RAK Rakon

[Master98]

lol,as i know they actually drive audi s8.

[Schrodinger]

Only down 5%. This kind of announcement to me would signal firstly an inability to reduce pre announced losses (incrase 20%?) and secondly their cash burn is still $3M which immediately makes me want to get their cashlow statements and work out how muc hthey have left.

[Balance]

What the hell has the directors been doing over the last 3 years to get the valuation of their assets so far out of reality?????

And who are the auditors and where have they been?

FMA needs to investigate as there's something very wrong here.

[winner69]

You guys are reading it wrong

Rakon Limited (NZX:RAK) (“Rakon”) advises the market that it expects to report a Net Loss After Tax (NLAT) for the year ended 31 March 2014 of -$79.9 million

Double negative in play here - actually a profit of $79.9 million

[sommelier]

Ahh, very clever of them. Scare us loyal holders into selling cheap before we figure out whats going on! How big do you think the divvy will be?? I think if they're frugal they will only pay 20% out as dividends, so we're looking at 7cps. We showed those nay-sayers - right Winner??

[Schrodinger]

You guys are reading it wrong

Rakon Limited (NZX:RAK) (“Rakon”) advises the market that it expects to report a Net Loss After Tax (NLAT) for the year ended 31 March 2014 of -$79.9 million

Double negative in play here - actually a profit of $79.9 million

Ok so maybe the finance boys got the plus and minus sign mixed up? Should I be viewing this company as a high tech startup too?

[Schrodinger]

You know when you think about it, we could start to estimate what is left after they have sold everything. This could go down to 10c or below if the EBITDA goes another 6 months in the red.

[BlackPeter]

amazing ... ACC bought more than half a million shares in Rakon last month:

http://www.nbr.co.nz/article/who-has-been-caught-buying-rakon-shares-dw-p-155861

Do they know something we don't - or is this a convenient way to make their profits disappear and justify the next rise in ACC premiums?

[Vaygor1]

amazing ... ACC bought more than half a million shares in Rakon last month:

http://www.nbr.co.nz/article/who-has-been-caught-buying-rakon-shares-dw-p-155861

Do they know something we don't - or is this a convenient way to make their profits disappear and justify the next rise in ACC premiums?

I understand that ACC bought/held an enormous amount in ALF before they (ALF) collapsed with Cyclone Alloway and the Hanover Deal. If ACC are buying, I would see that as a sure sign to give RAK an even wider berth than my current position which is to not touch them with a barge pole.

[blobbles]

A loss worse than they forecast. I am SOOOO surprised! Revenues dropped by 15% as well.

Just waiting for how they are going to spin there way out of this one...

[Vaygor1]

they will say what ever they think the markets needs to hear so their lifestyle's are keep in place for as long as possible.
Don't feel sorry for the shareholders anymore as the writing has been clearly on the wall for a long time now.... invest at your own peril.

I totally agree. What a bunch of complete rogues. I must say RAK's behaviour actually disgusts me. I still have an ounce of sympathy for the shareholders who don't know about ShareTrader. There will be many in the dark.

No sympathy for ACC though…. what a useless bunch of Richard Craniums.

[SimonHouse]

Someone spiking the price for a month before a capital raise, perhaps?

[moimoi]

So who spent the $702 to pump the price to $0.26...................?

[Vaygor1]

Seconded for sure. Who the hell would pump money into this dog? Exactly like NZO; only people benefitting are the Directors. Sad.

ST needs a minimum length of characters to allow a post to proceed hence the purpose of this very sentence. So....

Thirded.:cool:

[Vaygor1]

hmmmm....... still waiting for the flow of promising hype filled announcements that will indicate the lead up to a capital raising.
very quiet at the moment but surely even these idiots can think of something positive to attract the gullible.

They must be RAKing their brains to come with something. Not sure they can beat their big spiel about driverless tractors though:
http://www.sharetrader.co.nz/showthread.php?3401-RAK-Rakon&p=442148&viewfull=1#post442148

Just remember, by rearranging the letters in "Brent Robinson" you get 'No sir, born bent'. Yep... more bent than a 3 bob note.

[Sideshow Bob]

These guys are already in that space and a few more clues than RAK!

www.tracmap.com

[Goldstein]

Just remember, by rearranging the letters in "Brent Robinson" you get 'No sir, born bent'. Yep... more bent than a 3 bob note.

Nice one Vaygor1, you've managed to make it sound like a Dan Brown novel.

I actually went to school with the CFO. I think I asked him how ENRON was going last time I saw him - can't remember the response.

[winner69]

Always good sign when Directors, esp the Chairman) are buying

One of the stars of the NZX lately is RAK

[Master98]

Always good sign when Directors, esp the Chairman) are buying

One of the stars of the NZX lately is RAK

yes could be a SINKING STAR.

[Vaygor1]

Just remember, by rearranging the letters in "Brent Robinson" you get 'No sir, born bent'. Yep... more bent than a 3 bob note.Nice one Vaygor1, you've managed to make it sound like a Dan Brown novel.

I actually went to school with the CFO. I think I asked him how ENRON was going last time I saw him - can't remember the response.


Haha.. thanks Goldstein. Never really thought of myself as a writer, but I do like my cryptic crosswords.

Here is a list of other RAK directors/management tongue-in-cheek-anagrams I posted 10 months ago in this thread. My favourite is Peter Springford.

http://www.sharetrader.co.nz/showthread.php?3401-RAK-Rakon&p=438569&viewfull=1#post438569

You can imagine, I had a bit of time on my hands 10 months ago. I think one or two on that list have since left RAK.

[sommelier]

Okay, what's up? Is this just some ridiculous insider trading going on? Almost $100k through, mostly in the $3k-5k range. The only news is that one of the directors (Bryan Mogridge) has bought close to $90k worth in the last 12 days.

[RGR367]

Okay, what's up? Is this just some ridiculous insider trading going on? Almost $100k through, mostly in the $3k-5k range. The only news is that one of the directors (Bryan Mogridge) has bought close to $90k worth in the last 12 days.

Yeah, what else is making this Lazarus come to life again?

[moimoi]

-NZ$ at a 6 month low (and possibly going lower as OCR gets held for some time)
-Chart after a VERY long bottoming phase is looking attractive
-Company has taken plenty of bitter pills in recent times to restructure

Always good to see a Chairman backing up words with cash via on market purchases... :-)

[moimoi]

-NZ$ at a 6 month low (and possibly going lower as OCR gets held for some time)
-Chart after a VERY long bottoming phase is looking attractive
-Company has taken plenty of bitter pills in recent times to restructure

Always good to see a Chairman backing up words with cash via on market purchases... :-)

[The BOWMAN]

NZ $ sinking; doesn't that just make the losses look worse?!?!

LOL! This is a good one.

[Vaygor1]

Here isthe Chaiman's address at RAK's Annual Shareholders Meeting on 12-September-2014. It's unbelievable.
https://www.nzx.com/files/attachments/200458.pdf

The paragraph I love the most:
"Analysing the results more deeply, the reported Underlying EBITDA loss of $7.5 million included total restructuring costs of $10.4 million, which meant that the business operations produced a positive Underlying EBITDA of $2.9 million. Not a great result, but importantly a positive one."

So a EBITDA loss of $7.5 million is spun as a positive result. That is exactly the piffle I would expect from this dog of all dogs.

For those not in the know, piffle is the combination of piddle and waffle.

[Sideshow Bob]

For those not in the know, piffle is the combination of piddle and waffle.

Appreciate the technical clarification!!!!!

[warthog]

Did the hog miss something? From what you've quoted, it is being claimed that Rakon actually made a $2.9m profit if one was to strip out the (presumably) one-off restructuring costs. Is this incorrect?

The hog isn't defending Rakon's business model and/or governance here, but just wanting to get the logic straight.

[blobbles]

Here isthe Chaiman's address at RAK's Annual Shareholders Meeting on 12-September-2014. It's unbelievable.
https://www.nzx.com/files/attachments/200458.pdf

The paragraph I love the most:
"Analysing the results more deeply, the reported Underlying EBITDA loss of $7.5 million included total restructuring costs of $10.4 million, which meant that the business operations produced a positive Underlying EBITDA of $2.9 million. Not a great result, but importantly a positive one."

So a EBITDA loss of $7.5 million is spun as a positive result. That is exactly the piffle I would expect from this dog of all dogs.

For those not in the know, piffle is the combination of piddle and waffle.

They may as well say "if you just look at our sales and remove everything that cost us money, we are actually making a lot of money!"

[blobbles]

The thing that really worries me is the lack of accountability and ownership of decisions. All through the process of setting up and operating their China plant they were talking positive like all the losses they were making were just temporary, that everything was going to turn out fine in a little bit of time.... Right up to when they decided to sell, then that was the best decision, that was what was now going to be the best thing for the company, don't worry about what we said before... Then that was badly done and handled (selling for much less than they invested, badly communicated etc etc). Now it's a line that says "our company is shrinking dramatically, but give us a little bit of time and we will be so profitable" again... With all the same people making the decisions I just can't see it.

[RGR367]

The thing that really worries me is the lack of accountability and ownership of decisions ............. With all the same people making the decisions I just can't see it.
Though publicly listed, this is still very much like a family owned business (correct me if I'm wrong) so until the control is taken away from the nincompoops, we can only hope that they can really make this company exhibit some sort of a "Lazarus reflex".


