The storm of VR blew for a year. At the end of 2015, “Demon shares” storm technology once again aroused the trend of Internet TV.

According to the 2015 Stormwind Technology Report, during the reporting period, the company achieved operating income of 65.21 million yuan, a year-on-year growth of 68.85%; net profit of 173.31 million yuan, an increase of 313.23% over the same period of the previous year, but of which 119 million yuan was non-recurring income. After deducting the above revenues, the storm Technology's 2015 operating net profit was 5.409 million yuan.

In addition to the main business advertising, software, video and other business segments for the company's stable income, storm technology in the second half of 2015 to adopt "Xing TV, go VR" development strategy, storm technology due to the acquisition of new business layout: Storm TV. However, how long has the Internet TV's wind blowing, and the trend of the unformed private brand Storm TV may still be a question mark.

In addition to the question marks of Internet TV, Storm Technology after resumption of trading faced pressure from major shareholders to reduce their holdings.

"Have TV go to VR" is the next bubble?

In the second half of 2015, Storm Technology continued to promote the TV business and divested the VR subsidiary's development strategy. As of 2015, the Storm Commander has become the company’s new performance growth point, and whether the own-branded Storm TV can become a rising star in the Internet TV industry is still doubtful in terms of current operating conditions.

According to public information, Storm Scientific has acquired 30.37% of the shares of the chief executive Zhizhijia with its own funds of RMB 135 million. At the same time, Stormwind Holdings intends to obtain 19.63% of the shares of the Chief Wisdom Chuangzhi by way of equity transfer and capital increase of RMB 115 million. After the transaction, Stormwind Technology and Stormwind Holdings will jointly hold a 50% stake in the commander-in-chief Wisdom. After the acquisition of the home, it was renamed as Shenzhen Storm Wind Commander Technology Co., Ltd. (hereinafter referred to as “Storm Commander”).

Although the controlling power of the storm commander is held by Storm Scientific, the original TV brand commander is also continuing to produce. The proportion of the original brand commander TV sales to Storm TV is not disclosed in the annual report. In other words, a large part of the "looks beautiful" Internet TV strategy is supported by the original brand commander TV.

Liu Yiping, the storm TV CEO, once stated in public that revenue from the storm TV business was not entirely from licensed storm TV. "Storm TV sales reached 200,000 units in the first quarter of 2016, but this figure included the previous acquisition of Haier's TV brand commander and the Storm TV brand itself. Among them, Storm TV's sales are about 50,000 units," said Liu Yaoping.

According to Liu Yaoping, the sales ratio of the original brand commander TV and Storm TV should be roughly 3:1. As the storm commander belongs to the scope of consolidation of listed companies, it is roughly calculated that most of the income in the storm technology TV business line is contributed by the commander of the brand TV, but not by the own brand Storm TV. Therefore, whether the strategy of continuing to support Storm TV is successful is still a question mark.

On the other hand, the equity of Storm Mirror, a VR company established by Storm Technology, has continued to be transferred in 2015. After two equity transfers, Storm Scientific held 19.84% of the shares of Storm Mirror. The mirror was not included in the consolidated scope.

The continuous "go VR" strategy of Storm Science also makes the company's performance "beauty" effect. The so-called "go to VR" is not a "rejection" of the layout of virtual reality, but the listed company continues to peel off the storm mirror of the subsidiary involved in the research and development of VR. The detachment of "burning money" VR subsidiary on the one hand enabled Storm Scientific to obtain a considerable amount of equity disposal proceeds "in a timely manner". In addition, the VR product replacement frequently brought about the problem of inventory turnover of replacement products, but also due to equity disposal. has been solved.

The annual report shows that the original 2.8261 million VR mirror products of Storm Science and Technology were sold to the demolished storm mirror. Currently, 105 million inventories are stocked with television business. In addition, the equity income from the handling of Storm Mirror was 110 million yuan.

Major shareholder reduction pressure

Before and after the suspension of storm science and technology last year, the number of shareholders has surged. As of September 30 last year, the number of shareholders of the company reached 36,758, an increase of 25,480 over the previous quarter. The company started trading on May 26 for up to May, and the number of shareholders increased to 48,080 within one month before the suspension.

The other side of the surge of retail investors is the game after the resumption of the game and the pressure of the major shareholders to reduce their holdings. Storm Technology resumed trading on March 28 this year, and the resumption of the two-day cumulative increase of 14.83%. In the following week, StormTech made a four-time summit on the trade list. On March 28th, 29th, 30th and April 6th, the turnover rate exceeded 20%. The 28th and 29th institutional seats accumulated a total of 435 million yuan in high sales and 385 million yuan in shares.

After the "high throw", it was a prelude to "low suction". On March 30th, the company continuously disclosed the plan of major shareholders' reduction. Qingdao Jinshi Storm plans to reduce the holding of all 11.48 million shares held within 24 months; the shareholders holding more than 5% of the Beijing harmony plan within 24 months. Reducing the holdings of all 21.56 million shares held.

With major shareholders reducing their momentum, the stock price continued to decline. From March 30 to April 1, the cumulative decrease in storm technology reached 24.03%. However, on April 6th, the agency seats once again had a “low suction” trend. According to the statistics of the Dragon and Tiger List, the four special seats appeared in the top five buyers, and the institutions had purchased 609 million yuan.

In addition to the institutional game after the resumption of trading, Beijing Harmony, which holds over 5% of its shareholders, also completed partial reduction procedures on April 6. On the same day, Beijing Harmony sold 11 million shares of storm technology through 35 major transactions. The average transaction price per transaction was 88.59 yuan per share, and the cash amount was 974 million yuan. After the reduction of 4% of the shares, Beijing Harmony holds a 3.84% stake in Storm Technology. Within one year, Beijing Harmony does not rule out further reductions.

As of March 24, 2016, the lock-up period for the issued shares before the initial public offering of Stormwind Technology expired. The number of shares lifted for sale was 125 million shares, accounting for 45.37% of its share capital, and the listing of the restricted-sale shares was released. It is March 31.





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