Snakk

[Balance]

Moosie can only buy so many!

Great you have a sense of humor, Moose!

Because Sorehead and Derek are laughing all the way to the bank - selling their 0.5c entry price shares to you at 12c.

[winner69]

Moosie can only buy so many!

So moose buy no more .... Will need to find willing tassie tigers and wombats and wallabies won't they

[couta1]

I'm in for a fun time, not a long time Balance. You should know that by now!

My sense of humour is well tuned. I give Sparky a run for his clown money every ince in awhile

Ditto re fun time

[Balance]

There is no question that mobile apps and ads are taking off and growing exponentially.

In common with all high growth industries however, will be a large number of players - existing and new, attracted by the growth and the opportunities.

Many of these players will fall by the wayside.

Remember the ISPs? Remember the mobile phone players?

Question then - who are the players in the mobile ads industry and what are their competitive edges?

Using revenues as a guide is dumb analysis as market share can be bought. Any assessment of a company's prospects must be based upon an understanding of the underlying profitability of the revenue streams. This is why forecasts are important or a clear understanding of a company's overall strategy.

Example - 42 Below never made a cent in profit but it's strategy of market share to attract a buyer was clear from day 1. Rakon made profits but lost it all as its competitive edge was eroded when GPS went mainstream.

The thing to note is that during a company's initial ramp-up to scale and profitability, cash burn is a feature so capital has to be conserved. Market appetite has to be managed rto facilitate more capital raising.

Over to you, Moose (ex- Chief Derek Handley cheerleader).

[Swiftideas]

...laughing all the way to the bank - selling their 0.5c entry price shares to you at 12c.

Bakery Boys had their fingers in Snakk via the Hyperfactory. They've been in deep since before 2008 - http://www.nbr.co.nz/article/42-belo...-venture-35670


Sorenson & Seadragon bought into Snakk in 2010 - only a few months after the Hyperfactory sale went through - risky times for Snakk hence the price - https://nzx.com/companies/SEA/announcements/204214


Early stage investors take highest risk and so deserve their profit. What is the actual problem here?

[Schrodinger]

Still not convinced about the margins on this business.

Can someone confirm that they run a service style business with a tech platform bolted on? Do they get a revenue share option for campagins or are they just commissioned to produce a campagin and get paid for that service.

[Schrodinger]

There is no question that mobile apps and ads are taking off and growing exponentially.

In common with all high growth industries however, will be a large number of players - existing and new, attracted by the growth and the opportunities.

Many of these players will fall by the wayside.

Remember the ISPs? Remember the mobile phone players?

Question then - who are the players in the mobile ads industry and what are their competitive edges?

Using revenues as a guide is dumb analysis as market share can be bought. Any assessment of a company's prospects must be based upon an understanding of the underlying profitability of the revenue streams. This is why forecasts are important or a clear understanding of a company's overall strategy.

Example - 42 Below never made a cent in profit but it's strategy of market share to attract a buyer was clear from day 1. Rakon made profits but lost it all as its competitive edge was eroded when GPS went mainstream.

The thing to note is that during a company's initial ramp-up to scale and profitability, cash burn is a feature so capital has to be conserved. Market appetite has to be managed rto facilitate more capital raising.

Over to you, Moose (Chief Derek Handley cheerleader).

Good points Balance. I am more interested in their future profits than their current revenues. This is a completely different model to Xero which can benefit hugely from economies of scale.

[Harvey Specter]

Bakery Boys had their fingers in Snakk via the Hyperfactory. They've been in deep since before 2008 - http://www.nbr.co.nz/article/42-belo...-venture-35670

Early stage investors take highest risk and so deserve their profit. What is the actual problem here?

Which is why one of the business bakery boys can afford a LaFerrari

[Radler]

The update seems to have sparked a few buyers into action this morning

[blackcap]

wonder where the extra sellers at 12 came from?