Spectra7 Microsystems (TSX: V.SEV, Stock Forum) put in some pretty good numbers for its Q2 2014 noting $1.1 million in revenues for the burgeoning Markham, Ontario-based supplier of immersive 3D technologies. It's future rests on the company's ground-breaking VR7100 chip that both delivers ultra-high image resolution and miniaturization necessary for wearable computing, a harbinger of not-only wide-spread acceptance of VR technologies, but of the next potentially explosive wave of augmented reality.
The company had some major milestones to hit this year and it managed to tackle most of them, including the commencement ofproduction of the Display Direct™ Virtual Reality VR7100 product which was announced back in the middle of May, but investors have yet to find out if shipments have occurred and how significant those shipments were.
It also launched CouchConnect™ which increased the company's footprint as it moved to supply Gamers with a low-latency, ultra-light active HDMI gaming interconnect that brought mobile gaming to a large screen HDTV, but again, investors have yet to know if shipments to retailers and OEM customers have occurred and what the size of those shipments were.
Hinged on these results, Spectra7 sits at the cusp of a potential SP run and investors are hoping that since there hasn't been any major news of late to tip the scales, a barrage of good news, in the form of TV deals, are in the wings and bound for release in the near future. One indicator that investors may be on the right track is the heavy traffic in today's trading that served to shake out the fair weather retail investor, prepping the market for a more equitable buying run. However, all this remains to be proved out. If Spectra7 makes good, this could be a long-running boon for shareholders.
It seems like I'm always talking about DHX Media (TSX: DHX, Stock Forum) probably because I am, can you blame me, they seem to be doing everything right. This was further illustrated when the company released its year-end numbers today noting that it had boosted its yearly income by a whopping 320% to $7.8 million, not to mention upping its gross margins for the year by 42%. Top this off with the Teletubbies and Degrassi acquisitions, merchandising deals and production deals with the likes of Cartoon Network and you have a winning formula.
Yes, this one still needs to play out and depends somewhat on how pre-schoolers take to another round of the colored curves of Twinky Winky and company. Also, will Degrassi retain its relevance after being on screen for over 25 years as the series evolved like Star Trek to the 'Next Generation'? Mid-2015 will show whether DHX has built itself an empire or tied its ship to yesterday's news.
Gener8 Media (CSE: GNR, Stock Forum) made the news yesterday when the company announced its had received the prestigious Technology & New Product Award from the International 3D & Advanced Imaging Society for its unique 3D conversion technology.
I like Gener8, they continue to rack up big budget movies like Iron Man 3, The Amazing Spider-Man, Godzilla and continue to work with big studios like Sony Pictures Entertainment, Marvel Studios, 20th Century Fox and Warner Bros. Entertainment.
The arena of 3D, is entrenched in the market, at least for the time being, but Gener8 isn't going to put all of its chips on just one bet and has in an effort to make the company more robust, branched out into visual effects and data management. One thing that has yet to come to fruition and would put the icing on the shareholders cake is the company's on-going proposed partnership deal with Tiajin Fu Feng Da Movie & Television Technology Investment and Development Co, or “FFD” for those who don’t want to spend the morning say the moniker in its entirety.
The process is still awaiting SAFE certification from the Chinese authorities and once approved, the companies may move ahead and complete the deal which would give Gener8 a firm and extensive footprint in the Chinese market. Hopefully, with recent accusations that the Chinese government has been anything but friendly with foreign companies operating on homeland soil, the State Administration for Foreign Exchange, will be more timely in their approval. If the deal doesn't go through, which I doubt at this point, the company will remain profitable and worthy of investment, but it will have to find another avenue to become a global concern.