Disc: Still holding on to a very large paper loss on this one :(

[Vaygor1]

Though publicly listed, this is still very much like a family owned business (correct me if I'm wrong) so until the control is taken away from the nincompoops, we can only hope that they can really make this company exhibit some sort of a "Lazarus reflex".


Disc: Still holding on to a very large paper loss on this one :(

Sorry to hear you are making a loss on this one RGR. Allow me to digress for a minute….

RAK are to me what ALF was. I too made a large paper loss (but on ALF) and for a long time I wrote them off.
But then following ALF's Hanover disaster (preceded by many other disasters) they finally changed their board. Of primary importance was the 'departure' of their Chairman Rob Cyclone Alloway and the introduction of Gary Bluett.
In doing so I noticed a slow but steady change-for-better in ALFs board's behaviour (evidenced through their announcements) in content, tone, spin, hype, and conservatism in future guidance. The previous board were shockers. Did they really believe their own bills**t? Many families lost their livelihoods over this.

But after the ALF board changed, I slowly began to develop a feeling of faith/trust in what the the new board were saying, to the point where I decided to recommence reading their financials.
In doing so, based upon their announcements containing the truth, I realised that ALF would not go broke and so bought up large.
The rest is pretty much history now and I have done exceedingly well out of ALF on the whole and there is still plenty more to be made there.

So with this in mind, back to RAK.

Snapiti's comment today states "not a great fan of RAK management....... but if you strip out the underlying negative tone towards the company I believe they have made some steps in the right direction". I struggle with this because it implies that even though RAK management is not good, that one can still have trust and confidence in what they report.

RAK's recent Chairman's address is filled to the gunnels with spin, hype, contradictions, and weasel words. Same goes with everything else emanating from them for years.
How many years of promising this and promising that with zero/negative results has this gone on for now? Blobbles alluded to this today.
Plus there is all their other behaviour regarding the board's lifestyle and spending, illegal share trading etc.
Not one word of anything they say can be trusted in my opinion… and so neither can their figures.
If you can't trust the data there is zero point in analysing it. ZERO.

Is RAK taking steps in the right direction as Snapiti asks? Maybe. Maybe not. But unless the board significantly changes its composition (which likely won't occur due to it being a family controlled business), then tossing a coin would yield a more reliable answer than reading their financials and listening to what they say.

[BFG]

Robinson's: "I don't want to talk to you no more, you empty-headed animal food trough wiper. I fart in your general direction. Your mother was a hamster and your father smelt of elderberries."

Shareholders: "Is there someone else up there we could talk to?"

Robinson's: "No, now go away, or I shall taunt you a second time."

[RGR367]

Robinson's: "I don't want to talk to you no more, you empty-headed animal food trough wiper. I fart in your general direction. Your mother was a hamster and your father smelt of elderberries."

Shareholders: "Is there someone else up there we could talk to?"

Robinson's: "No, now go away, or I shall taunt you a second time."

Yeah, he's taunting us all for the nth time. And against all hope, I still wait for the miracle we might someday squeeze a drop of blood from this BS kind of a company.

[Balance]

Yeah, he's taunting us all for the nth time. And against all hope, I still wait for the miracle we might someday squeeze a drop of blood from this BS kind of a company.

Interesting looking chart.

Been watching this - a recent big seller seems to have been taken out so sp could go beyond last year high of 35c.

If it breaches 35c, I would say something is up.

[Chaowee88]

Interesting looking chart.

Been watching this - a recent big seller seems to have been taken out so sp could go beyond last year high of 35c.

If it breaches 35c, I would say something is up.

Rakon's share price has been so strong for the last year they should be featured as one of the top performers on the nzx.

[winner69]

Much improved H1 financials even though still losing money

FCF negative $2m - so not burning too much currently

No wonder RAK one of the stars of the NZX this year - bugger I missed out on the turnaround. ACC didn't did they

[Balance]

Much improved H1 financials even though still losing money

FCF negative $2m - so not burning too much currently

No wonder RAK one of the stars of the NZX this year - bugger I missed out on the turnaround. ACC didn't did they

Depends on where the sp goes to from here.

I remember buying RBD as it turnaround at 65c and it has kept going.

[Balance]

Just had a look at the top shareholders - interesting that one of NZ's most successful investors has been buying. Same investor who bought RBD hugely at 60 cents!

[winner69]

Just had a look at the top shareholders - interesting that one of NZ's most successful investors has been buying. Same investor who bought RBD hugely at 60 cents!

He pretty clever that investor who hides under the name Snoopy

[winner69]

Just had a look at the top shareholders - interesting that one of NZ's most successful investors has been buying. Same investor who bought RBD hugely at 60 cents!

Sometimes we do write off things too early eh Balance

[Chaowee88]

Still too early to say they've turned the corner, until they achieve normalized operating profit, it still bleeding.

[winner69]

Rakon shares climb as profits loom

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11358039

with a nice picture of Brent himself

[BFG]

AMAZING!!!

For all the bluff and bluster about the fireign exchange rate being a huge headwind, it's over 15% decline in USD terms has resulted in less than a 3% boost EBITDA (Earnings Before I Tricked the Dumb Accountant)!

Massive staff cuts and a wholesale exit from an expanding market.

An awesome result in revenue reduction as well.

Can see how the reporters were tricked into repoeting positively with the spin these guys put out and reporters not actually reading (or understanding) the full results.

You're not fooling anyone (on here) Robinsons...

[Schrodinger]

AMAZING!!!

For all the bluff and bluster about the fireign exchange rate being a huge headwind, it's over 15% decline in USD terms has resulted in less than a 3% boost EBITDA (Earnings Before I Tricked the Dumb Accountant)!

Massive staff cuts and a wholesale exit from an expanding market.

An awesome result in revenue reduction as well.

Can see how the reporters were tricked into repoeting positively with the spin these guys put out and reporters not actually reading (or understanding) the full results.

You're not fooling anyone (on here) Robinsons...

So the shareholder wealth destruction is only $500M now down from $600M+?

[winner69]

That Rosetta mothership and the little thing that landed on the comet has some Rakon crystals on board.

Amazing, how exciting

[Balance]

That Rosetta mothership and the little thing that landed on the comet has some Rakon crystals on board.

Amazing, how exciting

Good for profile but bugger all money? That motherthing and babything were made 10 years ago!

[winner69]

Good for profile but bugger all money? That motherthing and babything were made 10 years ago!

had to laugh when National Radio were interviewing some Austrian guy about how the signals got back to earth - was it dial up or brandband? and as quick as a flash the guy said and its not fibre either - good old fashioned radio waves

[Balance]

Some serious buying interest kicking into Rakon.

Looks like 2 big buyers - one 200k order came in last minute to take out all the stock on offer from 36c to 36.5c, leaving the buyer of 75k at 36.5c unfilled.

[winner69]

Some serious buying interest kicking into Rakon.

Looks like 2 big buyers - one 200k order came in last minute to take out all the stock on offer from 36c to 36.5c, leaving the buyer of 75k at 36.5c unfilled.

You probably right mate with your statement yesterday that some wise old heads are accumulating.

Brent was talking on the radio his morning about an underlying profit in excess of $10m ....that's a good start for a turnaround eh

[Leftfield]

Not sure about the 'wise old heads' implication. Links to the Rosetta space craft may give some much needed short term credibility to this stock, however the financial viability and track record of this company shows little evidence of 'wise old heads'.

Good luck to those holding, or those who purchased at the 'bottom'. DYOR and take care.

[BFG]

You probably right mate with your statement yesterday that some wise old heads are accumulating.

Brent was talking on the radio his morning about an underlying profit in excess of $10m ....that's a good start for a turnaround eh

The problem is that they pump their positive EBITDA but the NPAT is negative, so is he ACTUALLY talking REAL, BOTTOM LINE profits???

[winner69]

The problem is that they pump their positive EBITDA but the NPAT is negative, so is he ACTUALLY talking REAL, BOTTOM LINE profits???


Have faith BFG

Yes ...a sustainable turnaround says Brent

Andalusia $10m to $15m trading profit probably leads to REAL profit as well

As balance said yesterday a few wise heads have been buying in over the last few months, as well as ACC

http://www.radionz.co.nz/audio/player/20157201

[xafalcon]

Certain board members and management of this company have previously demonstrated on numerous occasions that they will say whatever they think is necessary to perpetuate their lavish lifestyle at the long-term expense of the shareholders funding it. I am sure this is more of the same smoke and mirrors reporting trickery they have been using for the past 7 years that I have followed this companies spectacular fall in value. All I can say is to take extreme care and DYOR

[BFG]

Just like BLT, only actions can save this company. NZ is obviously sick of the talk and wants to see some walk!

(Hope Simla doesn't read this page!) :p

[winner69]

Whatever people (by the sounds of it pretty clever people) continue to buy

As balance says ...remember RBD anyone?

[Balance]

holy s$%t with postings like that people will think I am posting under another name..... well said.
Yep not that long ago management were saying, among other things, the chinese were very interested in taking a direct stake in RAK..... still waiting

Have to agree that unlike RBD and THL as turnaround stories, there has been no major change in management or directors - hence, need to be cautious.

But as a few posters here know, I for one would not bet against the track record of two of the shareholders who have been buying.

Robinsons will continue to paint the picture their ego and pride need them to show. Fact is, they know they are jokes as far as 99% of the market is concerned so plenty for them to prove.

[Brain]

I think have lost my 40 foot barge pole. Not to worry I will not be needing it.

