have been made for the
rights of such Foreign Shareholders to be traded and any funds obtained will be remitted as
explained below
2. Foreign Shareholders who hold their shares through a nominee company with an Australian
address on the Solco Australian Share Register managed by Computershare. These Foreign
shareholders can only participate in the rights issue if they properly instruct the Australian
domiciled nominee company holding the shares on their behalf to accept their entitlement to
shares and provide the necessary funds through that channel. This option is explained in
detail below.
Foreign Shareholders registered with overseas addresses on the Solco Australian Share
Register
Although the Issue prospectus will only be made available to shareholders at the Record Date with
registered addresses in Australia and New Zealand, Solco has appointed:
#61623;#61472; Zenix Nominees Pty Ltd (a related entity to Hartleys Limited stockbrokers) of Level 6, 141 St
George’s Terrace, Perth, Western Australia.
o Phone : 61 8 9268 2888
o Fax : 61 8 9268 2800
o Attention: Talena Maes
to facilitate the sale of rights under the Issue for the benefit of foreign registered shareholders, in
accordance with ASX Listing Rule and Corporations Act requirements.
The net proceeds of the sale of the Rights (if any) after deducting all costs involved in the sale
process and subsequent distribution of such proceeds, will be distributed in Australian dollars to
overseas Shareholders for whose benefit the Rights have been sold in proportion to their
shareholdings as at the Record Date, save that individual amounts of less than $10.00 will be retained
by the Company.
Once the period of rights trading has passed either the Share Registry or the Company will remit
funds to the addresses held on the data base. Full details of these arrangements are set forth in the
Issue prospectus.
In this manner foreign registered shareholders may gain the benefit in value of the rights attaching to
their shares if there is an active market in the trading of such rights.
If you are a foreign registered shareholder at the Record Date you may care to contact Zenix
Nominees Pty Ltd (as above) or Solco Limited to ensure that your entitlement to participate in any
trading of rights attaching to your shares is registered.
If you are a foreign registered shareholder at the Record Date you may wish to make sure all details
are correct by contacting Solco Ltd’s Share Registry:
#61623;#61472; Computershare Investor Services Pty Ltd, GPO Box D182, Perth, Western Australia.
Telephone – 61 3 9415 4000 Fax – 61 8 9323 2033 www.computershare.com
Foreign Shareholders who hold their shares through a nominee company with an Australian
address on the Solco Australian Share Register
If shares are held through an Australian registered nominee company or intermediary, then the
beneficial foreign shareholder is treated as an Australian shareholder under the regulatory framework.
In t

ASX notice 30.08.2007:

Preliminary Final Report

http://www.asx.com.au/asx/research/C...=SOO#headlines

APPENDIX 4C – SEPTEMBER 2007

FIRST QUARTER CASH FLOW REPORT

For the quarter ending 30th September 2007, Solco Ltd sales
revenue from ordinary operations increased by a healthy 27% to
$3.3m compared with the corresponding period for 2006.
Although net operating cash flow for the period was negative $195k
this is accounted for by the timing delay of cash receipts from the
increased sales and the increased working capital needs to support
the expanded business (receivables up by $459k with inventories
down by $295k and payables also down by $43k for the quarter).
Cash at bank as at 30 September 2007 was $3.38m, up by
$2.575m since 1 July 2007 due largely to the capital raisings by
way of options conversion, pro-rata rights issue and placements
already reported to shareholders.

http://www.asx.com.au/asx/research/C...=Soo#headlines

ASX Announcement :

21/11/2007 New CEO and Restructured Board

http://asx.com.au/asx/statistics/ann...pe=Y&year=2007

SOLCO could be one of the winners of Labor’s Solar Australia !

Read this :
http://www.alp.org.au/download/now/s...mes_policy.pdf

from the German Wallstreet-Online Solco forum (by Halotri25)

quote
Many thanks for your enquiry.

I am happy to report that the turnaround of your company is progressing well with sales continuing to grow. The March 08 quarter saw sales of $3.749M which is a 55% increase on the corresponding period last year ($2.422M).

