BRN Discussion Ongoing

[Slade]

My prediction for what it’s worth. We will be above $1 by the end of the month and won’t look back.

 

[Dozzaman1977]

Hey Izzy and @Dozzaman1977, Sean, definitely did not say, that we would be breakeven by the end of the year, with the increase to 100 employees.

We have to keep it real here, to avoid unrealistic expectations, in regards to near term revenue.

I've got no idea, what the increase in employees will cost the Company, but it's likely to increase our quarterly costs, to around US10 million, or more (from around 7 to 8 now).

It's this increase in costs, that he said "could" or "should" be covered, by revenue.
So ongoing costs, for the time being, would remain the same (7 to 8 million per quarter)..
For now..

He definitely, wouldn't have made a definitive "statement" about what revenue, was to be expected, he chooses his words carefully.

As we are an IP Company, with margins over 90%, revenues will eventually be and continue to grow, to possibly magnitudes greater than expenses.

It would be good, if someone could post the actual transcript, of that part of the interview, as there has been a lot of confusion, over what he said..

Your wrong, how about you actually watch and listen to the interview, the question the interviewer asked, and Sean's answer about the timeline he believes the breakeven will occur.
There are no" defina
tes" in business or in life.

 

[DingoBorat]

When you dig into their website you discover:

“To overcome productivity problems manufacturers experienced due to visual quality control, AnotherBrain has developed a solution embedding AI algorithms that can imitate an operator’s thinking methods.
Our solution allows to address all types of defects on all types of products.”

They are software.

My opinion only DYOR
FF

AKIDA BALLISTA

Yes, but in 2019, they raised 19 million Euro, in an effort to implement onto ASIC..

France’s AnotherBrain raises €19 million Series A for their “OrganicAI”.

Deep learning company AnotherBrain has announced the first closing of their Series A, to the…

tech.eu

OrganicAI™ is currently delivered as software, but the company plans to make the technology available soon on an AI-chip.

Their tech looks pretty good, so we should be digging, to see if they've managed to produce a chip..

 

[DingoBorat]

Your wrong, how about you actually watch and listen to the interview, the question the interviewer asked, and Sean's answer about the timeline he believes the breakeven will occur.

If you can point me to the interview, I will transcribe what he said.

I know, in my own mind, I am not wrong.

I carefully listened and re listened, to what he said at the time.

And also remember, that there was confusion over what he said, even when the interview, was still fresh.

 

[Fact Finder]

Yes, but in 2019, they raised 19 million Euro, in an effort to implement onto ASIC..

France’s AnotherBrain raises €19 million Series A for their “OrganicAI”.

Deep learning company AnotherBrain has announced the first closing of their Series A, to the…

tech.eu

OrganicAI™ is currently delivered as software, but the company plans to make the technology available soon on an AI-chip.

Their tech looks pretty good, so we should be digging, to see if they've managed to produce a chip..

Well if they have you would think it would be on their website. No mention of a date by which it will turn up.

I don’t see them as other than another startup making claims which means in terms of chip development at least three years behind.

@Diogenese woild be able to find a patent given they have been making their claims for more than 18 months now.

My opinion only DYOR
FF

AKIDA BALLISTA

 

[Proga]

This is a great video, a must watch, especially the first few minutes.

Mercedes Chief Software Officer Magnus Ostberg saying that just “1 standardised chip that will do all by 2024”

Thanks chapman. That was great timing. Confirmed part of what I said yesterday - The 2024 release will involve the Akida full package which includes not only the lidar but the driver and passenger monitoring systems, infotainment (hey Mercedes), drivetrain and probably a few others which I haven't thought about. It will be standard in all vehicles not only the above 2.

 

[Fact Finder]

If you can point me to the interview, I will transcribe what he said.

I know, in my own mind, I am not wrong.

I carefully listened and re listened, to what he said at the time.

And also remember, that there was confusion over what he said, even when the interview, was still fresh.

My recollection accords with your recollection for what it is worth.