[blobbles]

RAKON - Our business is shrinking every year, but our losses are narrowing. In a few years we will have $50m in revenue and just be breaking even! YAY!

Hopefully it won't get that bad for them, but I wouldn't put it past them...

[BFG]

RAKON - Our business is shrinking every year, but our losses are narrowing. In a few years we will have $50m in revenue and just be breaking even! YAY!

Hopefully it won't get that bad for them, but I wouldn't put it past them...

Robinson thought patterns.

Until they are thrown to the wolves, this company will continue to be NZX driftwood and a great reminder of absolute wealth destruction.

[Schrodinger]

Robinson thought patterns.

Until they are thrown to the wolves, this company will continue to be NZX driftwood and a great reminder of absolute wealth destruction.

I probably shouldn't care but what advantage do they have over the competition? With such narrow margins this is a luke warn investment at best. If you compare this to say FPH who have healthy margins and therefore have strong and defensible IP & advantages over the market.

This is why with manufacturing gross/net margins are the most important or first thing you should focus on to get an understanding of the market situation.

[cdonald]

How exposed is Rakon to the USD? Will the revaluing of the NZD/USD have much impact?

[stoploss]

most of RAK sales are in USD......... SO YES VERY EXPOSED...... and a lower kiwi will have a positive impact.
Now all we need to do is get rid of the Robinsons and we will have a great company.

wouldn't surprise me if they hedged the Kiwi @ 80 cents !!!!!

[cdonald]

rakon got some volume going thru today. Cant see any mention of what is driving it in news etc... interesting

[Balance]

Stock is on the move - sp going up on big volumes.

Must be fascinating movements on the shareholders' list!

[Balance]

known to be a bit leaky.... good announcement coming me thinks

Maybe the Robinsons are selling out to another player?

Interesting that there was a crossing of 250,000 shares today at 38c.

The buyer(s) has not been shy of paying up for volume.

[xafalcon]

This will please the directors, upward movement of SP get's them closer to their next directors fee increase........

But I have heard too many empty statements from this company regarding how rosy the future looks to take any positive news from them at face value.

That is, unless there is news about departing Robinsons, which I would view as the most positive move this company could possibly make towards restoring shareholder value lost over the past 6 years

[Frostwind]

I've been buying and accumulated a decent line at an average price of around 38c.

[BFG]

known to be a bit leaky.... good announcement coming me thinks

Yup, seen this happen a few times. Looks like someone window dressed up to 40 since no one was in the way.

It has been extremely quiet lately from these guys. FY is not due until May so I do not know what this buyer is doing pumping the price. NTA is a measly 30 cents per share (which we all know is optimistic to begin with!) and there is huge expectations of profitability built into the SP @ 40 cents.

If they don't make profitability this year with a falling dollar then the market is going to savage them imho. A loss is still a loss, no matter how low the currency is, and these guys only know how to destroy shareholder wealth, not build it!

[Frostwind]

Yup, seen this happen a few times. Looks like someone window dressed up to 40 since no one was in the way.

It has been extremely quiet lately from these guys. FY is not due until May so I do not know what this buyer is doing pumping the price. NTA is a measly 30 cents per share (which we all know is optimistic to begin with!) and there is huge expectations of profitability built into the SP @ 40 cents.

If they don't make profitability this year with a falling dollar then the market is going to savage them imho. A loss is still a loss, no matter how low the currency is, and these guys only know how to destroy shareholder wealth, not build it!

Net Equity is 77m according to the Interim report, which is about 40.3c per share. They are forecast to make a profit of 10-15m including 4m loss in 1st Half, so the second half will make 14-19M alone, if we use P/E 15 as a base line for a company that's making a profit of 28-38M per year, it should be worth 420M to 570M which is around $2.5 a piece, buying it now is a steal

Please prove me wrong if my facts are wrong, or if you disagree, I'm always open to it

[Snow Leopard]

Net Equity is 77m according to the Interim report, which is about 40.3c per share. They are forecast to make a profit of 10-15m including 4m loss in 1st Half, so the second half will make 14-19M alone, if we use P/E 15 as a base line for a company that's making a profit of 28-38M per year, it should be worth 420M to 570M which is around $2.5 a piece, buying it now is a steal

Please prove me wrong if my facts are wrong, or if you disagree, I'm always open to it

Although Net Equity is indeed $77M or $0.403 a share but we all like to talk about Net Tangible Assets so we removed the intangibles and deferred tax and then we get NTA of $0.307 a share.

For the first half of the year they claim EBITDA of positive $4.3M which after the ITDA came off translated to NPAT of negative $3.4M.

Now Rakon have stated that full year EBITDA (not profit) will be from $10M to $15M so profit will be [small/nothing/negative] <<you can choose.

I do not like it when people pluck P/E ratios out of thin air and say the company is thus worth $X. If you want to value the company you had better give us a reasonable story of the next few years for Rakon.

Best Wishes
Paper Tiger

[winner69]

Although Net Equity is indeed $77M or $0.403 a share but we all like to talk about Net Tangible Assets so we removed the intangibles and deferred tax and then we get NTA of $0.307 a share.

For the first half of the year they claim EBITDA of positive $4.3M which after the ITDA came off translated to NPAT of negative $3.4M.

Now Rakon have stated that full year EBITDA (not profit) will be from $10M to $15M so profit will be [small/nothing/negative] <<you can choose.

I do not like it when people pluck P/E ratios out of thin air and say the company is thus worth $X. If you want to value the company you had better give us a reasonable story of the next few years for Rakon.

Best Wishes
Paper Tiger

Spot on PT but you shouldn't have tempered Forestwinds enthusiasm for Rakon - screaming buy

In Rakon's words the difference between their Operating EBITA and real profit is Underlying EBITDA c (Earnings before interest, tax, depreciation, amortisation, impairment, employee share schemes, non-controlling interests, adjustments for associates and joint ventures share of interest, tax & depreciation and other non-cash items)

All those things are probably $11m odd for FY15 (normalised off course) so as you say little or no or negative real profit this year

Its all about buying the dream again ..... maybe that dream will turn into reality. Who knows

[moimoi]

Hmmm...

Trading rather weakly for a stock 15 days out from supposedly producing its first positive EBITDA result in years.

No negative pre-announcement, could they actually do what they said they were going to do....

[xafalcon]

Yep, agree 100%. Leopards (aka Robinsons) don't change their spots. Forex losses has always been one of their favourite excuses for failing to live up to their own performance targets. So I'd assume they are now heavily covered at $0.85-0.88 for several years.......

[golden city]

finally rak has delivered

[winner69]

What, no comment on Rakon Earnings before a lot of other things UP 304% and a return to profitability

Well done

https://www.nzx.com/files/attachments/213395.pdf

[golden city]

if exchange rate keep at like this.., i am assume next year will be 12million profit..which looks good

[Vaygor1]

I have zero trust and zero confidence in rak and will not be analysing an iota of their results.
I hope pwc did their homework on the Auditor's report.
Well done to you Golden City and I trust the sp will follow accordingly for you.
Be careful out there. :)

[sb9]

I have zero trust and zero confidence in rak and will not be analysing an iota of their results.
I hope pwc did their homework on the Auditor's report.
Well done to you Golden City and I trust the sp will follow accordingly for you.
Be careful out there. :)

Yeah, must say do not have much faith in management either.

Disc - do not hold.

[Master98]

I heard rakon staff start working 4 days a week because not enough work to do, but not confirmed! DYOR!

[golden city]

I think it will be a turnaround story given the nzd ..helping lots

[golden city]

when no body likes a stock.., the price normal showing side of bottom up

[xafalcon]

I cant see it with present management and board, I took a small loss and got out another lesson learned, pay careful attention to management. moved on and made it back elsewhere

Couldn't agree more. In the 7 years I have followed the (mis)fortunes of this company, the senior management team have frequently shown their willingness to look after their own interests / income stream at the expense of all else, to the extent of telling untruths in response to pointed questions about the company direction & strategy. The board has too many senior management members to have any level of independance. I do not see anything changing until this cash cow is milked dry by the R's and they sail off into the sunset

[belted galloway]

I do not see anything changing until this cash cow is milked dry by the R's and they sail off into the sunset

Completely agree. Just because there has been one positive result (consisting of one off items nonetheless) it does not make up for the successive failures that have occurred time and time again.

As long as the Robertsons are involved, I will continue to avoid this company like the plague.

[golden city]

I believed the Huawei partnership with rak is very valuable in coming years..., as Huawei is the number one biggest technology company in the world

[golden city]

will see..if they have learn something .....

[cdonald]

any hope for this company now that the nzd/usd is starting to trend lower?

[janner]

any hope for this company now that the nzd/usd is starting to trend lower?

Ooops .. Almost broke my rule " NEVER " to talk about this company again.. :-))))

[xafalcon]

If Rakon's star is ever going shine again, the current forex conditions will be providing very strong assistance. NZD:USD is now 35% below the peak. On past performance this could quite easily mean one or more of the following - director fee increases, increased ground rent for their Auckland factory, pay rises for the senior management team (for a job well done of course), plant upgrade/expansion to enable perceived imminent increased production (since their China plant was so successful)

For a company that has used unfavourable forex as their excuse for failure so many times, I would have expected they should be issuing some updated guidance given the significant change that has occurred. That they have not done so, suggests to me that all is not well - probably their market share is continuing to fall and forex gains aren't keeping up

[Crackity]

If Rakon's star is ever going shine again, the current forex conditions will be providing very strong assistance. NZD:USD is now 35% below the peak. On past performance this could quite easily mean one or more of the following - director fee increases, increased ground rent for their Auckland factory, pay rises for the senior management team (for a job well done of course), plant upgrade/expansion to enable perceived imminent increased production (since their China plant was so successful)

For a company that has used unfavourable forex as their excuse for failure so many times, I would have expected they should be issuing some updated guidance given the significant change that has occurred. That they have not done so, suggests to me that all is not well - probably their market share is continuing to fall and forex gains aren't keeping up


I can paraphrase for you if you like?

