(BGBL) Bglobal

Darwen-based meter firm Bglobal back on rise

4:31pm Tuesday 31st January 2012



NEW jobs could be on the cards at smart meters firm Bglobal after plans for a mass roll-out of the energy reading devices were revived.

The Darwen-based business took a hit last year when its share price dropped in the wake of a government decision to delay the scheme until at least 2014.

Bosses were forced to shed 50 jobs to save £1.5million after revenues dropped from £12.46million to £10.43million following a reduction in the number of installations.

But now, the £11.7billion scheme has been revived and will see energy companies install smart meters in homes and businesses between 2014 and 2019.




Bglobal's chief executive Tim Jackson-Smith said: “Lumping these two sectors together has given the energy suppliers more time and has led to a slowdown in installation volumes.

“This was extremely frustrating and, as a result, Bglobal had to make a number of staff redundant and we have seen our share price come under pressure.”

He said the firm was now working with an 'experienced retailer' to establish a new energy supplier to enter the residential market.

He said: “This is an exciting time to be involved in this space.

"Rather than becoming beholden to the whim of government and exposing the business to the inevitable delays in the mass roll-out, Bglobal is currently working with an experienced retail player to establish a new energy supplier that will enter the residential market at scale.


“This will be a Smart from the Start proposition and the project brings together all aspects of the Group.

“Once this business starts Bglobal will need to increase its workforce in a number of areas in order to allow it to deliver products and services to the new energy supplier.”

A smart meter is a device that records gas and electricity consumption and sends figures direct to the supplier, without the need for meter readers.
http://www.lancashiretelegraph.co.uk/news/darwen/9503533.Darwen_based_meter_firm_Bglobal_back_on_rise/

Oh and one more thing that article from the Daily Mail. What a teribble piece of journalism.

'A Daily Mail investigation has revealed how some small businesses are being charged 20p a day simply to have a smart meter'

So what.

Please tell me what they are charged for a dumb meter and for it to be read once per month (many businesses are billed monthly not quarterly). How on earth am I to determine if 20p/day is a lot of money in comparison. Yes customers pay for the dumb meter, yes they pay for it to be read. Customers pay for everything in every market except 2nd hand teeth where they get covered by the tooth fairy.

At a quick guess:
Meter Lease and Maintainance £20/annum
Manual Data Collection £4/read
DC/DA £12
This would equate to £0.219 per day.

I stand in awe at what the Daily Mail have discovered here!


Even the sub headline is quite funny:

"Millions of devices may be replaced, warns watchdog"

There are around 25million meters with a certified life span of 25 years (not quite true as a number only have a 10-year life span at the higher end of the market). The industry will likely replace 1 million meters anyway next year. That doesn't allow for any failed meters just those that reach the end of serviceable life.

Not sure what you think they manufacture.

They typically use an EDMI meter that is manufactured in the Far East. EDMI are owned in Singapore with a technical division in Australia.

BGlobal Are MOp and DC/DA. (Meter Operator and Data Collector)

They install and maintain a meter asset as well as collecting the data (via GSM/GPRS rather than man in van) and sending to the supplier.

Other MOp and DC/DAs include (from memory rather than full list)
G4S
Invensys IMServ
Siemens
npower
EDF (MOp only)
Western Power Distribution (MOp only)
Stark (DC/DA only)
TMA (DC/DA only)

The majority of which have a smart offering.

I was very lucky to get out of BGB recently at 25p. I have to admit it was not a business that I really understood therefore should not have commited my hard earned cash. However I keep looking at the Bglobal share price, feeling quite smug at having got out when I did (sheer luck) but have began to more understand the business and how well run and perhaps ahead of their time this Co is.

Refer to page 22 of todays Saturday Mail - bad meters - this is were Bglobal will step in with the best of British model - and lets face it anything made in Britain is efficient and works !!


The share price is recovering - I hope to buy in again shortly - I believe good UK manufacturing Companies will once again come to the fore - Bglobal is one of them as far as my limited knowledge allows.


