3 products - over 800K products delivered
P&G says numbers will keep going up
first wand phasing out, new development to replace original wand
Wave 2 will continue into 2018
Magnemask wave 3 - largest volume and fastest growing - 2018 and America
Wave 4 soon
2nd technology licence agreement before the AGM hopefully?
Bodyguard - successful trial - pre-production devices ready for distribution to major international companies
Commercialisation target 2018
Surface hygience - two major multinationals interested. Data shows 500% improvement surface penetration?
Bloody call keeps breaking up - I am missing half if it
Summary
Corporate - new chairman recruitment will under way
Patents increasing in number and costs
Decreasing overall expenditure however
Answers to Questions
Corporate Partners other than P&G? Keen to diversify, likely in hair care, but more likely to be Bodyguard - partners are in US, UK, Japan, Europe. 2 want to use their own chemistry. Bodyguard is complex. Surface hygience plus other activity with other companies
Pfizer - couldn't really talk about it.
Curtin trial - results early next year
Commercialisation of surface hygience? - moving through validation, hopefully 2018 with atleast one partner
Oral healthcare? - stop start progress, GSK results were highly successful, but P&G has picked up the opportuniuty through oral B line, Design on first product very well received
Shaving? - disappointed by market dynamics - unstable
P&G recouping R&D costs prior to royalties - no R&D deducted, royalty 2-3% is clean
Cash flow positive? - close to cash flow positive next 2 quarters, will not raise capital, hoping for sustained increase
Earnings expectations per quarters? - just at the start of the rollout, hard to forecast right now because of P&G because it is early. Good info from P&G last week but waiting for validation before notifying market
Commercialisation micro needles? - not and the moment, no interest, will evolve into something else maybe
Dr Borman article? 3-5% royalty is possible but made it clear that 2-3% is what they are getting.
Accelerators? Met with one in Singapore aligned with P&G - related to other skin care products, another in the US interested in Bodyguard
Coty? Testing of protoypes? Products when? Coty acquired brands from P&G which changed its business. Met recently with Coty and working towards getting a deal. Meeting again next week. 2nd technology can apply to Coty.
Tube cap will find partner
Wave 4 will be launched in 1st half of 2018 - copackaged like the other products. Will be standalone but a fully integrated (bundled?) product will be released.
2nd Technology - licence very close, launch plan must be provided within 18 months and licence fees within 30 months. 1000 person consumer trial in 2018 which will define how they introduce products
Share performance plan - no directors will be involved
Told by P&G that product timeline is out to 2021 and 2nd tech revenue later next year according to P&G
Very positive about the future
Overall OBJ is on the first step upwards. Took many years to incorporate the physics of OBJ tech into products. Over 850K world first products shipped/built. More recent launches have gone extremely well - far better than expected.
Look forward to years of developing 2nd Tech with various partners
OBJ the foremost supplier of product innovation
The business will grow in leaps and bounds.
Will do conference calls more often
OBJ Price at posting:
3.8¢ Sentiment: None Disclosure: Held
(20min delay)