I haven't issued a forecast to the market for the June 08 quarter but nothing has changed from my past statements.

On potential mergers and acquisitions, we have been actively pursuing opportunities but have found some unreal expectations in terms of price from other companies in this industry. It is our feeling that this will change and a period of consolidation is likely to occur. For us to acquire or merge with another company, we need to have our business operating correctly so that integration risks are minimised. This has been part of our focus and I'm pleased to say a lot of progress has been made.

I intend to report the preliminary results of the past financial year (July 07 to June 08) to the market in the next couple of weeks. At that time, I will also outline our ongoing strategic directions.

I thank you for your patience as we complete the turnaround of this company. Like you, I believe the time for the Solar industry in Australia is here.

Kind regards,

Alex Lamond
CEO | Solco Ltd
unquote

source
http://www.wallstreet-online.de/disk...aus-australien

Whats the difference between this solar energy as oppose to other solar energy companies out there?

the turnaround of SOLCO is progressing well :

Appendix 4E and Annual Report
http://www.asx.com.au/asxpdf/2008082...9lgzwr95f2.pdf

extract :

Revenues from ordinary activities up 63% to 16,829,930 AUD

Profit from ordinary activities after tax attributable up 105% to 119,405 AUD

Net profit for the period attributable to members up 105% to 119,405 AUD

SOLCO LIMITED (ASX : SOO)
ABN 27 084 656 691

Re: Continued Profit Growth to 31 December 2008

Solco announces the following un-audited financial key performance indicator outcomes for its
operations for the 6 months to 31 December 2008 with comparator performance for the 2 prior
periods:
Relevant Key Performance Indicator 6 month period
01/07/08 to 31/12/08 (Note 1) 01/01/08 to 30/06/08 (Note 2) 01/07/07 to 31/12/07 (Note 3)
Revenue 11,433,020 9,543,637 6,965,755
EBITDA 501,173 392,529 (210,111)
EBIT 477,840 359,735 (240,330)
NP 477,840 359,735 (240,330)
Note 1: Un-audited, Note 2: Audited, Note 3: Reviewed

Despite the global economic downturn, demand for photovoltaic (PV) energy products remains strong,
underpinned by indicated continuing government support for clean energy solutions to assist in
reducing greenhouse gas emissions.
Over the last 6 month period Solco has continued to focus on its core wholesale distribution operations
(Choice Electric) as well as to continue to rationalise non core business lines.
Further, to lend additional strength over forthcoming months to assuring timely execution of the
Company’s strategies, Mr David Richardson has accepted the role of “Director with responsibility for
operational and management development”.
“These are testing economic times for many companies, and despite Solco’s continuing demonstrated
growth and profitability, David’s depth of relevant experience, and more active engagement with the
executive team, will assure Solco is well positioned to continue to drive shareholder value” said Steven
Cole, Solco’s Chairman.
Mark Norman, Solco’s CEO, said “Having worked closely with David in the past, I look forward to both
his leadership and his support as we together tackle the opportunities and issues presenting to the
Solco group.”
____________________
Darren Crawte
Company Secretary
29 January 2009

