WDT - Wellington Drive Technologies

[Leftfield]

Pretty solid report. Not like you can trade this stock anyway with ASB and DB being broken.

I reckon it's a good report. See it here. (https://www.nzx.com/announcements/349193)

Highlights

Continued growth in Wellington Connect IoT hardware and data products and continued growth of the ECR2 motor resulted in 2019 being the highest revenue and the best profit performance in the company’s history. The company achieved revenue of $61.7m, up 5% from $58.8m in 2018. EBITDA was a surplus of $4.22m, up from $2.46m in 2018. The company achieved a maiden net profit of $0.45m, up from a loss of $0.71m in 2018.

[Cadalac123]

Pretty annoying you can’t even trade right now

[Leftfield]

Pretty annoying you can’t even trade right now

You with ASB? or referring to after 5pm trading?

I'm with Direct Broking and no issues?

[Cadalac123]

Yeah ASB man, couldn't trade all day. Horrible. Will be switching to interactive brokers for everything.

[winner69]

Maiden net profit ...that’s some effort after so so many years

Wonder if my collection of Annual Reports going back nearly 20 years are worth much as a collectors item.

I knew one day they would come right.

[Cadalac123]

Ridiculous sell off .. investor presentation was good impacts well spelled out yet investors don’t like

[winner69]

Everything up on NZX today ...stocks booming

But WDT is diwn

[Cadalac123]

Strong hate for this growing IoT business . China factories back up and running .. no one loves WDT sadly

[whatsup]

Everything up on NZX today ...stocks booming

But WDT is diwn

Still a big seller out there !!

[winner69]

Strong hate for this growing IoT business . China factories back up and running .. no one loves WDT sadly

Been unloved all this century ....through all the must have technologies of the day

I’ve got every Annual Report since they listedn...reckon they be collectors item now ...might be worth a lot;)

[whatsup]

Still a big seller out there !!


who keeps loading the sell side .

[Cadalac123]

They've mentioned that "big north american" contract. However I do make note management probably need some training in how to sell their reports, always erring on the side of uncertainty... for example the recent report saying "demand could go up down or sideways!" was not great to read, but I'd rather stick to their current balance sheet which shows clear proof of a turnaround over the last 2-3 years.

I'm an extremely minor holder at the moment having sold out 3/4 of my position following the announcement of warehouse closure about a month ago, but will be high on my watchlist.

[winner69]

Not surprising this news

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/WDT/350822/319826.pdf

Probably take another 20 years to recover

[whatsup]

Not surprising this news

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/WDT/350822/319826.pdf

Probably take another 20 years to recover

So unkind but from a holder from the 1990's, "one step forward, three steps back " , its no wonder they have approx. $100,000,000 of tax losses !!!

[Cadalac123]

I think they were / may make somewhat solid progress with the IoT side of things but I have to say some of the things management say are extremely strange

but none the less the company isn’t a horrible one but an extremely interesting company on the NZX

[jonu]

I've been looking for an entry point on WDT and have made the jump this morning. They seem well placed to come out the other side of this and I consider them over sold. Time will tell if I have moved too soon, but I'm comfortable with the position I have taken.

[whatsup]

I've been looking for an entry point on WDT and have made the jump this morning. They seem well placed to come out the other side of this and I consider them over sold. Time will tell if I have moved too soon, but I'm comfortable with the position I have taken.

Jonu, well done was that your 150k purchase, WDT have over 100 million of tax losses so once the get things right WDT will roar, well done.

[jonu]

Jonu, well done was that your 150k purchase, WDT have over 100 million of tax losses so once the get things right WDT will roar, well done.

It may have been :cool:

[whatsup]

It may have been :cool:

YES , well done .

[GR8DAY]

.... welcome Jonu to the Bargain Basement WDT club! Crazy buying opportunity for this top shelf company...now holding 250k and may keep topping up. Massive tax credits combined with long-term growth bodes well for future. ....IMHO.

[jonu]

.... welcome Jonu to the Bargain Basement WDT club! Crazy buying opportunity for this top shelf company...now holding 250k and may keep topping up. Massive tax credits combined with long-term growth bodes well for future. ....IMHO.

Liquidity is an issue in taking a decent stake in this stock, so I was pleased to pick up a decent number. I guess whoever sold them was pleased to be rid!

[GR8DAY]

.... some panic artist who will (probably) live to regret it.... but hey we've all done that at some time.... part of being human I think! When the dust settles on this current mess I expect WDT to return fairly quickly to a SP in the 15 to 20c range, sit there for a bit b4 climbing back to wards 25/30c..... might take a wee while but that could make for an impressive gain %wise.
A very well run company producing goods that an energy conscience world needs.

[GR8DAY]

.... conscious

[Cadalac123]

I really thought and think they were going in the right direction in their space. I sold the majority of my holding a little before the crash after the announcement about the warehouse, only because I thought the company would be a few steps behind on fulfilling the contracts required for their projected growth - accordingly I felt the guidance would not be met and sold my shares as I feel it may be a poor report coming up - that said long term may be a good hold.

GLTAH

[Flugenbear]

I think long term things are positive, though their short to medium term cash requirements may require searching for funds, depending on how bad sales have been hit. Holding, not buying, but keeping an open mind.....

[Cadalac123]

Yeah analysis of key metrics shows cash and short terms to be 3.46mil, with total current liabilities at 19mil... they have around 14 mil in receivables but I doubt they'll receive that money from buyers anytime soon.. Then you have some burn from the old legacy units and inventories might build up.

I was gutted with the coronovirus because I do really think they were on the right trajectory despite some downrampers. A pretty nice picture of 3 year growth not just focusing on IoT. But I wonder if they'll do a capital raise in the near future for the above.

[nevchev]

Yeah analysis of key metrics shows cash and short terms to be 3.46mil, with total current liabilities at 19mil... they have around 14 mil in receivables but I doubt they'll receive that money from buyers anytime soon.. Then you have some burn from the old legacy units and inventories might build up.

I was gutted with the coronovirus because I do really think they were on the right trajectory despite some downrampers. A pretty nice picture of 3 year growth not just focusing on IoT. But I wonder if they'll do a capital raise in the near future for the above.
I have no worries contributing by way of a CR if funds used constructively and not just paying wagers ect.Have followed WDT for a while and they now seem to have found their groove.glta

[jonu]

I'm interested to hear where holders see this SP settling assuming WDT can operate somewhere near capacity under level 3. Someone raised doubt earlier about them being paid their Receivables...but the food sector is probably the least impacted by the pandemic.

The stock was trading around 15c in late Feb, early March, that being with uncertainty already priced in. On the way back out I figure that is probably somewhere about right.

[Flugenbear]

I'm interested to hear where holders see this SP settling assuming WDT can operate somewhere near capacity under level 3. Someone raised doubt earlier about them being paid their Receivables...but the food sector is probably the least impacted by the pandemic.

The stock was trading around 15c in late Feb, early March, that being with uncertainty already priced in. On the way back out I figure that is probably somewhere about right.
Good question Jonu. Who knows. Personally I see the current share price being about right. Just because of the unknowns. Will Companies defer capital spending on energy efficiency because of the coming recession? I say yes. I see sales drying up big time and receivables taking awhile to receive! My guess is they will need to raise capital within a few months, probably through a share purchase.
Me says 10-12 cents is currently a fair price.
Don't forget their sales are spread far and wide so coming out from level 4 to 3 to 2 will have only limited short term impact. The bigger question will be how deep and long will this world wide recession be.
Deep and long are very real realities, and I am not sure investors have accepted that yet.

[Cadalac123]

Another issue is the declining sales of the legacy motors which have always been legging this company down, I can’t imagine the loss not being worse out of proportion to this segment now

[jonu]

Good question Jonu. Who knows. Personally I see the current share price being about right. Just because of the unknowns. Will Companies defer capital spending on energy efficiency because of the coming recession? I say yes. I see sales drying up big time and receivables taking awhile to receive! My guess is they will need to raise capital within a few months, probably through a share purchase.
Me says 10-12 cents is currently a fair price.
Don't forget their sales are spread far and wide so coming out from level 4 to 3 to 2 will have only limited short term impact. The bigger question will be how deep and long will this world wide recession be.
Deep and long are very real realities, and I am not sure investors have accepted that yet.

Pushing 12c now my furry friend. Very promising news out of the US regarding a successful treatment for Covid-19, with wider test results due in April. If they have cracked it the tail of this recession will be short, with even tourism opening again as soon as the drug is widely available. In this scenario I see WDT back to pretty much normal, which could be 17-20c range. Call me an optimist but I reckon its on the cards!