Woof.....

[xafalcon]

Yep, agree 100%. Leopards (aka Robinsons) don't change their spots. Forex losses has always been one of their favourite excuses for failing to live up to their own performance targets. So I'd assume they are now heavily covered at $0.85-0.88 for several years.......

Here they go again, as expected. Average F16 forex = US$0.7000. First they were caught by the rising tide, then trapped by the falling tide. It's almost like they are deliberately sabotaging their own business through perpetually making the same mistakes.

Sales continue to fall, a 20% forex improvement only balances the fall

I would have been too embarrassed to make a presentation like that without including an announcement on the resignation of the CEO, CFO, Chairman........

Liquidate the company and move on

[golden city]

very disappointing forecast

[belted galloway]

Liquidate the company and move on

No chance this will happen. The Robinsons will continue to ride the gravy train until nothing is left. Nothing they say has any creditability.

[moimoi]

Anyone got any feedback from attending the AGM....?

[xafalcon]

Another seemingly bizarre spend-up from a company who's share value has decreased 35% in the last year, teased shareholders 6 months ago with the prospect of a first ever dividend, but never paid a dividend ever ever ever

I wonder what these guys are consuming that makes them think this is a priority area to spend in

Sounds like another Changdo to me

https://nzx.com/companies/RAK/announcements/275349

[Zaphod]

Having failed dismally to capitalize on the smartphone market, it appears that it's now time to focus on the next hot opportunity, IoT. Unfortunately their fundamental inability to execute remains.

[RGR367]

Having failed dismally to capitalize on the smartphone market, it appears that it's now time to focus on the next hot opportunity, IoT. Unfortunately their fundamental inability to execute remains.

Bad as it is but being Christmas time, I'll just let my disappointment with their latest move vanish into the christian world of merry wishing and "forgive them for they know not on what they do".

[xafalcon]

Appears like there are some investors who view the IoT as a positive development........

[Vaygor1]

Appears like there are some investors who view the IoT as a positive development........

Yeah.. probably one RAK Director quietly selling to another (again).

[sb9]

Another broken promise..not good, excuses and more excuses.

Disc - not a holder

[RGR367]

Yup. So what else is new but another disappointment.

Disc: long term suffering holder :mad ;:

[ddrone]

Looks like they've been quietly busy - https://www.nzx.com/companies/RAK/announcements/280286

[winner69]

Jeez - 50 billion things going to be connected to this Internet of Things ..........and every one of them will have a crystal ......and then there's thesensorsandall that periphal stuff

50 BILLION

And RAkon is going to be part of it

Stupendous stuff and Mr Robinson really excited
http://www.radionz.co.nz/audio/player/201795756

No wonder share price on the move

[cdonald]

50 billion actually... but that was Brent Robinson so probably about 1 billion in reality.

[Vaygor1]

Jeez - 50 billion ….And Rakon is going to be part of it ...


Oh how exciting.. and SP on the rise by 50 billion percent no doubt…oh and while on the subject we need to raise some more capital.

One word …. SHUN.

[Hectorplains]

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11630326

[RGR367]

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11630326

Nah, heard it all before :t_down:

[Hectorplains]

Nah, heard it all before :t_down:

Odds on they're gearing up for capital raising...

[Leftfield]

Reading the latest mkt update from Spark, the internet of things is also on their horizon for potential growth. Strong opposition ahead for RAK IMO.

[mondograss]

SPK and RAK would operate in different spheres when it comes to IoT. RAK is interested from a component supplier perspective. SPK is interested as a service provider, so no reason for opposition to each other, in fact a collaboration wouldn't be silly.

[Zaphod]

If SPK collaborate with RAK I will sell my SPK holding.

[ddrone]

Results in line with earnings guidance - EBITDA at 9mil (guidance $9-10mil).

Revenue decrease disappointing but shouldn't be a surprise to holders given earlier guidance.

Thoughts?

------------------------------------------------------
Results for announcement to the market
Date: 19 May 2016
Rakon Limited (RAK)
Reporting period 12 months to 31st March 2016
Previous reporting period 12 months to 31st March 2015

COMMENTS
Telcos’ infrastructure investment delays reduce earnings for Rakon
• Net loss after tax of NZ$1.7m vs Net profit after tax of NZ$3.2m in FY2015
• Revenue NZ$112.7 million (FY2015 NZ$131.4 million)
• 25% decrease in revenue from Telecommunications major contributor to decrease in total sales volumes and revenue
• Growth in margin dollars (and % of revenue) from consolidated subsidiaries: FY2016 NZ$47.9 million (43%) vs NZ$41.8 million (32%) in FY2015
• Increase in operating cash flow: FY2016 NZ$7.3 million vs NZ$3.6 million operating cash flow loss in FY2015
• New investment in Thinxtra opens up opportunities in Internet of Things (IoT)
NZD Millions, Audited FY2016 FY2015 % Change
Revenue 112.7 131.4 (14.2)
Underlying EBITDA1 9.0 15.4 (41.4)
Net profit/(loss) after tax(1.7)3.2 (>100.0)
Gross Profit 47.9 41.8 14.6
Operating expenses 47.8 46.2 (3.3)
Operating cash flow 7.3 (3.6) >100.0
Net debt 12.6 13.4 6.0

[Balance]

This dog does not hunt but unfortunately still capable of delivering a rabid bite to investors who stray too near!

[winner69]

This dog does not hunt but unfortunately still capable of delivering a rabid bite to investors who stray too near!

We should be grateful for their existence though mate

Keeps quite a few people around the world employed

Wonder how much of the $40m wage bill went to the family?

[winner69]

Accumulated losses now approaching $70m

[Balance]

Accumulated losses now approaching $70m

Robinsons facilitating the transfer of wealth from investors and other shareholders to customers, staff, overseas and of course, themselves and other directors.

[winner69]

Robinsons facilitating the transfer of wealth from investors and other shareholders to customers, staff, overseas and of course, themselves and other directors.

....and we shouldn't overlook the government grants they have received - helping NZ become a hi-tech country

[crabs]

We should be grateful for their existence though mate

Keeps quite a few people around the world employed

Wonder how much of the $40m wage bill went to the family?
classic example of a badly managed company that exist only as a front for the family to live out their dreams....at other shareholders expense....your choice if you want to invest in these guys but the performance history of the company(10 years or so) is laughable to date.
Someone needs to remind the Robinson family that whilst they may still have something to offer the company actual performance shows that they, more than likely, may not be the best candidates to fill their chosen rolls.

[smtrader]

I just listened in to their conference .. the Robinsons are a laughing stock..

don't get me wrong i strongly believe the company has potential, but they need young directors added to the board to steer it well.... and obviously some beter financial management.. i doubt their cfo has any input besides being a bookkeeper and a puppet for the Robinsons.

I think the company is ample for a hostile takeover.. if another tech company wants synergy and a backdoor to nzx, rakon would be a great match!!

[xafalcon]

Same old, same old........

This company is a prime example of the need to "Do your own research"

Never paid a dividend, history of extremely poor business decisions, abysmal shareholder guidance, failure to put the interests of the business before personal interests, using shareholder capital to maintain lifestyle, inability to anticipate market needs

Possibly the worst example of personal and company ethics on NZSE

Must be time to increase director fees.......

[smtrader]

If SPK collaborate with RAK I will sell my SPK holding.

hahahaha:t_up:

[Rep]

Same old, same old........

This company is a prime example of the need to "Do your own research"

Never paid a dividend, history of extremely poor business decisions, abysmal shareholder guidance, failure to put the interests of the business before personal interests, using shareholder capital to maintain lifestyle, inability to anticipate market needs

Possibly the worst example of personal and company ethics on NZSE

Must be time to increase director fees.......

It's also a very good example of what happens when you don't have good governance in terms of the composition, background and diversity on the board. They also haven't attracted anyone outside a very shallow pool to the board - in a country where there is lots of expertise in tech they have single handedly managed to be shunned or themselves shunned a lot of expert talent.

[xafalcon]

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11666492

Shareholders have just got to love the total arrogance and absence of ethics of these guys

The sooner the Rakon business fails, the better the NZX will be for it. One less snake for potential shareholders to be watching out for

[moimoi]

At the AGM of September 2012 the company made a public commitment that the Directors Fee's, AND the salaries of the Robinson's, would not increase until the company reported EBITDA of $25M.

EBITDA 2013 $5.1M
EBITDA 2014 $(7.5M)
EBITDA 2015 $15.4M
EBITDA 2016 $9M

Perhaps not a real commitment then hey. Just half a one....

[Joshuatree]

Corret me if my memory is wrong but i think the Robinson's also own the building/s Rakon leases., a win /win for them ehh!

[Under Surveillance]

At the AGM of September 2012 the company made a public commitment that the Directors Fee's, AND the salaries of the Robinson's, would not increase until the company reported EBITDA of $25M.

