Ddd Group Share Discussion Threads

[kendonagasaki] 02/9/2013 08:10

Ooooh I must buy some 3D glasses soon and look like a prat!!

[kendonagasaki] 31/8/2013 17:03

Zip I have been a seller of DDD since 26p. Next stop will be 5p!A broken business model and unwanted technology!

[zipless] 30/8/2013 17:28

What a lot of nonsense. DDD have just had a 63% revenue warning. That says everything.

[janatha] 30/8/2013 16:04

DDD Group | 23 August 2013 2
March 2013
 Renewal of licence agreement for DDD's TriDef 3D software with Lenovo, which will use the
solution in its growing range of 3D PC products.
 New licence of DDD's TriDef 3D Mobile content solutions to Chinese manufacturer Qingyuan
Gadmei Electronics Technology, for its new glasses-free 3D tablets – the production of
Gadmei's E8-3D 8" tablets began in June and the product is now available for consumer
purchase.
June 2013
 New licence of DDD's TriDef 3D Mobile content solutions to China-based Hampoo Science &
Technology for the world's first 10.1" glasses-free 3D tablets for mass production – the tablets
are expected to launch in Q313.
July 2013
 Yabazam's 3D video streaming app for Android 3D tablets is now available for download from
Google Play Store.
 Licence agreement with Samsung to include DDD's TriDef technologies for Samsung 3D TVs
and 3D consumer products renewed to the end of 2015. Samsung represented 45.5% of group
revenues in FY12 (FY11: 48.1%).
 Patent licence agreement with Samsung expanded to allow Samsung to perform 2D to 3D
conversion for content that can be presented on 3D cinema screens.
August 2013
 New TriDef licence with China's Chongqing JOMVS for its glasses-free 3D PCs.
 TriDef 3D now allows more than 800 of the latest PC games and over 50 Android games to be
played in 3D 'off the shelf', even though they have not been specifically developed for 3D.
 Yabazam 3D video steaming service has delivered more than one million 3D movie trailers to
Samsung and LG 3D TV viewers since November 2012.
 Yabazam's content library now in excess of 100 3D movie titles.



Exhibit 1: Financial summary
US$'000s 2010 2011 2012 2013e
Year-end 31st December US$ US$ US$ US$
PROFIT & LOSS
Revenue 2,008 5,534 8,620 11,000
Cost of Sales (157) (315) (244) (590)
Gross Profit 1,851 5,219 8,376 10,410
EBITDA (506) 1,383 3,213 4,535
Operating Profit (before GW and except.) (1,022) 490 2,023 3,335
Goodwill Amortisation 0 0 0 0
Exceptionals (17) 0 0 0
Share based payments (176) (621) (733) (760)
Operating Profit (1,215) (131) 1,290 2,575
Net Interest 3 35 24 60
Profit Before Tax (norm) (1,019) 525 2,047 3,395
Profit Before Tax (FRS 3) (1,212) (96) 1,314 2,635
Tax (355) (486) (550) (650)
Profit After Tax (norm) (1,374) 39 1,497 2,745
Profit After Tax (FRS 3) (1,567) (582) 764 1,985

Average Number of Shares Outstanding (m) 123.2 133.8 134.3 135.8
EPS - normalised (c) (1.1) 0.0 1.1 2.0
EPS - normalised fully diluted (c) (1.1) 0.0 1.1 1.9
EPS - FRS 3 (c) (1.3) (0.4) 0.6 1.5

BALANCE SHEET
Fixed Assets 1,400 2,523 3,827 5,577
Intangible Assets 1,250 1,885 2,592 3,192
Tangible Assets 150 162 139 289
Other 0 476 1,096 2,096
Current Assets 5,028 4,368 5,280 6,223
Stocks 0 0 7 0
Debtors 798 1,225 1,678 2,310
Cash 4,230 3,143 3,595 3,913
Current Liabilities (807) (815) (1,299) (1,200)
Creditors (807) (815) (1,299) (1,200)
Short term borrowings 0 0 0 0
Long Term Liabilities (337) (417) (543) (590)
Long term borrowings 0 0 0 0
Other long term liabilities (337) (417) (543) (590)
Net Assets 5,284 5,659 7,265 10,010

CASH FLOW
Operating Cash Flow (1,008) 964 3,237 3,858
Net Interest 3 35 24 60
Tax (231) (879) (1,044) (1,650)
Capex (1,040) (1,545) (1,873) (1,950)
Acquisitions/disposals 0 0 0 0
Financing 5,503 291 72 0
Dividends 0 0 0 0
Other 0 0 0 0
Net Cash Flow 3,227 (1,134) 416 318
Opening net debt/(cash) (622) (4,230) (3,143) (3,595)
HP finance leases initiated 0 0 0 0
Other 381 47 36 0
Closing net debt/(cash) (4,230) (3,143) (3,595) (3,913)
Source: Company accounts, Edison Investment Research

[janatha] 30/8/2013 16:02

Edison report 30334-30335

Voice of reason.



