(Total Views: 185)
Posted On: 03/07/2023 11:41:50 AM
Post# of 37298
HHSE NEWS: MyFlix twin-sister, TUBI, turns down $2-BILLION buy-out offer
Saturday, February 25, 2023
(click on link to view photos and tables)
http://hannoverhousemovies.blogspot.com/2023/...llion.html
Greetings HHSE Friends - Two weeks ago, BLOOMBERG NEWS reported that Fox had turned down an offer to buy its TUBI.TV streaming service for TWO-BILLION DOLLARS. This should be a huge wake-up call for any HHSE / MYFLIX skeptics - as our business model very closely follows the TUBI plan: lots of programming, minimal to no licensing fees, little or no advertising, and a "split" of net revenues with the program suppliers. In fact, the only thing more surprising to skeptics about TUBI's success might be the impressive and impactful TUBI ad purchased during the recent SUPERBOWL broadcast... one of the first major ads ever placed by Fox in support of TUBI.
For the past three years, HHSE has been hesitant to launch MYFLIX for two primary reasons that may no longer apply: 1). MAJOR TITLES was always a concern for MYFLIX, as the principle of "one chance to make a first impression," suggested that having only independent films could look bad to potential MyFlix users; and 2). MAJOR ADVERTISING support was felt to be essential for a successful MyFlix launch. Well, TUBI's incredible success has shot holes in both of those concerns.
That said, it is still helpful to have an assortment of major studio titles to supplement the 15,000+ indie titles available to MyFlix. And, some level of advertising and publicity support will help with the launch. But the bottom line on how much money it will take to launch MyFlix has reduced tremendously - as market conditions have evolved. We are in the Golden Age of Streaming Services... and MyFlix is positioned to be a successful brand name option for consumers.
So what does this mean for HHSE shareholders? It's hard to predict - as so many factors can impact each project and opportunity. But, starting with managements internal forecasts for 2023 - we can begin to build a basis for estimating the company's valuation. On the 2023 revenue projections chart below, we can see the following:
1). PASSIVE ROYALTIES (V.O.D. from Library) will be modest, approx: $108,883
2). PRODUCTION INCOME from original shows and films will be the largest revenue source in 2023 (Production fees, Overhead Fees, Dist. Fees & Profit Shares): $1,355,740
3). MYFLIX income will likely turn into positive cash flow by June and will closely follow production incomes, through net revenue share and mastering fees: $1,133,250
4). STOCK OFFERING will hopefully generate over $1-mm for the company, about half of which will be used for MyFlix staff / operations / basic marketing: $450,000
The previous plan to raise up to $8-million for MyFlix through a series of stock offerings seems invalid in the current marketplace. There will not be a major dilution of shares issued, as the needs for the MyFlix launch are only $1-mm or less.
While the 2023 projections are modest revenues, based on the company's low overhead, there should be a significant revenue surplus to enable key judgments to be paid off and most short-term notes to be retired... essentially freeing the company from the burden of old payables management that has cannibalized management productivity.
Moving into 2024 and beyond - it's not unrealistic to forecast significant increases over the 2023 "launch" results - as services (like TUBI) post an average annual growth of 37.63%.
* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * *
After extensive research and analysis, Zippia's data science team found the following key financial metrics. Tubi's revenue growth from 2018 to 2022 is 37.63%.Sep 30, 2022
* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * *
So, what does this mean to HHSE shareholders?
Again, it's speculative and subject to many variables. But the results of comparable businesses suggest a tremendous upside for HHSE.
In pursuing programming suppliers for MYFLIX, the HHSE management came into communication with a variety of funds, brokers and advisers specializing in media and entertainment stocks. The consensus as communicated to HHSE is that the company is pursuing a viable and successful path, specifically:
a). REGISTER THE STOCK SHARES - via the Form 10-12(g) S.E.C. filing;
b). LAUNCH MYFLIX - especially focusing on the "free" Advertiser supported model;
c). RETIRE JUDGMENTS AND DEBTS as quickly as cash flow enables; and,
d). DIVERSIFY ASSET BASE THROUGH ORIGINAL PRODUCTIONS - rather than relying upon third-party-owned programming, being involved with cash-flow-positive "productions" balances the MyFlix model and provides an alternative revenue source.
