Posted by ekman 29-8-2007
Should be soon.
Must be 25 years of losses by now.
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Arorangi,Wellington,CADAC,WDT. The lost years.In this time Graham Hart has gone from Panel beater to billonaire.Over 25 years of losses.Even your old favourite hit oil.!!!! Faith? Lost causes.!
Love them to come right.Should they turn a profit I would most probably invest again.Have been out of them for 20 years or more. Fair winds??
""
WDT 02/11/2012 09:19 QUARTER REL: 0919 HRS Wellington Drive Technologies Limited QUARTER: WDT: Wellington Drive Technologies Third Quarter Trading Wellington Drive Technologies Third Quarter Trading End CA:00229253 For:WDT Type:QUARTER Time:2012-11-02 09:19:16
How stupidly ANNOYING !
Sorry for shouting. But why does NZX permit such useless "reporting" ?
Try this - https://www.nzx.com/files/attachments/166019.pdf
And remember - in sharemarket terms, WDT is spelled (spelt - thanks, Janner) 'DOG'.
Balance says...
WDT is spelled 'DOG'.
Far to fine a word Balance for a complete MONGREL !!.. Had shares in this company when it came out of an Hydraulic Fittings company..
So long ago that I am unable to even pinpoint the era.. sold them off for about 6 cents.. or was it pence ??
What is the saying that P. T. Barnum is famous for ??.. and it ain't ROLL UP..ROLL UP..
Actually Balance.. It is " spelt " :-)))
Hmmm..
You are correct as far as WDT is concerned.. IMHO..
You may now " standed downded "..
WDT was part of the Strathmore company Which was originally Austrasian Breeding Stable. Stratmore actually "gave" theshares to their shareholders at the time. I was one. They were up around 70cps at the time and great hopes for their future the level of bull**** has been sustained for years. I sold out years ago.
WDT was a dog. Lost plenty of money myself but just having another look now to see if putting a little more money in might make sense. I think to do so now would be premature but I am looking forward to their next report. The new management and approach may turn this ship around...
still losing money ... at least they now sell things for more than the cost of the bits and pieces that go into them .... thats progress ...... but margins still a long way off from covering all the other costs
graeme spelt backwards ........ i sense a great level of excitment emantating from your direction ..... keep it under control mate
liz -- your morbid fascination with wdt going to make you do another detailed analysis?
While it may be pleasing to see the loss is about halved this year's result still means millions of dollars lost are still increasing the by now huge amount of money lost.
There must be a correspondingly long long time before any profits, so far not happening, will have to happen for before dividends might become reasonably possible.
So must agree with W69's comments. Gentlemen, please hold on to your wallets !
New CEO, big drop in reported loss, talking another decline in loss this year and B/e next year. Sure they have to deliver but in reading the report they have done a lot to improve the situation in the last 12 months.
Remember its the companies that have been dogs and then get new management that sometimes provide investors with the best returns....look at Skellerup, Hellabys as examples.
Yes I have been a holder for some time but when I read this years report it does have a refreshing tone to it that has not be evident in the past. Rather than promising, they actually review what they said they would do and how they have done, before detailing the path for the next 12 months.
Don't worry I'm completely under control. I have no intention of buying any more shares in WDT at this point. It is good to see the situation improving though. This is what we were promised, and with the new people in charge the promises are being delivered upon.
The big question of course is can they keep improving the situation to the point where a profit is produced? At that point it will be worth thinking about.
And then we will want to see the situation improve to the point where the profit is large enough to justify having more money invested.
Snrs.
Life afyer green will be good
I finally got around to reading the report.
While I agree that current management provide new hope that WDT may one day be profitable, it really is still a tough picture. It feels like about the 4th consecutive report where WDT have suggested they would be profitable "the year after this one"... still a pretty wobbly mirage on the horizon. Improving margins at the expense of sales is a fairly short term strategy if it still doesn't result in profits.
The problem for this year is that they will no longer be freeing up working capital from inventory reduction. So back to scraping around for cash and likely to burn through at least $5m based on their forecasts - maybe worse if they need to further increase working capital to support sales growth (although, as I read note 2, they either are or will be using debtor factoring to reduce working capital). Either way, yet more dilution to come - possibly through the strategic partner they are still seeking. At current market cap, they seem unlikely to get enough funding without substantial dilution requiring shareholder approval - maybe 50% more shares?