23 August 2013
DDD Group is a research client of Edison Investment Research Limited
DDD released its trading update for H113. Revenues for the period are
expected to be down significantly at c $2.4m (H112: $4.0m). While
shipments of the group's TriDef 2D to 3D conversion solutions by TV chip
manufacturers grew 16% versus H112, this revenue drop is due to a
continued slowdown in global PC sales and has affected the 3D PC market.
The fast-growing tablet market is now taking up the running in this
segment and DDD has already licensed two tablet manufacturers so far in
2013. DDD's 3D movie streaming service, Yabazam, has increased its
content library to over 100 3D movie titles. We will review our FY13
estimates when the group reports its interims in late September, although
meeting the revenue forecast now appears contingent on the two new
initiatives (see below) generating significant revenue in H2.
Year end Revenue
($m) EBITDA
($m) PBT*
($m) EPS*
(c) P/E
(x) DPS
(c)
12/10 2.0 (0.5) (1.0) (1.1) N/A 0.0
12/11 5.5 1.4 0.5 0.0 N/A 0.0
12/12 8.6 3.2 2.0 1.1 19.0 0.0
12/13e 11.0 4.5 3.4 1.9 11.0 0.0
Note: *PBT and EPS (diluted) are normalised, excluding share-based payments and
discontinued operations.
H113 numbers catch a PC cold
As highlighted by management in April 2013, a slowdown in PC shipments and
DDD's PC royalties was anticipated, although this does seem more severe than we
had expected. The significant decline in revenue in H113 is naturally disappointing,
although gross margin is expected to rise to 99% (H112: 96%). The group remains
well funded to support future growth, with $3.7m in cash and receivables.
Pipeline good, plus two new initiatives
We highlight on page 2 the continued expansion in the group's 3D licence portfolio
and its Yabazam 3D movie service in FY13. This includes two tablet manufacturers,
a market with the potential to fill the lull currently being experienced in the PC
market. Two new initiatives are on the near-term horizon: patent licensing
opportunities to assert the group's international patent rights; and patent protection
for an innovative video encoding solution, which could save up to 30% of the
bandwidth used to deliver a 2D streaming video while maintaining image quality.
Valuation: PC lull should not dent long-term growth
While the upsurge in tablets is currently replacing PCs in consumer preference, this
could be rectified by the addition of more 3D tablet licences to boost royalty
revenues in the medium term. The fall in the share price this year appears to reflect
the weakness in the PC market. We do not believe this should affect long-term
growth for the group, especially as DDD is established as a strong leader in 2D to
3D conversion across multiple display segments, and the group should be able to
participate fully in the growth of the 3D market.

DDD Group Trading update
TV good, PC poor, pipeline good
Price 13.5p
Market cap £18m
US$1.55/£
Net cash ($m) at December 2012 3.6

Shares in issue 136.6m
Free float 43%
Code DDD

Primary exchange AIM
Secondary exchange OTCQX

Share price performance


% 1m 3m 12m
Abs (3.6) (25.0) (47.6)
Rel (local) (1.4) (21.3) (54.1)

52-week high/low 28.25p 13.0p

Business description
DDD Group develops and licenses IP and
technologies in the TV, PC and mobile device
markets for converting 2D content to 3D and
through its Yabazam business, supplies originally
made 3D content.

Next events
Interim results September 2013
Preliminary results April 2014

Analysts
Martin Lister [phone]
Dan Ridsdale [phone]

[e-mail]


Edison profile page

Software & comp services


2013 to date: Licence portfolio and Yabazam expansion
DDD continues to expand its 3D licence portfolio and its Yabazam 3D movie service in FY13,
following the addition in FY12 of three new licensees and four licensees renewing existing software
licence agreements, plus the completion of the group's first patent IP licence agreement.
January 2013
 Launch of the first dedicated 3D movie Video-On-Demand subscription service in the US
available for LG 3D Smart TVs. The service costs $9.99 per month and allows unlimited
viewing of the original 3D programming available from Yabazam.
February 2013
 Renewal of licence agreement with Samsung Electronics to bundle DDD's TriDef 3D solutions
with Samsung's line-up of 3D PC monitors.
 Dedicated 3D Video-On-Demand subscription service extended to Samsung 3D Smart TVs in
the

[zipless] 30/8/2013 10:15

7p next stop?

[janatha] 30/8/2013 07:46

Zip

CY is not King Canute. He cannot stop the tide or the slump in PC sales.

[dvda] 30/8/2013 07:41

I'm surprised no one's tried to link the Skype 3D news with DDD.

[zipless] 29/8/2013 17:14

Note the phrase "revenue and profits are somewhat unpredictable" above.

After all these years and revenue down 63% they are still saying that revenues are unpredictable. What does that say about forward guidance? Roll back just two months to 11 June when DDD said trading in line with forecasts. Has all this doom and gloom just happened in two months? Did the PC market collapse between June and now? What were DDD doing when all this happened so that they didn't see it?

[laeb1] 29/8/2013 14:37

Thanks jan......was going to go against the tide and buy a few more to average down, but might wait for the full picture in Sept.