These investors / analysts / traders consider themselves to be "the smart guys" in that their annual R.O.I. results consistently out-perform general market indices. Will the market give HHSE a 34-X price-earnings ratio (consistent with other streaming & media companies)? Will the market give a 2-X to earnings "goodwill" boost to take into consideration that 2023 represents the launch of MyFlix and not the full operations? Will HHSE / MyFlix achieve the baseline revenues to support a pre-tax income of $1.385-mm?
Perhaps all three might occur... and if so... the HHSE stock in this model would be trading at around $.17 / share. Perhaps none of the three would occur at these levels... but even in the worst analytical scenario, there analysist report the widespread expectation that the stock will be at or above $.10 by year's end.
This is why - for months heading into years - HHSE Management has encouraged shareholders to HOLD or GROW their HHSE holdings, rather than sell prior to the completion of these key endeavors. Penny stocks can offer a tremendous upside... but they can also be the wrong fit for a short-term trader. In the case of HHSE, the "clean-up" of the prior business model (e.g., the collapsed DVD distribution business and an illogical predisposition to ignore meritless litigation), has slowed the company's progress. HHSE has been bullish for years on filing the Form 10 registration AND in launching the MyFlix service. But the company's advisors have prioritized efforts to clean-up the balance sheet, deal with previously ignored legal issues, and to show a solid "going concern" viability before filing the registration. That's how we got to where we are now: never taking our eyes off the prize, but working daily to resolve all issues that impact the viability of the registration filing.
Our current Form 10 task evidences how far we have come. Out of 515 payables accounts, 42 were mis-valued by more than 3% after third party verification. With the corrected balances in hand, the basis for calculating corrected interest, and flowing this through to earnings and equity for each prior reporting period affecting the Form 10 is a clerical level task that shows our proximity to crossing the finish line. Will the HHSE stock "bounce and hold" following the Form 10 filing? Most analysts have told us "YES," as their prediction. Will the stock pop and hold at another level after the MyFlix site is formally launched? Again, most analysts have told us "YES" as a further prediction. Will consumers respond to MyFlix with ONE-TENTH of the revenues as TUBI is enjoying? Well, wouldn't that be incredible? One-Tenth of TUBI annual revenues is still enormous... so it would not take a media analyst to predict that the HHSE / MYFLIX stock would be quite a commodity!
The last few years have been a bit crazy - not just for HHSE, but for the whole media sector. The "old rules" no longer apply, and media executives (like HHSE / MYFLIX C.E.O. Eric Parkinson) have to be faster, harder-working and willing to think outside-of-the-box in order to succeed. That's why Parkinson is not afraid to forge new paths to help put HHSE and MyFlix onto the right track. Over the coming months - some of the creative, unusual and behind-the-scenes activities that have occurred to support the MyFlix launch will become known - and could become somewhat legendary. This C.E.O. - owner of more than 50-mm HHSE shares - has a personal vision of a $1 share price. And this is the motivation for Parkinson to put in the insane hours and Herculean effort (with no salary) to make it all happen.
So, skeptics be warned, and longs be strong. Watch what happens - and congratulations to those with the vision and perseverance to remain patient supporters of the HHSE plan.
HHSE / MYFLIX - 2023 FORECASTED REVENUES SUMMARY
Hannover House, Inc. makes no representation, warrantee or guarantee that the revenues forecasted by the company for calendar year 2023 hereinabove will be achieved, or that the market's response to the company's revenue performance will meet the expectation of the stock analysts and traders who have provided projections to HHSE management. This informational blog is meant to provide existing and prospective shareholders with a factual and insightful basis for the determination of the company's current and potential value, and is not meant to serve as investment advice for anyone reviewing this blog. As with all investments, consider your risk potential and seek investment advice from legitimate and licensed professionals.
