Small Cap Feast

8th August 2023

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Dish Of The Day:

Joiners: 
No joiners today.

Leavers: 
Non-standard Finance (NSF.L) has left the Standard Segment of the Main Market.
CT Property Trust (CTPT.L) has left the Premium Segment of the Main Market.



What’s Cooking In The IPO Kitchen?

Announced ITF 4 August: Tan Delta Systems plc, a Sheffield based Company intends to IPO on AIM. Tan Delta has developed an innovative and differentiated monitoring solution based on real time oil analysis and analytics that offers equipment operators enhanced insight into the maintenance status of their equipment and thus the ability to reduce maintenance costs, improve reliability and reduce carbon footprint. Admission TBC.

Announced ITF 12 July: Substrate Artificial Intelligence, an artificial intelligence company based in Spain that creates, buys and scales companies around AI in diverse sectors such as fintech, agritech, energy, human resources, and health, intends to join the Access Segment of the AQSE Growth Market.

Announced ITF 6 July: Blackpoint Biotech plc, a medical cannabinoids company established to fulfil gaps in the medical cannabis market by creating products that provide fast onset of action and accurate dosing, intends to join the Access Segment of the AQSE Growth Market. Admission delayed.


Breakfast Buffet


Concurrent Technologies 73.5p £53.9m (CNC.L)
The specialist in the design, development and manufacture of leading-edge embedded computer solutions for critical applications, announces that it has engineered and now shipped, a new version of a flagship 3U VPX Plug-In Card. The original TR K9x/6sd card has been successfully used in visual computing applications including a previously announced £1.6m contract that contributed to the Company's record 2022 order intake of £31.5m. The new variant, which has twice the memory capacity, extends the use case to Cyber and Radio applications, significantly increasing the estimated full lifetime value of the product.


Longboat Energy 28.5p £16.1m (LBE.L)
The emerging full-cycle E&P company active in Norway and Malaysia, announces the commencement of drilling operations on the Velocette (PL1016) exploration well in Norway (Company 20%). Velocette is estimated to contain gross unrisked mean resources of 177 mmboe (35 mmboe net to Longboat JAPEX Norge AS) with a geological chance of success of 30%. A number of follow on opportunities exist within license PL1016 with aggregate gross unrisked mean resources of ~200 mmboe, which would be significantly de-risked by success in the Velocette well. The key risks associated with this prospect are reservoir presence and quality. The license partnership consists of Longboat JAPEX Norge AS (20%), OMV Norge AS (40% operator) and INPEX Idemitsu Norge AS (40%).


LungLife AI 54p £13.8m (LLAI.L)
The developer of clinical diagnostic solutions for the early detection of lung cancer announces its unaudited half-year report for the six months ended 30 June 2023. During the period, LungLife completed enrolment of the Company's 425-participant clinical validation study in May, in line with expectations and published two reports that will assist with the commercialisation of LungLB®. Cash as of 30 June 2023 of $5.36m (30 June 2022: $10.63m, 31 December 2022: $8.01m). Cash outflow from operating activities reduced to $2.70m (six months to 30 June 2022: $3.26m). Loss before tax decreased to $2.81m (six months to 30 June 2022: $4.47m) and EBITDA loss also decreased to $2.78m (six months to 30 June 2022: $4.31m).


Mincon Group 83.75p £163.9m (MCON.L)
The Irish engineering group specialising in the design, manufacture, sale and servicing of rock drilling tools and associated products, announces its half year results for the six months ended 30 June 2023. Revenue in the first half of 2023 contracted by 5% to EUR 80.6m due to a decrease in mining industry revenue and currency headwinds. Foreign exchange movements represented 3% of the reduction in reported revenue, most notably due to the South African Rand weakening during Q2 2023. Gross profit reduced to EUR 25.6m (H1 2022: EUR 27.1m) and EBITDA decreased to EUR 11.8m (H1 2022: EUR 12.7m). In the short term the Group expect to deliver revenue growth in H2, while also realising the benefits of its cost reduction program to deliver a much improved margin in H2 2023 over H1 2023.


