Good morning, it's Jack here with the SCVR for Thursday. Running a bit behind today! Some good, positive, informative comments - do keep them coming.

First port of call looks to be Intercede, with a positive market reaction...


Intercede (LON:IGP)

Share price: 78.9p (+12.71%)

Shares in issue: 50,482,281

Market cap: £35.3m

Intercede (LON:IGP) is a cybersecurity company specialising in digital identity protection. It looks to have a high quality client base for such a small market cap, even after this morning’s +12% rise.

Paul has picked it up frequently in the past so if you’d like some more colour on it just head over to IGP’s Discussions page.

The group has been delivering trusted solutions to high profile customers for over 20 years, with ‘millions of identities deployed to governments, most of the largest aerospace and defence corporations, and major financial services and healthcare organizations, as well as leading telecommunications, cloud services and information technology firms’.

It sounds impressive, but a quick look at the StockReport shows a lot of red in the run up to these results. So understanding just what led to those losses, and what has changed to create these profits, is important.

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Clearly there’s a turnaround happening here but it does look as though this is one turnaround where profitability has begun to visibly improve.

Either way, today’s action shows the company’s stock is on the up. The direction of travel is more promising than a Momentum Rank of 60 might suggest, with shares up 159% over the past year.

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Trading Update for the six months to 30 September 2020

The group reports revenue +9%in line with expectations’ - not that you’d know that from the strong share price reaction, up from £4.4m to £4.8m.

Cash generation, though, has shot up quite encouragingly. Perhaps this is what’s pleased the market.

Canny cost control has resulted in cash balances nearly doubling, from £4.8m as at 31 March to £8.1m as at 30 September. So in just six months, IGP has racked up around 10% of its total market cap in cash.

And that’s it! You certainly can’t accuse management of being overly wordy here.

There is a second RNS today to declare IGP has joined…

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