Saturday, February 25, 2023
(click on link to view photos and tables)
http://hannoverhousemovies.blogspot.com/2023/...llion.html
Greetings HHSE Friends - Two weeks ago, BLOOMBERG NEWS reported that Fox had turned down an offer to buy its TUBI.TV streaming service for TWO-BILLION DOLLARS. This should be a huge wake-up call for any HHSE / MYFLIX skeptics - as our business model very closely follows the TUBI plan: lots of programming, minimal to no licensing fees, little or no advertising, and a "split" of net revenues with the program suppliers. In fact, the only thing more surprising to skeptics about TUBI's success might be the impressive and impactful TUBI ad purchased during the recent SUPERBOWL broadcast... one of the first major ads ever placed by Fox in support of TUBI.
For the past three years, HHSE has been hesitant to launch MYFLIX for two primary reasons that may no longer apply: 1). MAJOR TITLES was always a concern for MYFLIX, as the principle of "one chance to make a first impression," suggested that having only independent films could look bad to potential MyFlix users; and 2). MAJOR ADVERTISING support was felt to be essential for a successful MyFlix launch. Well, TUBI's incredible success has shot holes in both of those concerns.
That said, it is still helpful to have an assortment of major studio titles to supplement the 15,000+ indie titles available to MyFlix. And, some level of advertising and publicity support will help with the launch. But the bottom line on how much money it will take to launch MyFlix has reduced tremendously - as market conditions have evolved. We are in the Golden Age of Streaming Services... and MyFlix is positioned to be a successful brand name option for consumers.
So what does this mean for HHSE shareholders? It's hard to predict - as so many factors can impact each project and opportunity. But, starting with managements internal forecasts for 2023 - we can begin to build a basis for estimating the company's valuation. On the 2023 revenue projections chart below, we can see the following:
1). PASSIVE ROYALTIES (V.O.D. from Library) will be modest, approx: $108,883
2). PRODUCTION INCOME from original shows and films will be the largest revenue source in 2023 (Production fees, Overhead Fees, Dist. Fees & Profit Shares): $1,355,740
3). MYFLIX income will likely turn into positive cash flow by June and will closely follow production incomes, through net revenue share and mastering fees: $1,133,250
4). STOCK OFFERING will hopefully generate over $1-mm for the company, about half of which will be used for MyFlix staff / operations / basic marketing: $450,000
The previous plan to raise up to $8-million for MyFlix through a series of stock offerings seems invalid in the current marketplace. There will not be a major dilution of shares issued, as the needs for the MyFlix launch are only $1-mm or less.
While the 2023 projections are modest revenues, based on the company's low overhead, there should be a significant revenue surplus to enable key judgments to be paid off and most short-term notes to be retired... essentially freeing the company from the burden of old payables management that has cannibalized management productivity.
Moving into 2024 and beyond - it's not unrealistic to forecast significant increases over the 2023 "launch" results - as services (like TUBI) post an average annual growth of 37.63%.
* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * *
After extensive research and analysis, Zippia's data science team found the following key financial metrics. Tubi's revenue growth from 2018 to 2022 is 37.63%.Sep 30, 2022
* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * *
So, what does this mean to HHSE shareholders?
Again, it's speculative and subject to many variables. But the results of comparable businesses suggest a tremendous upside for HHSE.
In pursuing programming suppliers for MYFLIX, the HHSE management came into communication with a variety of funds, brokers and advisers specializing in media and entertainment stocks. The consensus as communicated to HHSE is that the company is pursuing a viable and successful path, specifically:
a). REGISTER THE STOCK SHARES - via the Form 10-12(g) S.E.C. filing;
b). LAUNCH MYFLIX - especially focusing on the "free" Advertiser supported model;
c). RETIRE JUDGMENTS AND DEBTS as quickly as cash flow enables; and,
d). DIVERSIFY ASSET BASE THROUGH ORIGINAL PRODUCTIONS - rather than relying upon third-party-owned programming, being involved with cash-flow-positive "productions" balances the MyFlix model and provides an alternative revenue source.