XFS

Here we go again !

The lord giveth and the lord taketh away. Amen

down 18% today

Oh no!!

- this was on should a good ride yesterday!!

?

What did I say folks , 2-3 bagger from 10p, well I hope we all made some cash, and if not good luck on the next one, tw going to break 40p by March imo, along with blinkx recovery on the way, good luck all !!

Honestly I think it is quite poor that the share price has tripled in a month and there hasn't been a single broker/company announcment of news. Although clearly I am more pleased that it has tripled than halved.

As you point out clearly someone has some news/information.

Whim.

Must be some special information about to flow me thinks !

from 7 to 19 in a few weeks - you have to love the information flow here.......

farmerdave

I suspect the reason for the recent steady rise in the share price is in anticipation of developments relating to these comments contained in the 13/12/11 Update.

"As mentioned in our recent trading update, the Group is currently working with an experienced retail player to establish a new energy supplier that will enter the market at scale. I am pleased to report that we are making good progress in these discussions and I hope to be able to provide further details about this transaction early in the New Year. Our relationship with Samsung C&T is also valuable to this initiative as it will help to provide the new entrant with a fully funded solution for the installation of smart meters across its portfolio of customers. We are also continuing to move this initiative forward and again should be in a position to update shareholders on the structure and nature of this deal in the New Year."

Been up for 2 days - dhir moved very similarly pre an offer at 150% of the shareprice - this company would be an ideal target for a asian meter manufacturer to buy to offload loads of meters around the country - would be nice....
farmerdave

Nice little jump in sp today - cannot find any reason for it - anybody know anything. My only guess is that someone somewhere sees this as undervalued - I certainly think it is.

Bglobal (BGBL) [7.5p/£7.97 million]
Hybridan's Small Cap Wrap
By Hybridan | Mon, 19/12/2011 - 00:00
http://bit.ly/rQe7It

Hybridan Small Cap Wrap
Wed, Dec 14, 2011 at 8:50 AM
http://bit.ly/tdgVaB

look like you were correct... see RNS!

Judging by todays trades it looks as though there may be a bit of stake building going on here. It looks very undervalued to me so it would make good sense to someone.

Hybridan's Small Cap Wrap
By Hybridan | Mon, 14/11/2011 - 00:00


Bglobal (BGBL) [8p/£8.50 million]

The leading provider of smart energy solutions and services to the UK energy market gave an update on its trading performance for the six months ended 30 September 2011 in advance of its interim results, which will be announced on 12 December 2011.

The group has remained profitable and has generated cash at an operational level. The government announced at the end of March 2011 that the mass rollout of smart metering to the residential and SME markets will start in 2014. This has lead to some of its customers reducing the level at which they are installing smart meters. Accordingly, the business has seen a marked slowdown in the volume of installations taking place in the industrial and commercial sector.

However, despite this slowdown the business has delivered an operating profit in the period. It became apparent during the first six months of this financial year was that cost savings made at the beginning of the financial year had not gone far enough and the board has therefore taken additional steps to further reduce the cost base within the business. These steps will generate annual savings of approximately £1.5 million in addition to the £1 million of annual savings achieved earlier this year.

The savings have been achieved by reducing head count within the business and by saving certain associated costs. This process was completed at the end of October and these additional savings will be seen in the second half of this financial year.

The markets in which the group operates are evolving and this has resulted in the group needing to fundamentally alter its approach to the way it wins work and who its customers are. Cost cutting is back on the agenda for many companies, was it ever off the agenda over the last few years. Bglobal seems to continue to position itself accordingly.

I'm glad I got out @ 20p. Wasn't sure about the move at the time. BUT I suspected it hadn't bottomed out at that point. Strangely even now @8p I suspect it will keep falling.

Although like wigginz I'm keeping a close eye on developments

The increased staff cutbacks and the move into being a supplier indicates they are getting nothing significant in the way of business for their original model. The utilisoft biz is probably the only thing making a profit, and that'll be wiped out by exceptionals; even after that, it sounds like they are going to need dosh dosh dosh to invest in what is basically a new business model. This is high risk, high (potential) reward, but years down the line, with no safety factor. Not of interest to me.

