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Not at all Sergei - I decided against asking Sir David, as I didn't want him to finish his enthralling career filming a bunch of Senseless Sergeis. I wanted him to be able to look back at his amazing career with much deserved pride and no embarrassment.
What kind of an insensitive and totally obnoxious retirement gift would that have been ?
Thanks Bull.Bear for your kind input and I appreciate your constructive post. I am familiar with the various income streams, revenue models etc for CYAN, but have kept it simples for the Sergei and the meerkat crew.
Simple arithmetic is an immense challenge - I didn't want to challenge them anymore intellectually ! I could done by the RSPCA for unspeakable cruelty to meerkats! They have as many neurons (collectively) as has CYAN revenues - of course there are no synapses. What would be referred to as aneuronal, asynaptic in scientific parlance - they'll need a Guide to Alphabets to look up a dictionary. And you will have to tell them which end it starts.
It is regrettably one of the situations when the "Dummies Guide" is way above their reading age. I think there is huge scope for a market for a "Guide for Dreadfully Daft Dummies" who are still at a dummy sucking chronological age.
The lookout/sentinel meerkat has not yet spotted the eagle :)
Hope that helps :)
I am tempted to offer to fund a documentary on LSE Simples Sergei Meerkat and friends - however, Sir David Attenborough is likely to turn it down.
BambasCrown/ Jukebox Sergei,
I'll leave you to busking - but you are not going to be Ed Sheeran ! Give up on that dream.
I have made the belated discovery that some B Flats are totally uneducable and will never ever be a B Sharp.
BST
You are perfectly entitled to decide what information to rely on make your decisions - historical or current, anecdotal or evidenced. Nobody can takeaway that and you act accordingly - that's your prerogative and privilege .
We have different viewpoints and that's not an issue at all with me .
Your investment decisions have no relevance to me - but posting false, misleading information will be held to account on this thread.
I have made an allowance for your inability to do arithmetic so far, but that would not form any mitigation for market abuse. I can promise you that.
ITT/Sergei,
This tin is not even fit for recycling - landfill.
BambasCrown/Sergei,
In your case the jukebox turns out riff -raff !
Your best note is B Flat.
ITT/Sergei,
Learned to ask a question yet ? Waiting for a teaching assistant to help you with that ? How long have you been holding up your hand ?
Oooh dear BST/Sergei with a massive bruised ego and no ability to understand material posted at a reading age of 3yrs either. Welcome back Sergei and the meerkat crew. No further free lessons either in Maths, English, Geography or Business. A waste of time totally.
Carry On Investing starring BST and place your positions accordingly.
"Pompous head" which has a brain fortunately :)
BST,
I was expecting some one to drill into the detail and then tie themselves up once again. Hence, I qualified that with "back of envelope". One can get too caught up in the fine detail and fail to grasp the paradigm shift in the revenue generation model.
I don't expect that we can hold onto approx $25 per meter margins indefinitely - volume discounts are the norm. However, volume discounts are offset by an increasing market share. With 230-250m smart meters to play for eventually, even a tiny sliver will set us up very nicely.
Sorry, I don't get your Malctim ??
Good morning LTI and all,
I hope that going forward we can have constructive discussions in a polite and civil manner as a wider BB. We all have our opinions, viewpoints, perspectives and varying levels of understanding of our CYAN business. I understand that for some who have held and expressed some very strongly held views, it may take a while to recognise that their grasp of information and their beliefs may have been inadvertently misplaced.
We are entitled to our opinions, but we must distinguish them from fact. I think we need to be able to put forward those viewpoints and back them up , expecting polite challenge as one would in a workplace.
Presenting opinions as "facts" and trying to manipulate the market, carry all the risks of market abuse that I have emphasised. My monitoring of that, holding to account or willingness to act has not changed an iota. That is non - negotiable.
Good morning Tillytish,
PAYG smart metering model is what is being mooted/policy decision for paying electricity customers/end users in India.
CYAN are a B2B company with no direct relationship with our end user (other than our Network Integration Card card which allows the meter to connect to the RF Mesh network sitting inside their smart meters).
We sell to Discoms or Distribution Companies as they are called in India (Electricity providers/utilities) through contracts in partnerships with our meter manufacturers like Genus, L&T, HPL etc.
