HCL HighCom Limited (Prev XTEK Ltd (XTE)

**percy** · 27-02-2023, 11:48 AM

https://cdn-api.markitdigital.com/ap...df02a206a39ff4
https://cdn-api.markitdigital.com/ap...df02a206a39ff4

Oh dear,the market was expecting more.?
.

**Sideshow Bob** · 27-02-2023, 01:00 PM

Hammered down 12.5% this morning, so clearly the market was expecting more.....

However, with NPAT for 6 months at $6.2m, earnings approx 6cps for the 6 months. Keep that momentum, earnings 12cps for the FY, then PE becomes about 5.5.

**percy** · 27-02-2023, 01:19 PM

I thought it was a great result.
Current assets 5 times current liabilities.
Stock level up with out borrowing is a big positive.
Strong out look too.

**silu** · 28-02-2023, 03:21 PM

I'm confused about the price action. I can't explain the big drop at all.

**percy** · 28-02-2023, 05:41 PM

Originally Posted by silu

I'm confused about the price action. I can't explain the big drop at all.

Neither can I...

**caenix** · 01-03-2023, 11:56 AM

They are guiding $82m revenue for FY23, implying $33.5m for H2, which is lower than the $48.5m H1 revenue. I guess some people think the company just had their best period?
Though the guidance can quickly upgrade if they get a new contract. Just the nature of their contract based business and lumpy income.
Personally I think XTE is in the right business for the foreseeable future and Poland is the right place to expand. The contracts will come sooner or later.

Possibly trading sideways above 50c until further business development.
xte.jpg

**silu** · 01-03-2023, 01:25 PM

2 or 3 decades ago I worked for a company that provided services to armed forces. One thing I remember is that it took ages to finally get a purchase order approved. They will come as I can't see how countries like ours that have provided ballistic armour to the Ukraine cannot replace their diminished stock pile. It will take just time.

**Sideshow Bob** · 01-03-2023, 03:10 PM

Interesting how they can ramp up their business so quick. FY22 turnover was $28.3m and they did 50% more than that in the first half of 2023.

$82m forecasted revenue for the year, and still almost 3x FY22.

However they have diminished their cash pile from $36.2m down to $7m.........

**DarkHorse** · 03-03-2023, 06:22 PM

Originally Posted by Sideshow Bob

Interesting how they can ramp up their business so quick. FY22 turnover was $28.3m and they did 50% more than that in the first half of 2023.

$82m forecasted revenue for the year, and still almost 3x FY22.

However they have diminished their cash pile from $36.2m down to $7m.........

That was no surprise due to advance payment. Looking incredibly cheap again.