Rail software and technology company Tracsis (LON: TRCS) has won the contract to provide the ‘tap converter’ ticketing technology that will enable pay-as-you-go travel across the UK rail network. Tracsis previously supplied a similar service to some train operators. This will generate a small, fixed payment to Tracsis with every journey and could generate highly significant revenues. If 10% of journeys are via PAYG then this could generate £3m of annual revenues. The technology will not be deployed until 2026 and will take time to roll out, so it does not affect the 2024-25 forecasts and is not included in the 2025-26 pre-tax profit forecast of £15.3m. The Department of Transport has published a document outlining plans for Great British Rail and this should lead to the ending of uncertainty of the future of rail. The share price jumped 15.3% to 415p.
LPA Group (LON: LPA) finance director Stuart Stanyard doubled his shareholding in the electromechanical and electronic components supplier by acquiring 20,000 shares at 56.1p/share. The share price improved 5.5% to 57.5p.
Keystone Law (LON: KEYS) says trading is ahead of expectations and there has been an acceleration in net recruitment of lawyers in the second half of the year to January 2025. Average revenues per principal rose 4% to £220,000. Panmure Liberum increased its pre-tax profit forecast from £11.9m to £12.5m. Net cash has been upgraded to £9.5m and the total dividend forecast has been raised from 18.6p/share to 19.6p/share. Profit growth will be held back by higher National Insurance costs in 2025-26. The share price recovered 4.85% to 540p.
Ondine Biomedical Inc (LON: OBI) believes that its light-activated antimicrobial treatment for nasal decolonisation could become the first FDA-approved treatment for the prevention of surgical site infections. These infections represent 6% of costs of public sector health budgets in the EU. In the US it could increase admission costs by $20,000/patient. A phase 3 trial is ongoing in the US. The share price 4.35% to 12p.
FALLERS
Zytronic (LON: ZYT) has completed the sale process for it touch screen displays business and there were no attractive offers. The business will be wound down. There is cash of £3.3m, but there will be costs for closing the business. The share price slipped 19.1% to 42.5p, which values the Zytronic at £4.3m.
Airline and tour operator Jet2 (LON: JET2) says that the winter 2024-25 load fact dipped 2.2 percentage points in the year to March 2025, although the majority of that declined is down to the later Easter this year. There was also a 14% increase in capacity. Canaccord Genuity still expects pre-tax profit to improve from £520m to more than £563m even though margins are lower. There could be an additional gain on the sale of aircraft. Bookings are being made later. Although bookings for the summer are 7% ahead that is similar to the rise in capacity. Higher labour-related costs and other inflationary pressures, combined with investment in new bases at Luton and Bournemouth will hold back profit growth this year. The 2025-26 pre-tax profit forecast has been trimmed from £574.4m to £573.2m. The share price is 10.9% lower at 1395p.
Infrastructure-as-a-Service provider Beeks Financial Cloud (LON: BKS) says interim revenues will be 22% ahead at £15.8m and pre-tax profit is 31% higher at £1.8m. Net cash was £6.6m at the end of 2024 and a £1.2m payment was received in £1.2m. A new contract has been awarded by the Mexican Stock Exchange and Canaccord Genuity believes that the deal could be bigger than the one with the Johannesburg Stock Exchange. Canaccord Genuity is maintaining its 2024-25 pre-tax profit forecast of £6.1m. The share price fell 9.6% to 292p.
Global Petroleum (LON: GBP) has applied for a new exploration licence north of the current exploration licence 08/3497 in Western Australia. The new area has similar gold exploration targets. The share price declined 8.47% to 0.135p.