BGlobal entices new player into energy market
8th November 2011
http://bit.ly/vsH6SB



By Mike Fahy - Assistant Editor
Chief executive of Bglobal Tim Jackson Smith
SMART metering firm BGlobal has said that it is embarking on a further round of cost-cutting initiatives in its metering division a bid to save a further £1.5m.

The company said in a statement this morning that an exercise embarked on in the first half of the year, which should produce annual savings of £1m "had not gone far enough".

"The board has therefore taken additional steps to further reduce the cost base within the business," the company said.

"The savings have been achieved by reducing head count within the business and by saving certain associated costs."

It said the latest round of cuts were completed at the end of October, and that the benefits would be seen in the second half of its financial year.

The company added that it had been profitable during the first half of the year to December 30, and that it had continued to generate cash.

It said that a government announcement that the rollout of smart meters to homes and businesses would start in 2014 had led some customers to slow down their own installations.

Meanwhile, its Utilitigroup energy data management business us continuing to trade in line with expectations, the company said.

BGlobal said that following recent calls from government ministers for greater competition in the energy sector, it remained confident that its products and services would appeal to any potential new entrant into the market. Indeed, it said it had already begun working with "an experienced retail player to establish a new energy supplier that will enter the market at scale".

"For the group to sit back and see what develops is not an option and will leave us exposed to the whim of Government and the willingness of the Big Six to deliver a smart meter rollout at scale and speed," the company said.

Group chief executive Tim Jackson-Smith said: "The group has a strong balance sheet with in excess of £3.5 million of cash and the board continues to believe that the group is well positioned to become a trusted provider of smart energy efficiency services to end users."

now 8p and still watching

Was interested in this share but its still dropping (now 8.75p), will keep watching as i think this is a good long term buy .

In May I said 11p would be reached, some rightly questioned the wisdom of calling the bottom while the price was in free-fall frpm 36p to 20p when I made the following post:

"I agree in principle but it depends whether people can back it up. I'm happy to put on record in the BB that I think 11p will be a sound entry point within the next 12 months.

I'm more than happy for people to point out I am wrong if this price isn't seen at any point within this time frame. Similarly I will refer back to this date if/when I get the opportunity to buy back in at 11p."

Not sure how it will perform from here but I think 11p is a fair valuation at this point, however, the future doesn´t seem great enough to to see a quick return to 30p or even 20p.

If you´ve held on to your shares I think it would be safe to keep hold now

SMART metering company Bglobal has announced jobs will be lost after a slump in sales.



Yesterday bosses embarked on a consultancy period with what is understood to be a significant number of staff from departments across the company.

In total, 135 people are employed at the headquarters in Commercial Road, Darwen.



Chief executive Tim Jackson-Smith said: “We’re very sorry to have to do this, but unfortunately we are having a review of jobs at Bglobal.



“Volumes are falling off in terms of installations, and we need to keep the business viable and keep the cost base down.



“When we announced our results in July, we thought this might be the case.



“We will be consulting with the employees affected and hope to get it all sorted as soon as possible for everyone concerned.”



The company revealed for the year ending March 2011, revenue increased 119 per cent to £28.99million, but it had made a pre-tax loss of £722,000 mainly due to its £12.8m acquisition of Utiligroup.

Haven Power Signs New Deal with Bglobal Metering For Services


Thursday, 04 August 2011 19:39


http://www.smartmeters.com/the-news/2501-haven-power-signs-new-deal-with-bglobal-metering-for-services.html


Bglobal Metering has contracted with Haven Power for Half Hourly (HH) Meter Operator, Data Collection and Data Aggregation Services. This deal follows a previous agreement between the two companies, still in effect, for a Non-Half Hourly agreement in which Bglobal installs and operates smart meters. The additional services Bglobal now provides to Haven under terms of the new deal, enables them to appoint Bglobal as one of its service providers for sites trading in the Half Hourly market.




