AIM movers: New contract for Rosslyn Data and interest rate uncertainty hits Watkin Jones deals

Data analytics software company Rosslyn Data Technologies (LON: RDT) has secured a three-year contract with a major technology company. This has a minimum value of £2m. Management says that the 2023-24 loss will be lower than previously forecast, but at £3m it will still be higher than in 2022-23. Before the latest deal annualised recurring revenues were £2.3m. The share price jumped 56.8% to 14.5p.

Interims from MTI Wireless Edge (LON: MWE) show flat revenues of $22.3m, while pre-tax profit was 10% ahead at $2.3m. There were good performances from the Mottech irrigation business and the antennas division, which increased operating profit. The profit contribution from distribution and consulting halved as the PSK business lost money, but there is potential for recovery with increased defence spending. Full year pre-tax profit is forecast to edge up from $4.8m to $4.9m. The share price recovered 8.11% to 40p.

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Mkango Resources (LON: MKA) has raised £1.25m from existing shareholders at 5p/unit (one share and one warrant exercisable at 7p each). Impact investor EIT RawMaterials is providing funding of €200,000 and will receive 5.7% of Mkango Polska, which is developing the Pulawy rare earths separation project in Poland. The plan is to supply the plant with mixed rare earth carbonate feed from the Songwe Hill rare earths project in Malawi. The cash raised will be spent on equipment for rare earth magnet recycling operations. The share price improved 7.55% to 5.7p.

Alba Mineral Resources (LON: ALBA) is getting ready for blasting of the Llechfraith target at the Clogau gold mine. The first blast should happen with one week. Residual ore and tailings have been removed and processed. A third-party will extract gold content. The share price rose 6.67% to 0.04p.

Broadcasting systems supplier Pebble Beach Systems (LON: PEB) says first half recurring revenues were 21% ahead at £3.1m and order intake was 12% higher at £4.9m. However, interim revenues are 4% lower at £5.3m. This year will be heavily second half weighted and full year revenues are expected to grow from £12.4m to £13.4m, with pre-tax profit improving from £1.7m to £1.9m. The share price increased 6.52% to 12.25p.

FALLERS

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Interest rate uncertainty continues to hold back Watkin Jones (LON: WJG) with property transactions with institutional investors delayed. This means that this year’s return to profit will still happen, but it will be lower than expected. The forecast has been cut to £7m and it could be similar next year. Management is assessing options for 2025-26. Net cash is expected to be £65.2m at the end of September 2024. Forecast net tangible assets are 47.5p/share. The sharee price slumped 30.1% to 35.575p.

Subtitling and dubbing services provider Zoo Digital (LON: ZOO) shares fell a further 11.1% to 47.5p following yesterday’s figures for the year to March 2024. Those results were hit by strikes in Hollywood and there was a swing from a pre-tax profit of $9.5m to a loss of $22.2m. A small loss is expected this year following a reduction in forecasts due to delays in orders. Film and TV industry spending is expected to return to growth in 2026.

Touchstone Exploration (LON: TXP) has declared the terms of its bid for fellow Trinidad-focused oil and gas producer Trinity Exploration and Production (LON: TRIN) are final and says that it has irrevocable acceptances of 38.9% of the share capital. These irrevocable acceptances are obliged to vote against the rival, higher bid from Lease Operators. Trinity Exploration shares declined 4.31% to 55.5p, while the Touchstone Exploration share price edged down 0.79% to 31.25p, which values the bid at 46.9p/share.

Following the ending of the formal sales process, Renalytix (LON: RENX) has appointed Oberon as joint broker. The share price dipped a further 6.52% to 10.75p.

Jubilee Metals (LON: JLP) produced 3,400 tonnes of copper, 1.55Mt of chrome concentrate and 36,000 ounces of platinum group metals in the year to June 2024. Copper production in Zambia will be higher this year. Chrome production is being increased because of high prices. Guidance for 2024-25 is 5,800-7,500 tonnes of copper, 1.65Mt chrome and 36,000 ounces of platinum group metals. The share price is 4.68% to 5.7p.

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