http://www.solco.com.au/pdf/solco_asx_29_01_2009.pdf

ASX ANNOUNCEMENT 29.04.2009

SOLCO LIMITED (ASX : SOO)
ABN 27 084 656 691

Re: Solar Photovoltaic sales continue to drive growth

Strong Photovoltaic (PV) System demand resulted in sales to customers of $7.89 million during the 3rd
quarter driving total sales for the fiscal year to date of $19.33 million, a 73% uplift on the comparable
period last fiscal year.
Solco’s continued focus on its core wholesale distribution operations (Choice Electric) as well as
continuing to rationalise non-core business lines has been instrumental in profitable growth and
positive net operating cash flows of $1.04 million for the quarter.
Inventory levels of $4.82 million and cash at bank of $3.47 million allow Solco to continue to provide
and purchase in-demand products to service the needs of our customers within the growth driven
market sector of renewable energy.
Trading conditions, EBIT margin levels and product appeal to Australian consumers were assisted by:
• continuing discounting of international pricing in foreign currency terms for silicon based PV
panels due to reduced European demand;
• modest improvement of AUD$ against other currencies over the quarter, although Solco
operates on a fully hedged basis for major international purchases;
• and government sponsored renewable energy rebate initiatives.
The attractiveness of domestic and commercial solar power installations across Australia will continue
to be enhanced if PV panel prices continue to fall and black energy costs rise further. This situation
may lead to increased competition in the Australian green energy market from new domestic and
overseas entrants, especially in light of current difficulties in other sectors and markets. We believe
Solco is well positioned within the Australian market to take advantage of this expected growth and
combat competitive challenges.
With fallout from the world economic crisis continuing and cohesive long-term government energy
polices across all states yet to be delivered, performance growth can not be assured. However,
Solco’s forward order book and continued projected customer demand continues to be strong.
______________________
Darren Crawte
Company Secretary
29 April 2009

http://www.asx.com.au/asxpdf/2009042...d0njnxybc0.pdf

July 28, 2009

Canberra, Australia: Astronergy and Solco Start Marketing Thin Film Modules

Astronergy, a Chint company, and Solco Ltd are combining to bring Astronergy’s range of high quality panels to Australia. This includes Astronergy’s second-generation amorphous / microcrystalline silicon tandem thin film PV (a-Si/µc-Si) modules.

Astronergy has invested US$150 million into solar panel production, both crystalline silicon and thin film. The first 30 MW production of the tandem thin film solar modules will reach full capacity in Q4 this year, while crystalline silicon panels have been in production since 2006. Astronergy’s thin film conversion efficiency has reached 9% currently, and the goal is to achieve 10% conversion efficiency in the near future.

“Whether in terms of technology or in terms of scale, Astronergy is leading the market for high-end thin-film PV modules,” said Dr. Liyou Yang, who is the President and CEO of Astronergy.

Yang spent 20 years in thin-film R&D, including an earlier role at BP Solar. He holds 18 patents in the field.

Launching this collaboration at the Australian industry’s annual ATRAA conference in Canberra, Mark Norman Solco’s CEO and Managing Director said “The collaboration between Astronergy and Solco Ltd’s subsidiary Solco Choice Electric will bring a quality and competitively-priced range of modules onto the Australia market. I am personally convinced that the Astronergy manufacturing process for the traditional crystalline modules is one of the best that I have seen anywhere in the world, and the new thin film product opens up many opportunities for large scale deployment across commercial and industrial rooves and facades.”

Source:
http://www.solarbuzz.com/news/NewsASMA245.htm

ASTRONERGY Homepage
http://www.astronergy.com/

SOLCO Homepage
http://www.solco.com.au/

a new SOLCO / Choice Electric Web Site is available !

Choice Electric Co.

Welcome

Choice Electric Co. is a dynamic solar power wholesale company with over 20 years experience in solar energy equipment. Warehousing facilities on both the East and West coast of Australia support a distribution network that spans the country and extends into the Asia-Pacific region. We are proud of our products and our ongoing commitment to reliability and one-call technical assistance.

We have strong relationships with our many suppliers, as well as with local and state governments, and their representative organisations. This allows us to offer the comprehensive sales knowledge and technical support to back-up the long-term management of systems and installations.

Recently, we have been heavily involved in providing solar systems for schools across the country. To date we have installed over 75 of these systems throughout Western Australia and Queensland, including the remote Torres Strait Islands, and there are more in the pipeline for the future.

http://www.choiceelectric.com.au/index.php

Solco Ltd (ASX: SOO)
ABN 27 084 656 691

Record Profit and Maiden Dividend
Solco continues its corporate and business turnaround to post a record profit of $1.79 million for the fiscal
year 2008/2009 and deliver a maiden unfranked dividend of 0.25 cents per share. The dividend is expected
to be paid on 30 September 2009 for registered shareholders as of 2nd September 2009

http://www.asx.com.au/asxpdf/2009082...xhrl96ffjm.pdf

----

Appendix 4E and Annual Financial Report

Revenues from ordinary activities up 68% to $27,779,135
Profit/ (loss) from ordinary activities after tax attributable to members
up 1400% to $1,791,012
Net profit (loss) for the period attributable to members
up 1400% to $1,791,012

The complete report :
http://www.asx.com.au/asxpdf/2009082...xc69mxvv20.pdf

Looks interesting stockexplorer.
What are you thougths on growth for the next year?

have they peaked given State tax credits will slow?