Customers of Haven Power who sign up to participate in the new service will have a Bglobal HH metering system installed, which will enable consumers to accurately monitor and manage the energy that is consumed in their homes. In addition, the technology also allows residents to receive more accurate energy bills, permits enhanced control of consumption, and provides a clearer picture of patterns and trends of their energy usage. Ultimately, by taking advantage of the Bglobal HH metering system’s features, consumers can enjoy significant energy consumption reductions and cost savings.

Bglobal’s industry accredited HH solution was launched in April 2011. The company says its goal was to bring “a market driven philosophy, exceptional value and excellent levels of customer service to this sector of the market. Bglobal’s HH services are available at the lowest price in the market today.”

Ian Rose, Bglobal’s Group Sales Director, notes, “Since we launched our HH offering just a few months ago, we have seen a significant number of energy suppliers who are keen to appoint Bglobal as their HH metering services provider. Customers of Haven Power can rest assured they will receive a market leading offering from Bglobal, at a commercially attractive price. We look forward to working with Haven Power - and their customers - as both our businesses continue to grow.”

Established in 2006 to serve the electricity needs of small to medium sized business customers, Haven Power specifically serves the large Information and Communication sector. In early 2009 Haven Power was acquired by Drax Power Limited, one of the UK’s largest generation groups.

About time it went up -- but keep it a secret

lots of big buys today ?

Bglobal Releases Report on Sub-Metering Benefits


Thursday, 21 July 2011 07:52

http://www.smartmeters.com/the-news/2456-bglobal-releases-report-on-sub-metering-benefits.html



A new report from Bglobal Metering highlights the energy efficiency saving that can be realized through the implementation of its smart sub-metering solution. Bglobal’s sub-metering solution enables property managers to measure energy consumption across their entire holdings, in different buildings, even in specific rooms if required. Bglobal reports, “Through the collection of accurate consumption data, property managers can make informed decisions and take appropriate action to reduce consumption, and reduce energy costs.”




Spencer Commercial Property has installed over 100 smart sub-meters in its properties to measure electricity, gas, and water consumption of its tenants, reducing the number of workers needed to manually read the meters.

Lawrence Hindley of Spencer Commercial Property, says, “The benefits to my organization have primarily been of time. We run a tight ship and so do not have the manpower to visit all our many sub metered sites on a monthly basis. Bglobal’s products have therefore saved me personally, and our company, so many man hours that we have not needed to employ an extra member of staff to service the sub metering aspect of my job. As we are a commercial property landlord we use very little actual power but the savings in time are significant.”

Other benefits of installing smart sub-meters include enabling landlords to accurately apportion energy costs directly to their tenants; reducing the number of disputes with tenants over energy bills; improves cash flow; and incentivizes tenants to focus on energy consumption.

Simon Parker, Bglobal Metering Marketing Manager, adds: “At Bglobal we are committed to providing solutions to the challenges facing businesses – especially in managing how they use energy and how much they pay for it. We are all pleased when a customer such as Spencer Commercial Property is able to experience such substantial benefits when using our solutions and services

I have bought back in at 13.5p having sold previously at 38p for a 15% loss.

At this share price, directors' purchases are a given, even if they have doubts about the future - they have an unwritten duty after an extended share price collapse to reinvest some of their salary.

The fact that they haven't bought yet makes me suspect that they are in a closed period due to corporate activity, and for that reason I have stepped back in.

The results themselves were appallingly opaque.


DYOR
PR

EAVESDROPPER
Straight from the Kennel
Bglobal Group
July 2011 - Issue 11
http://www.shareworld.co.uk/index.php/alan-watson/newsletter/july-2011/


You know that moment when somebody tells you what their job is and you immediately think to yourself: “Well, somebody has to do it”? Well, Bglobal Group has that effect on me. It installs meters. Not just any meters, but a range of non-settlement sub meters that provide consumption data on various energy sources (including gas and electricity). However, it’s all about meters - and somebody has to do it.

