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Obviously the global economic situation is dire but 8-12p by year end is massively undervalued IMO
1 x KPop concert is likely to provide profit of ~£2m and if you look closely at the last RNS (right at the bottom in DC's statement) there will be another in 2022. Let's say that will generate another ~£2m (should be more as they learn from their mistakes - particularly in merchandising and streaming ) and also let's say all the other activities ( Bricklive, Cycle Race, Cape Town food festivals, retainer for Forumula E and *ahem* StartArt) ONLY cover LVCG operational costs (and for what its worth, I believe these will easily be in profit without KPop) we could we profits in excess of £4m in 2022.
I have seen a very conservative P/E of 10 used by sensible posters on this board (as opposed to the industry average of 24 for this sector) but lets stay with 10 for now. £4m profit at 10x P/E gives a SP of 20p (or 48p under my P/E)
Given investors should be looking forward, rather than back, imagine if we do get 6 or 7 KPop concerts in 2023? We know 2 are already signed and DC hinted at many others. Add Formula E event , fully populated Cycle Race, the multi week Ocean Race event all early next year and the profit could easily be in double figure in 2023.
This could easily take the SP into triple digits next year!
DYOR
And people have missed the “in 2022” comment. Confirms that there will be another KPop this year !!
That is what is expected in July Jimmy.
OK wise one. What do you think the BoD should have done over the last few weeks?
By the way, both yours and Tintin's post are bordering libelous, so be careful what you post!
What a sage you are! A broken clock is right twice a day!
What options? You really are a clown!
"i very much doubt this will get to 20p anytime" hahahahahhahahaha
see saw see saw see saw
So what excuse have I made? If you had an ounce of understanding of LVCG you would know the results aren't actually bad. You strike me as a short-term trader who has got burnt. Suggest you toddle off and leave us to reap the rewards coming soon
Good call? Which one??? Tintin is a bipolar lunatic!!
What are you on about you buffoon? The results were as expected, if not better. Not their fault morons sell today
Perhaps if you knew and understood the reasons, you might have a different view. Today's "fall" is on net buys anyway. Nothing to panic over. The future is very bright here
https://youtu.be/gNyUCWT2daE
Highlights
62k tickets sold last weekend
Japan approached Doors - huge streaming potential there
The 02 festival will launch the GLOBAL TOUR
Multiple countries want to host the festival - tender process will be in place (like bidding for the Olympics :-) )
No risk to LVCG for the O2 festival - nothing paid upfront
My guess would be another one in Germany. Partners already in place and large Korean community. Plenty of KPop fans asking for other German cities to be included so demand is there
It would be better to RNS tomorrow at 7am
I have said time and time again that I expect the Bricklive division to AT LEAST cover the entire operating costs for LVCG, meaning that LSCE (KPop, Formula E et al) will all be profit. As Martyh says, however (basked up with previous F2F conversations I have had with DC - albeit sometime ago now) that I would expect Bricklive to actually also return a profit over and above all operating costs.
How we are at these levels is still beyond me but I expect the forecasts and broker note will completely take the market by surprise. At least I hope so! :-)
As mentioned below, by far the majority of investors who recently made money here have no idea what the company actually has as revenue streams. AIM is full of absolute morons and we seem to attract more than our fair share!
The streaming part is the REALLY big unknown as I have no real idea if we will get 100k takers or 1m
The latter might seem fanciful but you never know. I can see the behind the scenes features being super popular given how mad the KPoppers appear to be!
Just imagine if DC announced we had 1m !!! £5.7m on streaming alone! :-D
I think the ticket sales are underestimated in your calcs here
In the call DC said 10% that have been sold are VIP tickets. They are €288 each. 6400 of these equate to €1.8m of which KPE gets 40% and thus LVCG a 20% share €370k
For the remaining seats sold, an average ticket price of €75 gives a further €4.3m or €864m to LVCG
Guaranteed Merch was quoted yesterday at $500k or €475. As per the 2 Mar RNS, the merchandising profit goes to LVCG not KPE, so I would assume the guaranteed fee does too? Although the RNS of 9 Dec seems to suggest KPE own these rights...one I'll ask DC to clear up. Lets take half for now, so €240k for merch
As you say, LVCG also gets half of the €200k consultancy fee = €100k
370+864+240+100 = €1.574m or £1.34m
Unfortunately I don't disagree Bennster. But I do expect revenue numbers from all LVCG streams of income to really surprise people. Patience is the key here but the rewards could (and should) be enormous. Hopefully forecasts announced in June will help!
@212hl, more a case of "sell on news you haven't bothered to research and/or understand" !! It never ceases to amaze me how idiotic some "investors" are on AIM - and I mean in general, not you :-)
The streaming news was great yet we went down.
No risk
No marketing costs
60% revenue to LVCG ( not KPE )
Just look at how many viewers the Katie Taylor vs Amanda Serrano fight achieved on Saturday - 1.5m streamed it!
I'm not suggesting we will get 1.5m streams but when you consider these KPop bands have Social Media followers counted in tens of millions between them, it is not unfeasible to expect numbers to total hundreds of thousands across the globe.
100k streams grosses $1.2m+ with LVCG getting $720k
200k --> $1.4m to LVCG etc
These have been confirmed:-
6400 VIP ticket sales equate to $370k to LVCG
57600 normal sales could equate to anything between $500k and $1m to LVCG
Guaranteed Merchandising is $500k to LVCG
That's a minimum GUARANTEE of $1.4m revenue for one event
Add sponsorship and Korea festival area and non guaranteed merchandising and this should easily reach $2.5m+, potentially a lot more
The market just doesnt get it yet. I doubt DC cares either right now. He knows what he is delivering and knows what shareholder value will be achieved. Just frustrating and painful to sit and wait
I missed the first part where they explained it but got the impression (from the very end) that this was merely to allow warrant holders to exercise their rights. No questions came from the "room" later, so dont think it's anything at all to be concerned over.