Quote:

---

Originally Posted by Footsie

Looks interesting stockexplorer.
What are you thougths on growth for the next year?

have they peaked given State tax credits will slow?

---

SOLCO are forecasting $40 mill revenue next year, this is part of sustained growth, not a one off.

----

AUSTRALIA is in for a huge boost in renewable energy after the Federal Government and the Opposition agreed to a deal.
The deal, agreed August 19, 2009, will see the Government's Bill to have 20 per cent of electricity come from renewable sources by 2020.

http://www.news.com.au/heraldsun/sto...02-662,00.html

Quote:

---

Originally Posted by StockExplorer

SOLCO are forecasting $40 mill revenue next year, this is part of sustained growth, not a one off.

----

AUSTRALIA is in for a huge boost in renewable energy after the Federal Government and the Opposition agreed to a deal.
The deal, agreed August 19, 2009, will see the Government's Bill to have 20 per cent of electricity come from renewable sources by 2020.

http://www.news.com.au/heraldsun/sto...02-662,00.html

---

Market cap of $18m and paying a dividend.

Nice turn-around.

Gonna have to start following these guys closely again.

from "Trading Markets" :

Hunt for bargains

Sep 15, 2009 (The Australian - ABIX via COMTEX) -- AUSTF | Quote | Chart | News | PowerRating --
Australian investors in the stock market are advised to not rely on measurements such as price-to-earnings ratio as an indicator of true value. This is especially true during the global financial crisis and the recent recovery of share prices.
Among the recommendations of experts are Qmastor, NetComm, Solco, Austin Engineering, and Thorn Group.

Publication Date: 16 September 2009

STANDARD AND POOR'S ASX 200 INDEX
STANDARD AND POOR'S ASX 300 INDEX
CITIGROUP PTY LTD
PAPERLINX LIMITED - ASX PPX
ELDERS LIMITED - ASX ELD
FAIRFAX MEDIA LIMITED - ASX FXJ
AUSTEREO GROUP LIMITED - ASX AEO
PACIFIC BRANDS LIMITED - ASX PBG
SUNCORP-METWAY LIMITED - ASX SUN
ONESTEEL LIMITED - ASX OST
BLUESCOPE STEEL LIMITED - ASX BSL
QANTAS AIRWAYS LIMITED - ASX QAN
TOWER LIMITED - ASX TWR
CHALLENGER FINANCIAL SERVICES GROUP LIMITED - ASX CGF
TABCORP HOLDINGS LIMITED - ASX TAH
TATTS GROUP LIMITED - ASX TTS
TELSTRA CORPORATION LIMITED - ASX TLS
TELECOM CORPORATION OF NEW ZEALAND LIMITED - ASX TEL
PREMIER INVESTMENTS LIMITED - ASX PMV
GOODMAN FIELDER LIMITED - ASX GFF
WESTFIELD GROUP - ASX WDC
QMASTOR LIMITED - ASX QML
NETCOMM LIMITED - ASX NTC
SOLCO LIMITED - ASX SOO
AUSTIN ENGINEERING LIMITED - ASX ANG
THORN GROUP LIMITED - ASX TGA
WISE OWL AUSTRALIA PTY LTD
SILVER LAKE RESOURCES LIMITED - ASX SLR
ANDEAN RESOURCES LIMITED - ASX AND
HIGHLANDS PACIFIC LIMITED - ASX HIG
TFS CORPORATION LIMITED - ASX TFC
CASH CONVERTERS INTERNATIONAL - ASX CCV

http://www.tradingmarkets.com/.site/...0News/2529167/

SOO announced a profit upgrade on Monday....NPAT for H1 2010 of $1.5m to $1.7m.... with a m/c of $23m however, an implied forward pe of 7 to 8 seems reasonable given a challenging operating environment is forecast.

