http://www.computerworld.co.nz/artic...taste_success/
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are these guys taking the mik'
VMob’s mission is “to use mobile to bring shoppers back into shops”...
I dont know but this announcement looks positive:
https://www.nzx.com/companies/VML/announcements/250394
Flybuys is NZ/s biggest loyalty scheme and having success in your home market is always positive when selling overseas.
Not sure if everyones seen this video released two weeks ago by VMOB about their Mcdonald app, but its quite interesting about what they do and how they do it.
Also they say they are now in 5 countries in Europe with their Mcdonalds app which is quite a good sign.
http://www.youtube.com/watch?v=P6plgr-RiVU
This stock has definitely been 'held down' over the last two days. 500k+ sell orders keep piling up. Most liquidity we've seen in a while. The NZ hi tech awards are tonight, vmob are nominated in 3 categories, though in two of them they don't stand a chance. Not that it makes a difference, the last two pieces of positive news have been met with selling.
That would probably be moosies mate selling.
Winners of the innovative service award at the nz hi-tech awards.
Aaaaand they've won the innovative mobile tech category as well.
Here is a couple of articles talking about the last couple of commercial agreements signed by Vmob. Great news on the award winning front also.
DISC: Holding and hoping :)
http://techday.com/netguide/news/auc...n=ngnewsletter
http://www.nzherald.co.nz/business/n...ectid=11256496
http://www.hitech.org.nz/2014-nz-hi-tech-award-winners-announced.html
Vmob was a big winner on the night, winning both the Grow Wellington Innovative Service Product Award and the UK Trade & Investment Innovative Mobile Technology Award, and receiving a commendation in the Duncan Cotterill Innovative Software Product Award
Grow Wellington Innovative Service Product Award
Winner: VMob
Highly Commended: Mindscape
UK Trade & Investment Innovative Mobile Technology Award
Winner: VMob
Duncan Cotterill Innovative Software Product Award
Winner: Mindscape
Highly Commended: VMob
Big parcels through this morning. No buyer depth but new buyers coming in and taking out the sellers.
Last week was a good week news wise (2 new Big NZ customers and a great awards night to validate their technology) so is bound to have attracted a bit of attention. There would have been a lot of money in Hitech awards room.
Well that was short lived. Nothing but good news but they just cant seem to move up.
Maybe a few nice big McDonalds contracts in Europe and a consolidation of shares might be in order.
it seems to me the VMob is building nicely. Building their reputation, slowly (too slowly) building client base.
Well I'd say the awards just gave them a better image as opposed to adding any value that hasn't already been factored in like the contracts that they have been getting now, its kind of expected with such a high market cap and for the little revenue that has been produced based on the last interim report. They benefit from having a huge potential to generate revenues though.
My prediction for the annual report revenue is probably going to be in the range:
FY 2014 : $500 - 700k (That’s how I see it, but could be quite different, who knows)
FY 2015: 10 million - 14.4 million
FY 2016: Over 100 million
I do expect them to grow exponentially as their network gets bigger and mobile advertising picks up year after year.
These figures are just based on my imagination and should only be used for entertainment purposes!
That awards also give credibility that they need in order to get before companies. I like that they continue to build. I just hope the revenue is going to match
The devil is in the detail. For this advertising to work, you have to convince a user to download the app first. If bugger all people download the app.... then you don't have many people to target the advertising messages too.
So the question is - why would a user download the app in the first place. What value proposition are you going to put in front of them?
I think the big revenue days for VML are still a ways off.... but would love them to prove me wrong.
I think your right about the above but it would depend on which company the app was for.
If i had a McDonalds app downloaded onto my phone that would notify me of a deal they had going ( eg buy a coffee and get a free blueberry muffin ) and i look up and hey presto there is a McDonalds right there in front of me, I would be pretty happy to keep it on my phone. But that is just me.
By the way, they already know I regularly buy coffee on friday afternoons and sometimes on sunny days I'll purchase a blueberry muffin which has been sliced in half and smeared with two cubes of butter.
