VTL - Vital Telecommunications (formerly Team Talk)

[Bobdn]

Couldn't not notice the diversity report in the AR

Good old boys club this outfit ......100% male directors and officers and from the photos mainly white and over 40

And from the language the CEO uses in public announcements just well methinks.



Nuff said

Which also describes Apple. Really miss holding Apple, just over a 50% profit in a little over a year was the best I've ever done.

I think I'll investigate a TTK purchase.

[winner69]

Which also describes Apple. Really miss holding Apple, just over a 50% profit in a little over a year was the best I've ever done.

I think I'll investigate a TTK purchase.

That profit you made probably happened when the Apple exec team went from 10% female to 20% female. A bit of diversity must have helped. Well done

Teamtalk worth a look at ....even if the directors and exec seem to be more interested in swearing and BBQs than making money - if Annual Reports anything to go by

The question is how good could they have been if 'diversity' had been on the agenda

[percy]

There appears to be a big lack of "skin in the game".
Other than David Ware appearing on the top 20 shareholders list with 189,216 shares, the other directors have very small holdings;
Joe Pope the chairman has 50,000 shares,Ross Ballard 12,169,Roger Sowry 10,000 and Tone Borren jointly 17,394 and 30,000.

[winner69]

Shouldn't overlook that the Book Value of TTK is just 91 cents (and most of that is intangibles but that not all bad)

Equity of $26m and debt of say $34m means invested capital is $60m

From an economic value added perspective TTK needs to have operating earnings (tax paid EBIT) of about $9m just to cover its cost of capital. FY14 was just under $6m (normalised) and that was one of their better years. Teamtalk with its current capital structure is not covering its cost of capital, in fact substantially short. It has negative economic profit

A current share price of 115 implies the NPV of the future economic value added is about $6.5m - ie the market is expecting TTK to make more than $10m EBIT and more for the foreseeable future.

Believe that and 115 or a bit more is a fair share price. Have your doubts about such an sustained increase in profits and TTK is 'fairly' valued at less than 91 cents (its book value)

Just one way that analysts look at it

[Baa_Baa]

Yes, very interesting isn't it. Also, two directors own no shares. Quite a few of those paltry number of shares were acquired in the period to June 2014. Maybe they saw the problems coming, for example it was no secret they were buying a serious downtrend .. and who in their right mind does that eh Now of course they can load up big time, at an average price way under every other shareholder. But will they? Now's the time for them to wade in, isn't it? Their policy allows directors to trade within a few days after an announcement.

There appears to be a big lack of "skin in the game".
Other than David Ware appearing on the top 20 shareholders list with 189,216 shares, the other directors have very small holdings;
Joe Pope the chairman has 50,000 shares,Ross Ballard 12,169,Roger Sowry 10,000 and Tone Borren jointly 17,394 and 30,000.

[winner69]

There appears to be a big lack of "skin in the game".
Other than David Ware appearing on the top 20 shareholders list with 189,216 shares, the other directors have very small holdings;
Joe Pope the chairman has 50,000 shares,Ross Ballard 12,169,Roger Sowry 10,000 and Tone Borren jointly 17,394 and 30,000.

Mr Ware has another 181k jointly held with another person

Mr Ware sold 75,000 of the 189,216 in September so even less skin in the game

[winner69]

Ware sold those for about $1.60 odd in September ....well timed eh

[percy]

I note from the latest annual report that current assets are $12,111,000 while current liabilities are $51,250,000 of which is the $34,639,000 owing to the bank.Deduct that and still leaves current liabilities of $16,611,000 which is 37% higher than current assets.
I note on either page 12 or 13 of the report the NTA is stated to be 6 cents.
Just one way a bookseller looks at it.

[percy]

Ware sold those for about $1.60 odd in September ....well timed eh

Yes,very well timed.
Where's Roger!!???

[Baa_Baa]

On reflection, maybe it was the directors buying Friday, given the low volumes, and low value, which fits the apparent MO of the current directors. The mind boggles. For every seller there's a buyer. So someone likes these shares, even if they're not at $0.93 yet

Trades	31
Value	$145,450.35
Volume	106,543

Attachment 6708