Great to see the results of a genuinely successful turnaround, given how close SOO went to voluntary administration back in 2006.

Full credit to David Richardson, who put $1.5m into SOO when it was on its last legs, then rolled his sleeves up and took on the job of managing director....

That $1.5m is now worth $10m, the company is CF positive and paying a dividend....so a happy ending all round!

Hi Steve,

Yes, nearly picked up a few when you last posted, as it looked pretty good back then, but there were a few cheap stocks to choose from at the time so wasn't chasing on the bid.

As you say, a good story (there aren't enough that end well!).

May 31, 2010
As a result of close collaboration, Solco and SolarEdge today announced a joint partnership agreement for the supply of a distributed power harvesting solution that will maximize power generation throughout a solar photovoltaic system’s lifecycle, while dramatically reducing complexities and costs.

“Solco welcomes this strategic agreement with Solaredge, who has proven to be a reliable and committed partner,” said Mark Norman, CEO and Managing Director of Solco Ltd. “Our partnership reflects the intensive quest by both companies to create highly efficient and cost-effective PV systems. The combination of SolarEdge technology and Solco’s technical expertise will significantly enhance the energy output of solar power systems installed in Australia. We expect customer response to be immediate, demonstrating the viability and effectiveness of this collaboration, and the abilities of this new solution.”

The SolarEdge power harvesting solution includes PowerBoxes, which are PV module-integrated power optimizers, solar PV inverter, and solar monitoring software. This unique end-to-end solution enables production of up to 25% more energy from the PV installation, while reducing costs and complexities. The SolarEdge system offers significant improvements over existing solutions, especially in optimizing power output from each module, regardless of adjacent module performance. The SolarEdge solution allows installers and system owners of all system types to benefit from constraint-free design, real-time module-level monitoring, improved maintenance at reduced cost, optimal site-area utilisation, theft prevention mechanisms, enhanced safety and extraordinary reliability, which all contribute to faster return on investment.

http://www.solaredge.com/articles/so...solco_20100602

This morning's profit upgrade looked pretty good. Hard time to be holding these small illiquid stocks though - the spreads can easily end up at 30% at the moment. However, seems like a reasonable punt - certainly room for growth, while still cheap on a normalised profit basis.

Astronergy Enters Into Exclusive Agreement With Solco Ltd.

HANGZHOU, China, Aug. 2 /PRNewswire-Asia/ -- Leading Chinese solar company, Astronergy (also known as Chint Solar), has today announced an exclusive agreement with Solco Ltd., headquartered in Perth, Western Australia. Solco will be the exclusive distributor of Astronergy solar modules for Australia, New Zealand, Papua New Guinea, Nauru, and other Oceania nations, and Astronergy will be the premier Chinese module supplier to the Australian company.

Solco will distribute Astronergy's entire line of solar products, including monocrystalline solar PV, polycrystalline solar PV, and high- efficiency thin film PV. The high quality modules will be used across the complete range of solar applications including PV systems for residences, government and schools as well as larger scale projects.

Increased demand in the Australian Pacific market and the addition of more sales channels in the region have already made their impact on the companies' joint effort. It is expected that this year's shipment volume will double the original amount outlined in the contract.

Founded in 1989 and listed on the Australian Stock Exchange with offices and distribution centers across Australia, Solco is a well established and rapidly expanding solar systems design, supply and installation service company.

"With our quality panels reaching more customers in the Oceania Region through the trusted solar systems provider Solco, we will have greater access to the developing Oceania market," said Astronergy CEO Dr. Liyou Yang. "This is a win-win situation for both companies."

"We expect that Solco will be able to achieve even greater successes in local markets. Astronergy will work hard to foster long-term cooperation with Solco," noted Chief Sales and Marketing Officer, Mr. Alan Yuan.

