Spectra Systems Share Discussion Threads

[muffster] 31/5/2016 07:49

Why do you guys stick In here when directors act like these do? Honestly what is the attraction here?

[patviera] 31/5/2016 07:47

Wow so directors get more options And Nabil now earns 500k and that's not enough so he is seeded options as well!!Why are the conditions not mentioned?Why the secrecy?

[rainmaker] 24/5/2016 13:42

Yes definitely, Pat

best wishes

[patviera] 24/5/2016 09:56

RAINMAKER
If aeris isnt successful would you buy shares here if you had no holding?
I would be

[patviera] 23/5/2016 15:02

With 21p of cash and recent contract wins these shares should trade nearer 40pGreat prospects

[mrx9000] 22/5/2016 10:38

I am new to this share, so have a few questions. The company is US, so why did they list over here? Or do they have a dual listing?

[patviera] 17/5/2016 17:43

De la rue had a big rise today!

[patviera] 12/5/2016 14:49

Sorry I meant in recent RNS not figs!!

[rainmaker] 12/5/2016 12:40

No Pat, the contract win was announced after the results and therefore not included in them.There's such huge potential for TruBrand in China, we've only just begun to scratch the surface.

regards

[patviera] 10/5/2016 15:19

Was all this not in the recent figs rm?

[rainmaker] 10/5/2016 10:32

From Spectra Systems annual report, released 18 April

Prospects

The Company's prospects have dramatically increased with the growth of the authentication business outside of banknotes. This growth is evidenced by the nearly 50% growth in sales of the brand, document, and tax stamp authentication products since the acquisition of that business in 2014. In addition to continued growth of this business line, we have initiated a number of customer trials, primarily in China, for our TruBrand(TM) smartphone based authentication technology which we are confident will lead to sales in 2016. The opportunities for TruBrand(TM) are in the tens of billions of units in China and have the potential to create a high margin revenue stream in the very near future.

We are targeting four specific opportunities in the banknote security area, two of which are relatively near term and two of which are somewhat longer term.

The near term opportunities are:

1) The rapidly advancing Reserve Bank of India tender in which we are partnered with our long-time licensee using a new modification of our current product; and

2) The potential selection of our new covert technology for polymer notes by an existing G7 central bank customer introducing a new denomination in the next two years

The longer term opportunities are:

3) The joint development and licensing of a multi-code polymer technology by a major printer of banknotes

4) The sale of our latest smartphone technology, TruNote(TM) for the authentication of banknotes with a particular focus on its use by the visually impaired.

.

(MORE TO FOLLOW) Dow Jones Newswires

April 18, 2016 02:00 ET (06:00 GMT)

We are pleased that we are able to supplement our sustained and growing profitability with a number of near term and longer-term prospects. We are particularly delighted that the authentication business outside of banknotes is increasing ahead of expectations and that it can provide a smoothing of our less predictable but long term banknote business with its characteristically extended sales cycles and delays. Furthermore, we believe that we have a number of transformative opportunities ahead in all aspects of our business and are in a position to reduce our research efforts once these opportunities have been fully resolved, replacing them with a less costly applications support team.

The Board is optimistic about the future of the company and its growth through both increased sales, as well as continued prudent and properly timed cost cutting initiatives.

Nabil M. Lawandy

Chief Executive Officer

April 18, 2015

Statement of Income

for the year ended 31 December 2015
Taken from above-

"In addition to continued growth of this business line, we have initiated a number of customer trials, primarily in China, for our TruBrand(TM) smartphone based authentication technology which we are confident will lead to sales in 2016. The opportunities for TruBrand(TM) are in the tens of billions of units in China and have the potential to create a high margin revenue stream in the very near future."

In the near term can we confidently expect more contract wins in China for TruBrand? We've already had one in a short space of time.

regards

[patviera] 06/5/2016 07:33

KinkellOh except that he will want to sell the business!If you were earning 500k with only 4pct of the equity would you be in any rush to sell the company?!!HmmmmmHowever let's see the stringent conditions of the grants about to be rewardedI know many people who refuse to invest here as Nabils salary is one of the highest in aim..especially considering our mkt cap of 12m gbp and 1m ebitda

[patviera] 06/5/2016 07:17

KinkellI agree with everything you have written above

[kinkell] 05/5/2016 23:22

patviera

Share your view of Nabil's remuneration.

