Eg Solutions Plc (LON:EGS) (EGS, 88.5p, £12.65m) has secured a contract with a UK based closed book financial services institution, to supply the business performance software, Nuqleus 3D, to 600 users. The contract is valued at c.£0.33m, of which two-thirds (c.£0.22m) will be recognised in the current financial year. The contract highlights the strength of the XTAQ acquisition in March 2010. We reiterate our HOLD recommendation.  

Mid-States Plc (LON:MST) (MST, 3.125p, £8.15m) Final results to June 2010 were flagged in a trading statement in July – so flat revenues at £0.31m (£0.34m) should come as no surprise. There must be an element of disappointment that lower gross profits at £0.01m (£0.04m) reflect gross margins declining from 11.9% to 3.9%. Lower administration costs at £2.39m (£2.41m) helped hold reported pre-tax losses to £2.37m (loss £2.40m). The group ended the period with £3.82m of net cash (£2.23m) though it had raised £3.86m at 2.8p during the year – so underlying cash usage was £2.27m primarily due to the losses with little influence from working cap movements. Optimistic investors should note the group now has established tax losses of £6.6m to shield profits in the future. The group is developing a miniaturised retail version of its Air Disinfection (AD) unit as well as pushing out geographically while attempting to maintain the momentum gained with its AD systems performances in UK hospitals. Key expansion already underway is with the Indian distributor which recently launched the AD to hospitals in the region and into the shipping industry via a specialised supplier in the UK. With an order book of 477 units at the period end the group at least has a healthy start to the year and with just £0.04m out of £0.31m revenues arising from the UK we see even potential upside despite the austerity budget impact on NHS spend. SPECULATIVE BUY  

Seeing Machines (LON:SEE) (SEE, 3.0p, £12.17m), the developer of advanced vision based industrial systems, has secured two contracts to install the DSS driver monitoring equipment in the haul truck fleets at two North American open-pit mines. The contract includes the fit out of 43 haul trucks at two mine sites of an existing client. The value of the contract has not…

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