MyHealthChecked 11.0p £5.7m (MHC.L)
The consumer home-testing healthcare company, provides an update on trading for the six months ended 30 June 2023. Trading in the first half of the year reflected the expected overall reduction in demand for COVID tests, with (unaudited) revenues of £2.5m (H1 2022: £9.8m). Whilst there has been a recent marked increase in COVID testing volumes during the second half of July 2023, and discussion of COVID-19 cases potentially rising during Autumn and Winter, it remains the Company's expectation that there will be a reduction in overall demand for COVID tests during 2023 compared to the prior year. Cash balances as at 30 June 2023 of £5.0m (FY 2022: £7.6m) and reflect the Company's continued investment across the business for future growth.


PHSC 18.5p £2.2m (PHSC.L)
The provider of health, safety, hygiene and environmental consultancy services and security solutions to the public and private sectors, announces its audited results for its financial year ended 31 March 2023. Group revenue fell 3% to £3.44m, (2022: £3.57m). Profit after tax of £0.24m compared to a loss after tax of £0.63m in the prior year, the latter mainly due to writing off goodwill in respect of the Security Division. Underlying EBITDA increased to £0.37m compared to £0.27m in the prior year. Cash reserves of £0.75m at the year end up from £0.65m and the Company have proposed a final dividend of 1.0p, making a total of 1.5p for the year. Unaudited Group management accounts for Q1 of the current financial year show total revenue of approximately £0.75m and EBITDA of approximately £49k (Q1 2022-23: £0.86m and £0.1m respectively).


Physiomics* 0.98p £1.3m (PYC.L)
The mathematical modelling company, supporting development of oncology drugs and personalised medicine solutions, announces that it has been awarded a further contract by existing client, Numab Therapeutics. The project involves PKPD modelling in support of one of Numab's clinical programs and follows on from earlier work conducted by Physiomics on the same asset. The project will span two years of the clinical program.


SDI Group 120.0p £124.9m (SDI.L)
The group focused on the design and manufacture of scientific and technology products for use in digital imaging and sensing and control applications, announces its final audited results for the year ended 30 April 2023. Revenue increased by 36% to £67.6m (FY22: £49.7m) and reported operating profit reduced to £6.8m (FY22: £10.2m) due to a non-cash £3.5m impairment charge against Monmouth/Uniform. Adjusted profit before tax (before share based payments, acquisition costs, reorganisation costs (in FY22 only), impairment of intangibles and amortisation of acquired intangible assets) remained flat at £11.8m and reported profit before tax decreased to £5.8m (FY22: £9.9m). During the period, two new earnings enhancing acquisitions added to the Group; LTE Scientific Limited and Fraser Anti-Static Techniques Limited. The Group expect to deliver FY24 results in line with expectations.


SmartSpace Software 38.5p £11.1m (SMRT.L)
The provider of 'Integrated Space Management Software' for smart buildings and commercial spaces, announces a trading update for the six month period ending 31 July 2023. Half year revenue is expected to be approximately £2.7m up 15% year-on-year (31 July 2022: £2.4m) and annual recurring revenue up 21% year-on-year to £5.8m. Monthly average revenue per user has increased by 9% year on year to £94 (31 July 2022: £90 or £86 on constant currency basis). Cash balance at the period end of £2.2m (30 April 2023: £1.25m) with no debt. During the period the Company disposed of Anders + Ken U.K Limited with net cash proceeds of approximately £1.1m. The Board expects, on a constant currency basis, full year results to be in line with market expectations.


Windward 50p £42.8m (WNWD.L)
The Maritime AI company, announces a contract with Peninsula Petroleum, the global independent supplier of marine energy, to advance and automate Peninsula's compliance processes. Windward's platform will enhance screening and due diligence procedures with AI-driven insights, empowering Peninsula to conduct more business, with confidence in an increasingly complex regulatory landscape. Windward's Maritime AI insights will be integrated directly into Peninsula's compliance processes via API, providing legal and risk functions with a bottom line risk score and flagged risk indicators for all vessels they are associated with. These insights enable users to make go/no-go decisions with fewer false positives, allowing them to maximise efficiency and conduct more business.

8 August 2023
*A corporate client of Hybridan LLP or retained by Hybridan LLP for certain services
** Arranged by most recent first
*** Alphabetically arranged
**** Potential means Intention to Float (ITF) has been announced, or it is a rumour

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