Insider Transactions: Kofax

Insider transactions are interesting. This month, four Kofax executives bought Kofax stocks. This information is interesting: probably the management believe that the company will improve soon profits (or that they think that the company stock price is really undervalued).

These are the November insider transactions for Kofax:

  • 17 November, Joe Rose, Non Executive Director, bought 20,000 shares in the company on the 7th November 2011 at a price of 249.10p. The Director now holds 65,000 shares.
  • 09 November, Reynolds Bish, Chief Executive Officer, bought 39,590 shares in the company on the 8th November 2011 at a price of 244.90p. The Director now holds 145,740 shares.
  • 09 November,  Reynolds Bish, Chief Executive Officer, bought 10,410 shares in the company on the 8th November 2011 at a price of 245.00p
  • 09 November, Chris Conway, Non Executive Director, bought 15,000 shares in the company on the 8th November 2011 at a price of 241.00p. The Director now holds 315,000 shares.
  • 08 November, Greg Lock, Chairman, bought 100,000 shares in the company on the 7th November 2011 at a price of 250.70p. The Director now holds 623,000 shares.

To be honest, Chief Executive Officer Reynolds Bish,  said in a statement that ”We are concerned about the continuing uncertainty and deteriorating economic environment throughout much of EMEA… we expect these challenges to continue or worsen…,

Kofax said it will cut more than 60 jobs in its Europe, Middle East and Africa (EMEA) operations, and the UK-based business support service provider lowered its 2012 outlook as software license revenue in the region fell.

Maybe another news could improve Kofax stock price: this company is working towards an initial public offering in the United States and an eventual dual listing.

These are the Financial Highlights for the quarter ended September 30, 2011:

  • Total revenues grew 7% to $58.5 million (Q1 FY11: $54.4 million) or 1% in organic constant currency
  • Software license revenues declined 4% to $24.3 million (Q1 FY11: $25.3 million)
  • Adjusted EBITA declined 50% to $4.6 million (Q1 FY11: $9.2 million), or an 8% margin (Q1 FY11: 17%)
  • Quarter end cash totalled $92.5 million (Q1 FY11: $61.6 million)

Operating Highlights:

  • Closed 5 sales > $500,000, up from 3 in the prior year, and 1 > $1 million, the same as in the prior year
  • Launched three new software product releases, including:
    • Kofax Capture 10.0 and Kofax Transformation Modules 5.5, which allow their modules to be deployed and operated within Internet browsers and function as thin clients
    • Atalasoft DotImage 10.0, which streamlines image enabling cloud based applications

During these days, Kofax stock price is trading near the 52 weeks minimum. Executives probably think that Kofax stock price is undervalued. And you? Leave a comment, please!

Kofax stock graph

About Kofax 
Kofax plc (LSE: KFX) is a leading provider of capture driven business process automation solutions. For 25 years, Kofax has provided award-winning solutions that streamline the flow of information throughout an organization by managing the capture of business critical information arising in paper, fax and electronic formats in a more accurate, timely and cost effective manner. These solutions provide a rapid return on investment to thousands of customers in banking, insurance, government, business process outsourcing and other markets. Kofax delivers these solutions through its own sales and service organizations, and a global network of more than 800 authorized partners in more than 70 countries throughout the Americas, EMEA and Asia Pacific. For more information, visit www.kofax.com.

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