Gondola - your points are well made and have been considered.
One off costs include - 81k on the ASIC platform, 128k on completing the "bubble" software games I mentioned are yet to be released, 413k on all costs relating to licensing and developing of the Tomb Raider game - (so £622k in total). The company has reduced headcount from 21 to 8 since 2005 so this cost reduction will follow through (although I concede most job losses will no doubt be at or around the 20k p/a mark, there was one director resignation who now consults - he maintains half of his shares).
IMO - The company are in a position to post a profit in 2007 if Tomb Raider is successful (Jan statement will be an important indicator) and Mattel can give the market an "ASIC incorporating" toy that sells. (Regardless, BGT can expect around £100k next year in accordance with the deal signed earlier this year). I expect profit on the ASIC chips is not much, between 50-100p at guess but with the world wide reach of Mattel a multi-million unit selling toy is not pie in the sky. I believe the new toy could be geared around baseball so I anticipate the USA to be the test-bed, i'm glad of that! (That comes from a conversation I have had with someone in the industry and there is as yet no RNS to substantiate it nor is it a definite fact – ie I am not privy to insider information)
This is definitely in the speculative section of my portfolio but I like the products and the possibilities of said products - most importantly for me, I rate the management, in particular Dominic Wheatley who was involved in Eidos' birth and one of those very knowledgeable and well connected chaps with a good head for business. He will not release news for the hell of it in order to move the sp and in fact has said his sole focus is growing the business and being successful - he maintains the share price will look after it-self. However, in spite of this, unlike SER, all of my e mails etc are answered promptly and adequately...
Please poke holes in my thinking if you find cause since although I am currently an advocate of BGT, I always look for reasoned debate from someone who is not simply spouting "3p tomorrow" tosh or other such drivel...
In the meantime however, keep an eye on BGT as January draws to a close. Also for that matter GGG, although I am far from an expert on GGG.
Wishing you and the rest of this thread well for the new year -
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