BNN Technology Share Discussion Threads

[perfect choice] 16/8/2017 16:52

Agreed too late for Q3, September has to include progress news. Expected but its still August and interims will come first, just hope forward looking statement included as well. We shall soon see.

[newmanontheblock] 16/8/2017 16:48

I would suggest BNN need to do some trading updates in order to keep everyone up to speed with their 4 income streams, their project rollout plans etc. Whilst not normal to do such regular updates, I think this is what this share price requires. If left to October q3 update only, the drift could continue...

[charlesdarcy] 16/8/2017 16:25

Astral / PC

The month of August is proving to be a nightmare for this stock .

I got it wrong as I thought there would be some quite buying ahead of news in early September .

It is just a few weeks since the Chairman statement and that was very positive so nothing has really changed other that the stock being dumped .
So my thought is that if you believe the numbers will only get stronger after September then at 50p or so it is a long term buy

[astralvision] 16/8/2017 16:10

PC
I think you mean £1bn-£2bn added GTV re Telco deal?

I agree with your post, August is just too early and wrong time of year for a thorough update. The H1 results are not really of that much interest on the numbers front, but the forward looking narrative very much will be. I know I said I don't like 'fancy' words, but I do want to hear that the expected launches for H2 have either launched or are about to. Yes, September is really the earliest to give any sort of indication of the figures for H2, but perhaps they will leave it till early October and Q3 is then known. Not expecting quarterly results, but if Q3 sales figures meant that the forecast for the year was still on, they should be singing that from the roof-tops, as it would be a fantastic achievement.

[perfect choice] 16/8/2017 16:02

That is my hope astral, trading update in September, Interims will be more formal for H1 only as they have to be, it is what is now happening which we really need early visibility.

This Telco deal for example is meant to have added £1-2M annual GTV (on top of the £1.9M current mobile top-up annual GTV) with enhanced commission rates (so make it x3 revenues from before). That is mean to be the story on this specific area of business so would like to see updated GTVs for Q3 or part month as soon as they can really be issued just to give that first evidence and so confidence. That is what I am expecting in September at the earliest. Its just not "right now"!

[astralvision] 16/8/2017 15:29

yes, I think they will get their eventually, it then becomes a question when to buy more. Market cap is currently £120m. Broker's are forecasting profits of £28m for next year, so , on that basis, shares are a screaming buy yet there is the same relentless grind down we saw end of last year/beginning of this year till the numbers were forced out. Is the same thing happening again? if not, why don't BNN tell us how it is going? Accept August is not the best month to update, but in September it would be good to get some actual sales figures on H2 to date, rather than their fancy descriptions.

[astralvision] 16/8/2017 15:24

200K sell now showing up on trades page, it would seem we have large seller(s) rather than large shareholder buyers.And the current share price represents a hefty third off the placing price of 80p only 4 months ago!
Red warning light is flashing here.

[perfect choice] 16/8/2017 15:23

Or there is concern no evidence (yet) or confidence the numbers will be hit. When that figure first came out I defaulted to a 10% lower figure myself. We shall soon get a better picture of what is happening, always a concern on ramp up but ultimate gains I am confident on. Never happy with price drifting though so not saying at all I wouldn't want the price to be better!

As I see it, a basic summary of the £30M 2017FY revenue is £9M mobile/Telco, £9M motorist app, £9M advertising/Tmall, £3M other minor (student platform start-up, legacy services, etc). Actually think first figure is firm due to the Telco deal jump (annual GTVs gone from £1Bn to £2-3BN with improved commission on the Telco element), key dependency to EY target are other 2. If they miss these then they will miss target but AGM was recent and a very clear commitment given to attendees, I wait to see the evidence then as all should be the case of course!

Yes hate the word "broadly" myself as so variable, 200K sell on ADVFN so that is the cause of drift down this afternoon.

[astralvision] 16/8/2017 14:53

ps, stock is 30% down in last 3 months, something ain't right here. Just imagine what it would be if we hadn't got these large shareholders buying! I think the share price was cheap 3 months ago, now it looks like it's heading into the 40's. BNN, if you've got anything good to say, now would be a good time.

[perfect choice] 16/8/2017 14:50

Actual text in AGM statement on 2017 overall and near term interims is below. Interims will be in line with expectations so misleading to say they will not reflect recent revenue, because "recent revenue" is post interims and reflecting 5 revenues streams versus 1 in H1.