My opinion only DYOR
FF

AKIDA BALLISTA

PS: Also agree with @TECH on the next 4C not containing any income to speak of.

 

[DollazAndSense]

When you dig into their website you discover:

“To overcome productivity problems manufacturers experienced due to visual quality control, AnotherBrain has developed a solution embedding AI algorithms that can imitate an operator’s thinking methods.
Our solution allows to address all types of defects on all types of products.”

They are software.

My opinion only DYOR
FF

AKIDA BALLISTA

I was at work so I jumped the gun without deeper digging! I get too exited whenever I see something that could have Akida in it, ha.

https://www.eetimes.eu/ai-needs-brain-inspired-technology-for-real-intelligence/

“But in the brain, you have functions called cortical columns. If you understand what those columns are doing, which is known science, then you can reproduce these functions — either through networks of neurons, neural networks, which is very difficult, or directly by classical electronics. At AnotherBrain, we are using classical electronics to reproduce functions that are the functions of the cortical column.”

Instead of considering the human brain at the microscopic/neuron level, as in deep learning, AnotherBrain is replicating the brain’s behavior at a more macroscopic scale, wherein large neuronal populations have a dedicated function such as the perception of motion or curvature. “We are focused on the creation of an ecosystem rather than just the technology,” said Maisonnier.

 

[Dozzaman1977]

Sean Hehir interview with the strawman 28/03/2022
At the 42.18 minute mark the Strawman asked a question basically when will brainchip be in a position of breakeven .
Quote Seans answer "Remember when i talked building up to 100 people or so this year, we think at that point we actually at a pretty good size scale and were are going to say after that the revenue growth will start to outgrow the expense growth pretty rapidly, thats the model that were going to start to see in leverage"
Now the captions in the interview at this time says "start to grow the expense growth" but if you listen closely to Sean in the interview he says "start to outgrow the expense growth"
He also states " He has a model"
He also states "Line of sight"
I believe this is the correct time frame for when Brainchip will reach the breakeven (from end 2022 into early 2023) if nothing out of the ordinary has happened internally since
IMO Sean would have a Strategic business plan in place with a timeline of objectives based on internal information including hiring a CMO and business expansion etc etc
Things change thats business, but going to trust what our CEO has stated in the interview which was less than 2 months old.

 

[TheUnfairAdvantage]

Sean Hehir interview with the strawman 28/03/2022
At the 42.18 minute mark the Strawman asked a question basically when will brainchip be in a position of breakeven .
Quote Seans answer "Remember when i talked building up to 100 people or so this year, we think at that point we actually at a pretty good size scale and were are going to say after that the revenue growth will start to outgrow the expense growth pretty rapidly, thats the model that were going to start to see in leverage"
Now the captions in the interview at this time says "start to grow the expense growth" but if you listen closely to Sean in the interview he says "start to outgrow the expense growth"
He also states " He has a model"
He also states "Line of sight"
I believe this is the correct time frame for when Brainchip will reach the breakeven (from end 2022 into early 2023) if nothing out of the ordinary has happened internally since
IMO Sean would have a Strategic business plan in place with a timeline of objectives based on internal information including hiring a CMO and business expansion etc etc
Things change thats business, but going to trust what our CEO has stated in the interview which was less than 2 months old.

Funny. Just finished watching the interview to get clear in my mind what was said.



That’s the link to the interview.

Now. Agree what was said where it was said. Interpretation might be a little different though. Let’s say whilst recruiting and ramping sales and marketing, expenditure was growing at say 50%. What I think Sean is saying that revenue growth will outgrow expenditure growth i.e revenue growth will be more than 50% quarter on quarter. Who knows what the revenue growth factor is, but the percentage growth will be higher than the growth rate of expenditure. Not convinced he was referring to $ in the context of the conversation and answer.