Global has been experiencing difficult times. These resulted from the Government changing the timing of its plans to install smart meters in every household in the UK by 2020, putting back the start of the process by two years to 2014. Customers have delayed purchase and the Government’s decision to put back the mass roll out of smart metering to the residential and SME (Small and Medium Enterprises) markets has hit Bglobal badly. Its shares have lost two thirds of their value since March 2011.

I don’t think that the project has been abandoned, but the delay has caused considerable uncertainty. In the meantime, Bglobal has had to look around for new business. It recently secured a contract to supply and install submetering services to schools around the country. In addition it will provide consumption data on various energy sources, including gas and electricity, into Hampshire CC’s existing energy management system.

The results for the year to 31/3/11 were fine. Revenues were up 119.1% from £13.23m to £28.99m. Encouragingly, cash generation improved from -£100,000 last time to £2.32m this time. Earnings before interest, taxation, depreciation and amortisation improved from £1.0m to £4.16m and earnings per share rose from a 0.02p loss to 3.26p. The figures were perhaps slightly better than forecast, and put the shares on an actual PER of around 5.

It is possible that Bglobal will achieve lower profits in the current year as the UK economy weakens I expect pre-tax profits in the year to 31/3/11 to fall to around £2m. This puts the shares at the current price level on a prospective PER of around 7.3, which still looks undemanding. Bglobal, of course, could land a few useful contracts in the meantime and the prospects of 2014 still remain. I’m inclined to get in early and buy now. Speculative Buy.

Mid Price 14.5p; Sector: Support Services; Market Cap: £14.5m; EPIC BGBL Next Results: Finals July AIM Quoted (Bglobal is quoted on the higher risk Alternative Investment Market. See Important Notes on this page.)

Investment Column
Edited by Nikhil Kumar
Tuesday, 12 July 2011
http://ind.pn/pWS8Og

Bglobal

Our view: speculative buy

Share price: 14.5p (+0.25p)

Bglobal's share price has been under the cosh recently, and on the face of it you might ask why.

After all, the company yesterday announced that revenues for the year ending 31 March had more than doubled to £29m while an adjusted pre-tax loss of nearly £500,000 in the preceding year had morphed into a healthy £3.8m profit.

The issue is that this profit is likely to be a high point, at least for the next couple of years.

Bglobal provides smart energy meters. These are a good idea – they make the sporadic, and sometimes inaccurate, meter readings that consumers are used to a thing of the past.

Naturally, since being presented with such a no-brainer, the Government has been dragging its feet. A nationwide roll-out is now targeted for 2014 but analysts fear more delays. Which means energy providers have put their own plans on hold, making life difficult for Bglobal.

Happily, with efforts to bring new entrants into the energy market, there is an opportunity for the company to jump in and offer services such as billing, data collection, and the like.

It has already helped Co-op into the market and others could follow. Backing the shares now is risky, but they're cheap and the company is financially strong, with £4m in net cash at the bank. One for investors willing to speculate.

Now at 15p, this looks fair value given the final results. Utiligroup is profitable, strong and growing, but as it's only a quarter of the group it's not adding enough to counteract huge uncertainties in meter installation.

Worst case scenario is that installations collapse due to delayed/cancelled orders, company haemorrhages money from the fixed overheads without corresponding revenue to service, and cashflow makes them collapse - but I see this as very low probability. Best case is something like £3m profit this year (3p eps) - but I see this as low probability too. Most likely scenario is 1p eps with a lower revenue based on fewer installations not covered by increased utiligroup revenue. On a forward pe of 15 (@15p) I'd say all the possibilities are fully in the price - so fairly priced. Would become a speculative buy if it drops down towards 10p.

last rec @28p, was don't buy before seeing some evidence of improved orders http://www.iii.co.uk/investment/detail/?display=discussion&code=cotn%3ABGBL.L&threshold=0&it=le&action=detail&id=8166153

Bglobal generates cash

11 July 2011 | 07:46am

StockMarketWire.com - Energy services company Bglobal said revenue increased by 119.1% to £28.99m in the year to end-March (2010: £13.23m), with adjusted PBT at £3.81m.

