FROM KNUTE97:
Or, how I descended from optimism to pessimism!
I have been an investor in Wave since 1996 and have always believed in the potential of the Company. I still do.
However, as I have grown older and am now in my "golden" years (and overly invested in Wave), I have come to the conclusion that we have accepted overly optimistic forecasts way too easily.
I know that there have been strong market forces at work that have prevented BE, but we have been promised BE for way too many years.
Having attended many ASM'S, I went back and, with the help of my notes and postings from IH and AB, I have chronicled Wave's promises.
2003 Annual Meeting - 8/27/2003 Knute97 IH #8103
"Market momentum growing. Wave is in a strong 1st mover position"
"Products and services speed adoption of trusted computing and drive Company profitability"
"Wave is in a position to open a floodgate of opportunity"
"Early next year break even. Then spend every dollar to maintain position"
"Great relationship with HP and state tuned for more"
2004 Annual Meeting - 6/21/2004 Knute97 IH #44774
"PC's first, PDA's and phones approximately 1 year away"
"Wave Express -- Good things happening 30-60 days, not 6 months"
"We have traction and implementation is underway"
2005 Annual Meeting - 5/23/2005 Knute97 IH #82339
"Board believes Wave is on the right track. No material weakness in management controls or assessment of controls" (Bagalay)
"Never been so busy"
"Breakeven in approximately 12 months"
2006 Annual Meeting - 7/24/2006 Knute97 IH #126202
"DOD contract completed and delivered successfully. Expect future work"
"Focused on revenues. Very focused on market share"
"(SKS) does believe in break even in 2nd quarter. No guarantee however"
"Revenue is growing"
From Givelove, IH#126176, July 24, 2006
"We have 75-80% market share and gaining"
"Wave Express to generate revenue in 07"
From Ramspower, IH#126161, July 24, 2006
"Breakeven by Q2 next year at the latest. If the upgrades start coming - breakeven could happen in Q4 2006."
2007 Annual Meeting - 6/7/2007
From Ramspower, IH#146036, June 6, 2007
"Bulk buy for government (all machines). 500,000 license fee negotiation. September/October (2007) possibility. Now testing, very optimistic - but US Governement - End of 3Q"
"Have enough funds to last approximately 1 year"
"He (SKS) stated that the investors wanted it to be the last placement and that Wave's customers wanted assurances that they were dealing with a viable, financially secure company, hence the need for the size of the placement and the discount to market
2008 Annual Meeting - 6/9/2008
From Toro, IH#165941, June 9, 2008
"I apologized for pressing and he (SKS) said that he would stand by his 2007 prediction that the 1st breakeven month would come in 2008"
From ramspower, IH#165998, June 10, 2008
"Goal is to get to 'Breakeven' by year-end"
"Wavexpress has 70,000 active subscribers"
2009 Annual Meeting - 6/22/2009 Knute 97 IH #179783
"Very close to break even - +/-$1/2M for quarter. Revenue @ 24% compound growth"
"Probably need another PP. WAVX owes outside vendors ~$3M. Not at payroll risk and no need for money for day to day operations"
"Making money in 2009 is absolutely an achievable goal"
From Snackman, IH#179782, June 22, 2009 (relayed from another investor at the ASM)
"Wave is a lock to be profitable in Q3 of this year"
"As to another PP. As of this time, at these levels, there is no pressure to do a PP at this time"
From bigbob, IH#179788, June 22, 2009
"Steve's forecast for CFBE has not changed since the last quarterly report; it will be within half a million this quarter and will be CFBE in the 3rd quarter (no doubt in his mind based upon growth of new customers"
2010 Annual Meeting - 6/21/2010 Knute 97 ASM notes
"Close to making money. Only company in the market"
"Large account very soon. Number of accounts next 45 days"
From Toro, IH#194722, June 21, 2010
"Strong revenue growth recent large customer wins are driving momentum"
From Jakes Dad, IH#194743, June 21, 2010
"SKS stated Wave has just quoted a large European company with a 28k seat opportunity just last week. He estimated a potential contract of 2.3 million could be on its way"
"Steven is much more conservative with managing the companies money then in the past. He stated Wave has roughly 4 million in the bank with no plans on any funding in the future"
2011 Annual Meeting - 6/14/2011 Knute 97, IH#211070
"Wave has a 92% compound billing growth and 'should accelerate'"
"Company is close to profit. Could have achieved in 1Q, but chose to invest in growth instead"
"Cash position has increased from $3M to $9M"
2012 Annual Meeting - 6/19/2012 Knute 97, AB#11528
"At the end of 2011, $6-10M potential accounts did not materialize in the 4Q. Some are starting to surface now"
"There has been only a 1% adoption of TC in the marketplace. Of this adoption, about 60% goes to Wave"
"Wave has a very large pilot running with the gov't today"
"Scrambls should have a direct $ contribution from a corporate setting in the next couple of months"
From Ramspower, AB#11546, June 20, 2012
"Wave Endpoint Monitor (WEM) - 2 pilots (large aerospace and DOD) in process to end in August time frame. Pilots are going very well right now - if successful, there is business matched up with these pilots that will appear in Q4 2012"
"Wave should be cash contributing in Q3 2012"
2013 Annual Meeting - 6/20/2013
JakeDad, AB#24055, June 21, 2013
'The Criterion Project is much larger than we could have hoped for. They are negotiating with the financial sector to bring Wave nodes to 100,000,000+ transactions. Steven used the penny per transaction ongoing as a good revenue generator. Don't be surprised to see a Paypal Wave PR in the not so distant future"
"Wave has over 100 million dollars in proposals to the US Govt. The sequester issue is a problem and no one knows how it will play out between now and 9/30 (end of fiscal year)"
Postscript
Will I sell my shares in Wave - no, not until we reach the potential that all long time Wavoids believe is possible.
However, in the immortal words of Flat (AB#24051) "Losing my A$$ and not enjoying it at all".
Best to all,
K97
PS - I will still volunteer to arrange the Las Vegas golf outing.
