2007年8月13日星期一

towona

Quick update from bod meeting of towona:

Archievement:
- moving from resource aquisition stage to revenue generation stage
- mkt leadship: 33 cities, 37k buses signed, 23k buses installed, 32k lcd installed.
- 1H rev: $11m, loss: 4.7m
- 07 projection: $38m, breakeven
- 10 cities archived operational cashflow positive
- strong local ad rev: over 5000 local advertisers, contract value raging from 1000 yuan to 100k. Selling price is 150-500 yuan per minute per day in a city.

Competition:

Huashi:
-less buses, less than 20k signed, 10k installed.
-but has leading position in beijing, zhenzhou, shenzhen and chengdu.
-high cost to secure resources, 9m rental fee for beijing
-more like ad agency role

Bus online:
- raised 30m recently
- 200-600 buses in each city
- extreme low pricing policy which harms the other two players

Towona Strategy and Challenges:
- secure resources in each city
- more cities to cashflow breakeven
- stable rev growth of local ads
- attract national brands
- kickoff ipo in 2008 (lead investor thinks there must be at least one on-bus media going public next year, towona has good opportunity to beat the others)

Also, board required the management to hire a financial manager to optimise the financial system and management by oct.

- Revenue

Q1 rev: 3.9m 33% of target loss: 3.4m

Q2 rev: 7.8m 43% of target loss: 1.3m

- Opex

Q1+Q2 opex: 15m (Rental: 5.2m, HR: 3.2m, sales: 5m, D&A: 1.2m)

06 opex: 9m (rental: 4m, HR: 2.7m, sales: 2m, D&A: 0.3m)

- Capex

Q1+Q2 capex: 5m

06 capex: 10m

- Analysis

Total fund raised: 45m (10m in 2006 and 35m in 2007)

Total loss: 10m

Capex: 15m

Cash: 11m

AR/other receivables: 9m

- Clients

In first half of 07, 63% advertising revenue is coming from local advertisers, of which 23% is from Xiamen alone, Large national brands accounts for 37%. Some of the large contracts are Haier (1.3m), Sanlu(800k), Hyudai(500k), Wuliangye (500k), Maotai(500k). Details will be provided as soon as obtained from the company.

2007年8月5日星期日

This is my first blog. Testing


Heard about blog about 3 years ago. Now it's time to catch up. Show a picture here. It's a photo taken by wang shi. wish could do the same some day like he did. Here is a link to his blog