Most of the time people will get annoyed with this technology but if used right by the right companies, watch out. I am hoping VML can get the right companies on board and it is early days yet but they are certainly heading in the right direction and yes there is still a way to go but i have patients :)
Well I'm not sure if you have a brand that you love to bits, but the general population has a palette that gobbles it up like sweets. Vmob provides the platform, which its quite true people have to download it, so I'd say it definitely comes down to the partner brands that actually have that influence over their customers, which as we have seen with the Mcdonalds case study can be quite successful. You have to see how absorbed people get with these things, have you seen the amount of people with flybuys? Or a 2 degrees and telecom app that they use to check their balances? If done right, it can have a huge following, which I believe comes down to what their partners offer, say like a discount on their products or extra reward points. I would agree their is a huge risk if people don't download the apps, but with everyone getting into their smartphones, some download every app they can get.
People will download these apps for convenience e.g to check menu for say a restaurant, balance of points and funds or value gained from deals and discounts.
I would agree that VMob are at least another year from delivering the results we probably expect of it now.
Does anyone have any insight on when to expect the annual report?
Financial results are out https://www.nzx.com/companies/VML/announcements/251526
Looks like everything is in place now and in line of what I expected it to be, next financial year revenue should be explosive!
Yip a consolidation and compulsory removal of all unmarketable parcels to tidy up the register.
Interesting to see your friend is the second biggest shareholder, a legacy of its backdoor listing days I assume (number of shares holding firm but % of co reducing as they issue the odd 100m shares).
Does anyone have any ideas who keeps selling? It's now over 55% down on the 2.7c capital raising in December, mcap $15m. Someone sold $43,000 worth today, and a relatively large amount went through yesterday. Almost no volume below $0.013 since IPO. 478M shares have been issued since June 2013, when the shareprice was $0.015, giving 785M shares issued (06/2013) and mcap of $11.7M. If we thought there was no growth since that time last year, we would expect bottom was $0.0093 at the same mcap in 07/2014 issued shares. MA's show nothing good.
I bought this company because I saw Scott Bradley speak at a tech conference and he said (alcohol+paraphrase): if you try to grow your startup by focussing on the many varied areas that you need to improve, it would move in fits and starts and some areas would progress faster than others. But if you focus on increasing shareholder value, and at every decision point ask "will this increase shareholder value?", the business will grow evenly for a better long term return.
Somebody's gobbled up 1.5m shares @ 1.2c in a single swoop at market closing time. Depth is now looking a bit thin on the offer side. It will interesting to see if we get high enough volumes next week to pivot the stock price north for a change.
Discl: holding too many for too long (yes, I know, swept along more by marketing hype, NZ tech awards, and blue sky dreaming than by the hard core realities of actual sales, earnings growth, nta, etc). Buying these earlier this year was not one of my finer moments.
What do you make of that one BC? 4.4million off market at 0.9c. It's hard to call it 'the big boys selling/buying' 'cos at $40k or so a balsy retail investor could get into that..
Yeah, still increasing volume. It hasn't got above 4m since it sky-rocketed soon after (last Jan and Oct before that).
I'm on market with a bid at 0.8c to top up. At these prices, I'm seeing it as technically oversold...and yet, it still has a MC of $11m - fundamentally justified?
Was that you shifting up to 0.9c BC?
Scott Bradley, through Sharbo ltd, got paid $247,000 for his services as CEO FY14. How much should we be paying CEO's in tech start-up companies? Especially those losing $2m/year against and mcap of $12m. Yes the company is bigger than last year, but christ. It sounds a bit like it might be making up for the loss that Sharbo ltd made, holding 32.9% of the company. You would've thought he didn't need 'performance based' pay if he held 32.9% of the shares.
I see a lot more 'intangible assets' on the balance sheet.
$1,417,000 as capitalised development expenditure on the continued development of their cloud based platform, and
$80,000 for its mobile applications.
...which is much higher than last year. Project expenditure can be capitalised but these guys better deliver from it.
Revenue has increased from $90k to $512k but that includes grant income of $48 and interest of $79k. Only $385k was operating revenue.
Discl; holding...still.
I seem to recall Xero listing with similar sales metrics.
In the end its not how but how many, to use a batting term...
VMOB just hit the big leagues! (well in my opinion anyway)
McDonald’s Japan has informed VMob that it has been awarded the work to roll-out the VMob solution across McDonald’s Japan’s 3,200 restaurants. VMob and McDonald’s Japan are to complete negotiations on the final terms and conditions for this project and VMob will update the market when the formal contract has been signed by the parties, which VMob expects to be in the coming weeks.
https://www.nzx.com/companies/VML/announcements/253705
Compare that with the Netherlands contract:
Netherlands has 236 mcdonalds for 16 million people
Japan has about 3200 for a population of about 126 million people
Yea a bit disappointing. It looks like it was only one trader, and $13k. Could've been a coincidence, the vwap at noon was 13c.
