7digital Share Discussion Threads

[smithie6] 22/12/2016 17:37

..fast growing revenues ?!

3% in H1 wrt year before....zzzzzz

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I sold out above 20p....as soon as relisted....now 6-7p. I was right.

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My posts today look at situation now. My views are based on data from the accounts & I have quoted specific numbers.

(H1 results show that need big changes to get to break even....& its not happening..
Target was to be profitable...then breakeven at EIBTDA...& Im sure it wont achieve it.

(About 2 yrs ago I posted that needed massive increase in turnover....I was right....it hasnt been achieved ...and imo at present it isng being. The gross profit and admin. costs are there to be seen. To generate 2-3M more cash from turnover to break even..difficult...5M more of turnover phps ?....& H1 turnover was flat. imho needs to raise cash to keep it going until it can achieve enough higher turnover.
If raises 3.5M, with 50% new shares, effect on the share price ??

Or reduce the number of staff...but I dont think the co. can operate with all its clients & services if it does that.

[pet lover] 22/12/2016 17:03

Smithie 6

You have done nothing in those 3 posts other than tell us your slant on the company over the last few years. / after you made a massive loss/.

The same reports and accounts that were signed off by the Auditors each and every year.

No one on this BB is disputing that the companies track record is poor,something that's reflected in full today with the shares standing 1P above the years low.

I have invested for the high margin fast growing recurring revenues that I hope come through in 2017.

The company and broker expect the same.

You have a total disregard for the prospects of 7Dig.

It is those prospects new orders growing staff numbers higher margins that make 7dig so attractive today.

[smithie6] 22/12/2016 16:25

Hausof
If I held I wld consider to sell and see if co. announces a cash raise (& at what price) & perf. & accnts news.

Floated at was it 28p....now at all time low & big loss & underperf. in H1. No reason to buy or hold imho...risk/reward from my viewpoint is all on risk.

But each to own view. We each give our own valuation to co. data.

[smithie6] 22/12/2016 16:08

Hausof

Apologies for negative views if you hold...

But

7DIG has imho ONLY avoided administration in H1 by NOT PAYING its payables.


The data is in H1 accnts. Payables have jumped massive amount and the co. doesnt have the cash to pay.

H1 are poor, big increase in new users and set up costs etc last year so H1 perf should have been better. But licensing was I think up just 3%. Bad underlying news imho.
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Gone into Administration
- Omnifone
- Guvera Auz. Guvera group ?
- Snowite
- HMV in past

Not a pretty sector imho.

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If enters administration maybe a music co buys it but just taking on the bank debt and 0 to shareholders.

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& imho too many cos. in the loop
eg. Music.ly + say Warner + artist + 7DIG + Amazon

....laws of nature say that this number will reduce imho

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The MD claims for 2016 keep falling !
Was to be profitable ....& now to be generally EBITDA break even (ie. Loss making), I expect reality to underperform that expectation and likely that MD departs as a result....and cash raise needed.

If discussing cash raise now then those insiders (dirs. & big hldrs) can NOT sell shares !!

[smithie6] 22/12/2016 16:03

Hausof

Link. Thanks. I try to take a look later today.

Amazon. "Red-herring". Why do you say that ?

My view on 7DIG. The spin from the MD makes everything more difficult. If the co. was slashing staff and costs he say it was an advantage ! Makes the text of the accounts UNUSABLE imho. Same for 10 yrs, UBC accnts spin exactly the same, as UBC shrunk year after year.

H1 accnts. 2M cash loss. Got no cash to support that loss rate in H2. (The 1M cash was needed on day 1 of H2 to reduce payables)
So, at end of H2 I see the company being 2M in extra debt but that no one will lend them.

If a creditor calls in payment then the co. either goes in to administration or issues new shares or gets a cash loan from a music rights owner (but any involved in these defunct/problem cos. will refuse imo, Guvera, Omnifone, Snowite.
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Co. now has a deputy CEO. imo will become CEO if CEO admits that new cash raise needed to avoid administration. Note, the FD left !

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The 7DIG founder phps left to be able to see more shares, maybe his posting name is Petlover !!

[hausofmaus] 22/12/2016 13:53

Smithie6: If you have spare time on your hands, I recommend a look over this article - it gives a good overview of the industry move from downloads to streaming...

I'm going to regret this, but I'm curious - what is your bearish vision for 7DIG? Death? Do you think its overpriced now?

I think you have a giant red-herring on the Amazon link you've found in musical.ly, but definitely interested in your "constructive" views on why 7DIG are not well placed now to make a profit from streaming music going forward...

[pet lover] 22/12/2016 13:20

Smithie6.

WRONG yet again. 7 dig are actively running down the low margin 7% margin music download service.

For someone who drools over reports and accounts day and night you have failed miserably, once more.

👺

[smithie6] 22/12/2016 13:13

Loobrush
I guess you dont like the fact that Amazon and not 7DIG process any music purchases from musical.ly !!

But hey, the bulls think Im an idiot so for sure I must be wrong ! ;-)

[smithie6] 22/12/2016 13:10

Hausofmaus. Post 1099

My view is different.
imho the plan has always been to make money from the downloads/purchase of music tracks or albums.

With an album being sold for say 10 pounds to get a copy of a digital file using an automated process it has always been seen as easy money/profit...
with no human involvement, no labour costs, no CD production cost, no CD case cost, no shop rental or shop staff cost

But it has proven to be difficult to succeed ( the big fall in download revenue from 7DIG in recent yrs is proof) and few survive....iTunes being one of the few profitable companies involved in the sector. While many have gone bust trying.