 

[DingoBorat]

Sean Hehir interview with the strawman 28/03/2022
At the 42.18 minute mark the Strawman asked a question basically when will brainchip be in a position of breakeven .
Quote Seans answer "Remember when i talked building up to 100 people or so this year, we think at that point we actually at a pretty good size scale and were are going to say after that the revenue growth will start to outgrow the expense growth pretty rapidly, thats the model that were going to start to see in leverage"
Now the captions in the interview at this time says "start to grow the expense growth" but if you listen closely to Sean in the interview he says "start to outgrow the expense growth"
He also states " He has a model"
He also states "Line of sight"
I believe this is the correct time frame for when Brainchip will reach the breakeven (from end 2022 into early 2023) if nothing out of the ordinary has happened internally since
IMO Sean would have a Strategic business plan in place with a timeline of objectives based on internal information including hiring a CMO and business expansion etc etc
Things change thats business, but going to trust what our CEO has stated in the interview which was less than 2 months old.

"Remember when i talked building up to 100 people or so this year, we think at that point we actually at a pretty good size scale and were are going to say after that the revenue growth will start to outgrow the expense growth pretty rapidly, thats the model that were going to start to see in leverage"

I think you're interpereting, what he said, incorrectly.

The "expense growth" is the increase in costs of the new employees, not previous expenses, of 7 to 8 million dollars per quarter.

My interpretation, is that he's saying the "revenue growth" will begin to outgrow, these "increased" expenses.

Expecting around 10 million dollars US, in the December quarterly, is entirely unrealistic, in my opinion..

 

[Saap25]

Can someone throw more light on this ETF special trade - cross trade at 4.50pm today ?

04:50pm AEST

--

-2,147,483,648

--

ETXT

 

[Fact Finder]

"Remember when i talked building up to 100 people or so this year, we think at that point we actually at a pretty good size scale and were are going to say after that the revenue growth will start to outgrow the expense growth pretty rapidly, thats the model that were going to start to see in leverage"

I think you're interpereting, what he said, incorrectly.

The "expense growth" is the increase in costs of the new employees, not previous expenses, of 7 to 8 million dollars per quarter.

My interpretation, is that he's saying the "revenue growth" will begin to outgrow, these "increased" expenses.

Expecting around 10 million dollars US, in the December quarterly, is entirely unrealistic, in my opinion..

Hi @DingoBorat

I also just finished listening and agree with the transcription as being accurate and I agree with your interpretation but would say we need to have regard to additional words at the beginning and end:

“after that the revenue growth will start to outgrow the expense growth pretty rapidly”

To me Sean Hehir is saying our expenditure will plateau once we get to about 100 employees and after that when expenditure growth is about static that revenue growth will pretty quickly start to outgrow expenditure growth.

He has not said when and he has not said break even which is an entirely different proposition to reaching a point where the growth in expenditure is being exceeded by the growth in income.

My opinion only DYOR
FF

AKIDA BALLISTA

 

[Esq.111]

Can someone throw more light on this ETF special trade - cross trade at 4.50pm today ?

04:50pm AEST

--

-2,147,483,648

--

ETXT

View attachment 10577

Afternoon Saap25 ,

Cheers for posting.

I have absolutely no idea what has happened here.

Hopefully one of our more learned here can fill us in.

Yak .......may be our best bet on enlightening us all on this one.

*I might add , with the cancelation of...
2,551,250 options ,
And 805,666 restricted stock, today the total security's on issue
are 1, 825,127 ,717 .

* having a WILD stab in the dark, possibly the -2,147,483,648 ETXT trade is the total volume of BRN stock traded on the ASX / CHX for the financial year?¿???

Regards,
Esq.

 

[Cyw]

Afternoon Saap25 ,

Cheers for posting.

I have absolutely no idea what has happened here.

Hopefully one of our more learned here can fill us in.

Yak .......may be our best bet on enlightening us all on this one.

*I might add , with the cancelation of...
2,551,250 options ,
And 805,666 restricted stock, today the total security's on issue
are 1, 825,127 717 .


Regards,
Esq.

I think it may have been a mistake. Commsec showed a cross trade of 12.500 shares at 4:50:20 at $0.84.