[janatha] 29/8/2013 14:22

Perspective needed on DDD collapse

Little 2D to 3D conversion kit developer DDD (DDD:AIM) is leaving itself a huge mountain to climb by December after warning that half-year revenues are well down on last year. A drop from $4 million to $2.4 million is some decline, news that has spooked investors and slashed 23% off the shares to 10.38p. That's a 63% fall since mid-February's 28.25p.

Los Angeles-based DDD has planted deep roots in the PC market after years of investment, so a flagging desktop market is a blow. TriDef, its kit that automatically converts photos, PC media files, DVD movies and many interactive PC games to 3D, shipped 2.4 million units to its PC licensees in 2012, 172% more than in 2011. We'll have to wait until next month's interim results to find out how many units shipped in the six months to June, but you should probably brace yourselves that it'll be a lot less than the 1.1 million in the first half of 2012.
But before we get too gloomy, let's put this grim backcloth into context. The PC market stinks and has done all year, with the underwhelming launch of Microsoft's (MSFT:NDQ) Windows 8 doing nothing to slow the switch to mobile devices. According to numbers crunched by market researcher Canalys, desktop and notebook shipments in the six months to June fell 7.4% and 13.9% respectively. In contrast, tablet shipments globally jumped 42.9%.
PC gaming is a brighter light. According to estimates, China alone is home to over 144,000 gaming iCafes where nearly 14 million PCs are used by gamers to play shoot 'em ups (among other things), surf the web and catch a movie. Several of DDD's existing licensees are working towards creating a solution allowing them to sell 3D PC monitors into this market for gaming, and DDD is partnering with Lenovo (0992:HK), China's largest iCafe software management vendor and an emerging global force in PCs. Lenovo continues to buck the wider weak trend, winning market share in notebooks, desktops and tablet categories, with a 7.3% second quarter 2013 year-on-year increase, says Canalys. The company now has global 12.9% market share, when tablets are included.
New licences have also continued their steady trickle this year for DDD, including its latest unveiled just last week with China's Chongqing JOMVS Photoelectricity Company for its glasses-free 3D PCs. In its favour, DDD is also leveraging its technology into the mobile device space, including with Chinese tablets maker Hampoo, which hopes to launch the world's first 3D glasses-free mass market tablet computer. There have been renewals scored, too. Then there's the TV space, where DDD shipments are up 16% year-on-year, not to forget its own Yabazam! 3D movie streaming service, now downloaded over 450,000 times by users of Samsung (005930:KS) and LG (003550:KS) Smart TVs.

As Shares flagged in an interview with DDD boss Chris Yewdall in May, DDD has plenty of opportunities, but also challenges, not least possible over exposure to a few big customers. But while revenue and profits are somewhat unpredictable, its licensing and royalty model will hopefully lend greater transparency in future. In the meantime, we'll just have to wait for those half-year numbers next month before we can realistically draw any reasonable investment conclusions. That's what new broker Peel Hunt is clearly doing before it initiates coverage on the stock.
Date: 23-08-2013 14:06


Stock Search





@SharesMag
@RCN_9 @SharesMag Possibly, although off'ing VZW stake will give #VOD better cash control. Thanks for feedback @conkers3 @Monevator I had a good chat with APF bosses this morning. I guess market doesn't like impairment charge & no divi growth. RT @SharesMag: Everything you need to know about Vodafone and what it could do with a potentially-large cash injection.
More +

TERMS AND CONDITIONSINVESTMENT WARNINGPRIVACY POLICYABOUT SHARESTHE SHARES TEAM
MSM Media Ltd, Thames House, 18 Park Street, London, SE1 9ER, United Kingdom.

[laeb1] 29/8/2013 13:28

poombear - can't access link, any chance of copying and pasting on here? thanks

[zipless] 29/8/2013 12:54

If DDD is such a good business then you have to ask yourself why this is falling so much. Two years ago it was nearly 40p. It is currently at its lowest price for more than 4 years. The tech may be clever, but the business model doesn't seem to be. This is looking like a falling knife. Who is going to be brave enough to try and catch it?

[zipless] 29/8/2013 12:32

3p getting closer day by day.


RIP DDD

[poombear] 29/8/2013 12:19

Writeup onthe current state of play.

hxxp://www.sharesmagazine.co.uk/news/perspective-needed-on-ddd-collapse#.Uh876H23O2c

[janatha] 29/8/2013 11:06

The streaming article demonstrates there is definite demand for DDD's technology.

[zipless] 29/8/2013 10:58

Once again you miss the important part

"However, the executive warned it could be many years before the tech launched."

And far too late for DDD, who's technology would be needed anyway.

[zipless] 29/8/2013 00:42

And, of course, the above has little to do with DDD.

[dvda] 28/8/2013 20:13

Sounds as though these guys have the content that Yabazam is so sadly lacking.

hxxp://www.techhive.com/article/2047571/3dgo-streams-3d-movies-you-might-actually-want-to-watch.html