I am confused by the Annual Report's references to "Wave II", "Phantom", and "third product", and how they marry-up with the MAGNETIC BOOSTER and MAGNEMASKS.
From page 2:
"License fees for the microarray for the period were received from initial sales of the Eye Wand only across two brands. P&G has informed the Company that it expects sales to ramp up over the September and December quarters as the Wave II product is launched and the third product containing OBJ’s technologies are launched." [As I read this, I have inferred that the "Wave II product" is referring to the SK-II MAGNETIC BOOSTER and "the third product" is MAGNEMASKS]
"OBJ has been informed by P&G that there are presently over 400,000 products either manufactured or soon to be manufactured to meet the rollout plans for Wave II and Phantom products." [Confusion starts here because we are introduced to "Phantom", which I have also inferred is MAGNEMASKS because of the phantom logo that we have seen on the jar. But is this not "the third product" or is it simply the Wave II product with the Olay brand applied? Have we perhaps not seen "the third product" anywhere yet?]
"A very pleasing aspect of P&G licensing is that after successful launches of the Eye Wand and soon the Wave II into Asian markets, the first sales of such products will occur into North American markets during 2018." [We know MAGNEMASKS has been trademarked in North America very early on, so this suggests to me that MAGNEMASKS is part of Wave II. Again, what I'm reading is undermining my assumption to date that MAGNEMASKS is the "third product". What is the "third product" and have we seen it yet?]
From page 3:
"Preparation for the launching of the second and third products by P&G over the next two quarters will be major achievements for OBJ Ltd and demonstrates users’ satisfaction with the higher performance of products incorporating OBJ’s microarray technology. The second (Wave II) product pictured is being launched in Singapore in July while it is expected to be launched next in Japan late August before moving into other Asian markets." [The way this is expressed is a bit sloppy. It's expressed in the present tense ("...is being launched in July") but July has well and truly passed, so one has to make adjustments as to what they mean about impending launches. There is at least a clear enough indication that the "the second product" and "Wave II" and SK-II MAGNETIC BOOSTER are all the same thing. So that brings me back to the original position that "the third product" is MAGNEMASKS].
"Work also continues for the preparation for the launch of the third product featuring OBJ’s microarray technology. This is forecast to commence during the third quarter of calendar 2017. The fourth product is expected to be launched during calendar 2018." [Again, the present tense doesn't help as it suggests "the third product" hasn't been launched yet. But OBJ has already announced by ASX announcement on 22 August 2017 that MAGNEMASKS was launched in China, referring to this as "the third product" in that announcement].
It's a shame that we don't have a more precise account with a bit more care taken with respect to previous announcements already made ("magnemasks" is not even mentioned in the Annual Report, only "phantom"; "phantom" is not mentioned in the 22 August announcement, only "magnemasks"). As a result, I'm just a little bit confused. Can anyone clarify this with 100% certainty?
(20min delay)