Services revenues increased 148.2% to £5.56m (2010: £2.24m).

Adjusted EBITDA was £4.16m (2010: £0.01m) and adjusted profit before taxation £3.81m (2010: £0.47m loss).

Basic loss per share was 1.51p (2010: 0.49p loss), while adjusted earnings per share were 3.26p (2010: 0.02p loss).

Net cash generated from operations was £2.32m (2010: £0.10m outflow).

Net funds of £6.42m were raised in an equity placing and open offer in June 2010 and the acquisition of Utiligroup was completed in June 2010.

Bglobal said more than 155,000 total smart meters now installed, with over 66,000 meter installations billed in the financial year.

Tim Jackson Smith, Group CEO, commented: "The year ended 31st March 2011 has seen the Group pass a number of key milestones - in June 2010 we made our first acquisition and Bglobal Metering has delivered a maiden profit. It is also pleasing to be able to report that the Group has been cash generative throughout the period and that all parts of the Group have performed well. The markets we operate in are undergoing major change, with Government announcing its plans for the mass rollout of smart meters and beginning to challenge the dominance of the Big 6 energy suppliers by calling for more new entrants to help create a more competitive environment. All of these changes present significant opportunities for the Group and the services and solutions we are able to offer mean we are well placed to take advantage of them."



Story provided by StockMarketWire.com

Most mortgages allow up to 16% so check it out, I also love share trading as I am a big gambler on horses, poker and most table games.

But I was told this myself couple of years ago, and its also the first chapter in zulu principle, a book I would highly recomend to you, also check out marketocracys funds, they have hugely over performed on s+p , by 30-40% year on year.

Also gold funds have alot of mieage in them imo, they will increase by 50% in the next 3 years.

Small cap stocks such as , this one, or blinkx, or intercede, and az electronics are all inmy portfolio, and as a result I obviously fancy all of their chances, dyor mate but good luck they may pay of the mortgage.

My biggest one to date was asos bought at 290p in 2006-07, happy days .....................

Most mortgages allow up to 16% so check it out, I also love share trading as I am a big gambler on horses, poker and most table games.

But I was told this myself couple of years ago, and its also the first chapter in zulu principle, a book I would highly recomend to you, also check out marketocracys funds, they have hugely over performed on s+p , by 30-40% year on year.

Also gold funds have alot of mieage in them imo, they will increase by 50% in the next 3 years.

Small cap stocks such as , this one, or blinkx, or intercede, and az electronics are all inmy portfolio, and as a result I obviously fancy all of their chances, dyor mate but good luck they may pay of the mortgage.

My biggest one to date was asos bought at 290p in 2006-07, happy days .....................

I feel a bit daft not thinking logically. Then again I suppose I enjoy the buzz of share trading. Even so, I have decided to re-evaluate my positions and will, more than likely, release some of my "share savings" and pay some of the mortgage off. Thanks for the tip (though like I say I feel a bit embarassed to say I hadn't thought of it like that before!)

I'll certainly start paying off more, I think we can pay off 10% extra per year without penalty so let the balance reducing begin . . . .

Buying at the bottom was luck, but I do make a point of speaking to any of my holdings senior directors or board members, as they are often very honest and forthright with their situations, when I spke to Tim some weeks ago he also felt that the city was being slightly harsh on them.

I would expect some director buys in July/Aug which will again boost the sp, all of this lead me to buy back in, was lucky to get the 11p though

If you are paying 3-5% on your house and have 100k or more outstanding, then it doesnt make much sense to try and recoup 5-10% or more on share trading, when even if you do, you will merely be contributing those profits to the interest owed on your house.

Look who the fu## am I to tell you what to do, just sharing my logic , do what you will........... and dyor on this one