These investors / analysts / traders consider themselves to be "the smart guys" in that their annual R.O.I. results consistently out-perform general market indices. Will the market give HHSE a 34-X price-earnings ratio (consistent with other streaming & media companies)? Will the market give a 2-X to earnings "goodwill" boost to take into consideration that 2023 represents the launch of MyFlix and not the full operations? Will HHSE / MyFlix achieve the baseline revenues to support a pre-tax income of $1.385-mm?
Perhaps all three might occur... and if so... the HHSE stock in this model would be trading at around $.17 / share. Perhaps none of the three would occur at these levels... but even in the worst analytical scenario, there analysist report the widespread expectation that the stock will be at or above $.10 by year's end.
This is why - for months heading into years - HHSE Management has encouraged shareholders to HOLD or GROW their HHSE holdings, rather than sell prior to the completion of these key endeavors. Penny stocks can offer a tremendous upside... but they can also be the wrong fit for a short-term trader. In the case of HHSE, the "clean-up" of the prior business model (e.g., the collapsed DVD distribution business and an illogical predisposition to ignore meritless litigation), has slowed the company's progress. HHSE has been bullish for years on filing the Form 10 registration AND in launching the MyFlix service. But the company's advisors have prioritized efforts to clean-up the balance sheet, deal with previously ignored legal issues, and to show a solid "going concern" viability before filing the registration. That's how we got to where we are now: never taking our eyes off the prize, but working daily to resolve all issues that impact the viability of the registration filing.
Our current Form 10 task evidences how far we have come. Out of 515 payables accounts, 42 were mis-valued by more than 3% after third party verification. With the corrected balances in hand, the basis for calculating corrected interest, and flowing this through to earnings and equity for each prior reporting period affecting the Form 10 is a clerical level task that shows our proximity to crossing the finish line. Will the HHSE stock "bounce and hold" following the Form 10 filing? Most analysts have told us "YES," as their prediction. Will the stock pop and hold at another level after the MyFlix site is formally launched? Again, most analysts have told us "YES" as a further prediction. Will consumers respond to MyFlix with ONE-TENTH of the revenues as TUBI is enjoying? Well, wouldn't that be incredible? One-Tenth of TUBI annual revenues is still enormous... so it would not take a media analyst to predict that the HHSE / MYFLIX stock would be quite a commodity!
The last few years have been a bit crazy - not just for HHSE, but for the whole media sector. The "old rules" no longer apply, and media executives (like HHSE / MYFLIX C.E.O. Eric Parkinson) have to be faster, harder-working and willing to think outside-of-the-box in order to succeed. That's why Parkinson is not afraid to forge new paths to help put HHSE and MyFlix onto the right track. Over the coming months - some of the creative, unusual and behind-the-scenes activities that have occurred to support the MyFlix launch will become known - and could become somewhat legendary. This C.E.O. - owner of more than 50-mm HHSE shares - has a personal vision of a $1 share price. And this is the motivation for Parkinson to put in the insane hours and Herculean effort (with no salary) to make it all happen.
So, skeptics be warned, and longs be strong. Watch what happens - and congratulations to those with the vision and perseverance to remain patient supporters of the HHSE plan.
HHSE / MYFLIX - 2023 FORECASTED REVENUES SUMMARY
Hannover House, Inc. makes no representation, warrantee or guarantee that the revenues forecasted by the company for calendar year 2023 hereinabove will be achieved, or that the market's response to the company's revenue performance will meet the expectation of the stock analysts and traders who have provided projections to HHSE management. This informational blog is meant to provide existing and prospective shareholders with a factual and insightful basis for the determination of the company's current and potential value, and is not meant to serve as investment advice for anyone reviewing this blog. As with all investments, consider your risk potential and seek investment advice from legitimate and licensed professionals.
(0)
(0)Scroll down for more posts ▼