I'll illustrate with an example which may make more sense for us - using a hypothetical UK example.
CYAN have their card inside the smart meter in your house - Utility provider electricity is by British Gas
So in the above example - CYAN will sell our hardware/communication services to British Gas over a contract period.
How British Gas bill you for their services to you as the end customer - whether by bill/direct debit/PAYG is of no relevance to us/CYAN.
Does that help ?
BST, Good morning
Re your question re 10m v 500k to Sergei - people are tying themselves in knots with this one. It is simple and I will sincerely try and help you understand, as I sense you struggling to bridge that conceptual gap.
I'll try again but I would recommend emailing JC and getting a straight answer with an illustrative example. That is the best way.
The 10m example that Sergei keeps talking about showed what revenue, 10m units would produce over a 10 year period. It was relating to our old Ultimesh product based on a licensing model and not a Capex model. It was something similar to "Pay as you go" with a mix of hardware and software costs. That was the flavour of the day at the time of release.
So Cyan had made a business development projection about how an expected rollout and uptake of these licences would pan out progressively YoY over a 10 year period.
Based on the illustrative example (remember it was a projection/forecast) - you can get this from JC:
Total revenues of 10m units was estimated to have generated £148.892 million at year 10
Total Gross Margin for 10m units at year 10 was estimated at £74.458m
Gross margins were pitched at about 50%.
Ask JC and he will send you the full worked out example (just for your peace of mind and to help you understand).
Now all this talk of 10m v 500k to break even is totally irrelevant on a practical investing level as we are not actively promoting the licensing PAYG model in India. This business / revenue generation model is not being used currently.
What we are now talking about (and relevant from an investing point of view) is that we have a Capex model and we make approximately $25 conservatively per smart meter (revenue spread over the contract period).
So for back of envelope calculations, 500k smart meters installed per year will generate about $12.5m revenue per year. You already know our costs of about £4.8m per year (as things stand)and this will allow us a healthy profit.
So trying to compare an obsolete, dead and buried PAYG model with the current Capex contract period model which has a different revenue generation profile - is like comparing chalk and cheese.
I hope this clears things up for you and for other posters as well.
Finish the sentence... time for an English lesson now.
"What a web we weave....
Simples Sergei :)
MrStrongViolent/Sergei,
It is all there announced in the RNSs on 16 Dec 2019 and 06 Jan 2020.
You have chosen to misinterpret the same either accidentally (charitable explanation) or deliberately and then post misleading information (deliberate market abuse).
Then you try to bluster your way through pointless name calling.
Your mask is slipping - you'll need both hands to keep it up !! Who'll do the posting then Sergei ?
Have a sarnie, Sergei, your blood sugar is dropping as you are getting very mixed up and anxious, where as your heart rate and blood pressure are going up probably.
Look after your health.
You seem to have a very clear memory of the venue, so you were there ? In what capacity I wonder ?
Ask JC. I am sure you can string a question together. There is no need to shy away, JC does not bite. I won't be surprised if you know him very well !!
Have a sarnie, it's lunch time Sergei.
Simples :)
Colourbounce/ Sergei, you are back to the 10m saga again.
Email JC and put your mind at rest. Don't flog and peddle false information. Simples.
Do I need to remind you again the dangers of market abuse ?
Wannabe star salesman need to have sarnie at lunch time to top up.
MrStrongViolent/Sergei,
There is little hope for you - "U" in maths if you ever did your GCSE.
Try again, read slowly and carefully:
16 Dec 2019 RNS
£3.3m for 142k smart meters = £23.24 per smart meter
06 Jan 2020 RNS
"scalable to 200k" which would then mean 200k x £23.24 = £4.647 million
You choose to divide 3.3 million / 200k and they wonder why you can't work things out.
Take a break Sergei - Simples.
Have a sarnie, it is lunch time.
BST, No you are not there yet. Google may be of help.
MrStrongViolent - should have paid more attention in Maths.LOL ! I despair at the levels of literacy and numeracy on display here.
Simple division skills is what is needed.
Use examples from contract sizes and numbers involved. $25 is a conservative estimate. Ask your teacher, Colour, she does the remedial classes too and stay back after school and may be you will learn something.
Don't forget which should be the numerator or denominator.
Try not to further blot your copybook.
BST, you clearly haven't the foggiest about dementia.