Forgive me, but I am most certainly not ramping.

I am merely saying that if aeris is adopted by several central banks the potential profit is substantial. I have no idea whether or not this will happen and I agree that it is disappointing that there is no evidence of success so far. I haven't written it off yet, though.

Today's news is encouraging and may lead to further profitable growth for the business.

I think Nabil will want to sell the business in due course once the potential of the various strands is clearer and I am hopeful that there will be interested prospective purchasers. Meantime the risk is low.

[patviera] 05/5/2016 22:51

KinkellI believe that Nabil expected a contract by nowI also believe that we won't win a contract for aerisI haven't invested for aerisI have bought many shares with an average of c21p so I'm as bullish about spsy as anyone (except rm!)And yes very little downside as cash of 20pHowever we will not get to a pe of over 8 to 10 as it seems to me a one man band and that man earns 500k yes 500k and looks like he wasn't to dilute us by 10pct cos that 500k isn't enufAnd that's aim for you..greed at its upmostSo don't ramp us with over 100p targets cos it don't interest me

[kinkell] 05/5/2016 21:39

patviera

Nabil made it abundantly clear that he expected AT LEAST two years before obtaining an initial sale of aeris and there was clearly no certainty that the industry would adopt the process. Inevitably the industry is extremely conservative and adopts change very slowly. It is only two years since aeris was demonstrated at the bank note conference.

If successful, I expect the company to adopt the 'xerox' model. The development work is complete and fully expensed, the machines are expected to have a life of at least ten years and I expect the leases to be very, very profitable. The main question is how many (if any) banks adopt the technology.

Meantime the downside on the shares is very limited.

[patviera] 05/5/2016 17:31

Agree with you but v dependent on aeris being a successAlso institutions aren't as interested in companies which are so dependent on one person for its successDon't get me wrong I'm v bullish here and have a significant interest in these shares however I'm only looking for 40 to 50p unless aeris wins a contract which looks far fetched at the moment

[rainmaker] 05/5/2016 16:56

Pat,think again, I very much agree with kinkell, a fast growing quoted technology business with huge margins, protected by international patents, will attract a huge rating.Professional "Growth" and "Technology" Fund managers spend all their time pouring over "cutting edge" industries looking for such Companies but will probably only join the Party once we have a sufficiently large market cap, say a share price of +100p and we have removed lingering doubts, with a few more contract wins.

regards

[patviera] 05/5/2016 16:22

Very hopeful ,promised..much the same to me Ok let's say he was very very confident that aeris would be a huge successI'd be surprised if he was shocked that it's not won a contract yetHow much do they make out of one of these machines? I've no idea but a mkt cap of over 45m would surprise meI'd love to be wrong!!

[kinkell] 05/5/2016 16:10

patviera,

Don't think it is fair to say Nabil promised aeris would be a success, just that he was very hopeful about it. Also he said he expected that it would take at least two years to first order.

If aeris is a success the potential, imo, is much more than £1.

[patviera] 05/5/2016 15:48

Rm I have a 40p tgt ex aeris and a 75p if aeris is a successDo you still think 100p and more is attainable? That's a 45m mkt cap so need to be making 6 or 7m pa ..can't see that?!

[patviera] 05/5/2016 15:33

Agreed but Nabil has a record of promising the world we aeris and not deliveringBut we are v cheap and have so many exciting opportunitiesI've written off aeris but think we can get to 40p anyway and then I double my money!!

[rainmaker] 05/5/2016 13:41

"The contract requires MINIMUM annual high margin materials revenues of $0.30m beginning 2018 whether or not such materials are ordered and has a MINIMUM total value of $1.65m" Minimum is the relevant word but the contract may well turn out to be much larger.

regards

[rainmaker] 05/5/2016 13:18

Pat, "pay for just today and get the future fee of charge". I'm really pleased to hear about the contract win announced today because it proves that Spectra Systems are not just about Aeris and it also gives the Company a "toe hold" in the massive Chinese market.Its been a lot longer wait than I originally envisaged but things are beginning to shape up very nicely. I'm convinced that we are going to be very richly rewarded for our incredible patience.

best wishes