Rhythmone Share Discussion Threads

[fo67] 17/10/2016 17:56

RhythmOne ‏@RhythmOneUS 3h
3 hours ago

Our @BrianMukherjee will be moderating the 'are we in a post-programmatic world?' panel at #SiemerSummit on Wednesday! Who's heading down?

[alex1621] 17/10/2016 17:48

They suggested in the update last year they would be profitable on an adj EBITDA basis.

[sikhthetech] 17/10/2016 16:37

1gw,

"And while we hadn't previously been told about management expectations for 1H, we were told (by Ed at the AGM, if not elsewhere) about management expectations for the full year."


what are the management expectations for the full year?

[hopeful holder] 17/10/2016 16:33

I hope this thread steers away from petty name calling and keeps it's focus on the views of RTHM. Me, I'm a holder of a few years, u see this next year as a barometer to if RTHM are actually going to make money or just be a company that just bumbles along.They have gone through much change but the market do not trust them enough.Evidence of profit, real profit, will kick this upwards. I can also see a loss could be another kick and one we'd struggle to recover from.

[sikhthetech] 17/10/2016 15:23

stocky,
my take on the $80m is that given the great quantcast rankings and figures, the Olympics, the Presidential Elections, the 'materially ahead of management expectations', the 'core is rising faster than non-core declining' comments, I was expecting higher than H1 2016 and higher sequential H2 2016 to H1 2017 growth...

Hopefully, it'll become clearer in a few weeks... and it's entirely possible that they will find a few more $m to add to the $80m - they have done so before...

[jwoolley] 17/10/2016 15:20

Point taken....but as you say, we will know in a few weeks....and as I said earlier, here's hoping for more answers than questions.

[sikhthetech] 17/10/2016 15:15

agree, it can take longer than a couple of weeks for DD..

take their acquisition of All Media at end of fy2015...
08-04-15 fy TU - mentions cash and cash equivalents 'above $90m'


a week later
16-04-15 They announce acquisition of All Media - 'all cash transaction funded late March', ie before fy end..


18-05-15 fy results
cash is $95m...




so the 'cash' mentioned in the TU was after including the acquisition of All Media (as it was bought before fy end but completed and announced post fy end)...


Do you think they have paid some money out pending DD???
we'll know in a few weeks...

[jwoolley] 17/10/2016 15:07

Also think $80m was quite positive and we don't know the exact figure yet, so there could be a lil more to come. Those that were expecting any more than this figure weren't taking everything into account....

The most important thing I see is the expansion in territories other than the US....some of us were saying this should of been done over 4 years ago now....I'm hoping we will get more info on this with the results.

[barkboo] 17/10/2016 14:59

The cash figure would have been irrelevant if adjusted on pending acquisition to be disclosed in November.

Deal to be finalised!

[jwoolley] 17/10/2016 14:59

You could be right sikhers but it takes longer than a couple of weeks to discuss a possible acquisition. They could of been in discussion for some time....??

[sikhthetech] 17/10/2016 14:50

JW,
I don't think the lack of cash figure was because there might be an acquisition on the cards..

The cash figure would have been 'as at 30th Sept'...

The cash figure previously reported as: 'cash, cash equivalents & Marketable Securities' of $78.486m...



Marketable Securities..
"If, however, a company invests in another company's equity in order to acquire or control that company, the securities aren't considered marketable equity securities.

[barkboo] 17/10/2016 14:49

Stocky - "$80m was quite positive IMO." John John will ban you!

[stocky] 17/10/2016 14:46

I think $90m was a big ask, given that it was only communicated this year that the offset between the decline in Non-CORE and growth in CORE had just stabilized. We do not know if Video, Rich Media and Native are now ramping. Maybe they just ramped in the last 2 months and are as yet not accounted for in Revenues.$80m was quite positive IMO.

[barkboo] 17/10/2016 14:31

John John - when it becomes clear that the share price is at a very silly price - dont post that you have added after the event, like normal.

You refuse to say whether this stock is a buy or sell [having been ask 20 times] so an after the event buy post, wont wash here my little slippery!

[stocky] 17/10/2016 14:29

Anybody any views on Turnaround of Accounts Receivable and does Rhythm include this in its Revenue calculations?

[barkboo] 17/10/2016 14:18

John John - "loaf, I'm interested to hear all sides, bull/bear, brokers and TA..." then you ban my positive views. lol

[sikhthetech] 17/10/2016 14:00

loaf, I'm interested to hear all sides, bull/bear, brokers and TA...

you, like me, were expecting $90m revenue, were you not?? nothing wrong with anyone expressing an expectation.. at least we bothered to express one...

so, I'd like to know what other people/brokers think, wouldn't you???
after all the share price is at 35p not over 40p as many were expecting...


loafofbread - 22 Sep 2016 - 13:15:23 - 1884 of 2369 RhythmOne - 2016 a new beginning - RTHM
As I've just posted on iii.

Any less than $90M revenues for first half is a miss in my book.

[stocky] 17/10/2016 13:04

Afternoon chaps, quick question - does anyone know the turnaround of accounts receivable?

[bennywin] 17/10/2016 11:55

As I said Barky

You are never ever right :)

[sikhthetech] 17/10/2016 11:50

The ad tech industry is fast moving and companies have to move with it... mobile is current but AI is coming to the fore.... along with ooh...
I think there'll always be some kind of Programmatic concept, might evolve and get called something else...but the concept of automatically handling DSP/SSP is the way to go..

[gowlane] 17/10/2016 11:40

fair enough 1gw, it seemed to me like building castles in the air and a touch too assertive about it, but each to their own

I think what we were all guilty of in the past is looking at favourable numerical trends and assuming that they would continue unabated for the following few years, without really understanding the business behind the numbers

now what interests me is why can Criteo monetise and we can not, and is that going to continue?

Do we actually help businesses sell their products? Can we prove it - at least to the extent that our competitors can

Suppose this programmatic approach goes out of fashion and we are back to old style campaigns again?

[1gw] 17/10/2016 11:32

gowlane - re your post 1464: I agree on the adj EBITDA and in fact Ed said explicitly at the AGM that he expected R1 to be "slightly profitable on an adjusted EBITDA basis" but below zero on an IFRS basis. And he went on to volunteer the information of $12m-$15m of non-cash items this year.

And while we hadn't previously been told about management expectations for 1H, we were told (by Ed at the AGM, if not elsewhere) about management expectations for the full year.

So I think from these statements plus what they said in the TU the deductions in my earlier post are reasonable.

What could throw them out are a bunch of additional cash "acquisition and exceptional" costs I suppose, which are excluded from both adjusted EBITDA and "non-cash costs". The implication of what Ed said at the AGM was that he was not expecting anything significant here (otherwise why mention adjusted EBITDA, IFRS and non-cash costs without referring to exceptionals) but particularly if they are close to another acquisition then that might well have changed.

[1gw] 17/10/2016 11:20

gowlane - re your post 1463: to be fair, I think BigBear was trying to argue that "core" business was already profitable not that the whole company was profitable. This was based I think on a belief that "core" was somehow by definition profitable, and he then came up with an allocation of operating costs between "core" and "non-core" which he felt was credible and showed what he was trying to show (i.e. that core was profitable).

So I felt his argument was somewhat circular and I didn't agree with his basic premise (that "core" meant "profitable"). But nevertheless I think that is a good way to use these bulletin boards. Someone does some reasoned analysis and presents it for others to comment on. If there's a flaw that gets picked up by others (hopefully) and if there isn't then others can use that as a basis to do their own analysis, share it back with the board and move everyone's understanding forward.