Another tough year.
Can you believe that this company was trading equivalent of $6.95 in 2007?
Now 15c!
Snr. Lizard . Life after green.
.......hmmmmmm ......TRADING HALT.......this cud be interesting, GOOD NEWS/BAD NEWS?? POSSIBLY ANNOUNCING THEIR NEW STRATEGIC PARTNER??
Snrs.
As you say "what is the crutch of this" halt?
Loses money and constantly needs more.
Oops, sorry, thought I was in the XRO thread.
Poor old WDT holders. They're probably wondering why they can't, too, have a money losing billion dollar company.
Novitiate. Question. What do you regard as the difference between the two shares?
Oh, so nothing to do with businesses then. Got it. :)
Business model. Quality of management. Marketing. While both companies appear to have products that are well received, Xero is putting effort into expanding its customer base. Xero certainly seem to have been hiring bigtime lately, so I would want to see some excellent customer growth in their upcoming operating update. Hopefully the increased losses indicated in the last interim report will be mitigated by outstanding customer growth! With their concentration on selling to accountants, the possibility for exponential growth to flow through as the accountants' customers adopt Xero seems very promising. Will keep watching closely, but so far I'm glad that I have kept my finger away from the SELL button, as there has never been enough of a pull back to have made it worthwhile.
All very well to criticize Superlife, but the placement of such a significant portion of shares at a price that is not a big discount to market is a pretty good result for WDT. They have obviously convinced Superlife that they are on track to turn the business around. If I was a WDT holder, I think I would be very happy with this placement overall.
Well, if you are invested in a company that posts losses for year after year, the best you can expect is dilution until it turns around. This placement doesn't dilute existing holders too badly, and without it the alternative would be a nice big rights issue, which would seriously dilute any holders that didn't stump up with the $$ required. So I guess as things go this is very much the lesser of evils.
Superlife's investment on MAD must be in the money by now
Maybe they are working on a strategic alliance between the two .... or maybe get them to merge
The new company could be called MAD ENERGY DRIVE TECNOLOGY
Then have an IPO and heck more than a few million .... tens of millions in the bank
Dilution?
I guess those who participated in the oversubscribed rights issue of May 2007 and January 2009 at $2.00 per share would debate that with you?
Likewise, those who participated in the 25 cps rights issue in Jan 2011.
* numbers adjusted for 1:20 share consolidation in June 2011.
BTW, worthwhile reading about SuperLife :
http://www.fma.govt.nz/keep-updated/...les-practices/
http://www.nzherald.co.nz/business/n...ectid=10838168
Make you feel very confident about this outfit's ability to make sound, rational and well adjusted investment decisions?
I'm not quite sure what you mean. The way I see it is that if I invested in a company that was posting losses year after year (and had no significant reserves or assets), then if it is to remain afloat funds have to come from somewhere. If I am not putting more money in then someone else is, in which case dilution is inevitable.
After immediate favorable market reaction to new capital, s.p. seems to be settling back to our previous level, somewhat desperate but ever hopeful as we are.
Thanks Balance for the cautionary posts - possibly qualifying as an early Insider Rort Alert. Your knighthood nomination should be in the mail soon.
It is unsettling to find who has climbed into bed with us.
Still hoping to see a good invention eventually become profitable, but like some other early supporters no doubt, i'm just hoping enough new enthusiastic optimists can lift the price to a level where i can escape from the now rather menacing bedclothes to tiptoe out of the house with my shirt tails still discreet and dignified.
I have received yet another invitation to waste more money supporting WDT.I have refused probably the last three offers and will refuse any future offers until the company proves itself.
One way it could save is to pay Directors and staff based on profit.
You sure you want to refuse this outstanding offer?
This could very well be the one capital raising which turns the company around and make it a billion dollar enterprise.
Remember the story of the boy who cried wolf?
Sure WDT has cried 'just around the corner' 10 times but this could be the one time?
New management and new strategy are delivering improved results. This new guy actually seems capable of running a global business. What you think? Please feel free to keep the sarcasm to a minimum...
Wellington Drive Technologies first quarter 2013 update
3:19pm, 30 Apr 2013 | QUARTER
Auckland, New Zealand - Wellington Drive Technologies (NZX:WDT), a world leader in energy efficient motor, airflow and refrigeration solutions today announced financial results for the first quarter ended March 31, 2013.