[loobrush] 22/12/2016 13:01

The Grinch-Smithie6-please give it a rest we all understand your view,so thanks and goodbye.

[pet lover] 22/12/2016 12:47

Hausofmaus: good find.

[hausofmaus] 22/12/2016 12:20

In other news, I see that ponomusic (which 7DIG have taken over from Omnifone) are making progress towards a relaunch... a beta version of their "Vault" released today...

[smithie6] 22/12/2016 12:07

You can refuse to accept the reality ( that the music.ly app takes users to the Amazon website & not a 7DIG website if they click on the cart symbol to make a purchase)

But your ignorance does not change the truth.

If you have Android phone you can download theapp for free and check.

(If I was you I would contact 7DIG & ask/demand an explanation)

(imho musical.ly chooses Amazon & not 7DIG for the purchase process because Amazon provide
- either a lower price to public customer
And/or
- a greater % to musical.ly

As an investor these are the questions you should analyse....rather than refusing to see/hear any opinions/facts you dont like.

(imho Amazon provides a better service to musical.ly because
- its greater size gives it volume discounts so it buys music at a lower price than 7DIG
- Its greater size allows it to have a much smaller charge for the financial transaction than 7DIG....allowing musical.ly a bigger cut for themselves

These types of questions are fundamental imho and investors can not ignore them & just being rude to other posters, such as me, does not make these important issues go away.

[pet lover] 22/12/2016 06:31

Smithie6

7dig powers the platform.

Their is no question since you have yet again got your knickers in a twist,facts wrong and driving yourself up the garden path.

Musical.ly has chosen 7dig for a number of reasons. The first is to put its own books in order getting a proper music license deal ratified through 7dig. At some point the company will be bought out or it will do an IPO and needs to be totally professional.
The second is to use 7dig streams to sell / steer other types of income producing products that include "rewards"
The third is that Musical.ly requires music for its platform and needs a reliable and scaleable partner to supply it.

TBH your posts of recent days are quite frankly plain silly. You should not be in the music business 📀📀.

[smithie6] 21/12/2016 21:47

Petlover
You agree that music.ly uses Amazon and not 7DIG for any possible music buys ?

Use the app. to check..very easy.

You keep avoiding the question.

[smithie6] 21/12/2016 21:43

'Growing'
Wrt when ?
Last week ?
Last month ?
Last year ?
In that physical location ?

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Staff reality. No idea. Except !!
...the founder of 7DIG left (strange if business of his baby was taking off)...& he sold some shares before leaving.

And the Imagination/Pure rep. (Pure & Imagination were identified as growth areas for 7DIG..7DIG provided the music part for PURE streaming service on monthly subscription...
reality ?. a dead duck...Pure was sold or is up for for sale I think).

& 3 managers were changed incl the tech. mgr. Strange imho in 1 go.



'Leading'

Often words mean little nowadays.
Every company says it is number 1.

[pet lover] 21/12/2016 21:36

Smithie 6

Call it a day mate, your beginning to dig a hole ⛏⛏

[smithie6] 21/12/2016 21:32

The streaming of videos for music.ly is provided for free for the music part....just 15 sec samplers...
...music copyright owners dont charge for what music.ly use....they hope to publicise their music and then get sales....via Amazon...which is where music.ly links to make customer purchases...
7DIG may get a cut but a small cut since they are not doing the transaction.
(....music.ly will of course get Amazon and 7DIG & others (itunes?) to fight each other on price to provide the purchase function, minimising the % for whoever does the transaction)

[pet lover] 21/12/2016 21:29

Smithie6



Pete Downton – ‏@petedownton71

Pls come and join a growing passionate team. …


Well, well, well.

"Growing team "

That disproves claims that these new jobs are staff replacements.

[smithie6] 21/12/2016 21:21

7DIG & BOOM & UBC

I lost money on UBC....since the MD (S.Cole) stitching up shareholders by excluding them from new cheap shares 'at that moment' in BOOM. The shares then flew. But I made 5p/share from 7p to 12p as I rode the froth upwards. Now 2p.
I couldnt get out of UBC/7DIG since suspended for months. When it came back to mkt I got out ASAP since I wasnt interested in 7DIG which was never part of UBC (20-25p, there was no mkt, none !, I had to do a number of sales) & then posted that I'd sold.

imho SC has bent the truth for years at UBC & 7DIG. The RNSs are proof. But hey, it's AIM, the world's corrupt stk mkt.

(Bet I retired younger than you ;-)
....cause Im idiot ?, maybe not)

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You agree finally that music.ly takes music buyers to Amazon website to make any purchase and not any 7DIG website ?!

;-)

[pet lover] 21/12/2016 17:05

Smithie 6

Musical.ly only had a week or two of recurring revenue in the first half.

Yet another of your school boy errors.

[smithie6] 21/12/2016 16:54

I was called an idiot at MOS...
at 70p, 60p, 50p, 40p, 30p, 20p, 10p.....it is now 4p.

I was called an idiot at Globo..I warned about the accounts at 35p on the way up and got out (went to 60-70p then to 0p !) ..its accounts were finally shown to be false.

I warned about 7DIG after I sold as soon as it relisted, 20p-25p. It is now 6p.

The idiot is me, I dont think so.

Ah, dont forget to refill the baked beans in aisle 7 before you finish for the day. ;-)