[Flugenbear]

Pushing 12c now my furry friend. Very promising news out of the US regarding a successful treatment for Covid-19, with wider test results due in April. If they have cracked it the tail of this recession will be short, with even tourism opening again as soon as the drug is widely available. In this scenario I see WDT back to pretty much normal, which could be 17-20c range. Call me an optimist but I reckon its on the cards!
Jonu, you're an optimist.;)
But I would sure as hell love your optimism to become reality!
I really don't hold out a lot of hope the treatment being tested (Remdesivir) will have a huge impact. It's already an approved antiviral, was used during SARS, MERS ebola a bit. It could save lives, but it won't save us from a deep recession.

[jonu]

Not always an accurate indicator..but the sell side is drying up beautifully. Some large leg ups a strong possibility from here.

[Caesius]

Not always an accurate indicator..but the sell side is drying up beautifully. Some large leg ups a strong possibility from here.

I saw this too, but it has reversed now, only a few hundred dollars would need to be sold to send it back to the 11c range. I wonder... if the issues with NZX sell orders going through caused the depth to look falsely stacked on the buy side? Some serious sell depth now (over 25k) at 13 c

[Cadalac123]

I saw this too, but it has reversed now, only a few hundred dollars would need to be sold to send it back to the 11c range. I wonder... if the issues with NZX sell orders going through caused the depth to look falsely stacked on the buy side? Some serious sell depth now (over 25k) at 13 c

Depth is extremely misleading unfortunately. In some instances I've seen it been clearly manipulated by algos that react to your buying or selling almost instantly too. I try my best to ignore it now. Although I am out of WDT for now.

I think long-term WDT will be okay given their customers aren't small fries in the industry. Currently a little hurdle though which may offset the long-term IoT growth story underpinning WDT's precoronovirus success despite the shareprice making it appear like a dog stock which I don't actually think it is.

[jonu]

Depth is extremely misleading unfortunately. In some instances I've seen it been clearly manipulated by algos that react to your buying or selling almost instantly too. I try my best to ignore it now. Although I am out of WDT for now.

I think long-term WDT will be okay given their customers aren't small fries in the industry. Currently a little hurdle though which may offset the long-term IoT growth story underpinning WDT's precoronovirus success despite the shareprice making it appear like a dog stock which I don't actually think it is.

Depth can be misleading, the charts less so. WDT has been in an upward trend since the last week of March and passed through the 30 day MA at 11c.

[GR8DAY]

..... from memory EAST WEST CORPORATION paid around 26c for their holding (quite a large chunk)....and that was a fews years back before things turned the corner and solid gains started flowing through to the bottom line.

[Cadalac123]

Depth can be misleading, the charts less so. WDT has been in an upward trend since the last week of March and passed through the 30 day MA at 11c.

Fair but volumes aren’t exactly large. It’s difficult to put a valuation on WDT because it’s never been profitable bar what it achieved FY19 but even so the revenues and potential growth probably warrant a sp over the current price or 0.090 which it was a week to so ago

[bottomfeeder]

We were talking about potential for WDT over 20 years ago when it was on the NZX grey market. Still not realsed its potential, millions and millions of share watering down later. Very little potential now, with so many companies with similar products. Plus I dont know what happened since but I dont believe they even own the patent for their product. Pay all the costs though.

[jonu]

Fair but volumes aren’t exactly large. It’s difficult to put a valuation on WDT because it’s never been profitable bar what it achieved FY19 but even so the revenues and potential growth probably warrant a sp over the current price or 0.090 which it was a week to so ago

It also dropped on a very small percentage of the company being sold. Which must mean the vast majority of holders have held on...hoping/believing value is still there. Bodes for an equally quick SP recovery in my book. Call me an optimist! (You wouldn't be the first!)

[jonu]

We were talking about potential for WDT over 20 years ago when it was on the NZX grey market. Still not realsed its potential, millions and millions of share watering down later. Very little potential now, with so many companies with similar products. Plus I dont know what happened since but I dont believe they even own the patent for their product. Pay all the costs though.

Missed the bottom on another one ay?

[jonu]

Nice to see WDT outperforming the market again today. Scanning across the board I feel many SPs have got ahead of themselves in the bounce. Not so WDT. Steady upwards she goes.

[Leftfield]

Maybe the reason for the recent climb in SP revealed in this documentation. (http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/WDT/352050/321246.pdf) WDT purchased over 2 mill shares on the market on behalf of their staff incentive scheme.

[Anna Naum]

Maybe the reason for the recent climb in SP revealed in this documentation. (http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/WDT/352050/321246.pdf) WDT purchased over 2 mill shares on the market on behalf of their staff incentive scheme.

If you read the Doc, they bght 73,790 ONLY shares for $7k total not the 2m you suggest.

[sb9]

Pretty decent update from company this morning.....

[Caesius]

Yeah all things considered it wasn't too bad, enough for me to put a bit of cash in.

[Leftfield]

Pretty decent update from company this morning.....


Agree. Here's the link (https://www.directbroking.co.nz/DirectTrade/dynamic/announcement.aspx?id=5351970) for those interested.



Gross profit $4.5m $4.1m +8%


Gross margin % 29.4% 26.2% +3.2pp


EBITDA reported $1.50m $0.99m* +51%


EBITDA pre fair value adjustment $1.01m $1.09m -7%


EBIT $0.91m $0.38m* +$0.53m


Profit before taxation $0.79m $0.09m* +$0.70m

[forest]

Pretty decent update from company this morning.....

Your right sb9, head line of this announcement could have been "First quarter profits higher than profits of the entire previous year".
Not to many companies are going to be able to do that this year I would think.

[Timesurfer]

As usual market reacts with over-whelming enthusiasm to the good news.

[Caesius]

Youch, bought in last week as I keep thinking companies like this are a bit cheap at the moment, I need to learn from mistakes. Out of interest I did a really rough DCF analysis on WDT - from the figures I used, which are probably very wrong, it still comes out overvalued even at 11 cps (although whether DCF even applies to a company like WDT is another question).

What that outlined to me is how difficult to predict their cashflows are. I know they have a large tax offset, but maybe I'm crazy for thinking last year's positive cashflow was the first of many. From what I've heard they are a clever bunch technically, but so many companies seem to suffer from this issue of being technically good but poor finanically.

I will hold for now, but in hindsight, I think around 11cps is probably fair value.

[jonu]

Youch, bought in last week as I keep thinking companies like this are a bit cheap at the moment, I need to learn from mistakes. Out of interest I did a really rough DCF analysis on WDT - from the figures I used, which are probably very wrong, it still comes out overvalued even at 11 cps (although whether DCF even applies to a company like WDT is another question).

What that outlined to me is how difficult to predict their cashflows are. I know they have a large tax offset, but maybe I'm crazy for thinking last year's positive cashflow was the first of many. From what I've heard they are a clever bunch technically, but so many companies seem to suffer from this issue of being technically good but poor finanically.

I will hold for now, but in hindsight, I think around 11cps is probably fair value.

WDT has been hovering between 11.5 and 12.5 for the last week or so. I think Level 2 will be bring another leg up as the country returns to work. I think they are well placed to ride this through and continue to build their profitability. Their main customers are in the food sector and while hospitality has obviously taken a massive hit, supermarkets have been experiencing record turnover. People gotta eat!

[Caesius]

WDT has been hovering between 11.5 and 12.5 for the last week or so. I think Level 2 will be bring another leg up as the country returns to work. I think they are well placed to ride this through and continue to build their profitability. Their main customers are in the food sector and while hospitality has obviously taken a massive hit, supermarkets have been experiencing record turnover. People gotta eat!

Yeah don't disagree with what you say jonu, but I'm still mildly skeptical. Admittedly the result last week wasn't terrible in my eyes.

[jonu]

Some stronger buying depth pushing to 12c now. Onwards and upwards to true value! (circa 15-16c IMHO)

[Ricky-bobby]

The announcement was way better than what I was expecting. I liked how it was straight to the point/this is what we are doing. I’m just going to sit and see what happens with this one..

[HITMAN]

Is this the answer to their problems.

GENERAL: WDT: Wellington Drive Technologies COVID-19 cost reductions

Wellington continues to reduce costs and manage its cashflow in response to
the impact of COVID-19 on its global customer base.

In addition to New Zealand government wage support of $434,000, the company
has received or expects to receive COVID-19 related support from other
government programmes for its international offices:
o Wellington's Australian based subsidiary is receiving Jobkeeper payments
from the Australian government for its two Australian staff members at
A$3,000 per fortnight for six months and is also expecting payment under the
Australian government cash flow boost program.
o Wellington's USA subsidiary has received US$75,000 as part of the US
Paycheck Protection Program for three of its five US-based staff members
partially funding this salary cost for eight weeks.