EBITDA 2013 $5.1M
EBITDA 2014 $(7.5M)
EBITDA 2015 $15.4M
EBITDA 2016 $9M

Perhaps not a real commitment then hey. Just half a one....

Here's the text of the commitment from the chairman's speech:

We also realise that some shareholders see a relationship between the performance of the
company and the remuneration of the Board. We, as significant shareholders
understand that and although there has been no increase in directors' fees
for the past 5 years we do not intend to seek any increase for individual
directors until Rakon at least achieves an EBITDA of $25 million, and even
then we will be very considered as to whether or not we will seek anything at
all. In a similar show of support for the company the CEO and the Marketing
Director, have agreed to have their remuneration fixed at today's levels
until such time as the $25 million EBITDA is achieved.

[Under Surveillance]

Another gem from the chairman's piffle at the 2012 AGM:

So while our share price and profit performance is not where we want it to be
Rakon is very well placed for the future. Management and the team globally
are very energised by the investments we have made over the past 3 years and
firmly believe we can capitalise on our unique global position. As investors
it is over to you to form your own views as to the company's long term value
but today's starting point of 44 cents per share is half the company's net
tangible asset value - in other words selling for half price.

[xafalcon]

Time for a Sharetrader "Wall of Shame" thread or perhaps a "Companies with clear lack of Ethics and/or Integrity" thread

Make it a sticky so that new users of Sharetrader can avoid loosing money on companies with a track record of such behaviour

[sb9]

Time for a Sharetrader "Wall of Shame" thread or perhaps a "Companies with clear lack of Ethics and/or Integrity" thread

Make it a sticky so that new users of Sharetrader can avoid loosing money on companies with a track record of such behaviour

Shareholders Assn calls for big change at Rakon

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11685004

[RGR367]

Shareholders Assn calls for big change at Rakon

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11685004

Also on NBR and not pay walled. The question is, can they gather enough votes to effect this change?

[xafalcon]

Also on NBR and not pay walled. The question is, can they gather enough votes to effect this change?

All I can say about this is ITS ABOUT TIME that these very dodgy Robinson people are removed from any influence over the direction of the company

Over the years I have followed this company they have regularly put their own self-serving interests before shareholders. Often rewarding themselves with huge salary and director fee increases while company performance continued to deteriorate, taking the share price with it. Never ever, ever paid shareholders a dividend, just destroyed shareholder wealth through incompetence

I do not accept that Rakon's deteriorating performance was market related. That's all part of the smoke and mirrors they use to explain more and more incompetence

I fully ascribe it to a lack of focused strategic direction, self-serving Robinson directors who are also senior managers, poor investment decisions, lack of knowledge/experience in market forces etc

It is always nice when people such as these are finally called to account

I hope the time nigh. But Brent is a very slippery character, so I'm not holding my breath

[Jaa]

Bravo the Shareholders Association!! :t_up:

And of course...
Rakon silent on demand for chief to go (http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11685285)

[BlackPeter]

Bravo the Shareholders Association!! :t_up:

And of course...
Rakon silent on demand for chief to go (http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11685285)

Brian Gaynor on Rakon and the NZSA:

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11687991

[blobbles]

Brian Gaynor on Rakon and the NZSA:

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11687991

Bravo! A great review of what has happened and 2 very clear options for shareholders. Why shareholders have not revolted against management yet is beyond me.

[cdonald]

https://www.nzx.com/files/attachments/241761.pdf

Well if anything is going to light a fire under small shareholders to get rid of the current group of people at the top who call themselves management, then this load of drivel letter from Mogridge should. This will be one of the first times I will be casting a vote at an AGM. time to see them all go.

[Alz99]

https://www.nzx.com/files/attachments/241761.pdf

Well if anything is going to light a fire under small shareholders to get rid of the current group of people at the top who call themselves management, then this load of drivel letter from Mogridge should. This will be one of the first times I will be casting a vote at an AGM. time to see them all go.

yeah i laughed when i got that letter. time to see them go.:eek2::eek2: they turned my thousands into hundreds,, stupidest investment i have ever made,, oh well you learn from your mistakes..;)

[cdonald]

well, given my vote for my shares to NZSA via the investorvote.co.nz website. The letter that they sent me sure made a lot more sense than the other letter that arrived on the same day from RAK. Best paragraph from the RAK letter is the one pleading to let Warren retire with dignity and applause. This seemed fitting being that his sons have given most shareholders a dose of "The Clap" over the last few years with their hollow promises.

[Vaygor1]

https://www.nzx.com/files/attachments/241761.pdf

Well if anything is going to light a fire under small shareholders to get rid of the current group of people at the top who call themselves management, then this load of drivel letter from Mogridge should. This will be one of the first times I will be casting a vote at an AGM. time to see them all go.

That farce of a letter does nothing more than reinforce something that everybody already knows... a board that is just plain broken. Empty meaningless piffle... which, for those unfamiliar with the term, is a combination of piddle and waffle.

Disc: I am not, and have never been a shareholder. As such I couldn't help but laugh my way through it sorry.

[xafalcon]

4 years ago at the AGM I suggested that liquidation was the most appropriate option to release shareholder value, given Rakon's net position at the time was $0.72cps, but share price was just under half that

Looking at todays market price of $0.20cps it seems like a much better outcome than the Board of Directors, the CEO, the CFO, and the patriarch have been able to achieve.

But of course the motivators are subtly different.

Shareholders want a return on their financial investment, something they have NEVER received

The aforementioned individuals want a return on their time investment, something they have ALWAYS (over) achieved

The problems with this company are so deep and long running that there is ZERO possibility that anything will materially change, period.

Cut out the cancer that is the Robinsons, and I bet there is no meaningful succession plan (unless there are some Robinson juniors rising through the ranks). Nobody who can step up and start to grow this company in a way that is profitable

The incestuous land ownership relationship ensures that even when the Robinsons are finally "run out of town", that the gravy train keeps on providing for them

Good luck to anyone (except the Robinsons) owning this stock

[blobbles]

Possibly the most entertaining part of the letter:

"The Board has nothing but praise for the efforts of Brent as the Managing Director in the very difficult market circumstances and refutes the comments that he is not a good CEO of Rakon. Brent is a highly skilled professional and regarded by many of those in the industry to be without peer globally."

Ha haaaa haaaa haaaaa. You heard it here first. Brent Robinson is considered by many to be the best CEO in the world. I would like those peoples names.

[RGR367]

Hope this happens http://www.stuff.co.nz/business/industries/84164620/rakon-may-not-have-done-enough-to-fend-off-agm-embarrassment

[Blendy]

Hope this happens http://www.stuff.co.nz/business/industries/84164620/rakon-may-not-have-done-enough-to-fend-off-agm-embarrassment

I'm heading along to the meeting to see what happens - anyone else going? I'll be sure to post exciting updates throughout :)

[xafalcon]

I'm heading along to the meeting to see what happens - anyone else going? I'll be sure to post exciting updates throughout :)

Photo's please.

The look on Brent's face will be priceless to the many past and present shareholders (myself included) who have endured his lavish reign of incompetence

[Vaygor1]

I'm heading along to the meeting to see what happens - anyone else going? I'll be sure to post exciting updates throughout :)

Breaking news: RAK applying to the New Zealand Stock Exchange to rename it's ticker code to LAU.

The proposed change is to help enable the company's brand to reflect its global reputation.... Laughing Stock.

[RGR367]

Breaking news: RAK applying to the New Zealand Stock Exchange to rename it's ticker code to LAU.

The proposed change is to help enable the company's brand to reflect its global reputation.... Laughing Stock.

I thought they already have a pending application to be called REK. So as to jive the damage they've done to the shareholding public.

[Blendy]

if anyone else is going today and wants to say hi, i'll be the lady in the black dress and blue & yellow shoes :)

Otherwise, please stand by for my exciting updates live blogged from the event!

[BlackPeter]

if anyone else is going today and wants to say hi, i'll be the lady in the black dress and blue & yellow shoes :)

Otherwise, please stand by for my exciting updates live blogged from the event!

We are looking forward to your updates ... this must be one of the most exciting AGM's over the last decade.

Pity (but not surprising) they don't provide a livestream ...

[stoploss]

We are looking forward to your updates ... this must be one of the most exciting AGM's over the last decade.

Pity (but not surprising) they don't provide a livestream ...

They are a technology company ...that would be beyond their capabilities....

[Blendy]

Packed house! Standing room at the back!

[Blendy]

Bryan Mogridge thanks everyone for their 'active interest in the performance of Rakon', and our strong feeling for change. But that we need to keep company culture in mind when addressing such change.

[Blendy]

Salaries being reviewed with a 12.5% decrease and no bonuses

[Blendy]

Warren Robinson intends to retire

[Blendy]

No interesting global opportunities on the horizon for new business

[Blendy]

"We don't like getting told off in public"

[Blendy]

Brent Robinson gives a historic overview of the company from the 1960's. He was made MD in the 1980's and business wasn't good. Some opportunities led to short term profits but tech change happened adversely. Got a $1m deal for gps oscillators then "we pulled that trick off again" with another company. $$$$$

[Joshuatree]

I hope everyone got handed a barf bag at the door.:scared:

[Blendy]

Generally it's a long story of "we tried all these things but never quite picked the right one, so sorry about that"

[Blendy]

Samsung, Cisco, Nokia, Ericsson all forecast potential orders, but never followed through

[Blendy]

"We can't just go out and turn on new business like a tap!" Lol

[Joshuatree]

Id like to know how much the Robinsons are leasing their buildings to Rakon for and the terms.

