Mid-Year Report January – June 2011

[billairboy]

http://www.mindark.se/investor-rela...documents/semi-annual-report-jan-jun-2011.pdf

Some highlights:

"End users’ net contribution for the
first six months this year was 23.9
million SEK compared to 20.8 million
SEK the previous year, an increase of
15 %.
A complete organizational review
resulted in an organizational change,
which lead to a reduction in staff
equivalent to nine full-time
employees. That, combined with a
deliberate restraint on costs resulted
in decreased operating costs from
35.7 million SEK from previous year
to 27.3 million SEK this year, a
decrease of 23%."

"The profit before taxes for the
MindArk Group amounts to minus 8.2
million SEK compared to minus 13.4
million SEK previous year."

 

[Rave]

So can we infer that they will make approximately 20mil SEK this year? If they generated 23mil in the first 6 months and their estimated operating costs are only about 20mil for the year, we can assume another 20mil+ for the second half of the year. Plus the end of the summer usually shows an increase for the in game economy.

Anyone else agree with this? I think its a fairly valid assumption.

 

[GeorgeSkywalker]

So can we infer that they will make approximately 20mil SEK this year? If they generated 23mil in the first 6 months and their estimated operating costs are only about 20mil for the year, we can assume another 20mil+ for the second half of the year. Plus the end of the summer usually shows an increase for the in game economy.

Anyone else agree with this? I think its a fairly valid assumption.

Something like that

In their report the following was intresting:

Forecast for Second Half of 2011

The current operation is expected to
increase in the second half with
higher net deposits than previous
year. Furthermore, costs are
expected to be significantly lower the
second half of 2011 than the same
period last year.
Net profit before tax for the second
half of 2011 is expected to be better
than in the first half of the year with
positive results and cash flow for the
months of September through
December.

So basically their costs are expected to be lower and profits more. Which is good news for everyone.

Suggests to me Cyrene will become live fairly soon and is likely to start bringing in new players unlike the other PP's who are playing some kind of waiting game. The collaboration with Ericcson may also yield some new business and profits. Also some of the old systems may be coming back which would also increase profits for MA and make for a better game. So looks pretty good to me

 

[SnowLeopard]

"The profit before taxes for the
MindArk Group amounts to minus 8.2
million SEK compared to minus 13.4
million SEK previous year."

Isn't a negative profit really a loss?

No mention of SEE/SDS.
No specifics on what payouts go towards partners and withdrawals as opposed to regular running-the-business.

 

[Sircus]

Well, they have for sure implemented alot of stuff (Decent new content, PP´s). But the current figures doesnt look good. It could be a complete turnaround next year with unprecedented profit or another very hard and bad year. They are showing negative growth atm ffs.

When I try to see into the the coming year I see the financial crisis deepen across Europe and the US, affecting alot of the growth. With negative growth it will be a challenge just to keep it from getting worse. People will want more for their money when they have less to spend. Will MA be up to the challenge? How has their track record been so far?

The sky aint falling but there is thunder at the horizon for sure.

 

[billairboy]

So can we infer that they will make approximately 20mil SEK this year? If they generated 23mil in the first 6 months and their estimated operating costs are only about 20mil for the year, we can assume another 20mil+ for the second half of the year. Plus the end of the summer usually shows an increase for the in game economy.

Anyone else agree with this? I think its a fairly valid assumption.

No, the operating expensives are about 27Msek the first half year, so the loss is about 23-27=4Msek the first half year, included other cost the total loss the first half year is about -7Msek for the parent company, for the group about -8Msek.

 

[billairboy]

The sky aint falling but there is thunder at the horizon for sure.

Yeah, they realy need to get more players now..... or they must kick even more people from the comany to save even more cost. My guess is that they most take in more investors, more owners willing to invest capital to the company.

 

[Nor Alien]

Thank you for the info!

 

[Moonbiter]

Good news about Cyrene. I would hazard a guess that migration period on Calypso, coupled with upcoming Arkadian event will be quite good for their cashflow in second half of the year.

