Enwave Corp V.ENW

The significance of growing royalties.

[CashFlowReality]

The royalties collected are a significant contributor to this organization's ability to declare profit (and hopefully and eventually, pay a dividend).

Royalties come with new sales (regardless the size of unit sold) as well as when existing clients process more raw materials through their purchased machines.

In a previous post, the respondent assumes no new sales and no new increased in processed product (e.g., says "is" ~160k per quarter ... and hence, in his mind, will be ~4X for the year).

Quite frankly that kind of math is wrong; and it is also not well aligned with anyone claiming to be supporting this organization.
i.e., that kind of (linear math with no allowance for increase in sales OR amount of materials processed) is typical of a "shorter"/non-supporter.

[Benedictus]

CFR, I'll certainly admit my math was lazy. I am not short or a soft basher or whatever else folks are calling it these days. I am a realist. Investors who like things in black and white usually dislike my posts because at times I am critical of companies in my portfolio.  Here's some archived  linear math for you from sedar.  Royalties and licensing fee revenue 2019

[Possibleidiot01]

I've owned shares in Enwave from at least July, 2016. I think this buy  was a second purchase. Over all this time , people /analysts have discussed royalties. In a Cormark report from February 21st , 2017 , there were estimates of $250,000 for a large scale machine and $20,000 for a 10kW machine and how that would lead to an EBITDA improvement and subsequent higher stock valuation. It'

[Benedictus]

I think there's a strong possibility the overall revenue low water mark was hit last quarter. I also think the royalty profile could begin to live up to expectations as more cannabis companies buy machines. But something tells me an inevitable buyout of the whole shebang may very well precede any dividend to investors. Just my take.