Solco's Chief Executive Officer, Mark Norman, believes the partnership with Astronergy will be the cornerstone in securing a reliable supply of quality solar panels for its customers throughout Oceania.

"This agreement with Astronergy will allow us unique access to a growing supply of products from China which will undoubtedly enhance our operations and future development opportunities. We firmly believe this is the opening phase of our strong and expanding relationship with Astronergy and its global parent, the Chint Group."

"Astronergy products consistently achieve an excellent level of quality and performance," said Solco CEO Mark Norman "and we are delighted to announce this Agreement."

For more information, please contact:

Wanshu Hu
Astronergy
Tel: +86-571-5603-2382
Email: pr@astronergy.com
Web: http://www.astronergy.com

SOURCE Astronergy Solar
Back to top

RELATED LINKS
http://www.astronergy.com

http://www.asx.com.au/asxpdf/2010080...2t3rh2zrjt.pdf

ASX Announcement
31 August 2010

RECORD REVENUE AND PROFIT GROWTH

Solco Limited (ASX: SOO, “Solco” or “the Company”) is pleased to announce a record profit before tax of
$3.29 million for the 2010 financial year – an increase of 84% over 2009, coupled with a record revenue of
$34.5 million. It exceeded the $3.15 million profit forecast provided in July 2010 by 4.5% and is the second
consecutive year of profit growth following the re-structure of Solco’s Board and Senior Management team
in the 2008 fiscal year.
“This outstanding result demonstrates Solco’s ability to maintain robust growth while preserving strong
operating margins in the face of significant business challenges” said Mark Norman CEO. “It is the result of
dedication and focus by our national team and underpins our strategic plan for future growth. To support this
growth, the Company’s national network continues to expand with the recent securing of office and
warehouse premise in Melbourne, which will be operational in September.”

complete report :
http://www.asx.com.au/asxpdf/2010083...t0xzsb2dy1.pdf

see also :

31/08/2010 Preliminary Final Report
http://www.asx.com.au/asxpdf/2010083...sl4bsfpmkk.pdf

31/08/2010 Annual Financial Report
http://www.asx.com.au/asxpdf/2010083...tl2lpyq8w4.pdf

ASX Announcement 16 November 2010

SOLCO DECLARES DIVIDEND PAYMENT
50% increase on FY2009 dividend payment

Solco Limited (ASX: SOO) is pleased to announce a dividend payment for shareholders of 0.375 cents per share relating to the financial period ending 30 June 2010, following a second consecutive year of record profit and growth.
The Company, an established and profitable solar energy wholesale supplier, will provide shareholders with a total dividend of approximately AUD$750,000, a 50% increase on its maiden dividend payment in 2009.

Dividend details
Amount: 0.375 cents ($0.00375) per share
Franked/ Unfranked: Unfranked
Record Date: 26th November 2010
Anticipated payment date: 18 January 2011

Solco’s Chief Executive Officer Mark Norman said he was pleased to continue providing strong shareholders returns.
“We believe this dividend payment reflects Solco’s growing status as profitable company - and a leading entity within Australia’s wholesale solar energy supply sector. In the last financial year we achieved a record 84% increase in profit before tax, and are pleased to reward our shareholders for
their continued support,” said Mr Norman.
“Through the continued growth of our core divisions and the expansion of our national sales network and capabilities, we are currently on track to sustain this growth in the 2011 financial year.”

ENDS

http://www.asx.com.au/asxpdf/2010111...j0y6c5y0kr.pdf

Solco Newsletter January 2011

http://www.solco.com.au/pdf/newslett...ary%202011.pdf

15/03/2011 Investor Presentation

http://www.asx.com.au/asxpdf/2011031...jnf6c3x5b4.pdf

A most impressive quarterly for SOO.

$6 mil positive operating cash flow for the quarter for a $20 m/c company??

I assume there must be some abnormals / timing at play here, but nonetheless, a smashing result.