Interesting article on Scott Bradley and Vmob. Future looking bright and they could just pull this off, here's hoping anyway.
http://techday.com/it-brief/news/vmo...66/?vmobsrc=fb
Yep I think they will, I think thats how they got the McDonalds deal in Japan by showing them what they did with McDonald's in Netherlands. They base all their case study and the video they make on it so its a major selling point of success for them. They should be signing up a lot more McDonalds from now on cause of that, just having that track record of success puts them ahead of everyone else cause McDonalds is gonna look at that and go if its working for McDonalds over there, then surely it will work for us here too. The risk is lowered cause of that track record and with apps for businesses its always a high risk if it will bring in the benefit they hope for. Haha wouldn't surprise me if they produced an app for all McDonalds around the world in the future. Lets hope they can get some other big customers too, but what they are doing seems brilliant to me. Also even if they have got contracts with other McDonalds they may not make it public as the Japanese deal with big enough (considered material enough), but there are cases like McDonalds Sweden, Norway which they never made public except only in video, so who knows they may already have signed up a lot of McDonalds in asia already.
Indeed! I particularly like the part where they mention "[w]ith offices in New Zealand, Australia, Singapore, the UK and the USA soon to follow".
I think they would have a great chance of nabbing McDonalds in the USA with over 14,000 stores, particularly if they rap up this deal with McDonalds in Japan, who represent the second largest set of McDonald stores for an individual country, only logical that they target the largest as well. Given how they have gone with Netherlands it gives them a good track record as well as having the latest tech and the Japanese McDonalds deal just makes it even more likely given McDonalds business model to want to approach customers in a similar manner, especially a proven method too!
Wow this is huge. According to Wikipedia McDonald's operates over 35,000 restaurants worldwide, employing more than 1.7 million people. But Japan alone is huge at 3200 outlets to a tech savy nation. It would seem logical that eventually VMob could represent McDonalds world-wide. but importantly who else is there as potential global clients who may use this technology? This list is somewhat limitless once there is wide acceptance. What is important is for this McDonalds Contract to be confirmed. seems they are nearly there, - but not all the way yet. will there be an announcement at the AGM on 4 September 2014
Scott Bradley features in the latest NZ Business magazine
A very interesting article
Just over 26 million shares have gone through today. Someone wants out and doesn't have the time to wait around i guess.
Hmm insider trading?
If you look at the depth chart I dont get the impression someone is dumping quite the opposite.
Moosie I think you are missing a few key things
Like a 757% increase in revenue (albeit off a very low base)
the revenue seems to be based on income from the McDonalds Netherlands rollout. the Swedish rollout is a little more recent so will pay a dividend next year. But these two rollouts cover about 500 McDs through Europe. The rollout of McDs in Japan with 3200 restaurants will be significant. But I think this is about traction with McDonalds globally.
There is also another telling snipet. The CEO is relocating to the USA to accelerate US Market Entry. Crack that market and I believe that this will be the hottest share on the stock exchange.
my recommendation is to hold. I'm pleased I topped up a few weeks back.
I like it.
62 Pages of shiny goodness.
Only one page of scant financials.
Operating revenue up 339K
Operating expenses up 707K
Cash on hand $5.6M.
Burn Rate Circa 500k per month.
11 Months until they are out of cash?????
They can sell 25% more shares now before the end of the financial year because holders just ratified the previous issues. So capital raising could be even sooner.
Looked ok from my end Moosie. McDonalds and Microsoft are top level corporate partners and if the Japan roll out works McDs USA will want it. Maybe even global? The are huge opportunities for an off the shelf mobile retail solution. Considering they beat the best of the best for Japan there is a high chance this will scale nicely into 2015.
The cash burn is high but with circa $2m in rev this will likely shrink. Add in other NZ and USA contracts and it could get interesting.
I wonder if an SSH notice will appear... About 2% of the company changed hands a few days ago. Doesn't anything greater than 1% have to be declared? Must be still going through the system...
Is this the highest value traded stock on the AX for two weeks in a row now? What is the share price up to... Smells...