[Blendy]

Space and US Defense is their latest new market.

Ooh a reference to the Internet of Things! "That's I O T"

[Blendy]

Making smart dog collars and smart smoke alarms with Rakon products inside

[Blendy]

Cutting costs by 20%. Redundancies being negotiated currently.

[Joshuatree]

Someone reading this on your cell quick get the slow hand claps going , followed by foot stomping and a growing murmur to full noise of "Outoutout....

[Blendy]

Lol there was some awkward slow claps!

[kiwidollabill]

"We don't like getting told off in public"

It IS a publically listed company.... nothing to hide.... (any more)

[Vaygor1]

"We don't like getting told off in public"
They've earned it. 10 times over.


"We can't just go out and turn on new business like a tap!" Lol
How many years have they had? How many years have we heard this bulls**t.


Warren Robinson intends to retire
"Intends" aye.... intent is intent....1 year later...... "Oh, I changed may mind and decided to stay"


Salaries being reviewed with a 12.5% decrease and no bonuses
A review does not constitute a decision to change. Isn't 12.5% less than the increase they just received?

[Blendy]

NZ Shareholder Association - presenting a delightfully brutal and scathing speech as the first question

[Joshuatree]

In reply to kwbills post. Yeah righhht!:t_down: Tui's being offered?

Enjoying the commentary thanks folks:t_up:

[Blendy]

I hope they post the speech on their site as it's very good and there's too many good points for me to note here

[Blendy]

Interesting point of view from a gentleman who disputes the NZSA, and strongly believes it's the wrong decision to oust the Robinsons. "It's absolutely idiotic!"

[Vaygor1]

Interesting point of view from a gentleman who disputes the NZSA, and strongly believes it's the wrong decision to oust the Robinsons. "It's absolutely idiotic!"

Clearly a shill.
https://en.wikipedia.org/wiki/Shill

[Blendy]

Question about whether it was discussed how ethical it was for the bonuses to be accepted.

They decided it was a good motivational tool, and well deserved.

[Blendy]

A shareholder suggests that 10 years is a long time to not see a return on investment and something has to be done quickly.

Chairman: "um, yeah, we can see your point"

[Joshuatree]

And what; $100million invested and gone?

[Blendy]

"We rue the day our shares hit $5 as people thought our company was something it is not"

[winner69]

Clearly a shill.
https://en.wikipedia.org/wiki/Shill

Probably Balance

[Vaygor1]

"We rue the day our shares hit $5 as people thought our company was something it is not"
A totally irrelevant measure. At $0.20 share price, the market valuation of the 'company' is 12.5% of its IPO price of $1.60... 87.5% is down the toilet.

[Blendy]

Darren Robinson is speaking about why he should be reelected.

"We've been at the leading edge of technology for 49 years because our customers trust us."

He wants to protect long term customer relationships. "I own those relationships. Removing me from the board would send our customers the wrong message."

"I give you my word."

"We are a takeover target without the family, with low shareholder return"

[Vaygor1]

Clearly a shill.
https://en.wikipedia.org/wiki/ShillProbably Balance
I am chortling away Winner.

[Blendy]

An investor with Chinese market knowledge specifically requests they recruit a staff member from Massey university in Albany to go to Beijing (titters from the audience at this specificity) to seek new business in a space dev company she knows of

[Vaygor1]

Darren Robinson is speaking ......."I give you my word.".... "We are a takeover target without the family, with low shareholder return"
I give him the facts. With the family, the shareholder return is zeeeeeeeeeerooooooooooooo.

[Blendy]

Lots of discussion about whether the sales staff should be on the Board. "Just place your vote, let's not keep talking about this"

[xafalcon]

Darren Robinson is speaking about why he should be reelected.

"We've been at the leading edge of technology for 49 years because our customers trust us."

He wants to protect long term customer relationships. "I own those relationships. Removing me from the board would send our customers the wrong message."

"I give you my word."

"We are a takeover target without the family, with low shareholder return"

If customers trusted them, why didn't they secure orders from Samsung, Cisco, Nokia, Ericsson

"Customer relationships" is code for Darren's gravy train

Great posts Blendy

[Blendy]

It's voting time! Weirdly, there are photographers taking pics of the manual votes being posted in the boxes the Computershare people are bringing around

[Blendy]

Question following up a question from last year about Board Diversity.

Chairman "Do you mean a female?"
Shareholder "No, I mean diversity of thought"

Nice answer.

Chair "the media doesn't have a clue what we do"

Not sure how that answers the question.

They are going to seek requests from shareholders and NZSA to get some fresh board member suggestions.

[Blendy]

Question: "do you think we will see a dividend soon?"

Everyone falls off their chairs laughing. St. Johns on their way!

[Joshuatree]

LOL; sounds hopeful shareholders are not prepared to give them any more chances; fingers crossed.

[Blendy]

Question about lack of industry diversification, since Robinson crystal specialists on the board could be stifling diversification to other business eg electric cars etc

[Vaygor1]

Chair "the media doesn't have a clue what we do"

Yeah, like that'll get the press on their side. *snigger*

[Blendy]

Important vote on whether people prefer this venue (Viaduct Events) vs Ellerslie. Public transport complaints etc, but voters by show of hands prefer Viaduct

[Blendy]

Chair describes Siri as "the little lady in your phone"

[Blendy]

Brent "we are simply repositioning ourselves after the GFC!"

[Joshuatree]

Trying to win folks over with humour. Ive slept with Siri btw lol

[Joshuatree]

Wriggling squirming anything to keep the gravy train ANYTHING. Transparent as you know who.

[Blendy]

Question: can you please confirm you are not providing items to illegal weapons?

Concern regarding supply to defense. Not really a clear answer

[Blendy]

"We've created a gps tracking device that will connect up to the IoT"
"I'm letting secrets out of the bag here!"

I don't think they understand their buzzwords

[Blendy]

Meeting over. Cup of tea time.
Thank you for reading my live blog of this event!

[Joshuatree]

Thanks so much for doing it B:t_up:lendy. Do we know how the voting went?

[RGR367]

Meeting over. Cup of tea time.
Thank you for reading my live blog of this event!

Nice blogging Blendy. You complimented very well the tweets from @NBR. Thanks a lot.

[Blendy]

Not yet - votes will be posted to NZX as soon as they are available.

A pleasure - next week I'll do the same for either TIL or OHE (they're on at about the same time)

[Blendy]

Oh very nice - I'll check the nbr tweets for comparison :)

[Blendy]

Nice blogging Blendy. You complimented very well the tweets from @NBR. Thanks a lot.

I was just asked if I'm here as a reporter or shareholder. I'm the wrong age group for the standard shareholders here.

[Joshuatree]

Rakon 2016 Annual Shareholders Meeting - Voting Results4:39pm, 16 Sep 2016 | MEETING16 September 2016
Rakon Limited (NZX: RAK)
Resolutions Voted at the 2016 Annual Meeting of Shareholders

All resolutions proposed at the Rakon Limited Annual Meeting of Shareholders held on 16 September 2016 received a majority of votes.
The specific resolutions voted were:
1. Bryan William Mogridge was re-elected as a Director of Rakon Limited.
For: 109,431,352
Against: 20,272,860
Abstain: 536,682
2. Darren Paul Robinson was not re-elected as a Director of Rakon Limited.
For: 57,517,988
Against: 70,665,346
Abstain: 2,057,560
3. The directors are authorised to fix the Auditors remuneration for the ensuing year.
For: 128,590,781
Against: 472,734
Abstain: 1,177,379
The Board has determined that, in its view, the Independent Directors of the Company (in terms of the NZX Listing Rules) are Bryan Mogridge and Bruce Irvine

[stoploss]

Good work NZSA ......

[Scrunch]

Just thinking - Events that almost happened:

Rakon was looking to Investing, Develop Internet Of Things but this project name didn't work - Idiot

Rakon realized that it needed project identification codes to help identify projects so it added ID to the start of each project. Also to further clarify who was responsible a senior manager or board member would be tagged to the end of the project name. Guess what happened when they got to the project below?

IDIOT - Bryan Mogridge

[janner]

Just thinking - Events that almost happened:

Rakon was looking to Investing, Develop Internet Of Things but this project name didn't work - Idiot

Rakon realized that it needed project identification codes to help identify projects so it added ID to the start of each project. Also to further clarify who was responsible a senior manager or board member would be tagged to the end of the project name. Guess what happened when they got to the project below?

IDIOT - Bryan Mogridge

First came across Bryan when he was driving a desk at Montana.. Quite impressive..

Obviously has risen to the height of his incompetence. ..

[moimoi]

A lot of experts on here it seems who have started a high tech component manufacturing business from a garage 50 years ago and subsequently turned it into a venture with many millions of $ of sales...

Judging by the questions asked at the meeting a fair chunk of those present couldn't have much of an understanding as to what the company actually does. (might not be able to touch their toes either without tipping over)

The company could start its 20% cost cutting procedure by enacting a small shareholder sale facility for the 25% of the register in number that hold less than $440 of shares.