First Quarter 2013 Highlights (NZ Dollars)
(All figures below are derived from Wellington's unaudited management accounts):
o Gross Margins of 16.8%, consistent with the company's gross margin improvement plans. This is an increase on the 12.9% level achieved in first quarter 2012, and Wellington's best ever quarterly performance.
o Revenue: $7.6 million compared to $11.5 million in Q1 2012. This performance is on track to our full year guidance of between $30 million and $33 million. The year over year decrease is due to the exit from the unprofitable Zhiel-Abegg Ventilation business.
o EBIT loss of $944k, beating our operating plan expectations by $338k. This is reflective of the cost control and cost reduction programs underway and an improved sales mix with major customers.
o Inventory turns of 5.6 (on a rolling 12 month basis) compared to 4.7 in the same quarter 2012. This is consistent with our expectations and our on-going focus on working capital velocity. Closing inventory of NZ$3.2m, down from NZ$4.5m at end December.
o A $1.2 million reduction in net working capital that has been used to repay bank financing.
"Wellington's first quarter performance was pleasing and consistent with our expectations. Our gross margin performance was a record for us and we believe shows we are on the right path to achieve our 2013 target of between 18% and 20%. With the global economic outlook expected to remain challenging, particularly demand pressures in Europe, we continue to focus on solid execution and innovation for our customers, improving our financial performance through cost improvements and effectively managing working capital and resources to support our longer term growth goals," said Greg Allen, Wellington Chief Executive Officer.
Management Discussion and Analysis
Wellington had a very good first quarter performance with revenues and margin in line with the company's operating plan expectations and on track to published guidance for the 2013 year. A gross margin performance of close to 17% coupled with operating cost performance for the quarter of $2.1m reflect tight control of all aspects of group expenditure and with a reduced depreciation and amortisation charge, delivered an EBIT outcome that was better than the company's operating plan expectations by $338k.
Revenues of $7.57 million were below the $11.5 million achieved in the same period for 2012; however when adjusted for the exit of the Ziehl-Abegg ventilation business they are relatively flat year on year. Revenues are in line with our growth plans and reflect commercial refrigeration volume growth of 3.4%. Our margin of 16.8% was well ahead of last year's 13.4% achieved in 2012, demonstrating our continued focus on managing customer sales mix and supply chain cost reductions. The average US$/NZ$ exchange rate for the first quarter was 0.826US$/NZ$, our guidance continues to assume a 0.85 US exchange rate.
Geographically we experienced weaker than expected demand from most European customers. This European demand weakness was in part offset by strong demand in Latin America and we expect these demand dynamics to continue in the coming quarters. We are comfortable with the business development progress in our main regions and the pedigree of the existing customer portfolio. Our Intelligent Solutions business strategy is starting well, and in the first quarter we shipped our first Intelligent Control Solution prototype to a major global beverage brand.
The Strategic Partner program is continuing well with several discussions held with possible partners in technology and marketing collaboration. The company expectation continues to be that through the course of 2013 this Strategic Partner program will result in a successful outcome for the business and shareholders.
Business Outlook
Wellington's latest revenue forecast is in line with the $30 million to $33 million guidance given in the 2012 annual report. Margin expectations are also on track to the stated guidance targets with a gross margin outlook of between 18% and 20% and an EBITDA loss of less than $3 million. It is pleasing that despite the revenue pressures the company is seeing the outlook continues to be for a consistent margin improvement performance. The global economic outlook remains challenging and while we are pleased with the strength we are seeing in our Latin American markets we continue to manage through the lack of visibility and weakness in our European end market.
The company's focus continues to be on its five main priorities; Market Expansion through Deeper Value Added Relationships with Customers, Shortening Customer Lead-times, Cost Reduction, the Strategic Partner Program and Strengthening the Company Resources to support long term growth goals.
Yes retrograeme i agree with you, optimistic as ever ...
But, it will take actual real money profit required before i loosen the grip on the wallet.
SPP raises 51% of money.
Hope the punters know what they are in for?
I kept my cheque book closed, but am liking their improving results. What they need (obviously) is to stop losing money and make some. Enough to justify investing more in them. At that point I'd be happy to average down a bit. Looks like I've learn't a lesson. An expensive one unfortunately.
Did not realise you are a bit of a "new boy" to WDT Balance.?
