Optiemus Infracom - How much business Blackberry is going to bring for it?


(Satya Prakash) #1

Hi,

I have selected Optiemus infracom recently. I have selected it due to multiple news coming for its tie-up with blackberry. At that time, my purchase price was not very high from its long term average. Currently the situation is same after correction.

I always had question about Blackberry business that can benefit Optiemus infracom. Blackberry has tie-up with it for India, Sri Lanka, Nepal and Bangladesh. mobile production. Blackberry has given it all after sales services too (insurance, maintenance, marketing etc). Blackberry is bringing Android mobiles all over the world. It already has launched in few markets. In it’s most trusted market Indonesia, it has launched in March, 2017.

Optiemus will design, manufacture, sell, promote and provide customer support for BlackBerry-branded mobile devices that offer the full BlackBerry experience, including the BlackBerry for Android secure software, in India, Sri Lanka, Nepal and Bangladesh.

BlackBerry will continue to control and develop security and software solutions and maintain the BlackBerry security software, including regular Android security updates, it said.

Optiemus to make BlackBerry phones for India

Recently Economic Times has reported about June launch of Blackberry and Nokia mobile. CNBC has included it is 20-20 show. After that it has gained for 2 days.

Recently it has acquired one business as well and sold one business. That selling will get it 10 cr which will reflect in March quarter result.
Optiemus has plan to list on NSE.

But most important business to understand is the Blackberry business in India. How much gain it can bring to Blackberry? I could not estimate its revenue after 1-2 quarters post full implementation of Blackberry plan in India. But thought if any good it can bring then from price of that time, I could get double of my money based on hope. :slight_smile:

Online sales is growing and due to that distribution business for store sales has not given good numbers recently. It has distribution right from Samsung and few others.

Govt started focusing on mobile manufacturing.

CMP: Rs 59.50.

Disclosure: I am heavily invested at avg cost of Rs 65.


(Ram Arvin) #2

I think you need to look at the financials of this company…Mar16 sales is 1,903.01 crores but PAT is 18.08 Cr…just 1%…ROE, ROA, ROCE and all other ratios are greatly decreasing in last three years…Interest cover us just 1.06…Company is holding more than 100cr cash for last three years…For the year sales has greatly reduced…

There is lot of red flag in the financials…and PE is already 37.60 based on TTM earnings.

Please be cautious before investing these types of business…there is no safety as per the financials…and if you feel a turnaround and tremendous growth in this company…then worth looking…otherwise disaster


(Satya Prakash) #3

Yes, turnaround etc. And I thought it wont perform worse than this. But I was influenced by Blackberry deal. Also, reading recent deals like acquiring a distribution company shows us that company is trying.

Previous quarter result was hit greatly by deMo. Due to deMo, stores sales hit badly. Overall mobile sales got a hit due to deMo but ecommerce biz doled out few benefits to sell mobile and could sell some.


(NOMI MATHEW VARGHESE) #4

Optiemus has a JV with Wistron ( Taiwan based) , They world second largest contract manufacturer for smart phones.
Wistron has also started a plant in Peenya Bangalore to make IPhone in India. (no sure whether this plant is in JV with Optiemus )


(Vivek) #5

Hi Satya,
The company hasnt been able to provide a NPM of more than 1-2% over many many years . Receivable days is at the hghest point (60 days) and you have invested by the news on blackberry tieups. I dont think this is a nice approach to it.
Why do we have to test such companies? There are many proven companies which are already discussed here in the forum in detail, if you are looking for short term gains then also these are risky bets. Rule no 1 should be capital protection.
You have mentioned you have invested heavily and thats the reason why I had to write my thoughts. This dosent mean the stock wont go up it can but saftey is not there for investment.


(Satya Prakash) #6

I am waiting for the result. Avg price of 65 for me is not high. I can gain time to come out. I think so. If few things works out then I can reap benefits.

NPM% is low due to distribution biz. There margin is low.


(Satya Prakash) #7

Penya plant is separate as I know. That is owned by Winstron alone.


(uday) #8

sir optiemus tie up with winstron for iphone mfg and company already announce this deal


(Satya Prakash) #9

When they said that Optiemus and winstron are going to manufacture iPhone? Check google.

It is Winstron alone for iPhone.


(Satya Prakash) #10

Here you get many info about feasibility of Optiemus and blackberry deal. According to the article,

  • Optiemus and Winstron will manufacture blackberry. Combined project of Jv.
  • Optiemus has given revenue projections
  • Blackberry won’t benefit from blackberry success. It can benefit from hardware success as new customers may buy blackberry software products aimed for enterprise.
  • more info there Plus Hope for success.

(Satya Prakash) #11

Any comments on seekingAlpha article in general. If they published Optiemus article, it means that they have found some meaning! or it is just a news and I should not read much from that !!!


(Satya Prakash) #12

Blackberry to see major benefits from Optiemus deal https://www.androidheadlines.com/2017/05/report-blackberry-see-major-profits-optiemus-deal.html


(Satya Prakash) #13

Soon the announcement may come about Blackberry launch from Optiemus Infracom. It can be in mid July.

Report: BlackBerry KEYone With More RAM Coming Soon To India


(Satya Prakash) #14

Blackberry’s KEYone is out of stock in USA after launch. Optiemus infracom in UC after the news. It is projected to launch the blackberry for Indian subcontinent this month.


(amit anam) #16

(definate) #17

Optiemus infracom signed deal with Amazon to sell blackberry keyone : sources
Sale date 1 August
Features : 4gb ram, volte dual sim, 64gb storage
39999 RS price tag


(Satya Prakash) #18


Eagerly waiting for Aug 1 and market reaction after that.

Blackberry is going to host an event with its India partner Optiemus Infracom, where it can unveil the BlackBerry KEYone for Indian markets.


(definate) #19

Optiemus launches BlackBerry KeyOne Limited Edition at Rs 39,990


(Satya Prakash) #20

Amazon page is ready for sale of Optiemus manufactured limited edition of Blackberry on Aug 8, 2017.


(Satya Prakash) #21

NSE listing on Aug 8th.