Notice of being awarded the Japan contract was 11th of August. Surely we can't be far from the promised announcement of the financial details... Order in at 1.2c because of course it will bounce. The last 12 months have shown this to be an easy trading stock but a poor holding stock.
Yeah thats true, seems like it has likely been delayed due to the paper work. I'd agree too, this is a trading stock until it presents any solid revenues that can justify its price. Given this is the perception everywhere, a lot of holders will be day traders who will sell immediately after news is out and price is high, which in turn brings the price back down and we start all over again. Great prices at 1.2-1.4 though. I'd take this moment to also mention how important fundamentals are, as we can see with Snakk who have revenues, their rise and fall in price is much less because it has good revenues backing it, while VML does not and will be like this for a while. DOYR
From V Mob's Oct newsletter…."VMob’s ACMR has grown from $0.2m in FY14 to $2.1m currently, an increase of 1,091%"
DYOR
Is there no excitement with VMob? I would have thought the McDonalds Japan contract and the probable expansion into other McDonalds markets would have been cause for some excitement. What would it take for this share to grab the attention of the market. True this stock is still quite speculative but it does seem to be in an expansion mode.
Oh well maybe time to buy a few more
I'm a bit surprised aswell but I guess when 90% of your business comes from 1 contract, you cant put to much reliance on it.
Wonder where all the Wellington boys screaming it was penny dreadful of '14 went? They sure aren't buying!
Someone knows something... Today was insane.
Anticipating Half Year Result this Friday. I feel I've picked the bottom of the SP.
NZAX will require reporting on or before the end of November.
VMob Group Limited 2015 Interim Results Announcement
https://nzx.com/companies/VML/announcements/258230
VMob results appear to have underwhelmed, if the share price is anything to go by.
Are there any FA's on deck that are willing to have a crack at analysing this ?
https://www.nzx.com/companies/VML/announcements/258230
Per half year accounts, Annualised committed monthly revenue is only $415k which is less than their 6 month operating revenue ($502k) so they must still get a significant part of their income from set up.
But as you say, per their October update (https://www.nzx.com/files/attachments/201783.pdf) just 7 days after the period the half year accounts are reflecting, Annualised committed monthly revenue has jumped to $2.12m. the difference must be the McDonalds contract which, even though signed and announced prior to end of september, they cant have been able to include in their September accounts.
Ironically the November 1H report (Mar - Sept) is marked on NZX as 'price sensitive' while the 7th October market update was not, despite announcing the McDonalds Japan contract and ACM revenue jump to $2.12m -up over 1000%.
Disc: Accumulating
Attachment 6557
For what its worth, Edison value at 3.8c : http://www.edisoninvestmentresearch....214outlook.pdf
WACC looks low at 11%
Capital raise of $6m required at FY15 H2. Though if they can sign another big customer, that may not be required.
The key for them (and most companies) is they need to sign up new clients. Given they have a long led time, lets hope they are getting close to signing a few already.
True but Edison have a reputation to maintain. Same could be said for S&P ratings.
NOte that Edison have won the contract to provide research on all stocks on the new NXT exchange once it is up and running which will be worth much more than any single company can provide so maintaining their reputation is important.
Having said that, the market seems to have ignored them.
True, although considering that S&P ratings were gamed during in the lead-up to the GFC maybe it's not the best example of integrity.
I'm sure that Edison have done a thorough investigation of the company but for large parts of the document it feels more like an advertisement for VMob than a research paper. Although to be fair to Edison, it's useful for them to include a thorough description of what the company does.
VMob are certainly an interesting company. I'm considering sinking some money into them at the moment. Still not sure about it: it's obviously pretty risky.
I'm sure they just cut and paste the boring bits (background, bio's etc) and spend their time on the important parts.
Even if you discount their price by 50%, it is still good buying now. Having said that, just wait for the expected capital raise which will probably push the price down again.
Disc: I bought (small) at the last capital raising so am sitting on a big loss. I think they are worth more than 1c but they need more sales to put any confidence in that.
Just look at the ratings and broker sentiment on AMZN on the NYSE to see the insanity which these guys predicate.
Tons of "Buys", "Outperforms" or "Holds" but no "Underperforms" or "Sells". This was when AMZN had a PE in the 1000s. It's now making huge losses which are only goung to get worse by their own reckoning next quarter. Ummm, did anyone forget to the tell the brokers that somehow?
