2967 days ago
Historically the pattern with Avanti Communications (AVN) has been it is asked an awkward question like how much business do you do with ISIS? Or why is it that your 2015 joke accounts are being looked at by the FRC? Or, if your bonds are junk rated when do you go bust? Its shares tumble. Then it announces a new ramptastic contract win either of an unspecified amount or for many years in the future. Its shares bounce but then fade and slump when the next question is fired over.
Each time the bounce after the ramptastic RNS signed off by Emperor CEO David Williams is that little bit smaller as fewer and fewer folk accept that his new Clothes are really that impressive.
Friday saw a first.
3506 days ago
I have been flagging up what a joke the accounts of AIM listed Chinese POS Geong International (GNG) are for more than two years but amid the Naibu (NBU) excitement I overlooked the fact that Geong served up its own dogs dinner of a statement on Friday. Its accruals policy makes that of Quenron look conservative.
Turnover in the year to March 31 2014 was £9.5 million (£9.6 million) and pre-tax profit was unchanged at £100,000. But just look at trade receivables - £20.073 million of which £14.265 million was just accrued, i.e. not even invoices for. And this is a Software, largely SAAS Company! You what? We are being expected that sales equating to more than 220% of annual revenue are unpaid which is hardly surprising as 70% of that is just accrued – i.e. booked as revenue but not yet invoiced.
