VTL - Vital Telecommunications (formerly Team Talk)

[Southern Lad]

Lack of profit guidance in AGM presentation material today suggests there may be some short term pain.

Is anyone who attended the AGM (in person or virtually) able to give an insight into the mood of the directors/any interesting shareholder questions?

[financewiz]

Great reading the Annual Report which was released yesterday on the NZX website. Highlights were the $29m in orders for the 2020 financial year - 200% up on the 2019 year. Also, great to see a customer from the Vital Cloud network came only 2 weeks after launch! The pic showing the vans & some of the team looked great as well. Expecting the share price to start to reflect the last couple of years of hard work in the coming weeks.

Any thoughts on the half year results. IMHO the increase in orders does not seem to be translating into improved financial results.
It would also be good to have had more visibility into how the cloud network was performing...

[Southern Lad]

Trade today of 777,229 shares (approx 1.88%) at 80 cents per share. Given the Vocus takeover by Macquarie Infrastructure and Real Assets and Aware Super, do we have money chasing the remaining fibre infrastructure in independent ownership?

Strikes me that a demerger of VTL into separate Fibre and Radio entities would increase the combined valuation from the present combined number. Is an industry player prepared to takeover VTL to get access to the Fibre assets?

If director’s view that the capital spend to renew existing assets is nearing an end is accurate, VTL is going to substantially increase free cash flow.

[waikare]

Up 2 cents to $0.79 today on very low volumes, only 741 shares in 4 trade lots...……..

[tim23]

Trade today of 777,229 shares (approx 1.88%) at 80 cents per share. Given the Vocus takeover by Macquarie Infrastructure and Real Assets and Aware Super, do we have money chasing the remaining fibre infrastructure in independent ownership?

Strikes me that a demerger of VTL into separate Fibre and Radio entities would increase the combined valuation from the present combined number. Is an industry player prepared to takeover VTL to get access to the Fibre assets?

If director’s view that the capital spend to renew existing assets is nearing an end is accurate, VTL is going to substantially increase free cash flow.

Interesting theory - I'm patiently holding still.

[financewiz]

Interesting theory - I'm patiently holding still.

Or seems to be. I bought back in when I saw that large share action a couple of days ago. From what I can seem most of the 800k share volume was an off market trade at $0.80. Regardless of that I think Vital is a secure play with limited downside risk and a cashflow that should improve as the capital spend winds down. I definately think its a takeover target at this price...

[tim23]

Or seems to be. I bought back in when I saw that large share action a couple of days ago. From what I can seem most of the 800k share volume was an off market trade at $0.80. Regardless of that I think Vital is a secure play with limited downside risk and a cashflow that should improve as the capital spend winds down. I definately think its a takeover target at this price...

Yes its held up pretty well given the recent 10% decline in the NZX

[nztx]

what happens when the hot air evaporates out of the balloon ?

where's our good friend - Ogg, when a good takeover or takeout is needed ?

[Lola]

Or seems to be. I bought back in when I saw that large share action a couple of days ago. From what I can seem most of the 800k share volume was an off market trade at $0.80. Regardless of that I think Vital is a secure play with limited downside risk and a cashflow that should improve as the capital spend winds down. I definately think its a takeover target at this price...

Interesting D and O disclosure today.

[Southern Lad]

Really positive to see Andrew Miller shell out $639,200 to purchase 800,000 shares for an average of 79.9 cents per share. The other 166,666 shares look like it is a transfer from Andrew's personal name to a Trust. Market has responded accordingly by pushing the last traded price to 82 cents this afternoon.