In the world of reporting/estimates, Edison is rated slightly higher than Moaningstar. All ypu have to do is look at the whacked out range of estimates on PEB they put out, SNK being nowhere near what they are calling and upgrading LNG.AX from $1.10 to $1.40 after the price had gone soaring above $3.00. Call something on a ling enough timeline and you'll eventually get it right eh?!?!
Private capital raising of $2m at AUD 1c
Needed as cashburn gives them less than 3 month runway.
https://www.nzx.com/files/attachments/205434.pdf
What's the point of only raising $2m? Won't that only buy them another three months?
The Edison report made it pretty clear they were going to have to raise $6m, so why are they trying to do it piecemeal? Are they hoping to get the share price up and raise money more cheaply next time?
ACMR was $200K ($2.4M) vs $700K ($8.4M) burn on a monthly basis. I have the numbers right?
That being the case this looks good. Two new deployments should easily push ACMR above $3M. I think the management think the USA opportunity is worth going after. They still need to nail McDs Japan and then that will prove they can do big deployments. This is a key test for USA.
Like many I was trying to do the numbers - burn rate means that will have six months of funding - plus revenue in the bank over that time - maybe the McDonalds Japan and a couple of other contracts will see them right. $2m will be about 200m additional shares. I hope the faith pays dividends. those (like me) whop bought in as 2.7 cents in the last round might be a little miffed.
Another interesting announcement to the NZX about another Client. This time Anheuser Busch USA who have 47% of the market in USA. and 25% of the global market. They have annual revenue of $43b ($USD).
This year VMoB have secured some quite significant clients and there are no doubt more in the pipeline. Looking at the investor presentation the number of opportunities on the Nurture list has grown from virtually nothing to 800, and the number of opportunities has gone from zero to around 125. Bankable revenue has increased and is likely to continue to do so especially as the benefits of establishing in the USA materialise.
I believe that VMoB has a very exciting future - just needs to break away from that penny dreadful status.
Why doesn't this company do a consolidation of its shares,1.2 billion shares on issue and trading at .011.
Does it cost them too much to undertake?
I really can't see how it benefits them having their shares priced like a dog stock,surely it doesn't give a prospective investor much confidence.
I would think that a consolidation of shares could be a good thing. say 1 to 100 would mean the price per share is about $1. having a penny dreadful reputation cant be good at all
I'm guessing it because 1c is an effective floor on the price. If they do a 100:1 consolidation, the price could easily go under $1. My guess is they will wait till they have momentum before they consolidate (which they have advised they will do at some stage).
Wait till they have recurring revenues flowing in from the biggest fast food joint, the biggest beer company and one other biggest X and they will do it.
I just hope it finishes the year low as I picked it in the compitition ;)
I understand they are still making a loss (and hopefully this will turn around in foreseeable future)
but the revenue definitely seems to be increasing. Japan McDonalds is due for implementation in the next few months. It must be a reasonable proposition that this little company does seem to have the attention of McDonalds and id hope to see more announcements with further McDonalds markets secured in the coming months. (Logic says more penetration into Asia and Europe)
ANd reading though their investment statement I have some hope we will see some announcement due to their relationship with Microsoft Azure.
VMoB only has a market Cap of some $15m. with the traction now being achieved, I believe this is a company that will start to show something in 2015. (I was hoping it was 2014)
Thanks VML for a nice 27% pop today, the last day of 2014. Bring it on in 2015! Happy new year to all. 😃
Well it was only just a penny stock in 2014, almost less than a penny! Ha ha. Perfect ... for accumulating a healthy position on excellent results from VML throughout the year. The "wellington boys penny stock" drum is perhaps the least insightful comment I've read, sort of clutching at straws - kind of hoping it doesn't do well - like not owning it but bagging it anyway, but if it helps to suppress the price just a bit longer, keep it up.
:t_up:
Anyone know who Parnell Equities is that holds 1.13% as per the FY report? Can't find them anywhere. I'm pretty sure that's something that needs to be fixed if incorrect...
Ha, there's a truth Harvey. 8th to LAST for me in the ST picking contest on day 2 LOL, on the back of VML. Never mind, VML will do great.
I'm looking forward to some excellent new prospects/customer news in due course following this https://nzx.com/companies/VML/announcements/259683 (for those that are interested but may have missed the media release today).