30 August 2011

ASX ANNOUNCEMENT

SOLCO CONFIRMS RECORD PROFIT WITH 2011 FULL YEAR RESULTS

Highlights:

Record revenue of $53.7 million
Revenue growth of more than 56 per cent on the previous year
Record pre-tax profit of $3.6 million
25 year milestone for Group
Industry shift presents upside for Solco

Solco Limited (ASX: SOO) (“Solco” or “the Company”) today released its full year
results, which confirmed earlier guidance of a pre tax profit of $3.6 million for the 12
months to 30 June 2011.

The company’s 56% growth in revenue to $53.7 million was driven by the ongoing
success of the company’s Products division, which wholesales a range of solar
products, and the continued expansion of the company’s Projects and Power Divisions.

Executive Chairman David Richardson said the strong results reflected the advantages
of the Solco business including the company’s national footprint, wide range of solar
products and its strategy of growing the business well beyond the residential market
and into the development of commercial scale solar installations and projects.

“Our strategy is proving successful and it remains unchanged for the coming year. We
will continue to build our wholesale division while increasing our market share of grid-
fed power generation through larger scale commercial installations and build-own-
operate power generation projects through strategic joint venture partnerships,” said Mr
Richardson

“After 25 years in the industry our experience, scale and strategy has given us the
ability to make the most of growth and weather any challenges in the sector. As
Government Solar programs are devolved we anticipate a reduction in the products
consumed by the residential solar market, but with steadily rising power prices and
solar energy coming closer to grid-parity, the time is now right for the commercial PV
market to expand.”

“With our proven business model, the right people, the right relationships, and the right
products and experience, Solco is one of the best positioned solar energy companies
to take advantage of the shift from a domestic to a commercial PV market,” he said.

ENDS

SOLCO*LTD*
ABN*27*084*656*691*
12*Brennan*Way,*Belmont*WA*6104,***P.O.*Box*37,*We lshpool*DC,*WA*6986*
Office:*61‐8‐9334*8100***Free*call*1800*454*161*** Fax:*61‐8‐9334*8199**
www.solco.com.au

Having a bit of a look at SOO and i see InvestorFirst in their August research report have forecast FY12 revenues of $64m.
http://www.solco.com.au/pdf/2011-11-...estorfirst.pdf

Earlier this month SOO put out revenue guidance for FY12 of only $41m.
http://www.solco.com.au/pdf/solco_asx_06_10_2011.pdf

You'd be pretty annoyed getting into SOO on the back of IF's report, which was 50% more bullish on revenues than the company.

Just shows you can construct the fanciest models models possible built on the most detailed of assumptions, but in reality, events in real life are impossible for outsiders to properly predict.

Rights issued announced - might be a good buying opportunity coming up.....

Quote:

---

Originally Posted by steve fleming

Rights issued announced - might be a good buying opportunity coming up.....

---

and rights issued cancelled!.....might be an even better buying opp coming up.......but probably better on the sidelines at the moment seeing where this all ends up

Quote:

---

Originally Posted by steve fleming 29-oct-11

Having a bit of a look at SOO and i see InvestorFirst in their August research report have forecast FY12 revenues of $64m.
http://www.solco.com.au/pdf/2011-11-...estorfirst.pdf

Earlier this month SOO put out revenue guidance for FY12 of only $41m.
http://www.solco.com.au/pdf/solco_asx_06_10_2011.pdf

You'd be pretty annoyed getting into SOO on the back of IF's report, which was 50% more bullish on revenues than the company.

Just shows you can construct the fanciest models models possible built on the most detailed of assumptions, but in reality, events in real life are impossible for outsiders to properly predict.

---

...and the latest forecasts from SOO are for $23m revenues for FY2012...

How many years have investors being gambling on solar energy? Still, apparently solar has finally achieved price parity in Australia with other sources... and the latest quarterly from SOO is back to strongly cashflow positive on receipts of $7.8m for the quarter. That puts it in line with the market cap of $7.6m (at 3.8cps). The FY result will still be a dismal read, so not sure there will be a turnaround in the share price until they have another couple of quarterlies under their belt, but definitely one to watch.

With a last sale at 2.5 cents looks as though the sun has stopped shineing on SOO>
Cloudy future.?