On top of recently announced Board fees and CEO salary reductions,
Wellington's staff have all agreed to salary reductions ranging from 25% for
senior executives to 10% for lower paid staff members. The total reduction in
fees and salaries delivers cash savings of around NZ$1.7m over the period
from 1 May to 31 December 2020. All staff related reductions are compliant
with government salary support scheme rules.

The company continues to explore further initiatives to ensure it can
effectively manage through this lower revenue period.

Wellington Chairman, John McMahon commented "The board is grateful to the
staff for sacrificing salary to assist the company in getting through the
COVID-19 related economic challenges. The board is working closely with
management to manage through the COVID-19 crisis effectively."

[Cadalac123]

Somewhat of a pointless release

[Caesius]

Somewhat of a pointless release

A positive way of looking at it is they are being proactive and reducing costs just to be safe. A negative way of looking at it is they are struggling with cashflow and are forced to start cutting. I'm leaning slightly toward the latter.

[Cadalac123]

A positive way of looking at it is they are being proactive and reducing costs just to be safe. A negative way of looking at it is they are struggling with cashflow and are forced to start cutting. I'm leaning slightly toward the latter.

Ugh. I actually really liked this company and still do but it’s painful to see how this has temporarily crippled them they were seriously doing really well.

[jonu]

Ugh. I actually really liked this company and still do but it’s painful to see how this has temporarily crippled them they were seriously doing really well.

I'm not sure how you see them as being crippled. Nothing to suggest that at all. Seems very prudent cost cutting in uncertain times to me. And it would appear without impacting productivity.

[artemis]

Vodafone focusing on the internet of things - WDT opportunity.

https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=12334743

[Caesius]

Announcement marked price sensitive and regarding an extension of their loan facility - is this a way of a company technically fulfilling their duty giving a warning to investors without sounding overly dramatic?

[Nevl]

Just got credit facility upgraded to $2.5 million from $2 mill at the BNZ. So not substantial and nice to see that they are not needing to go back to the junk bond markets so big savings there.

[Caesius]

Wow I am just going to stop paying any attention to market depth, it is very misleading.

[Paradox]

Anyone planning to tune into the AGM tomorrow?

[forest]

Anyone planning to tune into the AGM tomorrow?

Yea, why you asking?

[emearg]

Anyone planning to tune into the AGM tomorrow? Sure thing. I'm bringing cookies.

[Paradox]

Virtual cookies of course

[emearg]

Virtual cookies of course

Not the ones I'll be eating :)

[Paradox]

Apart from the Covid resiliency measures, key question in the AGM is bound to be around capital raising?

[Leftfield]

Apart from the Covid resiliency measures, key question in the AGM is bound to be around capital raising?

Question answered......see here. (https://www.nzx.com/announcements/355230)

Covid-19 an issue going forward, but still forecasting a profit......

Wellington’s Q1 result was an improvement on last year as the company successfully managed through the initial supply chain challenges caused by COVID-19. During Q2, the company has experienced much weaker sales estimated at around $5m for the 3 months ended 30 June 2020, compared to $17m for the same period in 2019. Nevertheless, Wellington expects to report an EBITDA profit of around $1m for the 6 months ended 30 June 2020, compared to $2.4m for the comparable period in 2019.

The key features of the Offer include:

• Raise approximately $5.4m through a 1:3 pro-rata renounceable rights issue at 5 cents per new share
• Rights will not be quoted or tradeable on the NZX. However, Eligible Shareholders are entitled to seek buyers for their rights off-market prior to the closing date of 16 July 2020
• The Offer closes on 16 July 2020 with the new shares issued by 22 July 2020

[winner69]

New capital at 5 cents pretty cheap ...should ensure they get their $5m

One day Wellington will be a ‘lucky’ company and actually do well.

I reckon my turn of the century Wellington reports would be worth more than 5 cents on trademe ...as a collectors item.

[Leftfield]

You'll be first in line to take up the offer Winner???...... or too busy selling off your old annual reports as collectors items?

[winner69]

You'll be first in line to take up the offer Winner???...... or too busy selling off your old annual reports as collectors items?

Not this time ....resisted buying WDT shares many times over the years

Have a morbid fascination with the company since I spent a few hours being shown their operations many many years ago. Since then I’ve followed their progress (or lack of it) with fervour

Had a few good trades in the 00s ....but jeez they are one unlucky company

Guess what years Annual Report this came from

[Leftfield]

.....
Had a few good trades in the 00s ....but jeez they are one unlucky company
Guess what years Annual Report this came from


Mmmm...fun....love playing guessing games.... maybe well before I even started investing (this time round in 2012)...... how about 2000???

FWIW I put it on my watch list when WDT was 20c back in 2017...... the SP has lost 50% since then!! (Thankfully only on a watch list!)

[winner69]

Mmmm...fun....love playing guessing games.... maybe well before I even started investing (this time round in 2012)...... how about 2000???

FWIW I put it on my watch list when WDT was 20c back in 2017...... the SP has lost 50% since then!! (Thankfully only on a watch list!)


Was wise words in 2003 ....cool eh

[Leftfield]

Was wise words in 2003 ....cool eh

Crikey! Close.... (shame I didn't win the prize).... I wasn't even thinking about investing back in those days.!! ....more scary than cool! Shades of PEB and NTL IMHO..... perpetual cash raises from the suckers.

[winner69]

Crikey! Close.... (shame I didn't win the prize).... I wasn't even thinking about investing back in those days.!! ....more scary than cool! Shades of PEB and NTL IMHO..... perpetual cash raises from the suckers.

....yep all $130m of capital almost all gone

There was some fandangled tech thing in 2003 which was going to be great for them ....and in 2011 some other fandangled thing ....and now being seduced by this fandangled by Internet of Things

[Felonius]

[QUOTE=winner69;824895]....yep all $130m of capital almost all gone

There was some fandangled tech thing in 2003 which was going to be great for them ....and in 2011 some other fandangled thing ....and now being seduced by this fandangled by Internet of Things[/QUOTE

Hi Winner,
This is a very different company from the old one under Ross Green. Ross struggled to grasp the necessity of endeavouring to match the outgoings with income, other than by raising even more money from the long-suffering shareholders.
The current CEO Greg Allen has been in the job for a few years now. He has been very disciplined - every year he sets out a detailed plan for the business which is available for all to read in the company reports, and to his credit the company ticks off those targets. When he took over the company it was on it's knees. Had it not been for Covid-19 WDT would have had a very good year. We increased our investment in the company last year in anticipation of a much improved result - unfortunate timing.
I will be taking up the rights at 5 cents per share.

[Cadalac123]

[QUOTE=winner69;824895]....yep all $130m of capital almost all gone

There was some fandangled tech thing in 2003 which was going to be great for them ....and in 2011 some other fandangled thing ....and now being seduced by this fandangled by Internet of Things[/QUOTE

Hi Winner,
This is a very different company from the old one under Ross Green. Ross struggled to grasp the necessity of endeavouring to match the outgoings with income, other than by raising even more money from the long-suffering shareholders.
The current CEO Greg Allen has been in the job for a few years now. He has been very disciplined - every year he sets out a detailed plan for the business which is available for all to read in the company reports, and to his credit the company ticks off those targets. When he took over the company it was on it's knees. Had it not been for Covid-19 WDT would have had a very good year. We increased our investment in the company last year in anticipation of a much improved result - unfortunate timing.
I will be taking up the rights at 5 cents per share.

Although not currently a holder - I agree.
The IoT growth is actually pretty clear in the reports and while I wasn't around for the initial disaster of this company previously I do really think had it not been for COVID WDT was in a good position and poised for somewhat of a stable trajectory. This has unfortunately been delayed.

[bullfrog]

I listened to the AGM, and thought they were putting in a sound plan that gave me a degree of confidence in the company’s future, and thought the management and team were committed and had skin in the game. Been watching from the sidelines for a number of years, and finally decided to dip my toe in this week.

[Oliver Mander]

Possibly a dumb question - if the record date is June 29th (Monday), then why is WDT trading "ex rights" on Direct Broking at the moment? Any ideas?

[winner69]

Possibly a dumb question - if the record date is June 29th (Monday), then why is WDT trading "ex rights" on Direct Broking at the moment? Any ideas?

Generally things goes ex rights a day or two before Record date

Ie, In this case it gives them time for sales made yesterday to be recorded on share register ....bit hard to do that with today’s sales

T+2 and all that

[Oliver Mander]

Generally things goes ex rights a day or two before Record date

Ie, In this case it gives them time for sales made yesterday to be recorded on share register ....bit hard to do that with today’s sales

T+2 and all that

hmmm...so if I have purchased a parcel today, does that mean that those shares won't be included as part of the allocation calculations on the 29th at 5pm?

[winner69]

hmmm...so if I have purchased a parcel today, does that mean that those shares won't be included as part of the allocation calculations on the 29th at 5pm?

