Did you guys listen to the EDUV conference call yesterday?
This is one of Ron's other picks....
Here is someone's summary from Raging Bull:
Recap of Conference Call conducted on March 11, 1999:
Mark Bruk: re: current status on becoming full reporting, financials, NASDAQ listing
-currently selecting auditors for 1998, 1st quarter 1999 - down to either Price Waterhouse or Ernst & Young, selection to be made within 2 to 3 weeks. Audited financials in April - Form 10 filed about the same time to become fully reporting, expect 30 to 45 days while in information exchange with SEC, another 60 days for full reporting - so expect unaudited financials in early April, audited financials end of April.
Current employees - 14 full time employees, 2 part/time, 4 person educational advisory board, 1 personal advertising/marketing advisory board - actual breakdown of 4 people in marketing, 6 programmers, 2 more P/T programmers, 4 in administration - total of 21 people on the EDUV team.
GOAL: Finest Education Software Company in the World
Mark Crimini, EVP - quickly talking about EDUV's product line
English Pro 6.2 - retail form, finished Nov. 15, began shipping in Dec. & Jan., originally test marketed in Canada - placed in 100 retail outlets - outselling competition between 4 to 10 to 1 - 3 letters of recommendation from major resellers - now going to the US - PR firm TriSynergy Corp - small company but headed up by distribution channel expert, former buyer for CompUSA & Electronics Boutique, 600 stores total - already distribution w/Navarre (sp??) plus verbal confirmation with one of the largest retailers with product to available beginning April 1 - will place about 10,000 products, expect to sell 2,000 units/month.
2 international contracts currently - Hong Kong & Australia - in fact I'm traveling to Hong Kong end of the month - Thailand distribution possible.
Internet Initiative - FreeEnglish.com is flagship - revenue based on 1)banners 1 cent/impression 2) click throughs 3 to 4 cents/impression 3) sell-throughs, as originator get between 5 to 15% of revenue.
FreeEnglish.com - launched Jan.1 - best code below the surface - phonetic instruction - will move to streaming video and audio.
TheGlobalStore.net & Eduversity - associate sites - Eduversity & other 7th Street sites sell EDUV's ESL products - GlobalStore to open next week - partnership with Digital River - Free English is the magnet to attract users to these sites for additional revenue.
FOCUS - Finest Phonetic Instruction in the World
Mark Bruk: English Pro & FreeEnglish - same application, different environments, 1 is internet & advertising, 1 is non-internet w/no advertising, 1 is free, 1 is retail product.
QUESTIONS:
Q - any other languages??
A - are developing components for English currently - next will localize website & application - FreeEnglish is in constant development, will freeze development in June and this will be EnglishPro version 7.0.
Q- any reviews by ESL associations??
A - yes, governments, academians, etc. - got thumbs up from many of the aforementioned groups - FreeEnglish.com has been reviewed by counselors and educators, fully enjoy it.
Q - any plans for China??
A - initial plans for shrink-wrap - seek exclusive distributors on a country by country basis - 32 main countries picked - 20 are in negotiations - re: China, multiple interested parties, expect to make a trip to China within 6 weeks.
Q - Re: float & shares outstanding??
A - check eduverse.com for updated figures
Q - Revenue for 1998
A - only 30 - 35 days revenue base, about 100k in revenue for that time period
Q - Brokerage Houses in on this call??
A - Don't know.
Q - Projected 1999 figures?
A - 1 million from retail market, NOT including internet revenues
Q - Current status w/US school system??
A - EnglishPro is available in a multi-user format for schools, governments, corporations, etc. - 1 company initiative is to gift product to the entire school system in the US - have been in contact with Dept. of Education, Dept. of Bilingual Education, etc. - they recommended 5 things to do to prepare product - changes have been made and just delivered for their review - will gift product to the entire US School System shortly.
Q - How many hits, etc. from FreeEnglish.com??
A - Jan 1 launch - did 1 day spam email campaign in Taiwan & China - approximate 1% conversion rate - 460 people in Taiwan, 50 in France - last week a new version of FreeEnglish.com - download down to 700k from 3.5 MB, will continue to shrink, nice multimedia introduction now - FreeEnglish has 1,500 registered users currently - will work with foreign ISPs (Middle East, Europe, etc), corporations (ESL requirements), governments (developing nations school systems), UN & World Bank (major initiatives for education). - last 2 months no advertising has occurred - within 2 to 4 weeks massive advertising campaign will begin, email, newsgroups, etc. - also working with Chinese portal, Sweden, Europe, etc. - North American market is primarily Dept of Education initiative - primary market is outside of North America.
Q - Any business with major internet companies, Amazon, AOL??
A - YES, obviously there is an attraction from the major portals - in discussions with multiple large web portals - a small pilot project has begun with a well known internet portal, will lead to arrangement.
Q - name change?
A - not in immediate plans - like Eduverse - means Educate the Universe
Q - Evove??
A - 100% Java programming language - some components are in FreeEnglish currently - eventually will allow products to work in all major OS's - Windows 98, 95, Linux, Unix, WebTv, etc.
Q - What stores to market software in the US?
A - Bookstores, big success so far - currently available in US College bookstores in all 50 states for ESL students - VIRGIN Megastores, part of Canadian test market, commitment to carry products in stores in US - others, but can't say right now until finalized.
Q - When/how to get of the BB??
A - Mark Bruk's full time job, 1st to get fully reporting ASAP, 2nd get additional financing - 2 options, 5 mm private placement, or 20mm funding allowing listing on the NASDAQ Small Caps - money to be used to continue high growth and market recognition of products, TV, Radio, Internet advertising, etc.
Q - And discussions to advertise on WebTV, or arrangement with Microsoft for WebTV market in China??
A - currently WebTV doesn't support the Java requirements of FreeEnlish.com, eventually will, as far as Microsoft that is a development which needs time to materialize, still looking at 6 to 9 months away.
Q - I'm a school superintendent, like what I am hearing, what is the marketing to US schools??
A - EnglishPro, multi-user version, Version 7.0, will be gifted to US School System soon - you should have access for free as soon as finalized with Dept of Education, etc.
Conclusion. |
