Trakm8 Share Discussion Threads

[trakm8fan] 06/11/2019 15:20

RH600

I think the fix is done now and the expensive in field replacements have been done which will have hit the profits or debts but they should be behind us now. EU deployment is now enabled so no more problems here.

Insurance

This problem of daddy being an idiot is a problem with whichever system you go with. Unless it can identify the driver some how. The fleet systems use some form of ID tag which allows multiple drivers of the same vehicle to be identified. That would probably add some cost which is probably unwelcome in this market which I'd guess is cost sensitive. If it's the plug in device then you can just unplug it. That might invalidate the insurance but that's fine if daddy wants to go crazy I'd guess. It will depend on the provider.

Churn

In theory the one box can be used across different insurance companies should the insured wish to switch policies every year. However the fact that these things probably only cost 20 quid they are basically a throw away item I'd say. You need them to be cheap enough to just discard. Then you need to manufacture more and is why you need to make then cheaply.

Stock

I wouldn't want to be making lots of lots of these little boxes if I didnt have orders to fill. Maybe they have minimum stock quantities written into their contracts so that the customers know they can order x amount and the stock will be available. Although similarly I wouldn't want to paying lots of manufacturing staff to just sit around and do nothing. So I guess there is some management required to decide when they need to manufacture and how much based in all of that. All guess work obviously.

[knowbodyyouno] 06/11/2019 13:18

Back in July, Final Results, re RH:

"The RoadHawk 600 integrated telematics and camera product is the first in the UK using 4G technology and has been implemented by large and small enterprises. A technical challenge with the product lead us to implement a product update and replacement in the field of a large number of units, which addressed the field issue and has enabled EU deployment. Presently, almost 5,000 units are deployed. A further generation of the self-fit telematics devices has been introduced."

[emptycup] 06/11/2019 12:53

The RH issues were mentioned in a recent update I think. It's not ready and will find it hard to compete within a competitive ADAS/DMS space with players who've been at it for years.

As for insurance - I'm not convinced - too may choices for policies these days and so easy to make comparisons; if I am insuring my kids (and I have), then the last thing I want to do is spoil their lovely, green and perfect record when I borrow their car...

Some mass-market appeal is needed that doesn't rely on AA. Trak needs to lift its brand presence if at all possible and shift some of the 1m dongles that were due for insurance markets into general use.

[dc2] 06/11/2019 12:10

Dave, perhaps we should wait a little because it may be the "dc2 fools adage" if it goes bust.

[dc2] 06/11/2019 12:07

Anybody fancy a serious conversation about manufacturing within Trakm8? Given JW's bullish (and potentially bull) prediction about 1 million units and the fact they leased more space and equipment that reduced the human element in order to meet that then the question is what are they manufacturing.

A couple of points/questions:

1) They have less units on the system than previously (yoy). Do people keep black boxes as part of their insurance more than a specified time e.g. a year. What happens to those boxes after? Are they throw away and so justifying more manufacturing as new insurance users come through. I think I am saying that given the decline there is no obvious need for large scale manufacturing of new devices unless there is a constant churn of this type of device.

2) If they are building stocks for the AA - then surely this has a PO attached. Trakm8 would not just anticipate an order (well, this is JW so perhaps). The same goes for the other auto clubs.

Was good to see the AA site offering their smart device and that it takes a prominent place. I noticed in the past I could see it on Chrome but not on Firefox but now I can (and it is clearer). I still think they should offer it for free - after all, they save money by being able to predict (including preventative maintenance) from it.

[dave2608] 06/11/2019 12:04

I reckon that's a new adage. We'll call it the "dc2 adage"?

[dc2] 06/11/2019 11:09

There is probably an old adage out there that states when the last true bull (Blondeamon) has become a bear then it is time to buy ;)

[knowbodyyouno] 06/11/2019 11:04

Yes I remember something about this.
Presumably, involved the recent contract.
Not sure it answers current concerns about the health of the business, however. Blondaemon is a strange one to say the least, given that he was about as bullish as you can get on this share and now holding go knows how many shares, has usurped Dave's position as the leading bear. Luckily I don't make investment decisions on the basis of the advice of either. However, it was quite a grenade he dropped in here earlier and would know more of where he has heard or read about the roadhawk 600 problem, the AA contract (which seems to be going to plan, from their website) and that they are about to issue another profit warning (which of course my explain the recent selling).

[trakm8fan] 06/11/2019 10:10

Tried to post a pic but it didnt work.

[trakm8fan] 06/11/2019 10:09

Just did some digging on Ingenie and their tie up with Trakm8 and found this guy called Jonathan Law who used to be a director at Trakm8 but then moved to Ingenie in July last year. Surely that's good news.

[trakm8fan] 06/11/2019 10:06

Blonde has always been well informed in the past or so it appeared. Clearly Blonde has lost patience now and sees only doom and gloom. That's a shame.

[knowbodyyouno] 06/11/2019 09:57

I'd like to know when Blonde is getting this info from.

[trakm8fan] 06/11/2019 08:58

If the AA have been delaying then what are Trakm8 supposed to do. All they can say is it will start shipping soon. I am more interested in insurance because the update mentioned significant insurance client or something similar. Again I think this has been delayed or taken longer than expected to iron out the kinks. And again what are Trakm8 supposed to do if this significant insurance customer delays. All they can say is it will start shipping soon. If these deals had gone to pot then would we be informed. I'm not sure we would. So we just assume they are happening and wait. Obviously we cant wait forever and the business cant because it will run out of money.

[emptycup] 05/11/2019 19:05

Precisely. It really is as simple as that

[trakm8fan] 05/11/2019 18:23

Yeah there was a 3 million fund raising between directors and Microlise. I wasnt sure how it was split up.

I don't see insurance going to OEM for many years yet if at all. Dont forget that the insurance companies want to know how well you're driving and they use the black box to measure g force in braking and cornering or sudden movements. The OEM manufacturers might not even offer this. And even if they do it will need to be carefully calibrated. By using the same black box in any vehicle you have direct control over the black box and no one can alter the sensitivity of the movement sensors. No kids can hack into the system too and play around with it.

[dave2608] 05/11/2019 17:48

Well let's clear one thing up. Microlise, I believe, were issued with 10 million new shares which they paid 22p each for. I make that £2.2 million. £0.7 million worth of new shares were issued to Trakm8 directors.

[knowbodyyouno] 05/11/2019 17:10

Must have been a valuable deal for them to spend the best part of £3m, but why did the CEO buy personal shares in the company? Anyway, my hope is that they steady the ship and then position the company for sale. Preferably in quick order. Whether anyone buys it is another matter, but I hope they do.

Lots of people said it was game over, 1 year ago, yet here we are. The half year trading update will do the talking and give us a some idea of who is right on this. I suspect it will be somewhere in the middle.

[shareguru1] 05/11/2019 16:52

The insurance market will take OEM data..

[trakm8fan] 05/11/2019 16:08

Nothing has changed. We had a £10k buy a few weeks ago but no one commented on that. Some people bought today when the price dropped. Ok not massive buys but it's not all selling.

[dc2] 05/11/2019 15:18

Ps. July 2019, raza fills his isa with these. Ok, small change but he has good visibility.

[shareguru1] 05/11/2019 15:07

They'll maybe be bought