If they are ex-rights you miss out ....T+2 and all that

[Oliver Mander]

If they are ex-rights you miss out ....T+2 and all that
Ah well. I bought yesterday as well, so can't complain...just didn't realise the 'XR' on the quote page! My bad.

[emearg]

[QUOTE=winner69;824895]....yep all $130m of capital almost all gone

There was some fandangled tech thing in 2003 which was going to be great for them ....and in 2011 some other fandangled thing ....and now being seduced by this fandangled by Internet of Things[/QUOTE

Hi Winner,
This is a very different company from the old one under Ross Green. Ross struggled to grasp the necessity of endeavouring to match the outgoings with income, other than by raising even more money from the long-suffering shareholders.
The current CEO Greg Allen has been in the job for a few years now. He has been very disciplined - every year he sets out a detailed plan for the business which is available for all to read in the company reports, and to his credit the company ticks off those targets. When he took over the company it was on it's knees. Had it not been for Covid-19 WDT would have had a very good year. We increased our investment in the company last year in anticipation of a much improved result - unfortunate timing.
I will be taking up the rights at 5 cents per share.

Completely agree. Ross Green unfortunately wasn't the guy to make WDT successful. I thought he was and they would be a success. I learnt an expensive lesson.

Until recently there was no way in hell I would invest more money in WDT. But when last years rights issue came around I reread all the reports from Greg Allens time. I listened to all the online calls and concluded that the promises that had been made had been kept. The goals that had been set had been met. In most cases they had been exceeded and Greg was taking the company away from just making good motors to much much more. And the financials were suggesting the company did have a future.

So last year I took up my rights and even applied for extra. I didn't get most of what I requested because the uptake was far more than what was on offer.

Covid has really screwed things up, but I believe the people in charge are capable of navigating their way through it.

For that reason I will be taking up my rights.

[winner69]

Ah well. I bought yesterday as well, so can't complain...just didn't realise the 'XR' on the quote page! My bad.

When they’re back to 20 cents it’ll make little difference eh

Bit of media coverage needed I reckon

[Oliver Mander]

When they’re back to 20 cents it’ll make little difference eh

Bit of media coverage needed I reckon

Stiull think it's good long-term, but I do worry about their debt level. In a nirvana scenario, their business receovers more quickly than anticipated and they use the rights issue cash to pay down some debt. But appreciate this is all about "getting thru" right now.

[whatsup]

So unkind but from a holder from the 1990's, "one step forward, three steps back " , its no wonder they have approx. $100,000,000 of tax losses !!!

Losses still growing .

[Caesius]

Youch. This has been an expensive lesson for me, and I'm now in the mode of holding on because the paper loss is so big. Live and learn. Looking at the company's history and the chart should have been a warning - even if the fundementals could be explained in a positive light there is still the opportunity cost of having cash tied up in a perpetually unlucky company.

That said, I think that if the company can recover then it could be good buying at 8 cps (or dare I say, lower) but I'm beginning to mentally write this one off. I know, this is where a steady head needs to make a call to sell, but it can be difficult to crystalise losses and I can justify it in my head as replacing the cash I would have spent on TAB.

Spoke to someone who deals with these guys recently, didn't sound dire from them but yes North America is pretty much off the table for now, which is a large part of their sales. Does the volume pushing the price down suggest to anyone bad news that may be yet to be released?

On the slight positive side, the MC of 27 mill is a lot less than another company I won't name whose MC is around 80 mill yet I regard it as a worse performing company.

[artemis]

The IoT is a huge and growing sector. WDT are 'well positioned' if they can convert position into sales.

[Caesius]

The IoT is a huge and growing sector. WDT are 'well positioned' if they can convert position into sales.

Medium-term I agree, but also there's plenty of other companies who are probably in better positions. Down 17% as we speak and not much on the buy side.

I get a bit concerned about insiders offloading when large moves like this occur with no news...

Disc. relunctant holder

[Caesius]

Possibly against better judgement, I've participated in the rights offer. On the one hand I am concerned what a table showing the number of times they've put their hats out over the years would look like, but on the other hand I was impressed by the figures for the last year or so before COVID.

I'm new to these offers, but am I right in thinking the SP is generally expected to slip toward offer price (5 cps) in the short term after close date?

[HITMAN]

Yeah I feel the same, my worst performing share, at least participating in the offer will average my cost price down a bit. Hopefully they can get back on track the other side of Covid 19.

[Leftfield]

...... I'm new to these offers, but am I right in thinking the SP is generally expected to slip toward offer price (5 cps) in the short term after close date?

Not always..... if the cash raise has been well managed it can signal an increase in SP (as the company's equity situation has hopefully improved.)

AFT and VGL spring to mind as recent recent examples where those that participated have seen the SP increase since the raise. NTL is an example of badly managed equity raising over many years....JMHO. DYOR.

[Ricky-bobby]

Did u guys go for some extra or just allocation?

[Leftfield]

Did u guys go for some extra or just allocation?

I went for more...... call me crazy! (hoping for DCA to improve my position.)

[HITMAN]

I went for more too... You're crazy Left Field!

[Leftfield]

lol.....we're both crazy..... what could possibly go wrong!?

[emearg]

You're crazy Left Field!

I'm going to decide if/how many on Monday.

I'm 95% sure it will be a question of how many rather than if, but a few more days of inaction won't hurt.

[sb9]

Last day today for rights application, just filled online and made payment. Asked for more, yes I'm crazy too :p

[bullfrog]

Believe, I’ve also topped up, pretty comfortable with it.

[emearg]

I'm in, but to be honest I'm pretty nervous about their future given the way America isn't handing the virus. Things may slow down there for longer and more drastically than was hoped. Hopefully Wellington can come through this. A high risk investment me thinks.

[Flugenbear]

Given the rights issue is at 5 cents I don't think you can go too wrong. However....I think WDT are going to be hit really hard this year with very little revenue. The 5 million could disappear very quickly and we could see the share price drop 50% from here, though I still believe in the long term future if they can get through this next year somehow.
I too have applied for extra, though unlikely we'll get much, IMHO.

[emearg]

My fear is it could go very wrong and they could go out of business. But I hoping it doesn't go that way and am willing to take the risk as I believe they have a very bright future.

[kiora]

Posted 19-12-2005, 11:45 AM

HUDS, The reason that anna created the new thread was to disguise the rubbish that they wrote on the other thread. If you read the WDT threads from start to finish you will see that the same people have been averaging down still bleating the same message. By starting a new thread we might not notice how stupid they were on the other thread. It makes good reading for new investors. macdunk

Well done WDT. It still has believers.

[sb9]

Rights issue oversubscribed by 43%

[winner69]

Posted 19-12-2005, 11:45 AM


Well done WDT. It still has believers.

give a punters a bargain price they’ll buy up big

Hope it all works out for everybody

[whatsup]

Well done all steel balls.

[sb9]

Got allocated just 20% of what I've asked in addition to my rights.

[GR8DAY]

Ridiculously cheap rights........no wonder over subscibed. Let's see if this returns to plus 20c (think I paid 26c for some!) Still believe WDT is being very well run and will be doing all it can to trim costs ATM....looking forward to a bright future as things were all looking positive pre-covid. GLTAH

[emearg]

Got allocated just 20% of what I've asked in addition to my rights.

Even less than 20% here.

[sb9]

Someone's thrown a decent chunk of money...



7.9
21,466,666
12:28
SP

[Leftfield]

Someone's thrown a decent chunk of money...



7.9
21,466,666
12:28
SP




That's v encouraging!!
Quite spooky that 7.9c is my new av holding SP after receiving my allocation, so very auspicious. It can only grow from here.

[sb9]

That's v encouraging!!
Quite spooky that 7.9c is my new av holding SP after receiving my allocation, so very auspicious. It can only grow from here.

Spooky indeed :ohmy:

Called computershare re refunds, they said will be processed by Monday 27th.

[emearg]

My account was credited this morning.

[Caesius]

Can someone explain how this SP won't simply drift down to 5 CPS now? Why would anyone not just take the instant profit that's on the table, especially with the situation in the US currently?

[Cadalac123]

Can someone explain how this SP won't simply drift down to 5 CPS now? Why would anyone not just take the instant profit that's on the table, especially with the situation in the US currently?

As a general answer
Well if someone has done their DD and analysed the company and value it higher after this down phase then the tiny profit from selling post capital raise isn’t really sensible

Compounding this is the possibility that someone was deep at a higher price and cap raise has DCA them down and even selling now isn’t that great

Disclosure not a holder

[emearg]

Can someone explain how this SP won't simply drift down to 5 CPS now? Why would anyone not just take the instant profit that's on the table, especially with the situation in the US currently?

It might drift down to 5 cents, or drift up to 9 cents. Take the profit now and give up potential future profit? Tea leaf reading is always a challenge.