 

[Ludvig|MindArk]

I believe that a rebalancing for better average loot and less ATHs would be better for the economy, lower usage costs and allow more people to play at a higher level (or at all) meaning a bigger source of deposits in total



Basically to sum it up for now:
1) Lower costs than year before.
2) More deposits than year before.
3) Still a loss, but smaller than year before.
4) Economy expected to improve further during second half of 2011.
5) MA are discussing future joint marketing with Ericsson.
6) Cyrene expected Q4 2011.
7) MindBank still on hold until better funding can be secured.

 

[Mac]

4) Economy expected to improve further during second half of 2011.

What economy ?

 

[Kitty]

I'm sorry all I saw was "equivalent to nine full-time
employees." Don't they only have like 11??


My apologizes, I did not read the document

 

[Moonbiter]

I'm sorry all I saw was "equivalent to nine full-time
employees." Don't they only have like 11??

They have 66 now, down from 80. Read the document.

 

[Ludvig|MindArk]

What economy ?

Economy of the company?

 

[SpikeBlack]

End users' net contribution for the first six months this year was 23.9 million SEK compared to 20.8 million SEK the previous year, an increase of 15%

Does this includes money deposited upto the end of June 2011 ? (it is according to page 5) 3 million SEK is approx $472,000 quite a large proportion of that will be deposits for Medusa's head and for the buying of motherships.

And what happened to the 20% increase in the number of developers?

 

[SnowLeopard]

No mention of pending litigation that would explain the status of Outback Land Areas 18, 23, 30, and 37.

 

[billairboy]

Does this includes money deposited upto the end of June 2011 ? (it is according to page 5) 3 million SEK is approx $472,000 quite a large proportion of that will be deposits for Medusa's head and for the buying of motherships.

And what happened to the 20% increase in the number of developers?

Was not Medusa sold in 2010? or do i remember wrong?
A i also not sure if the money from Medusa goes to MA or to the company owning Calypso.

 

[SpikeBlack]

Was not Medusa sold in 2010? or do i remember wrong?
A i also not sure if the money from Medusa goes to MA or to the company owning Calypso.

I know the deed was added in December but the auction didn't end until Jan 3rd 2011. As the sale never finalised for FPC and MA took back ownership of Calypso I guess the money goes to them.

But any money deposited into EU is a sale for MA as they manage all monetary transactions within EU.

 

[GeorgeSkywalker]

My guess is that they most take in more investors, more owners willing to invest capital to the company.

Well they said this in the report:

it was by the meeting
decided to submit an authorization to
the Board of Directors to issue new
shares at market conditions.

So they will be issuing new shares. What I don't get is how can they sell shares if they never launched on the share market? Something about an IPO they have to do first which they delayed for later. Probably something really simple that I don't know about

Also If I wanted to buy these shares how would I do that? Is there a minimum amount I would have to spend? Also if I buy many do I get to have a say on how the company is run? That would be kinda cool ...

 

[mastermesh]

Also If I wanted to buy these shares how would I do that? Is there a minimum amount I would have to spend? Also if I buy many do I get to have a say on how the company is run? That would be kinda cool ...

It would be very cool... Actually I think that might just be what Neverdie did?

Still a lot of unanswered questions about shareholders at https://www.planetcalypsoforum.com/...annot-participate-what-level.html#post2570916

I'm still curious about how shares ended up in the US in Neverdie's hands in 2006 when this document from 2005 said there can't be any shares in the US?!?...
http://www.mindark.com/press/press-releases/documents/mindark_prospekt_en.pdf
http://!!!!!!!!!!!!!.files.wordpress.com/2011/06/uhoh.jpg?w=640

http://www.realtid.se/ArticlePages/..._Realtid727/20070227152851_Realtid727.dbp.asp

Golden Shadow Pictures, USA 0,36

Distributor on some http://www.imdb.com/company/co0064771/

out of the 8 films Jon is credit as director http://www.imdb.com/name/nm0414481/

they're distributor of 7, the production company behind 2 and he was an actor in all of them.

