|
Post by peppy on Aug 7, 2017 17:24:12 GMT -5
call started weak, but finished strong. Just everything is so damn slow, and the time waits for no one... Esstan, What is the solution regarding their cash situation discussed in detail on the call? here is what I heard. they have 43 million. tase shares coming back. plan is to sell afrezza. 8 to 12 million dollars of it next quarter was the revenue est. wasn't it?
studies on schedule to start. Mann group tapped out.
|
|
|
Post by derek2 on Aug 7, 2017 17:26:16 GMT -5
Esstan, What is the solution regarding their cash situation discussed in detail on the call? Sale of Danbury plant and lease back. Does anyone know enough about these type of deals to know how likely they could successfully monetize that asset and what might be expected based on approx value of said property? It seems possible that weak finances might complicate doing this since a landlord wouldn't want a tennant incapable of paying the lease. So the likelihood of this probably a lot lower if asset clearly wouldn't bring enough to get them clear out of the woods. Given that the plant is pledged as collateral to Deerfield, I wouldn't get my hopes up.
|
|
|
Post by peppy on Aug 7, 2017 17:26:32 GMT -5
study schedule.
|
|
|
Post by tingtongtung on Aug 7, 2017 17:27:14 GMT -5
What would mnkd get from sale, buy back of CT plant? 40-50mil? What would be the monthly cost for leasing for such a manu plant?
|
|
|
Post by sayhey24 on Aug 7, 2017 17:27:59 GMT -5
"The cost of inventory expired due to expiration date exceeds the revenue. " Although this is not good, it was to be expected. In reality it doesn't matter because it is a paper write-off. Its effect on cash was some time ago and it is cash that matters now. Cash and scripts have to be the real focus. Ignore the other noise, both good and bad. Though I think this can put to rest that we aren't shipping $200M worth of Afrezza to UAE, right? Is the unicorn crowd willing to concede that point? Also gives some indication that there is nothing expected that is going to make the sales soar in short term. [nearly had Freudian slip of writing "sales sore"] I don't know about unicorns but the $200M was from Al Mann. I liked the discussion on India and I like that he did not mention UAE and skirted the question. Sometimes there is more said not saying anything. I will admit my expectations going into the call were pretty low. I was shocked three analysts came back after all analyst coverage had been dropped. I also thought the lease/buy-back was an interesting spin. They put about $200M into the building. I am not sure what its "market" value is to a white knight partner, i.e. "friend of Al". Two planned calls in September is also interesting. All in all, this was significantly better than I expected. Maybe Al will be riding a unicorn over Danbury tonight.
|
|
|
Post by dreamboatcruise on Aug 7, 2017 17:30:45 GMT -5
Sale of Danbury plant and lease back. Does anyone know enough about these type of deals to know how likely they could successfully monetize that asset and what might be expected based on approx value of said property? It seems possible that weak finances might complicate doing this since a landlord wouldn't want a tennant incapable of paying the lease. So the likelihood of this probably a lot lower if asset clearly wouldn't bring enough to get them clear out of the woods. Given that the plant is pledged as collateral to Deerfield, I wouldn't get my hopes up. Thanks... I got too excited and wasn't remembering that. Lizards are easily excited by management dangling shining objects in front of them. That answers the question "why hasn't this been brought up before?". [Edit] Bad management (insert rolled up newspaper emoticon here)
|
|
|
Post by dreamboatcruise on Aug 7, 2017 17:38:03 GMT -5
Though I think this can put to rest that we aren't shipping $200M worth of Afrezza to UAE, right? Is the unicorn crowd willing to concede that point? Also gives some indication that there is nothing expected that is going to make the sales soar in short term. [nearly had Freudian slip of writing "sales sore"] I don't know about unicorns but the $200M was from Al Mann. I liked the discussion on India and I like that he did not mention UAE and skirted the question. Sometimes there is more said not saying anything. I will admit my expectations going into the call were pretty low. I was shocked three analysts came back after all analyst coverage had been dropped. I also thought the lease/buy-back was an interesting spin. They put about $200M into the building. I am not sure what its "market" value is to a white knight partner, i.e. "friend of Al". Two planned calls in September is also interesting. All in all, this was significantly better than I expected. Maybe Al will be riding a unicorn over Danbury tonight. You're on to something... and they specifically didn't talk about Amgen, or Google, or Apple, or Amazon... it's mind blowing what all that "not saying" must mean.
|
|
|
Post by sayhey24 on Aug 7, 2017 17:38:47 GMT -5
Given that the plant is pledged as collateral to Deerfield, I wouldn't get my hopes up. Thanks... I got too excited and wasn't remembering that. Lizards are easily excited by management dangling shining objects in front of them. That answers the question "why hasn't this been brought up before?". It seems to me you would pay-off Deerfield from the sale and be done with them. It really depends on if you have a white-knight helping you out to buy the building over market price. We will see. I actually believe Mike when he said they have options.
|
|
|
Post by lennymnkd on Aug 7, 2017 17:39:12 GMT -5
Not to mention: over an hr ...lot to cover .
|
|
|
Post by nylefty on Aug 7, 2017 17:42:34 GMT -5
I was encouraged by the call - so encouraged that I bought more shares at $1.10.
|
|
|
Post by thall on Aug 7, 2017 17:42:37 GMT -5
Esstan, What is the solution regarding their cash situation discussed in detail on the call? here is what I heard. they have 43 million. tase shares coming back. plan is to sell afrezza. 8 to 12 million dollars of it next quarter was the revenue est. wasn't it?
studies on schedule to start. Mann group tapped out.