I would suggest there are at least two reasons why most peeps probably won't do this with the new shares acquired last week:
1) Tax. Gotta pay tax on the gain so that makes it much less appealing.
2) Brokerage. Unless you held a lot of WDT to start with, then the new shares, even if you over subscribed, may make the transaction not worth the bother. At least I see it this way with a traditional online brokerage fee. Maybe not if peeps use sharesies?

What else?

[whatsup]

Big dumper knocked the S P down to .07

[Caesius]

Yeah I hear what you're saying but my money's still on downward pressure toward the issue price. Happy to be proven wrong but with the US situation how it is I think it's inevitable

[Paradox]

Big dumper knocked the S P down to .07

Guilty as charged .076 yesterday and .075 today. I did sell everything got through the rights offer.

Yes, the SP will trend down close to 5c in the absence of any positive news over the next few weeks and it’d be an opportunity to buy back. This is not dissimilar to SKT, SKC or other recent capital raising initiatives wherein the SP is pegged back due to profit taking.

Disc: hold some in long term portfolio

[Flugenbear]

Yeah I hear what you're saying but my money's still on downward pressure toward the issue price. Happy to be proven wrong but with the US situation how it is I think it's inevitable

Yeah kind of agree.
I had a head rush and bought a bunch at 7.5 but I think this is only primed to go toward 5 or 6 cents.
I don't see any good announcements coming. Most Companies are deferring capital spending, so the next few quarters could be bleak.
That said I think they'll survive and long term will do OK, there was some good signs pre covid

[GR8DAY]

Good to see directors with increased skin in this game. Peter Barnes now owning nearly 700,000 shares, Steven Hodgson increased his holding from 7.7m to 10.3m shares.

Add to this East West Manafacturing also showing great confidence in Wellington Drive by taking their share of the company through to 12.8% from 10.3% ( an increase of approx 180m shares)

They must all see value and growth ahead for WDT.

[thebusinessman]

WDT looks to have ground down already in anticipation of today's interim results showing a hit from COVID but with the GM's positive assertion that the company is geared to respond as things improve. General thoughts? I'm considering a small stake to see where this goes... Not currently a holder.

[Leftfield]

WDT looks to have ground down already in anticipation of today's interim results showing a hit from COVID but with the GM's positive assertion that the company is geared to respond as things improve. General thoughts? I'm considering a small stake to see where this goes... Not currently a holder.

I've been in/out of WDT as I liked the story. I wouldn't be considering holding again until there is a firm uptrend in both the FA and TA. Lots of other good NZX companies in firm uptrends. JMHO. Disc - not holding.

[whatsup]

.06 Lowest price for a while will we head any lower ?

[winner69]

.06 Lowest price for a while will we head any lower ?

History would say it will go lower

[Flugenbear]

.06 Lowest price for a while will we head any lower ?

A lot will depend on the next update.
Just how badly have sales fallen away.
How long until it recovers.
The potential is this can go lower still.
I think 5-6 cents range.
If the next announcement is bad with no bounce back in sales then sure it'll be lower.
5c capital raise may end up looking expensive in a few months time.

[winner69]

WDT must be the unluckiest company on the NZX -- just as looks like a miracle is about to happen and WDT is going to be great something always comes along to snuff that dream out.

Even the IoT isn't to going to save ....they make a great thing off it but it just keeps them in the game.

Will fortune ever shine on them ...doubt it

[kiora]

WDT must be the unluckiest company on the NZX -- just as looks like a miracle is about to happen and WDT is going to be great something always comes along to snuff that dream out.

Even the IoT isn't to going to save ....they make a great thing off it but it just keeps them in the game.

Will fortune ever shine on them ...doubt it

History would say you are right W69 and they historically burnt through a lot of shareholder funds
BUT are WDT about to enter a new phase?
It would seem to me there is a real increased need for their products & services
Low E long life motors smart efficient & reliable motors & controls to improve marketing
Remote monitoring with IOT
Just maybe they where turning the corner before Covid struck
Is John Scott about to lead the company ahead?
https://www.wdtl.com/wt9139
Newish cornerstone shareholder East West Manufacturing, LLC increasing its shareholding
http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/WDT/357192/327453.pdf
Maybe a bit of symmetry here so I wouldn't write WDT off just yet
Can they get traction again?
SP indicates they aren't but the next announcement could give an indication what lies ahead

[Cadalac123]

I strongly believe it was due for a little re-rate before COVID. COVID has put this into a swamp for a while until things recover. Hard to assess at this current stage imo.

[winner69]

On fundamentals WDT probably 'priced' about right - even though a fair bit of optimism is still built into to the share price

In spite of company hype WDT is still just a low margin manufacturer of engines (they say solutions) mainly refrigeration OEMs - ie just a component. They don't really have any real competitive advantage and performance is impacted by the up and downs of economic cycles. The cost of staying in the game (ie product development) is quite high as well. Revenue growth over time is still single digit so hardly a growth company.

One thing going for WDT as a ticker (rather than a company) is that the share price might (or is due to) go up from here - market sentiment rather than company performance might see some trading gains ...cool chart

[whatsup]

Over $100 mill in tax losses so once they hit the big time there is no tax for a decade to come, firstly get into profit !!!

[winner69]

Over $100 mill in tax losses so once they hit the big time there is no tax for a decade to come, firstly get into profit !!!

Overseas subsidiaries seem to pay tax

[kiora]

W69
Was "just a low margin manufacturer of engines"
https://stocknessmonster.com/announcements/wdt.nzx-296214/
2016 competing on price of motors but initiating IOT
2020 38% of revenue from IOT.
https://stocknessmonster.com/announcements/wdt.nzx-347362/
GP% slowly increasing

Time will tell

[sb9]

https://www.nzx.com/announcements/362040

Hopefully they've turned a corner from here on and march ahead full steam...

[winner69]

https://www.nzx.com/announcements/362040

Hopefully they've turned a corner from here on and march ahead full steam...

hopefully the unluckiest company on the NZX has finally got lucky

[Nevl]

Nice announcement and looks good. If more of these interconnected solutions can come into play then maybe they can make some headway but yeah a really unlucky company.

[whatsup]

Nice announcement and looks good. If more of these interconnected solutions can come into play then maybe they can make some headway but yeah a really unlucky company.

yeh and been around since the mid 80's that 1980's !!!!

[kiora]

W69
Was "just a low margin manufacturer of engines"
https://stocknessmonster.com/announcements/wdt.nzx-296214/
2016 competing on price of motors but initiating IOT
2020 38% of revenue from IOT.
https://stocknessmonster.com/announcements/wdt.nzx-347362/
GP% slowly increasing

Time will tell

Is this a game changer?
https://www.imberacooling.com/global/innovation
WDT appears to have been proactive in this space
A global refrigeration player seeking an agreement with WDT on using its IOT
WDT would have to hope so

[whatsup]

Is this a game changer?
https://www.imberacooling.com/global/innovation
WDT appears to have been proactive in this space
A global refrigeration player seeking an agreement with WDT on using its IOT
WDT would have to hope so

Could be, TWT !

[kiora]

Yes TWT if it can get its ducks in a row

[whatsup]

Yes TWT if it can get its ducks in a row

getting them on the pond will be a nice starter !!

[Leftfield]

Is this a game changer?
https://www.imberacooling.com/global/innovation
WDT appears to have been proactive in this space
A global refrigeration player seeking an agreement with WDT on using its IOT
WDT would have to hope so


Not yet..... once step forward.... one step back (seems to be a continuing theme for WDT)

Latest financials just released

Wellington Drive Technologies (Wellington and the Company), a leading
provider of Internet of Things (IoT) solutions and energy efficient motors to
the retail food and beverage industry, today announced its unaudited trading
results for the nine months ended September 2020.

Financial Performance

Metric $ Q3 2020 Q3 2019 Change
Revenue $26.5m $45.9m -42.3%
Wellington Connect(TM) IoT revenue $9.2m $17.5m -47.4%
ECR(R) 2 motor revenue $11.4m $16.6m -31.3%
ECR legacy motor revenue $5.1m $10.4m -51.0%
Gross profit $7.9m $11.9m -33,9%
Gross margin % 29.8% 26.0% +3.8%
Operating expenses net of other income $6.8m $8.8m -22.8%
EBITDA1 $1.07m $3.10m -65.4%
EBIT -$1.14m $1.30m -$2.44m
Profit (loss) -$1.47m $0.58m -$2.05m

[winner69]

At least Q3 wasn't as bad as Q2 ....revenues only down 52%

They used to fighting for their survival - shareholders will see them right

Smart move by them giving the super good news yesterday eh

Finally learning how to play the market - good on them

[kiora]

If not SHers then East West Manufacturing will see them right ?
One would think Imbera wouldn't have reached their agreement unless WDT had a long term future?