Yes that full year £34M from the broker is a big jump astral but it was twice confirmed as achievable at the AGM under direct questioning. I can see form the 4 streams how it can actually be achieved but down to evidence for which they also committed to more frequent updates and I read that as trading statements during H2. Sometimes just waiting can be painful!

"2017 is on track to be a year of significant progress, as the initiatives we have announced over the past year are launched and begin to generate revenues. At this stage in the financial year, I am pleased to report that we are broadly in line with expectations and on track to meet market expectations for the full year.

"In the first half, revenues have been generated through mobile top-up sales, which have increased further over the first quarter, legacy lottery sales and initial sales from the test launch of petrol card top-ups on the motorist services platform. Gross revenues for the first half will be of the order of GBP900 million, although margins are modest and net revenues will be of a similar order to 2016. Accordingly, the half will show an operating loss broadly in line with expectations.

[astralvision] 16/8/2017 14:49

CDYes, the IR performance doesn't seem much better than last years. Folks ain't going to get caught out twice, last year it was everything is going better than expected, which was a blatant lie. Now there's talk of large shareholders buying. Really? It sure don't seem like it.90% of the time the share price has it spot on. And the share price is saying it's all going to take longer and cost more than what we thought. That isn't unreasonable for a business like this, but BNN need to level with investors.I agree, at some point this could well be a stonking buy, m.cap is now heading down to the sort of levels that make the risk/reward more attractive. But probably best to get the bum numbers, delayed launches and high cash burn in the open first, if that is the case. Me existing holding is looking a little sick, and that's not 'sick' in the good sense, just old fashioned sick! Ho hum, when to average down?

[charlesdarcy] 16/8/2017 14:38

Astra .
I have to agree with you little support for stock so easy to mark it down .
I was hoping things were going to change after the AGM and we would be getting lots of updates .

Because of the very poor PR last year and earlier this year there is no confidence around this stock until new RNS .
Very disappointing ... if stock keeps dropping I will start to add a few as I am sure this is going to turn up some huge numbers late this year .

[astralvision] 16/8/2017 14:23

AndyIt's interesting to note the broker forecasts for this year are for £34m revenue, in my view that is very aggressive and I don't think they've much of a chance of meeting that. They've already said first half this year be similar to last year, so , give or take, that's going to leave them with needing to do £30m this half, the half we are nearly a third of the way through. So we should be getting 'jam' now, but what's the bets it's all been delayed and shoved back a bit?Mind you, forecasts don't seem to bother BNN, even if they are house broker ones. They missed the forecasts last year by a country mile. Anyone spot the revenue warning last year? No, nor did I, thought there was rules about such things?We only got to hear the bad numbers thanks to the shorting brigade, who forced their hand.Don't get me wrong, this is a great opportunity but, as I think you are saying, it may well be till we get into 2018 that decent numbers start to come through.All I want the company to do is to provide clarity and be honest, hopefully not too much to ask. I hope they've learnt the lessons of last year but the share price action is telling me otherwise.

[topazfrenzy] 16/8/2017 14:05

Next fluffed RNS and 20p will be hit more than likely

[andy] 16/8/2017 13:53

astralvision16 Aug '17 - 12:09 - 6412 of 6414 0 0
Sounds as great as all the other releases from last year, hard numbers, not pretty words are needed.

--------

Absolutely, but they have already dampened expectations by saying these results won;t'reflect recent revenue, so even more jam tomorrow.

You will have to keep the faith until full year results in 2018, but will the market?

[perfect choice] 16/8/2017 12:59

Yes need hard numbers astral agree that is certainly the ultimate evidence required. We just need to bear in mind interims can only cover 1 or the 4 revenue streams now in place so will not show a "big jump" yet. Anticipating forward statement indications and trading updates thereafter to give that evidence prior to full year results next year where H2 figures will be available.

[charlesdarcy] 16/8/2017 12:19

Mirandaj .
Thanks for the reminder it reads so strong and hopefully will come to fruition over the next months .

Some weak figures to flow through then some exciting times ahead .

The price looks crazy cheap on reading your reminder post

[astralvision] 16/8/2017 12:09

Sounds as great as all the other releases from last year, hard numbers, not pretty words are needed.

