Suggest you go and understand why Newcrest have already put $250m+ into this project already and you will find your answer about their intentions around mine funding and development.
Secondly go and look at who is the man behind Wyloo Resources. He is a huge player in Australian mining and not averse to a bid on a mining company.
There was also this one 6th June which must have been a QC win.
"The program has been awarded with certain minimum volume guarantees, covering a number of vehicle models with start of production scheduled from early 2024 and an initial value of A$27 million, bringing the total number of OEM customers to 10. The program will be delivered via Company's embedded Driver Monitoring Engine (FOVIO e-DME software library), pre-integrated and optimised for Qualcomm's 3rd generation Snapdragon® ****pit Platforms."
Agree totally. Shareholders and the market deserve to know how significant the relationship is with Qualcomm. Very little has been said by PM about it. The company must shave some idea of the volumes and revenue that will be coming their way from the Qualcomm partnership.
“ Good point, are OEM's going through Qualcomm counted within that 1 Billion of RFQ'S Paul mentioned or additional?”
See’s DMs is integrated in the Snapdragon digital chassis as a plug in for Qualcomm to sell to their customers. Can’t see why SEE would be involved in any rfq that Qualcomm were pursuing.
As long as Qualcomm keep adding to their $19 billion dollar auto pipeline then part of those revenues will filter down to SEE. Doesn't really matter which automaker they come from.
“ @notrade, I'm assuming SD had some funding in place (albeit on a contingent basis, maybe) in order to make the $85m offer to buy back the 5% option.”
It wasn’t an offer to buy back the 5% option. We already owned that. The $85m was an offer to buy 5% back off NCM increasing GGP ownership to 35%. It was a master stroke.
Cash position at Dec 21 was $80m.
Royalties start ramping up early 23 with 30+ models on the road. If they win their stated shared of the $1b rfq then there will be substantial upfront preproduction fees associated with that. Plus you have the rollout of the Shell Fleet framework which should contribute considerably to the bottom line.
Not concerned by the current state of play regarding cash and we will find out exactly where the company stands in 2 and a half weeks time.
“ but if SEE create a constant information vacuum”
There have been 13 significant rns’s this year….. basically 2 per month! Not sure how that is a news vacuum. I am in a stock that has had one rns all year! That is a news vacuum!
Soulboy,
" that’s not about Covid, Brexit, chip prices or energy prices."
Of course it is! I have just been through the YTD share price gains/falls of many of our partners (Qualcomm, Ford, BMW, GM, Ambarella, ), competitors (SEYE/CIPIA), and similar tech growth stocks . Not one of them are in GAIN territory. They are all lower than they began the year ranging from -20% (Qualcomm - it was only a few weeks ago this was closer to 40%) to -68% (SEYE our main competitor).
I guess all the these companies are rubbish at controlling their share prices as well. Focus on the fundamentals. The company is doing a good job with these.
Phil,
" At the moment we have about A$300Mil of confirmed contracts. That is lifetime value, so if you assume that the life time of each model is 7 years,"
This isn't correct as has been pointed out in the broker notes.....
" The ‘cumulative initial lifetime value’ of these awards is now up to A$372m/US$268m which, as highlighted in today’s announcement, is predominantly based on conservative minimum production commitments for initial vehicle models. However, with actual production volumes usually much greater that minimum commitments, and the technology already being seen on models beyond the initial award win, we believe the actual estimate lifetime value of these awards is already considerably larger."
In any case posts on this site won't impact what happens with this share price or investment in the company. The lack of liquidity in this stock means only meaningful movement in the SP will occur when institutions have to by in the market.
From 2019 Annual report - " Total contracted revenue for the Automotive business of approximately A$200m, with the majority to be recognised in the 2021-2024 period based on projected lifetime OEM volumes"
So a large part of A$200m in revenue to come in the next 2 years based on this statement above just based on Auto.
Chuzt, I agree, this focus on a cash raise doesn't seem to take into account the following from 2019......
"the total projected value of contracted revenue for the Automotive business is now in the range of A$170 million to A$200 million, up from A$110 million at the end of FY2018, with the majority of this expected to be recognised in the 2021-2024 period based on projected lifetime OEM volumes."
From my reading of the annual accounts very little of this $170-200m has been recognised to date, which means a large chunk will be in the next 24 months..
Ok fair enough. Hadn’t looked at it like that. Volkswagen are forecast to be the largest seller of electric cars by 2025 overtaking Tesla. The company came out last month expecting 50% + revenue market share and they have betterforesight than most with respect to the medium term market and so I will go with that until indicated otherwise.