Only +ve from FR was Gross margin % increasing.By selling less motors ? and more IOT?

[whatsup]

Cash $3.4 mil, another cash issue at what price ?

[sunnysleeper11]

hopefully the unluckiest company on the NZX has finally got lucky
Hi Winner - just wondering what you meant by 'unluckiest company'. I don't know too much of their history. Thanks

[sb9]

Looks like our man Greg had enough and heading back to Canada, but he's not fully gone still be director for the company, suppose that shows his commitment.

Hope new CEO might be the lucky charm the company and shareholders need.

[simla]

He has been there since 2011 and has done a magnificent job on many fronts. Winner's comment is well exemplified by the current low share price which this company certainly does not deserve. The CEO deserves to go out on a far better share price than that as he has positioned this company very well. The foundations are in place for good growth from here. Covid lockdowns can't go on forever and the future looks bright for this company so long as they make it through the current spot in my opinion.

[winner69]

Hi Winner - just wondering what you meant by 'unluckiest company'. I don't know too much of their history. Thanks

Been going since last century and listed early this century and burnt through $115m so far.

I have a full set of Annual Reports which probably worth a lot as a collectors items if anybody actually collects morbid things.

Unlucky ....just that every time things look really good and they’ve grasped the technology of the day something always seems to go wrong and it’s all back to square one.

One day things will change ....can’t be unlucky forever can you

[Waltzing]

NO No i was told last week in auckland by a futures sales man with a fine arts degree that this stock was tradeable and the graph just wiggels along , perfect to trade!!!

I looked at it side ways, up ways, down ways, every which ways..... just looked down to me...

[sb9]

Oh dear someone dumping big time and big lots too...two lots of 5m and 2m parcels at 5.8c a piece.

[Flugenbear]

I think another capital raise is on the way.
3c?

[carrom74]

I think another capital raise is on the way.
3c?
Oh dear! Millions have already been scooped out from poor shareholders for years now.
Another glossy explanation on the capital raise will follow suit( if there is one!)

[winner69]

Oh dear! Millions have already been scooped out from poor shareholders for years now.
Another glossy explanation on the capital raise will follow suit( if there is one!)

IoT will be the saviour

[Baa_Baa]

IoT will be the saviour or AI and ML maybe, with IOT, just to keep up with competitors eh?

[winner69]

or AI and ML maybe, with IOT, just to keep up with competitors eh?

...... and stay in the game

[Baa_Baa]

...... and stay in the game

It’s a high bar, some are going well.

We’ve got to back our kiwi innovators, however long it takes. Ingenuity and perseverance matched with commercial acumen. The long game.

Might get into Angel investing again, the share market is too predictable and full of old farts only interested in dividends.

[kiwimalayalee]

Looks like the resigned CEO dumped his 7m shares

[artemis]

Good article in Spinoff about IOT in New Zealand. Starts with beekeeping (who knew?) but ranges much more widely into opportunities in the sector, including some of what is already happening.

https://thespinoff.co.nz/partner/spark-iot/12-11-2020/the-technology-thats-saving-businesses-millions-of-dollars/

[kiora]

IOT Its wider & more useful than most people realize
7-12-17
Chorus IoT proof of concept underway
Chorus has today announced that it is underway with a proof of concept for a LoRaWAN (Long Range Wide Area Network) Internet of Things (IoT) network.
The proof of concept was undertaken in Takapuna and Torbay on Auckland’s North Shore. It makes use of Chorus' existing street network assets to provide localised, deep network coverage which enables sensors to communicate with the IoT network from what would typically be hard-to-access locations, such as underground wastewater or sewage pumping stations.
https://company.chorus.co.nz/chorus-iot-proof-concept-underway

[whatsup]

Oh dear someone dumping big time and big lots too...two lots of 5m and 2m parcels at 5.8c a piece.

Great topup buying for me on Friday, up 10% already , not bad for a weekend end.

[whatsup]

Great topup buying for me on Friday, up 10% already , not bad for a weekend end.

and back down she goes , grrrrr !

[whatsup]

and back down she goes , grrrrr !

12.6 mil just gone through and along with Fridays 7 mil is that the lot from the dumper @ .058 ?

[sb9]

12.6 mil just gone through and along with Fridays 7 mil is that the lot from the dumper @ .058 ?

Yep, looks like seller hasn't finished yet, might have this overhand for a while until they completely sell out..

[GR8DAY]

.....prefer half glass full myself. "Massive purchaser has entered the registry".....there had to be a serious purchaser of WDT for this number of shares to change hands. No way could you "dump" this number of WDT on the open market without totally crashing the SP, which hasnt happened. I wonder who the new owner is.....possibly East Wast increasing their holding in readiness for full takeover at these crazy low prices??

[kiwimalayalee]

Good Lord, what a ride...

[kiora]

Supposedly not Greg Allen as he doesn't have that many shares
https://stocknessmonster.com/announcements/wdt.nzx-356763/

[Wai Wai]

Smart Shares (NZX) have been sitting on the market for nearly 2 years Now finally out of the way

[Dassets]

End of Superlife's time as an owner. Been selling for 3 years. Was always a weird owner imo. These lines were the end.

[sunnysleeper11]

End of Superlife's time as an owner. Been selling for 3 years. Was always a weird owner imo. These lines were the end.
Were they a large holder at one stage? How long for? Thanks

[sb9]

As per latest disclosure, seems a though Jarden bought about 4mln+ shares on Friday 13th Nov.

[sunnysleeper11]

As per latest disclosure, seems a though Jarden bought about 4mln+ shares on Friday 13th Nov.
Wow - you're in the know! A bit closer to the action than most it would seem. Thanks for the info

[whatsup]

End of Superlife's time as an owner. Been selling for 3 years. Was always a weird owner imo. These lines were the end.

From memory they were a holder from 10 years ago out of Aussie I think, good supporter of the original founder Ray Thompson circa 1980's Ray died last year and so they must have decided to exit.

[Flugenbear]

Great topup buying for me on Friday, up 10% already , not bad for a weekend end.
Just wait for the capital raise next quarter. I hope they don't give then away like they did the last 2, when I think they could have set a higher price and still been fully subscribed. But my guess is will be 3. something cents. Have been a strong believer for many years and I just hope they can get through the next year, as the overall picture is still encouraging take away the COVID...

[Dassets]

Superlife owned 28% in 2015. It is a fund manager bought by NZX. The original owners thought it was a good idea to go massive in a stock that was small and relatively speccy.
They have been a seller from the mid 20s. The way the position was exited was painful and not the way many would have done it. Anyway that selling is over now. SSH out this am. Superlife now holds 0.000000%.

[kiwimalayalee]

Summary for BNP Paribas Nominees (NZ) Limited and Smartshares Limited For last disclosure,— (a) total number held in class: 24,885,576 (b) total in class: 431,914,620 (c) total percentage held in class: 5.762% For current holding after ceasing to have substantial holding,— (a) total number held in class: 0 (b) total in class: 431,914,620 (c) total percentage held in class: 0.000% Details of transactions and events giving rise to ceasing of substantial holding Details of the transactions or other events requiring disclosure: On-market sale by Smartshares Limited as manager of SuperLife Invest, of 24,885,576 ordinary shares, for a total consideration of $1,453,873.49, made during the period 29 September 2020 to 16 November 2020.

Tsk tsk tsk...

[kiwimalayalee]

I don't understand the new update in announcements on the nzx for WDT

[haewai]

I don't understand the new update in announcements on the nzx for WDT

Then you need to read them again

[kiwimalayalee]

Thanks for the big help, does mean a lot...

[thebusinessman]

Looks like some directors bought a few shares.

[kiora]

Reversing some salary sacrifices.
Positive
https://stocknessmonster.com/announcements/wdt.nzx-364028/

[kiwimalayalee]

Any chance WDT starts paying any dividends...

[winner69]

Any chance WDT starts paying any dividends...

I would hazard a guess and say NEVER

[whatsup]

Off its .07 base , today @ .072 is there price growth Afoot ?

[carrom74]

Off its .07 base , today @ .072 is there price growth Afoot ?

In the current market conditions(both COVID and the broader NZX),WDT is cheap....NZherald article is saying that it clocked 5% growth...

https://www.nzherald.co.nz/business/tin-reveals-nzs-largest-tech-exporters-and-the-fastest-growing/EFMY3NHA73TIKLJFPH2UVURCIY/?utm_content=148664739&utm_medium=social&utm_source=linkedin&hss_channel=lcp-926957

[sb9]

Some decent buy side that I've seen in a while....

[Jiggs]

Good article in Spinoff about IOT in New Zealand. Starts with beekeeping (who knew?)