You rocked the shoes Blendy.. ;-)

[Joshuatree]

Been a disaster for shareholders. Only winners have been Robinsons. Congrats to the Shareholders assn and those that were proactive. heres hoping some good comes from this. No consolation for original holders though.


https://online.asb.co.nz/ost/83B1D971FA250A4D8514FE6C9D036330/external/largeimage/rak/nzx?range=10y&adjust=1&chart=line&ma1=30&ma2=60&scale=linear&indicator=vol

[stoploss]

[QUOTE=moimoi;637164]A lot of experts on here it seems who have started a high tech component manufacturing business from a garage 50 years ago and subsequently turned it into a venture with many millions of $ of sales...

Judging by the questions asked at the meeting a fair chunk of those present couldn't have much of an understanding as to what the company actually does. (might not be able to touch their toes either without tipping over)

The company could start its 20% cost cutting procedure by enacting a small shareholder sale facility for the 25% of the register in number that hold less than $440 of shares.

You rocked the shoes Blendy.. ;-)[/QUOTE
That $ 440 of shares was worth more than $ 10,000 in better times .
If you take time to read annual reports these guys made references their chips would be in most smart phones etc, etc . As they admitted today they thought they had contracts with many companies but never managed to pull it off ... Was that the sales managers fault ??? Meantime there have been billions of smartphones made and this company is pretty much a Penny dreadful .However still paying blue chip salaries ...,,,
Many millions of sales is irrelevant if the cost of sales is many , many more millions . Hence this company only turning a profit one year .... Despite promises every year to do better ....

[whatsup]

Look If RAK had a GOOD business model and was a company with a GREAT FUTURE it would have been bought out years ago by come off shore biggee, just how does this company fund its annual losses and when will it run out of options/fail!?

[Joshuatree]

Rational to look at RAK now and question if there is potentially value and that it may be a good time to enter after this shakeup.But this one line from article below from todays share trader updates says it all.

"Hawkins pointed to an old saying that the people that get you into trouble are rarely the ones that get you out of it."

RAKON NON-ALIGNED SHAREHOLDERS OUST DARREN ROBINSON FROM BOARD, LOOSEN FAMILY'S GRIP



Friday 16th September 2016
Text too small? (http://www.sharechat.co.nz/text-too-small.html)


Rakon shareholders not aligned to founder Warren Robinson have voted his son Darren off the board as part of efforts to loosen his family's grip on the electronic components maker.Proxy votes went against re-electing Darren Robinson although chairman Bryan Mogridge survived the vote. Shareholders are upset at the company’s lacklustre performance, flagging share price, and lack of dividends since it listed 10 years ago. Mogridge was re-elected It is the first time the NZ Shareholders’ Association has ousted a director through a vote. Association chairman John Hawkins told the meeting the Robinson family had listed the company and then continued to run it like a family-owned business. Mogridge was re-elected on 84 percent of votes cast while Robinson was ousted with 54 percent of votes.In August the association wrote to about 6,000 Rakon shareholders seeking proxy support to reduce the Robinson family’s level of control on the board. They represent half the directors on the board but hold only 24 percent of the company’s shares.Darren Robinson told shareholders that it was important to customers that he continue to be able to directly represent their interests at board level but several shareholders at the meeting said there needed to be a clear distinction between management and governance, as was the normal practice in New Zealand and Australian listed companies.Ahead of the vote, Mogridge said founder Warren Robinson, who wasn’t up for re-election today, was prepared to stand down before the next AGM but wanted to do so with “dignity”. Mogridge also said he will only serve one more term.Rakon, which makes frequency control and timing components for the telecommunications, defence and space industries, reported a $1.7 million full-year net loss in May.Its share price has dropped from $1.60 when it listed on the NZX in 2006 to just 20 cents today on the back of failed investments and missed financial targets. In its heyday in 2007 the share price hit $6 per share.Chief executive Brent Robinson said the company was on track to deliver a 20 percent cut in operating costs by the end of the fiscal year ending March 2017, but the full benefit of that wouldn’t be realised until the final year. He said redundancies were involved, without saying how many.He recounted the history of the company in a seeming effort to get shareholders onside, saying its latest sales drop in the last financial year and this year related to a downturn among its key telecommunications customers. Revenue from the telco business dropped 41 percent in the 2016 financial year.Brent Robinson said they were getting some traction in the defence and space industries and were developing new products as part of its investment in a new Internet of Things network being rolled out in Australia and New Zealand.Hawkins said the CEO had a “lot of excuses” but it was his job to sort out problems that arose in the business. The credibility of the board and management was now in question, he said.“Year after year there have been upbeat forecasts and reassurances”, he said, but year after year the outcome was less than what had been promised," he said. "Everyone knows Rakon’s performance has been dismal and the management and board have a litany of excuses over what went wrong – it’s always external factors.”Hawkins pointed to an old saying that the people that get you into trouble are rarely the ones that get you out of it.Shareholders also questioned Mogridge why the company hadn’t delivered on promises made at the last AGM to diversify the board, with Hawkins saying the nominations and remuneration committee had not held even one meeting all year. Mogridge said the issue had been discussed at board level and there was an acknowledgment of the need for change.In the letter to shareholders sent in August, the association said the final straw for many shareholders was the decision last year to increase Brent and Darren Robinson’s pay by about 23 percent – to $907,892 for the chief executive and to $734,605 for the marketing director, respectively.In 2012 the company promised to freeze director and executive director pay until underlying earnings hit $25 million, which has not happened.Mogridge said today the increase related to bonus entitlements from the 2015 fiscal year which the board approved for payment in 2016, while the base salaries remained frozen.Following shareholder disquiet, the executive directors have agreed to a 12.5 percent cut in their base salary and no bonus entitlements this year.Mogridge was paid $120,000 last year while Warren Robinson got the standard director fee of $60,000 per annum.In April Rakon said its cornerstone investment in Australian start-up Thinxtra, which is rolling out a new “internet of things” network in partnership with French company Sigfox, is expected to start having a positive impact on the company’s earnings by 2018.Thinxtra last week completed its first significant round of venture capital financing, raising A$11 million. Rakon’s 64 percent stake has been diluted to 36 percent as it made no further investment in the latest round. It has paid out A$5.8 million to date.Thinxtra said it was on track to provide coverage through its LPWAN ( low-power wide area network) for 85 percent of Kiwis and Australians by June next year and is looking to expand into Asia. It has currently achieved 33 percent coverage in New Zealand.BusinessDesk.co.nz

[Blendy]

You rocked the shoes Blendy.. ;-)

Hehe thanks! If you were there, you should have said hello!! I didn't really talk to too many people, but I had a nice chat to Bryan's wife/ladyfriend

[tim23]

Don't know why the family don't buy back the business 35c a share might do it?

[BlackPeter]

I hope they post the speech on their site as it's very good and there's too many good points for me to note here

Here it is:

If you would like to read the NZSA Chairman's address to the Rakon AGM:
http://www.nzshareholders.co.nz/pdf/correspondence/NZSA%20address%20to%20Rakon%20pdf.pdf

If you want to help the NZSA to pretect your interests as a shareholder .... here is your opportunity:
https://www.nzshareholders.co.nz/members.cfm

Discl: NZSA member;

[Blendy]

Thank you very much for posting those links, BlackPeter!

[RGR367]

The interview after the AGM https://soundcloud.com/nbr-radio/rakon-shareholders-give-darren-robinson-the-boot

[Schrodinger]

The removal of this Director doesnt really change a thing. The person/people that also needs to be removed is the CEO and the board. The Robinsons are still well supported with their mates as Directors and these guys will protect them for a while longer. Push for a greater change in the leadership.

[whatsup]

The removal of this Director doesnt really change a thing. The person/people that also needs to be removed is the CEO and the board. The Robinsons are still well supported with their mates as Directors and these guys will protect them for a while longer. Push for a greater change in the leadership.

Sch, I don't agree, they need to hit their sales targets , once they over achieve on that then imo all will be forgiven, s p will rise, the company will have a sounder footing, the future will look bright but that will not happen until the s p is ahead of $2.50, now what are the chances of that happening, its all in the sales !! hmmmm !

[tim23]

There was a good quote the other day re this along the lines of the directors who made the mess seldom get you out of it!

[winner69]

Chairman says Brent is 'without peer' in the global crystal industry

Brent says he willing to stand down if the Board 'can find a better CEO'

Radio NZ this morning

I loved building crystal sets when I was a boy - listened to the races and rugby on them.
Still buy the kits http://www.ebay.com/bhp/crystal-radio-kit

[janner]

Chairman says Brent is 'without peer' in the global crystal industry

Brent says he willing to stand down if the Board 'can find a better CEO'

Radio NZ this morning

I loved building crystal sets when I was a boy - listened to the races and rugby on them.
Still buy the kits http://www.ebay.com/bhp/crystal-radio-kit

I made a comment a few years ago.. Never to comment again on RAK...

Bwaaaaaahhaaaaa.....Haaahaaaaahaaaaaaaaaaaaaaaa..

Is that a comment ???

[BlackPeter]

Article in the Herold about Rakon and the NZSA ...

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11714225%20

[Blendy]

I see Rakon have now advertised the positions for Independent Directors, and am curious about who they will attract to take on the challenge of turning this company around.

I'm at the beginning of my governance career but was half tempted to apply anyway - it's usually interesting to be a part of a major change process.... and surely the company situation couldn't possibly get any worse (?!?). Any changes implemented from here could only improve things I would hope.

Or would it all be a waste of time...

[BlackPeter]

I see Rakon have now advertised the positions for Independent Directors, and am curious about who they will attract to take on the challenge of turning this company around.