No, they had 43 million dollars at the end of June. That was quite close Spencer Osborne's 42 million dollar estimate. As of now, he estimates they have about 32 million. Subtract the 10 million they have to pay Deerfield leaves 22 million. Subtract the 10 million in cash that they have to have at the end of each month until October 31 and you have 12 million. That's about six weeks worth of cash. I heard nothing in the CC that clarified how exactly that was going to be addressed. There was a hint with the 10 million preferred shares coming back after TASE withdrawal but when will those become available and what will they do with them?
|
|
|
Post by derek2 on Aug 7, 2017 17:46:22 GMT -5
here is what I heard. they have 43 million. tase shares coming back. plan is to sell afrezza. 8 to 12 million dollars of it next quarter was the revenue est. wasn't it?
studies on schedule to start. Mann group tapped out.
No, they had 43 million dollars at the end of June. That was quite close Spencer Osborne's 42 million dollar estimate. As of now, he estimates they have about 32 million. Subtract the 10 million they have to pay Deerfield leaves 22 million. Subtract the 10 million in cash that they have to have at the end of each month until October 31 and you have 12 million. That's about six weeks worth of cash. I heard nothing in the CC that clarified how exactly that was going to be addressed. There was a hint with the 10 million preferred shares coming back after TASE withdrawal but when will those become available and what will they do with them? Those shares won't be free, either. It's not like they can just steal shares from equity holders - the equity holders still own the shares, TASE or not.
|
|
|
Post by dreamboatcruise on Aug 7, 2017 17:48:33 GMT -5
I didn't like that tongue twist comment regarding finance vs short term needs. Should have restated it. To me it seemed like he might have been intending to say that their financing efforts might not arrive in time to meet the short term cash needs. So if that wasn't it, would be good to clarify, and if it was it... still should have simply restated it clearly for transparency.
Does anyone actually recall specific wording?
|
|
|
Post by sayhey24 on Aug 7, 2017 17:48:41 GMT -5
I don't know about unicorns but the $200M was from Al Mann. I liked the discussion on India and I like that he did not mention UAE and skirted the question. Sometimes there is more said not saying anything. I will admit my expectations going into the call were pretty low. I was shocked three analysts came back after all analyst coverage had been dropped. I also thought the lease/buy-back was an interesting spin. They put about $200M into the building. I am not sure what its "market" value is to a white knight partner, i.e. "friend of Al". Two planned calls in September is also interesting. All in all, this was significantly better than I expected. Maybe Al will be riding a unicorn over Danbury tonight. You're on to something... and they specifically didn't talk about Amgen, or Google, or Apple, or Amazon... it's mind blowing what all that "not saying" must mean. Good Grief - give these guys a break. In the 10 years I have heard these calls this was the first profession call I ever listened to from MNKD. They also did not say what "category" they asked for on the label - "ultra" maybe maybe something else. I never like being associated with the analogs. "Ultra" keeps it too close to the analogs. I am not sure what Amgen would bring to the party except a low ball buy-out. Amazon, well whats this subscription service? Dachis at the ASM was the one talking about Amazon. Google - well we know they took $100M from Dexcom and another $250M from SNY. If they want to apply the Tech with Ondou which Mike was discussing and address meal time spikes, there are not many choices out there. In fact there is only one. And Apple, Tim Cook clearly wants to play in the non-FDA CGM market and is looking to get the IWatch CGM out in 2018.
|
|
|
Post by dreamboatcruise on Aug 7, 2017 17:51:03 GMT -5
You're on to something... and they specifically didn't talk about Amgen, or Google, or Apple, or Amazon... it's mind blowing what all that "not saying" must mean. Good Grief - give these guys a break. In the 10 years I have heard these calls this was the first profession call I ever listened to from MNKD. They also did not say what "category" they asked for on the label - "ultra" maybe maybe something else. I never like being associated with the analogs. "Ultra" keeps it too close to the analogs. I am not sure what Amgen would bring to the party except a low ball buy-out. Amazon, well whats this subscription service? Dachis at the ASM was the one talking about Amazon. Google - well we know they took $100M from Dexcom and another $250M from SNY. If they want to apply the Tech with Ondou which Mike was discussing and address meal time spikes, there are not many choices out there. In fact there is only one. And Apple, Tim Cook clearly wants to play in the non-FDA CGM market and is looking to get the IWatch CGM out in 2018. Sorry, wasn't meaning to give THEM a hard time
|
|