They had their presentation pretty well polished by then as they had been "well positioned for a turnaround in a year" for the previous 12 to 15 years.
The more things change,the more they remain the same.!!! lol.
Why invest in this company ??..
Is that not a reasonable question ?.
It does not send out any TA signals.. and certainly does not meet any FA requirements..
Disc.. Held some about 25/30 years ago.. Long.. Long.. Long time out of it..
Ross Greens " Apostles" Must be the Robinsons..
For the last 18 months the company has been run by Greg Allen who has reduced inventory by nearly $10m to $3.5m (approx), he has reduced the loss from a unbelievable $14.5m to a projected less than $3m this year, he has increased stock turnover from 1x to more than 6x, and he has increased GM from 2% to 16%.
Do not get me wrong these 'improvements' do not make this a 'good' company yet and are the sort of numbers one would have expected from the beginning but the change and the trend are cause for consideration.
So for the last 18 months he has delivered most of what he has said in the AR he would deliver....to my way of thinking (and my cheque book) he is taking a much improved and new route for the company.
Yes we can all see the multiple of mistakes made by WDT but right now I think there is change going on. If one believes the new CEO and his statements about how WDT will see the year out then to get to the 18-20% GM needs then to be coming out of his year with GM nearing 25%.
Not out of the woods yet but I see this company as no longer being the basket case it has been for so long.
Meeting today , anyone going and what news will be spoken, "light at the end of the tunnel" can mean a train, glow worm or day light, what will it be this year considering that the recent c r bombed.!!
Not sure if I would say if was a failure, after all they raised $4.5m with $4m coming from Institutional shareholders.
Come on Balance you are normally better informed than that. ACC, Harbour, Superlife, Professional Investors for the $4m and $500k from the SPP.
So we are in agreement Anna.. Chump Change from the Insto's.. Pathetic support from the Believers..
Still worth watch though.. May be able to recover my 6 cents ps. invested 25/30 years ago..
What say you Perc ??..
So they set out to raise $4m, they got $4m, and then announced they would offer all current shareholders the chance to invest @ the same price and raised a further $500k. Might be chump change to some, seems like reasonable $$$ to me.
I attended the AGM today. In depth presentation from the Chairman and CEO, my observations:
GP now 17% still talking 18-20% for the FY and later on in the presentation they suggest 20%. Next year talking 25%
Loss this year less than $3m, next year break even.
FX assumption 85c to USD and $100k +/-ve per 1c movement
Strategic partner negotiations continue.
Euro zone difficult, Latin America storming
A very interesting show and tell after the formal meeting of the new ICS unit, specific mention of Coca Cola.
So the CEO has now been in place for 18 months and continues to deliver on what he suggests. 12 months out break even and then a profit, hopefully a strategic partner and ICS coming online....might be interesting. Time will tell.
.......and I for one suspect ANNA you will be completely.........right! The recovery story is starting to build (admittedly from a low base), however the signs are there for all to see including the latest take-up by EVERY DIRECTOR OF THEIR FULL ENTITLEMENT...........in some cases many 100,000's of shares.......surely the most encouraging sign yet of the current turnaround. In my opinion these are the stories to make money on.........remember these shares were once the equivalent of $4 or $5 I believe......that's a huge OUCH! for some but equally a HUGE OPPORTUNITY NOW for others.
One director took $15,000 worth, the others took $2,000 to $5,000 - I am so UNDERwhelmed!
If the directors really believe, they would have taken hundreds of thousands as they can access placement stock.
Fact is, they are paid hundreds of thousands of dollars in salaries and benefits every year so why not put in a few bob as a sign of good faith - and it looks like it worked a treat!
Run very fast away
Relax, GR8DAY.
I have sat in on presentations by WDT as far back as 2002 and did not find the company's 'profit just round the bend' as credible or believable.
So sad to disappoint you but have never thought about putting a single cent into WDT.
I lost a few $$$ on Provenco though, ouch!
Regardless of what has happened or been said in the past, the numbers tell the tale.
WDT is turning things around there is no doubt about that. Whether this can continue to meaningful profitability remains to be seen.
If one believes the management it can happen...and there are enough new faces there that I believe they have taken a new direction....hearing how things were 10 years or even 2 years ago is getting a bit tiresome. Would be more interested to hear comments on the last years performance....thanks Anna for yours.
For what it's worth, I think they'll make it.
