Ultrasis is a dotcom bomb with a difference: not only has it survived but it's starting to make significant sales of its original product developed seven years ago. The product is an eight-week interactive CD, or online course, called Beating the Blues, which is designed to treat mild to moderate depression using Cognitive Behavioural Therapy.
Thanks to successive government and NHS initiatives to promote cheaper self-help services, together with approval from the National Institute for Health and Clinical Excellence (NICE), Ultrasis can now sell 200,000 of its inter-active courses to NHS patients each year. To date, the company is supplying 80 out of the UK’s 153 primary care trusts. In 2007-08, it sold around 45,000 treatments to the NHS, and there is plenty of scope to sell more. In addition, the latest results include £200,000 of revenue from the US, while 2008-09 turnover should be boosted by demand from Holland and Belgium.
Ultrasis also sells its programs to health insurers and direct to consumers via its website. It claims a high level of renewal contracts and at end-July 2008 deferred income (most payable this year) was up from £1.39m to £2.14m. The company is already at breakeven and 2008-09 is expected to be "a year of significant growth and cash generation", according to chief executive and major shareholder Nigel Brabbins.
|ORD PRICE:||0.77p||MARKET VALUE:||£11.38m|
|TOUCH:||0.75-0.78p||12-MONTH HIGH:||1.83p||LOW: 0.62p|
|DIVIDEND YIELD:||NIL||PE RATIO:||NA|
|NET ASSET VALUE:||0.19p||NET CASH:||£2.04m|
|Year to 31 July||Turnover (£m)||Pre-tax profit (£m)||Earnings per share (p)||Dividend per share (p)|
Aim: Software & Computer Services
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Not many other companies are that confident at the moment - and not many companies have a share price that has gone sideways over 12 months. Buy.
Last IC Recommendation: na