The big iwi bee company here at Ohakune puts pressure pads under its remote helicoptered-in hives to measure their increase weight, letting the bee-keeper know when the supers are full of honey, while weight drop indicates wasp attacks or disease. A microwave link connected the hives to the honey factory. I don't know if they are accessible on the internet yet. I'll stop by and ask the guys.

[sunnysleeper11]

sellers seem to have evaporated - just need the sharsies minnows to clean up the scraps below 10c

[Ricky-bobby]

Man someone is buying up...

[whatsup]

Slow and steady does it .093 atm.

[APH1]

Yeah pretty happy after buying at .084 on Friday.

Slow and steady does it .093 atm.

[haewai]

Yeah pretty happy after buying at .084 on Friday.

It's how big? Wow!!

[forest]

Man someone is buying up...

Yes, Ricky. Price has been going up steadily since the acting Chair John Mahon added more than 7 m shares to his portfolio last November.
An other positive in my mind is that 5 insiders participated in the last capital raise.
I would not be surprised if we are having the beginning of a turnaround story.
Share Price is increasing on larger than usual volume as are gross margins. However the revenue was negatively affected by covid
Next few reports should be interesting.

[APH1]

It's how big? Wow!!

Haha yeah..... Good for holders though.

[haewai]

Haha yeah..... Good for holders though.

You miss my point. I like how few posters here brag about gains and entries. It isn't a size competition. Keep the superficiality to the sharsies share club.

[APH1]

You miss my point. I like how few posters here brag about gains and entries. It isn't a size competition. Keep the superficiality to the sharsies share club.

Why does it matter to you what I post? I was happy with my entry and happy with the recent sp rise. I enjoy reading what most people have to say on here but if they say something I'm not interested in or I disagree with there view I don't feel like I have to tell them. Are you a holder

[haewai]

Yes, I hold, from the time of the last cap raise. It matters to me in the same way I feel about people with big bore exhaust pipes. Except here I get to say how I feel to them.

[kiora]

Sssh Nothing to see here
Otherwise W69 will come back and post something about a dividend

[winner69]

Sssh Nothing to see here
Otherwise W69 will come back and post something about a dividend

Nice one mate

All I know is that profit and dividend aren’t part of Wellington’s vocabulary .....and never been part of company DNA

But this time it’s different I read on another thread

Looking forward to adding another Wellington Drive Annual Report to my collection - they go back to last century.

[percy]

With over 35 years of being a serial under performer I too hope "this time it is different."

[forest]

Nice one mate

All I know is that profit and dividend aren’t part of Wellington’s vocabulary .....and never been part of company DNA

But this time it’s different I read on another thread

Looking forward to adding another Wellington Drive Annual Report to my collection - they go back to last century.

Winner if you read your 2019 copy of the annual report on page 18 you find that WDT made a small profit of $448k however I see your point as historically losses were far more common.
I think one should not underestimate the acting chair John McMahon. He is also the Chair of an other small NZX company SDL.
Under his leadership SDL turned around from an loss making non dividend paying sad company to a healthy company growing compounding Equity/Sh around 20% for the last 8 years while paying a respectable app 4% gross dividend. Naturally SDL share price multiplied a few time during this period.

WDT is growing the internet of things part of their business, as Price to Revenue is likely close to 1 this year I think the share price is not expensive and I am not surprised by the SP rise on volume. Possible turnaround story I think.

[kiora]

Nice one mate

All I know is that profit and dividend aren’t part of Wellington’s vocabulary .....and never been part of company DNA

But this time it’s different I read on another thread

Looking forward to adding another Wellington Drive Annual Report to my collection - they go back to last century.

Thanks W 68
This time it is different
Jumped aboard a few months back as I felt like a bit of specky excitement
IFT & FPH just so predictable :)

[percy]

Thanks W 68
This time it is different
Jumped aboard a few months back as I felt like a bit of specky excitement
IFT & FPH just so predictable :)

LOL It has been WDT that has been "just so predictable" for over 35 years.

[kiora]

Ah ha Percy
The past is not always a good predictor of the future

[whatsup]

With over 35 years of being a serial under performer I too hope "this time it is different."

and over $110,000,000 of tax losses atm so no tax here for 10 years Im betting at least !

[percy]

Ah ha Percy
The past is not always a good predictor of the future

Correct.
But 35 years?
Now.Yes I really do hope it is a turn around.
And I own up to owning WDT 35 odd years ago.Think it had just changed its name to Aorangi,and I had high hopes;
A literal translation of Aorangi leaves one the choice of any of three equivalents— “Light of Heaven,” “World in the Sky,” or “Cloud of Heaven,” each of which is descriptively appropriate. ...[I thought it was "World in the Sky."
Then we went to Wellington Drive,and then Cadac before returning to WDT.Think that is the correct order.
Internet of things and new directors could be right.I note their chart for 3 months is positive.[Very different for any longer period]
Perhaps a change of name back to Aorangi may be in order ?"Cloud of Heaven" would fit with Internet of things.?.

[percy]

and over $110,000,000 of tax losses atm so no tax here for 10 years Im betting at least !

Now "That's Incredible".

[kiora]

Yep certainly a different company to ALL others.
Unlike others I have never owned them before
I can't name any other company that has lasted so long without making a profit

Just a dabble for me

We will see if WDT have a raison d'etre

[forest]

Correct.
But 35 years?
Now.Yes I really do hope it is a turn around.
And I own up to owning WDT 35 odd years ago.Think it had just changed its name to Aorangi,and I had high hopes;
A literal translation of Aorangi leaves one the choice of any of three equivalents— “Light of Heaven,” “World in the Sky,” or “Cloud of Heaven,” each of which is descriptively appropriate. ...[I thought it was "World in the Sky."
Then we went to Wellington Drive,and then Cadac before returning to WDT.Think that is the correct order.
Internet of things and new directors could be right.I note their chart for 3 months is positive.[Very different for any longer period]
Perhaps a change of name back to Aorangi may be in order ?"Cloud of Heaven" would fit with Internet of things.?.

Interesting information Percy looking back at this company history.
And those eye watering tax losses telling a sad story.By far most investors do not look into WDT for the reasons you gave.
However, maybe those past tax losses will be shareholders future gains.

[winner69]

Now "That's Incredible".

Percy - that's what happens when you have lots of Vice Presidents (both Senior and ordinary ones)and other management roles with Director in their title eh

Note: Only percy and me get the significance of having Vice Presidents

[winner69]

Winner if you read your 2019 copy of the annual report on page 18 you find that WDT made a small profit of $448k however I see your point as historically losses were far more common.
I think one should not underestimate the acting chair John McMahon. He is also the Chair of an other small NZX company SDL.
Under his leadership SDL turned around from an loss making non dividend paying sad company to a healthy company growing compounding Equity/Sh around 20% for the last 8 years while paying a respectable app 4% gross dividend. Naturally SDL share price multiplied a few time during this period.

WDT is growing the internet of things part of their business, as Price to Revenue is likely close to 1 this year I think the share price is not expensive and I am not surprised by the SP rise on volume. Possible turnaround story I think.

That John has been on the Board since 2014 .... hmm

Not disparing to John as he is a good guy

[winner69]

WDT are probably doing the IoT stuff well - just as they did all the past new tech fads. Keeps them in the game

It just seems that WDT is the unluckiest company on the NZX - just as the story gets good some bad luck puts an end to it and they need to start over again.

Then again that run of bad luck may have ended and they have finally found their Midas touch

[percy]

Percy - that's what happens when you have lots of Vice Presidents (both Senior and ordinary ones)and other management roles with Director in their title eh

Note: Only percy and me get the significance of having Vice Presidents
Alarm Bells having been ringing with my Syft shareholding.
Recent appointments;
Vice President of Sales Europe,Arnd Ingendoh
Vice President of Product Development,Rose Smith
Vice President of Sales USA,Damien Fischer
Vice President of Sales-Semi Conductors,Reid Poole.
And the market cap of Syft is $58mil.????????????????????//

[winner69]

Alarm Bells having been ringing with my Syft shareholding.
Recent appointments;
Vice President of Sales Europe,Arnd Ingendoh
Vice President of Product Development,Rose Smith
Vice President of Sales USA,Damien Fischer
Vice President of Sales-Semi Conductors,Reid Poole.
And the market cap of Syft is $58mil.????????????????????//

Do they have a Director of Marketing?

Marketing people are so up themselves they think they should be Directors ---- Chiek Marketing Manager (or Officer) so demeaning to their professional

[percy]

Do they have a Director of Marketing?

Marketing people are so up themselves they think they should be Directors ---- Chiek Marketing Manager (or Officer) so demeaning to their professional

I think they have two of everything.!..lol.

[Oliver Mander]

Hmmm...someone wants $1,000.00 per share for their parcel of 13,093 WDT shares. Or you can buy another 14,651 shares for $19.95 each.

