A nice new contract win in the USA, but to me the newly signed partnership with a US partner with a global payments solutions company, (who work with millions of individual merchants across the globe), is the most important part of this RNS.
Ok some UK contracts-good. My concern is that there is no mention of US contracts which is the larger market and their year end was December when they make decisions for the following year. I would have liked to see some comment on US progress as well. I plan to ring them on that!
Don, t feel lonely! I made comment on ADVFN that if they had any alteration to their statement that they would meet market expectations they are legally obliged to report that. They have not issued any RNS to the contrary. While I would have appreciated any re-assurance that has not been forthcoming
Could possibly drop them an email, Pond. Whatever the answer, the awards are not particularly overly generous if you measure them against a 5.5 year period and at the current sp of c. 50p.
Having said that, they are what they are...a performance incentive. And, providing they are sufficiently challenging, they will benefit all shareholders. (Starting with an improved dividend !)
Each of the PSP awards is subject to a Total Shareholder Return performance condition, measured over a c. 5 year performance period (from the date of the 2017 AGM to 30 days after the publication of the 2022 full year results).
Can anyone help me out with what these 2 have to achieve in order to meet the criteria.
nothing new in the formal interims from the trading update on the 18th September. The key statement for me is the statement "near time sales pipeline". The US year end tends to be 30 December so I would hope more contracts over the next few weeks. Last year they won 9 in the US and so far they have won 7 in the half year so I am sure they are expecting to beat that! I anticipate RNS statements when they happen
With 'Card holder not present' fraud increasing year by year $5.2 billion in the US in 2016 and projected to rise to $7 billion by 2020 this type of fraud world wide will grow at least in line with the increase in these sort of transactions.
In the Asia Pacific area an area were cash tended to be king, card payments have increased dramatically year on year and the growth will continue. China especially is usually the main one to watch outside the USA when it comes to any type of innovation and yet they have not 'fully' woken up to none cash.
These are the figures from a report in April 2017 China, 41 percent use cards and 30 percent prefer cash.
Compare this with the USA where 70 percent use cards and just 11 percent prefer using cash.
The following figures also look impressive.
Japan USD 209 billion
South Korea USD 203 billion
Australia USD 140 billion
Taiwan USD 24 billion
China USD 24 billion
Hong Kong USD 20 billion
New Zealand USD 11 billion
Thailand USD 6 billion
India USD 2 billion
Once Ecko break through with the big boys, and I see no reason why they cant, after all Apple pay, Paypal had to start somewhere and Ecko easily compares (I would say betters) other card payment systems in security, they can become a world name and not just on the radar of small company followers.
The future for Ecko certainly looks very rosy indeed.
I agree with your comments Pond1. Techinvest has been a fan of this over several years and recommended buying more when the SP dropped after the fixed price contract went wrong and they lost £700k on it. The rest of the business is doing well with double digit growth in the large US market. 7 new contracts in the first half compared to 9 in the full year last time so it looks encouraging. The IC and Techmarketviews are also positive on it. I would anticipate that TI will make it a buy-again-in its next issue which will bring it to attention. This is an opportunity to buy more now as I did not expect to see it drop after this news. Any comment from Simon Thompson would also impact on the SP as would a rec from the PSL or analysis from Trendwatch or SCSW
In line with expectations...
read on !!
The update contains some very interesting comment on whats going on in the US. Current revenue slated to increase exponentially whilst remaining flat in UK.
Sp only going one way as traction is gained in the US!
Following the catastrophic fall last September when the news of a change in their pricing structure was announced by Eck the company (or, more accurately, the sp) has shown a recovery which belies the sound business model which has emerged from the melee.
With high profit margins and high level of recurring revenues the company has successfully managed the turnaround and the sp is reflecting this. No need for further news, the reason for the sp being where it is is staring you in the face ! ;-))
Luck all, TP
The accounts look pretty stunning. Only disappointment is the meagre rise in the dividend.
Company, on the other hand, looks in redse health, with majestic profit margins and revenue growth which will be the envy of many.
I note that there is mention of "Apple Pay secure payment over the phone" offering in some customer material on the website. I couldn't find much/anything on this since it was announced as a successful PoC last october, maybe/hopefully a deal related to this ?
For several weeks now Eck has been making small but steady gains, that more recently have accelerated, without any News or comment from the Company to account for them. And so today 'the journey continues', I note, up again this morning by 1.75p to reach an 'All time High' of 55p, that I recall was seen only briefly once last year. And yet we still do not have an RNS or Announcement, I find it all very strange, as clearly something is going on in the back ground.
In my ECK experience of holding long-term I have seen RNS issued towards the end of the trading week and have therefore been expecting to read an announcement.
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