I'm at the beginning of my governance career but was half tempted to apply anyway - it's usually interesting to be a part of a major change process.... and surely the company situation couldn't possibly get any worse (?!?). Any changes implemented from here could only improve things I would hope.

Or would it all be a waste of time...

Caution ... I think this is an excellent opportunity to ruin ones name. How many other opportunities do you think the Wynyard directors will get? Things can always get worse until they reach the WYN / PPL stage ...

As well - I don't know your background, but I think to turn this ship around they will need a handful of very experienced directors (able to stand against the self serving family and the reminder of the board with lots of personal luggage), not people at the beginning of their (hopefully successful) governance career.

If you want my recommendation ... apply for the other job ;)

[Blendy]

yes, as i expected, and thank you for the advice :)

[Rep]

Caution ... I think this is an excellent opportunity to ruin ones name. How many other opportunities do you think the Wynyard directors will get? Things can always get worse until they reach the WYN / PPL stage ...

As well - I don't know your background, but I think to turn this ship around they will need a handful of very experienced directors (able to stand against the self serving family and the reminder of the board with lots of personal luggage), not people at the beginning of their (hopefully successful) governance career.

If you want my recommendation ... apply for the other job ;)

+1 on BlackPeter's view.

I have had the view that RAK has had the worst example of governance on the NZX with a board completely captured by management and the Robinson Family to the detriment of other shareholders.
The topic of the advertisement was raised recently with a group of my peers - and the overwhelming consensus was that it was a fool's errand and anyone contemplating expressing interest did so at their folly - no point tying a lifeline from your lifejacket harness to the handrail of the RMS Titanic.

[moimoi]

So Blendy, if ya don't mind us asking, as a potential Director of RAK, what changes would you be seeking to enable them to increase the pricing of their product(s)? (effectively that is the issue with RAK isn't it..no pricing power?)

and

Black Peter: ""How many other opportunities do you think the Wynyard directors will get?"" Have any of them been stood down from their multitude of other Directorships due to the catastrophic collapse of WYN? nup! Any biography accompanying an election proposal to a Director position won't even mention WYN.

[BlackPeter]

Black Peter: ""How many other opportunities do you think the Wynyard directors will get?"" Have any of them been stood down from their multitude of other Directorships due to the catastrophic collapse of WYN? nup! Any biography accompanying an election proposal to a Director position won't even mention WYN.

hmm - nice try, but how much do you know about WYN and its directors?

One of the outstanding attributes of the WYN board was that hardly any of the directors had any governance experience (or other directorships). This might have changed with a handful of late comers (appointed this year), but I am not sure, whether it is fair to blame them for the demise anyway.

But back to our system of governance - sure, it is unheard of that a director gets stood down for failing in some other board (or for failing at all) - though it is not that difficult to find examples for directors retiring (or not standing again) for reasons which (though not officially) might be related to their performance.

As well - new directors are not picked by share holders, but by the sitting board. Share holders are just allowed to approve afterwards the boards decision based on very selected information.

Boards may or may not be happy to pick "running mates" with lackluster performance and a patchy CV's as long as they belong to the old boys network and play in the same golf club. However (apologies to Blendy) particularly if candidates stand at the beginning of their governance career, are not part of the network and female, than they will use a quite fine comb to go through past experiences before they decide to give them a go. Sitting on the board of a failed company (in my view a valid scenario for RAK) might not look that flash in this case in the CV.

And sure - failures don't appear in directors public CV's, but believe me - the board picking the candidate will not make its decision based on the 2 paragraphs they later give their share holders to approve their choice.

[carrom74]

So...Results time tomorrow...Wondering what would be the "excuse" this time!

[cdonald]

So...Results time tomorrow...Wondering what would be the "excuse" this time!

The results are nothing short of terrible. Blaming sluggish demand again. Then when you look on page two is says that Rakon is a leader in their field. Might suggest that they spend a bit of money on slug slam as they are obviously standing in the wrong field and they have a pest problem. Time for the "management" to leave and hand the company on to someone who knows what they are doing.

[cdonald]

http://www.rakon.com/component/docman/doc_download/542-hy17-preliminary-results-announcement?Itemid=

[BlackPeter]

http://www.rakon.com/component/docman/doc_download/542-hy17-preliminary-results-announcement?Itemid=

Sad ... looks like RAK missed the boat big time, there is a price to pay for a board too busy in looking after family interests instead of after the company.

As a side note - they are not even capable of correctly completing their reporting templates:

8452

Not that it really matters - but wouldn't the correct notation for their loss according to their own template be "(5,698)" instead of "-5,698"? I agree, it does not look better, but it would be an indication whether whoever filled out the form would be able of reading and following simple instructions.

Anyway - if they still manage to install a better board before they do the WYN thing ... these guys (and maybe gals) will have a hell of a job ahead of them. I don't envy anybody getting on this board ...

[JayRiggs]

With early H2 orders turning higher, the Company is forecasting H2 revenue to be up 12%-15% on H1.
Absolutely do not believe them. Expecting this revenue forecast to be downgraded. No credibility with these muppets.

[carrom74]

And the surprising part of it is that there are still buy orders of more than 700000 shares....Do people still believe in this company? Clueless...

[Sgt Pepper]

[QUOTE=carrom74;645137]And the surprising part of it is that there are still buy orders of more than 700000 shares....Do people still believe in this company? Clueless...[/QUOT


Wow from $6.00 per share and nzx darling in 2008 to 17 cents today

[GTM 3442]

[QUOTE=carrom74;645137]And the surprising part of it is that there are still buy orders of more than 700000 shares....Do people still believe in this company? Clueless...[/QUOT


Wow from $6.00 per share and nzx darling in 2008 to 17 cents today

I understand it wasn't easy. Took a lot of effort. . .

[Baa_Baa]

[QUOTE=carrom74;645137]And the surprising part of it is that there are still buy orders of more than 700000 shares....Do people still believe in this company? Clueless...[/QUOT


Wow from $6.00 per share and nzx darling in 2008 to 17 cents today

If it cost them less than .17 then of course they'll still be selling to the hapless, regardless of the company situation, and particularly so if it's truely fecked and the exit is not obvious to the majority. Lies and untruths grease the wheels of fortune and disconnection from past and previous misdemeanours.

[Sideshow Bob]

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11770099

"Shot in the Arm" rather than shooting themselves in the foot..........

[xafalcon]

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11770099

"Shot in the Arm" rather than shooting themselves in the foot..........

Much more likely to be akin to giving a terminal patient a new recliner chair - palliative care, but doesn't change the outcome

Nice opportunity for those that picked up shares at recent levels to make a nice % gain though

[moimoi]

Cash injection into the Balance Sheet, near debt free, tie up with a larger Asian focused partner, AMD and Cisco announcing reasonable financial numbers buoyed by IOT...

Still no love for the RAK...?

[Vaygor1]

Cash injection into the Balance Sheet, near debt free, tie up with a larger Asian focused partner, AMD and Cisco announcing reasonable financial numbers buoyed by IOT...

Still no love for the RAK...?

Hell no.

They cannot be trusted so listening or reading anything they produce is a complete waste of time irrespective of how they might fare.

[RupertBear]

[QUOTE=Sgt Pepper;645162]

If it cost them less than .17 then of course they'll still be selling to the hapless, regardless of the company situation, and particularly so if it's truely fecked and the exit is not obvious to the majority. Lies and untruths grease the wheels of fortune and disconnection from past and previous misdemeanours.

For a minute I thought I was reading a Wynyard post! Cant believe Rakon outlived them! ;)

[carrom74]

[QUOTE=Baa_Baa;645177]

For a minute I thought I was reading a Wynyard post! Cant believe Rakon outlived them! ;)

Nah...Rupertbear RAK is worth something...WYN cant be outlived...But IQE is giving it a tough competition in the race!!

[Baa_Baa]

[QUOTE=Baa_Baa;645177]

For a minute I thought I was reading a Wynyard post! Cant believe Rakon outlived them! ;)

Ha ha, somehow that got attributed to Sgt Pepper who may not be pleased by it, but I recognise those words @Rupertbear. The difference between RAK and WYN, apart from one is still trading, is that RAK have much more successfully hoodwinked their shareholders for many years more than WYN could achieve. Smart selfish directors last a lot longer than naive directors. Both eventually come to a sticky end, sadly along with their shareholders. Invest in RAK? Pass the Tui.

[whatsup]

Today, resignation of Sir Peter Maire, , is this a bail out of something else ?

[RGR367]

Will this really help RAK eventually? http://www.thinxtra.com/2017/03/first_solar_powered_gps_tracker_with_sigfox/

[moimoi]

Over in Oz today TPG has flagged a $1.9b investment to build a new 4G mobile network...


Still no love for the RAK...?

[Vaygor1]

Will this really help RAK eventually? http://www.thinxtra.com/2017/03/first_solar_powered_gps_tracker_with_sigfox/

Regardless of the answer, the real question is 'Will RAK help its shareholders?", to which imho the answer is No.


Over in Oz today TPG has flagged a $1.9b investment to build a new 4G mobile network...
Still no love for the RAK...?

None whatsoever.

[winner69]

True to form ....no surprises, another big loss

https://www.nzx.com/files/attachments/258377.pdf

But -

(Extract) Although the result for FY2017 is very disappointing, there has been a number of achievements in the year that provide Rakon a stronger position from which improved results can be achieved in the coming year.

So all hunky dory on the western front