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Message: Bottom Line Numbers To Date

Bottom Line Numbers To Date

posted on Apr 28, 2008 09:31AM

Based on RG's last letter, we are told that all licenses through end of January '08 have been reported in the SEC filings to date. Therefore we know this:

$242.77M - MMP License Fees paid to date

37 - Number of Licensees through end of Jan '08

$6.56M - Average License Fee Paid

**

$33M - Expenses for Licensing Efforts and Legal Defense of MMP through last 10q

42 - Number of Licensees through period covered by last 10q (2/29/089)

$0.79M - Average Expense per license

**

$5.77M - Average NET Profit to PDS per License

$2.885M - Average NET Proceeds to PTSC per License

Assuming there are still over 400 potential licensees to sign, it would mean that there could be up to $1.154M in Net Profit to PTSC if they are able to sign all of them before 2015. Since there are more than likely MORE Small Companies to Big Companies to be signed than the currently signed ratio has contained, I'd say it would be wise to discount that number by 50%, leaving $577M in license fees for PTSC to still collect during the life of the patents potentially. That amounts to $82M per year in Revenues from MMP.

It would be interesting to see PTSC come out and produce some kind of guidance that would indicate something along these lines. By that I mean the quantifying of the numbers, even thought they may amount to these particular numbers. Once the Re-Exams are done and if they turn out in favor of the MMP, RG would serve us well, and have a golden opportunity to step up and provide some visibility into the Future of what HE and the COMPANY expect. Hope he takes advantage of that opportunity.


Apr 28, 2008 09:42AM
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Apr 28, 2008 11:00AM
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