Even more interesting is the domain info

http://whois.pho.to/golden_shadow_pictures_468_n_camden_drive/

Administrative Contact:
Jacobs, Jon nevereverdie@xxx.xxx.xxx
Golden Shadow pictures
468 N Camden Drive
Suite #300
Beverly Hills, CA 90210
US
3055765957
3055765943

and they have the trademark on 'NEVERDIE'

How on earth did he find out about the sale of CND

Have to give credit to Thanatos as he found most of that last year

https://www.planetcalypsoforum.com/forums/showthread.php?185107-Nobody-at-MA-has-anything-to-say-about-Rocktropia&p=2383143&viewfull=1#post2383143

but I never knew that they were a small shareholder in MA.

 

[sky west]

So they will be issuing new shares. What I don't get is how can they sell shares if they never launched on the share market? Something about an IPO they have to do first which they delayed for later. Probably something really simple that I don't know about

These shares cannot be traded on the free market. Has to do with the shares being private or public, or in other words, the company being privately or publicly owned.

Did you know for example that Mars(the candybar) is one of the largest private companies in the world. You cannot buy shares of mars, who also make M&Ms, they still belong to the family that started the business.

Class dismissed

Edit : Seriously doubt ND has any share in MA. But there are 'inbetween' constructions, and 'what have you not' deals to trade private shares. But still this is considered private because the owners are known by name and cannot sell to third parties.

 

[remontoire]

Isn't a negative profit really a loss?

No mention of SEE/SDS.
No specifics on what payouts go towards partners and withdrawals as opposed to regular running-the-business.

In general, it depends. A company can have a huge profit before special items and a huge "loss" after special items yet make money just fine.

But yes, netaive profit is a loss. But they had much less of losses than last year, and that is good.

 

[dr3w]

Nice VU soon, also new planet is on the way, Kim can became a chirpy. All good signs.

 

[Lugzan]

Nice VU soon, also new planet is on the way, Kim can became a chirpy. All good signs.

J.

 

[M Rufen Power]

I was really impressed with the first 3 pages of that report. They increased 15% in profit & decreased 23% in costs (should of been 30% ). Thats awesome management if you ask me, no idea why they didn't start off like this beforehand. If they keep that sort of organizational management I believe by the end of 2012 the company will actually start making some money & start to repay any minus's they had previously. Which can only mean one thing, a better ingame economy . So folks there is still hope.

If by 2013 (start or end) they are not in profit I'm leaving this game. Because that's basically since they went online, a 10 year old company who still haven't learnt to generated a single plus sign is dreadful & they should be ashamed of themselves as a company, but overall I'm impressed. I can now see why old systems were posponed, largely due to planets being launched & MA saying they need to work on the space system. Now that's out of the way they can start on the old/new systems, so I sure can wait some more .

 

[Sircus]

I was really impressed with the first 3 pages of that report. They increased 15% in profit & decreased 23% in costs

Are you really impressed when they are getting these results from a smaller cookie then they had before? People dont change until they are desperate. That being said, the change is good and necessary to survive. If only this brainpower was used 5 years ago *sighs*

 

[Farmer Smurf]

Is it better to have all of a small cookie, or a part of a big cookie? I am just happy to hear they probably wont go out of business anytime soon

 

[remontoire]

These shares cannot be traded on the free market. Has to do with the shares being private or public, or in other words, the company being privately or publicly owned.

Did you know for example that Mars(the candybar) is one of the largest private companies in the world. You cannot buy shares of mars, who also make M&Ms, they still belong to the family that started the business.

Class dismissed

Pfft! This is so very incorrect. Shares in non-publicly traded companies absolutely can be sold to third parties. Public trading - or really even drawing a difference - is a somewhat newer thing than share based companies. Private trade of shares happens all the time. Or what did you think happened with companies after dropping out of an exchanges list?

 

[remontoire]

If by 2013 (start or end) they are not in profit I'm leaving this game. Because that's basically since they went online, a 10 year old company who still haven't learnt to generated a single plus sign is dreadful & they should be ashamed of themselves as a company, but overall I'm impressed.

They have generated plus signs in the past.

 

[M Rufen Power]

They have generated plus signs in the past.

Granted but that needs a drastic change asa.