[winner69]

Winner if you read your 2019 copy of the annual report on page 18 you find that WDT made a

I had noticed that but if allow for the reduction in what they still might owe for the acquisition of iProximity it was another loss. Obvious iProximity not performing as planned.

Anyway in WDT lingo for a profit is a ‘negative loss’

[forest]

Anyway in WDT lingo for a profit is a ‘negative loss’

LOL, I am happy how negatively the share price is losing value recently? :)

[HITMAN]

Good to see the growth, finally back in positive territory for me today, may it long continue.

[winner69]

LOL, I am happy how negatively the share price is losing value recently? :)

All credit due to Keith Oliver whose only been on the Board for a short time

Also on Rakon board .....brought the Midas Touch to both companies

Important senior appointments include in their credentials whether they are lucky ...have the Midas touch.

Shareprice over 10 cents ...heading to 20 cents

One of the stars of the NZX (as is Rakon)

[forest]

All credit due to Keith Oliver whose only been on the Board for a short time

Also on Rakon board .....brought the Midas Touch to both companies

Important senior appointments include in their credentials whether they are lucky ...have the Midas touch.

Shareprice over 10 cents ...heading to 20 cents

One of the stars of the NZX (as is Rakon)

LOL, maybe it is not all or nothing. Some of us see potential and some remember the past and have made up their mind.
I find this one interesting to follow.

[winner69]

LOL, maybe it is not all or nothing. Some of us see potential and some remember the past and have made up their mind.
I find this one interesting to follow.

Sure is interesting to follow - hope one day they are successful.

been in and out over the years ....alas not this time - was tempted when it was about 10 cents mid last year (just before the rights issue)

Can't back every winner eh

[Ricky-bobby]

I’m out. it’s been a fun ride, to nowhere...

[nztx]

and over $110,000,000 of tax losses atm so no tax here for 10 years Im betting at least !

what's behind the SP leap though apart from same board chairs - new occupant ? ;)

Have IRD approved the distribution of Losses out to the long suffering ? ;)

[Sideshow Bob]

All credit due to Keith Oliver whose only been on the Board for a short time

Also on Rakon board .....brought the Midas Touch to both companies

Important senior appointments include in their credentials whether they are lucky ...have the Midas touch.

Shareprice over 10 cents ...heading to 20 cents

One of the stars of the NZX (as is Rakon)

Haven't worked out yet if you had a few too many Pale Ale's or Chardonnay's at lunch W69, or just out fishing........;)

[winner69]

Haven't worked out yet if you had a few too many Pale Ale's or Chardonnay's at lunch W69, or just out fishing........;)

Too hot in Wellington for any of that ...our day of summer

Hit 33 deg on the deck so took a lemonade and sitting on my directors chair in the hideaway I’ve got in the bush down the back of the section. A bit of music and all that. Cool as

[HITMAN]

Share price enquiry today, awaiting the stock standard reply.

[winner69]

Share price enquiry today, awaiting the stock standard reply.

Yep, not company’s fault that punters have got excited and pushed the share price up 31% in a few days

[winner69]

That response from WDT to speeding ticket will be seen as a profit upgrade coming in next week or two.

Cool

[HITMAN]

Yep, not company’s fault that punters have got excited and pushed the share price up 31% in a few days

Thinking this will just attract more sharsies hype.

[GR8DAY]

Maybe EAST WEST CORPORATION are increasing their holding?....averaging down from the 26c they initially paid! (think I've got that right)

[winner69]

whose been playing around today ---- high 10.8 and low 9.3 and ends up somewhere where it started

[Felonius]

For those questioning the improving share price, take a look at this October '20 announcement from WDT.

"Wellington Signs Commercial Agreement with Imbera for Supply of IoT hardware and
Data Services."

The key lies in googling "Imbera".
Take a look at the following information from Wikipedia which leads straight to Coca Cola.


Coca-Cola FEMSA
FEMSA owns 47.9% of the world's largest bottler of Coca-Cola by volume, Coca-Cola FEMSA, S.A. de C.V. (NYSE: KOF), which operates in ten countries covering the metropolitan area of Mexico City, southeast Mexico, Central America and South America.

Coca-Cola FEMSA is the anchor bottler of Coca-Cola and its related soft drink products in much of Latin America. The company is an important part of the Coca-Cola System. Coca-Cola FEMSA distributes about 10% of the worldwide production of Coca-Cola products. This makes it, after Coca-Cola Enterprises the second largest Coca-Cola bottler in the world.

The company is owned 47.9% by FEMSA, 28.1% by The Coca-Cola Company and the remaining interest trades on the New York Stock Exchange and the Mexico City Stock Exchange.[7] The company is headquartered in Monterrey."

FEMSA Negocios Estratégicos is divided into 4 business units of which Imbera is one.


In that Oct '20 post the departing CEO (Greg Allen) noted the considerable upside from the commercial agreement with Imbera.

In my view over the last few years WDT has done everything right.
The pandemic hit them extremely hard but the upside remains.

I have been an investor in WDT for a very long time & in recent years attended a number of AGMs.
Current management strikes me as excellent although the hunt for a replacement CEO is an unknown.

Existing management are significant shareholders. So are the board.
I added significantly to my shareholding just before the pandemic so my timing could not have been worse, but added recently at 7 cents to average down.
Breakeven now about 10 cents per share.

I am pleased to be a shareholder in WDT and anticipate being in for the long haul.

[forest]

Yes Felonius. WDT have a big contact in Coca Cola, for years they have been selling fan motors for their refrigerators (they still do) on very small margins.
They realise this was a losing business model and are now upselling refrigerating cabinets with internet of things hardware.
As I understand it they make a margin on the hardware as well as more importantly on the data collected.
It is early days however at todays Share Price of close to 1 to Revenue it is worth time to keep an eye on if not a purchase I think.

[winner69]

Yes Felonius. WDT have a big contact in Coca Cola, for years they have been selling fan motors for their refrigerators (they still do) on very small margins.
They realise this was a losing business model and are now upselling refrigerating cabinets with internet of things hardware.
As I understand it they make a margin on the hardware as well as more importantly on the data collected.
It is early days however at todays Share Price of close to 1 to Revenue it is worth time to keep an eye on if not a purchase I think.

Profit upgrade next week or so reading between the lines of speeding ticket response.

[youngatheart]

Really looking forward to an announcement next week :)

[Ricky-bobby]

Or to market for some more $$? Must be drying up by now?

[sb9]

Would some clever person(s) clarify whether WDT will have a role to play in logistical aspects of transporting vaccine around, given that they need to be stored at certain cooler temperature?

[bullfrog]

Would some clever person(s) clarify whether WDT will have a role to play in logistical aspects of transporting vaccine around, given that they need to be stored at certain cooler temperature?

I had the same thought and topped up as soon as vaccine cooling requirement was made public. Probably have been better to invest in chilli bins...

[stoploss]

Would some clever person(s) clarify whether WDT will have a role to play in logistical aspects of transporting vaccine around, given that they need to be stored at certain cooler temperature?
CTE.ax might be worth a look....

[sb9]

CTE.ax might be worth a look....

Cool, thanks for that.

[sb9]

Pretty solid trading update and pleased to see Q4 ending Dec'20 finished strongly. Onwards and upwards from hereon..

[winner69]

Pretty solid trading update and pleased to see Q4 ending Dec'20 finished strongly. Onwards and upwards from hereon..

Suppose this is onwards and upwards -

Wellington’s current US dollar revenue forecast for 2021 is in the range US$37m to US$42m. The higher end
of that range would be in line with 2019 and approximately 75% ahead of 2020. Q1 2021 revenue is forecast
to be approximately US$11-12m compared to US$10.4m in Q1 2020, and a sequential improvement from
Q4 2020 of US$7.1m.

With 2021 US dollar revenue in this range, the Company is targeting EBITDA earnings of around NZ$2.0-
2.5m which would deliver a modest pre-tax loss. Forecasts have been prepared at a 0.70 US$/NZ$
exchange rate and are sensitive to the US$/NZ$ exchange rate (i.e. each 1c movement has an estimated
$0.2m impact on EBITDA).

[sb9]

Slipping away now ahead of results to be released tomorrow, someone knows bit more than others?

[winner69]

Earnings upgrade

https://www.nzx.com/announcements/368082

[HITMAN]

I see that as good news, why the sell off over the last week? People assuming the worst! Hopefully it will gain a bit of traction from here over 10c.

[winner69]

I see that as good news, why the sell off over the last week? People assuming the worst! Hopefully it will gain a bit of traction from here over 10c.

Surely they wouldn’t upgrade 2021 earnings guidance a day or so before announcing the 2020 result ...maybe not as good as meant to be

Seems a bit weird