In fact, just about feeling brave enough now to buy some WDT.
Only time will tell.
For me the positive thing has been the management change and with that the results to back up considerable improvement in the last year.
I'm glad Balance you at least see them wandering in the wilderness which is better than being dead I guess!
While I understand the need to know of the past and to have consideration for it....the last 18 months really has been about change at WDT. As Flugenbear mentions it is yet to result on a meaningful profit number but the new CEO, Greg Allen is yet to not deliver on what he has stated he will do....he missed GP % by a couple of months....I can forgive him that.
He now says 25% GP in 2014, ICS begins its rollout and he will break even in 2014. Interesting times if he can continue to deliver and his CV suggests that is what he does.
.....GROSS MARGINS HAVE BEEN IMPROVING NOW FOR 3YRS RUNNING. 2011, UP 5%. 2012 UP 14%. Q1 2013 UP 16.8%. OVERALL REVENUE GROWTH FOR 2012 UP 2%. OPERATING COSTS DOWN FROM 16.3M TO 11.7M. EBITA 2012 LOSS REDUCED FROM 12.0M TO 4.1M........ie NET LOSS REDUCED BY A WHOPPING $8.1M
IT'S NOT JUST ABOUT TALK ANYMORE..........IT'S RIGHT THERE IN THE SUPPORTING NUMBERS........DISREGARD THEM AT YOUR PERIL ALL YOU NON-BELIEVERS.!!!
So this is a company that after a decade in business could get to the point (next year) where they are breaking even and will be able to pay wages and directors fees out of revenue rather than having to keep coming back to the shareholders to put more money in? That's fantastic! Where can I sign up? As a director I mean. Any non-listed business like this would have gone to the wall years ago.
.......IM PICKING YOR'E A "NON-BELIEVER" JR??? (LOL).........hey bro' every company has it's day. All Im saying (suggesting) is.....keep a good eye on this one. Im happy to buy in at the current SP and sit back and watch what happens. GP target for 2013 is set at 18-20%, so a good start already to the year (16.8%) AND loss reduced to A TARGET under $3m. Could well be the turnaround story over the next couple of years.
I am a non-believer and haven't put any money in this myself. It seems somewhat strange that a company can continue in business for so long racking up losses, with no real growth. Maybe the new CEO can turn it around and make a commercial return. But the length of time before making the first profits would not have been sustainable without the access to new capital over the years. Shareholders put their money in, then either get diluted into insignificance or keep having to pump in more cash to keep WDT afloat. I doubt that such a model could work in a non-listed company, where there would be the necessity to deliver profits within a reasonable time or the company would fold.
RECENT MEDIA RELEASE WDT
FURTHER BOARD CHANGES TO CREATE THE "NEW WELLINGTON".....( as it's referred to now)
27 May 2013
Media Release
For Immediate Release
Wellington appoints new Director
Wellington Drive Technologies Ltd (WDT) is pleased to announce the appointment of Dr
Lisbeth Jacobs as a non-executive director of WDT with effect from 27 May 2013.
Dr Jacobs, a native of Belgium, holds a PhD in Materials Engineering from the University of
Auckland and a Master of Science in Materials Engineering from Katholieke Universiteit
Leuven, Belgium, where she also completeda post graduate degree in Business Studies.
Dr Jacobs has completed the Executive General Management programme atCEDEP-
INSEAD, France and is currentlyDirector International at The Icehouse, following a 13 year
career with Belgian corporate Bekaert, a world market and technology leader in steel wire
transformation and coatings. She is also a member of the Auckland Uniservices Physical
Sciences Investment Committee.
Wellington Chairman Tony Nowell said he was delighted to have attracted someone ofthe
calibre of Dr Jacobs to join the WDT board, as part of the previously announced board
refreshment process.
“Dr Jacobs has strong research and development credentials and excellent corporate
experience in markets and technologies not dissimilar to those of Wellington Drive.
“She bringsvaluable experience ofChinaoperations,of project managing global strategy and
business development, and of global selection and recruitment. We have no doubt that Dr
Jacobs will add considerably to our governance of strategy, innovation and in-market
execution.”
Dr Jacobs is considered by the board to be an independent director for the purposes of Listing
Rule 3.3.2
Tony Nowell
Chairman
Mobile: +6421488-895
E-mail:Tony.Nowell@wdtl.com