[mirandaj] 16/8/2017 12:01

A reminder:

28 June 2017

AGM Statement

BNN Technology (AIM:BNN), a London-listed Chinese technology, content and services company, today provides the following statement made by Harry Keiley, Chairman, at the Annual General Meeting:

"2017 is on track to be a year of significant progress, as the initiatives we have announced over the past year are launched and begin to generate revenues. At this stage in the financial year, I am pleased to report that we are broadly in line with expectations and on track to meet market expectations for the full year.

"In the first half, revenues have been generated through mobile top-up sales, which have increased further over the first quarter, legacy lottery sales and initial sales from the test launch of petrol card top-ups on the motorist services platform. Gross revenues for the first half will be of the order of £900 million, although margins are modest and net revenues will be of a similar order to 2016. Accordingly, the half will show an operating loss broadly in line with expectations.

"In mobile top-ups our strategy is to grow both the gross revenues and, more importantly, margins. In the past nine months, we have transacted approximately £1.1 billion of mobile top-up sales on our platform. We have more than proved the capability and resilience of our systems and, as a result, are now in a position to agree higher value and higher margin contracts in this market, including both mobile top-ups and data. Specifically, we have signed a significant new contract with one of the largest telcos in China, which is expected to generate material revenues and increased margins from July 2017 onwards, materially exceeding those achieved to date.

"With the major launch of petrol card top-ups expected in July, followed by the student platform before the end of Q3, we anticipate material revenues at much higher margins in the second half of the year. Preparations for these launches in terms of access to customers and users are advanced and we look forward to reporting on these revenue streams in the coming months. Our competitive advantage in the marketplace has improved considerably and we expect to sign a number of key B2B partnerships in the coming weeks.

"The very successful launch of our soccer microsites in May has comfortably exceeded all internal targets, generating more than 250,000 unique registered users to date, with more than 800,000 unique visitors to our sites. We expect the benefits of this valuable database to contribute both to advertising revenues and to our B2C drive across the Group's various platforms in the second half and beyond.

"We are particularly excited at the prospect of the student services platform, which is scheduled for launch before the end of Q3. The platform will initially focus on the provision of recruitment services for part-time jobs for China's 35 million students, which is an increasingly important demographic as China continues to grow. Following detailed discussions, we are expecting several major international fast food and retail companies, and utility companies to be amongst the first employers to use the platform.

"Development of the additional aspects of the student services platform are continuing, as announced earlier this month, including graduate recruitment services and sales of mobile phones and other devices (and associated financing), as well leveraging our mobile and mobile data top-up and motorist services to this important user group. We expect to make further updates as we progress towards launch in October 2017.

"The Group's focus upon the creation of big data continues to gain momentum and the Board believes that this increasingly valuable commodity will develop significant shareholder value by extending our income generating capabilities considerably. From our partnerships to support the key data and utility provision of local government, to our ultimate entrance into the credit checking market, we are confident that this strategy will deliver us a very substantial Chinese database.

"The Board has previously stated that it wished to obtain a secondary listing on the NASDAQ exchange during Q3 2017. Whilst it remains our intention to list in the United States as soon as possible, and the SEC application process is well advanced, advice from leading US banks leads us to believe that the shareholder value created by the initiatives listed above, once executed, will attract significant additional interest on NASDAQ. This will inevitably delay the US listing process, but the universal view of the Company and its advisers is that focusing on new revenue generation is firmly in the best interests of all shareholders.

"In summary, we are pleased with the significant steps forward that the Group has made during the first half and look forward with considerable confidence that the execution and delivery of all of those initiatives will deliver substantial shareholder value."

[perfect choice] 16/8/2017 11:41

Noticed one company today issuing an RNS on their interim results to end of June so we are effectively in the "any day now" territory for the same for BNN. At the AGM the statement was made to get interim results out by end of August and I note Ayesha comment last week on working on an update which would be consistent. So basically time to start watching for an RNS at 7am now!

[andy] 15/8/2017 21:58

dankay,

I see some truly awful grammar on ADVFN!

[and11] 15/8/2017 21:58

Clearly not Dankay11! Anything constructive to add to this board or are you just around to provide English lessons...But nice "you you" amusing...

[dankay11] 15/8/2017 21:46

At least you understand the difference as you you have demonstrated so well.