 

[DingoBorat]

Hi @DingoBorat

I also just finished listening and agree with the transcription as being accurate and I agree with your interpretation but would say we need to have regard to additional words at the beginning and end:

“after that the revenue growth will start to outgrow the expense growth pretty rapidly”

To me Sean Hehir is saying our expenditure will plateau once we get to about 100 employees and after that when expenditure growth is about static that revenue growth will pretty quickly start to outgrow expenditure growth.

He has not said when and he has not said break even which is an entirely different proposition to reaching a point where the growth in expenditure is being exceeded by the growth in income.

My opinion only DYOR
FF

AKIDA BALLISTA

Hey don't get me wrong, I'm expecting mega growth in revenue here, as opposed to expenses.

We're not making anything, just selling our smarts

I think IP lincences, will be few and far between, which are the big chunks of cash (but these will be enablers, for numerous other companies, to use our tech).

It's the royalty streams, that will be the big money makers, but they need time to grow, products to be produced, marketed and sold, by our IP customers and their customers and their customers, customers, customers..

If everything Brainchip is aiming for, comes to fruition, this will be a Global Behemoth of a Company.

And I've thought that for at least a couple of years now..

In fact, the only thing I said could upset our apple cart, was a Worldwide market collapse, or World War 3..

We almost got both..

 

[TheUnfairAdvantage]

Hi @DingoBorat

I also just finished listening and agree with the transcription as being accurate and I agree with your interpretation but would say we need to have regard to additional words at the beginning and end:

“after that the revenue growth will start to outgrow the expense growth pretty rapidly”

To me Sean Hehir is saying our expenditure will plateau once we get to about 100 employees and after that when expenditure growth is about static that revenue growth will pretty quickly start to outgrow expenditure growth.

He has not said when and he has not said break even which is an entirely different proposition to reaching a point where the growth in expenditure is being exceeded by the growth in income.

My opinion only DYOR
FF

AKIDA BALLISTA

When companies refer to revenue growth. Do they normally refer in $ terms or % terms?

 

[Saap25]

I think it may have been a mistake. Commsec showed a cross trade of 12.500 shares at 4:50:20 at $0.84.

Hi Cyw
I have access to both the platforms so can see 12,500 on CommSec but this big ETF special trade - cross trade on Nabtrade too.
I have done some reading on these ETF trades but a bit too technical for my understanding so wanted to check if someone can explain it in simpler terms.

Cheers

 

[Fact Finder]

When companies refer to revenue growth. Do they normally refer in $ terms or % terms?

I don’t think there is a rule but the cynical side of me says which ever sounds the biggest.

For example the big 4 banks like to talk $’s cause it is billions but will never ever mention the percentage return those ballista lions mean against the capital invested and held. LOL

My opinion only DYOR
FF

AKIDA BALLISTA

 

[Dozzaman1977]

Funny. Just finished watching the interview to get clear in my mind what was said.



That’s the link to the interview.

Now. Agree what was said where it was said. Interpretation might be a little different though. Let’s say whilst recruiting and ramping sales and marketing, expenditure was growing at say 50%. What I think Sean is saying that revenue growth will outgrow expenditure growth i.e revenue growth will be more than 50% quarter on quarter. Who knows what the revenue growth factor is, but the percentage growth will be higher than the growth rate of expenditure. Not convinced he was referring to $ in the context of the conversation and answer.

"Remember when i talked building up to 100 people or so this year, we think at that point we actually at a pretty good size scale and were are going to say after that the revenue growth will start to outgrow the expense growth pretty rapidly, thats the model that were going to start to see in leverage"

I think you're interpereting, what he said, incorrectly.

The "expense growth" is the increase in costs of the new employees, not previous expenses, of 7 to 8 million dollars per quarter.

My interpretation, is that he's saying the "revenue growth" will begin to outgrow, these "increased" expenses.

Expecting around 10 million dollars US, in the December quarterly, is entirely unrealistic, in my opinion..

The CEO was answering a question about the breakeven point of the company after the long runway of the research and development years , when will the company reach a breakeven point was the question being asked and answered
Breakeven point.....