test content
What is the Arc Client?
Install Arc

PWE: Why they need your money. {long}

SystemSystem Member, NoReporting Posts: 178,019 Arc User
edited February 2012 in Ten Forward
~PW current situation
I am not a economist, nor am I a high end investor. But in the times we live in all should be learning about how the world market works. All be it at times it seams to be run by Voodoo, and chaos theory. In the link i provide below from PWE's page i want you to first look at the top left corner to the Yahoo FInace for PW

there is the common stock market jagged line that most expect And as you may note the traded value of PWE has halved form May `11 to present day. The estimated total value of the company is 320M and many will say that is a lot, wait for the but. It has a lot of games it is currently supporting, all MMO's

"Perfect World, Legend of Martial Arts, Perfect World II, Zhu Xian, Chi Bi, Pocketpet Journey West, and Forsaken World; Hot Dance Party, a 3D online casual game; two 2.5D MMORPGs, namely Battle of the Immortals and Empire of the Immortals; one 2D turn-based MMORPG, Fantasy Zhu Xian; and one 2D real-time MMORPG, Dragon Excalibur"

So 11 flagship titles, most of which are 3d MMO's that have multiple servers and make up a large majority of there market. Also you will not that games like Neverwinter, Championes Online, and Star Trek Online are not listed. and despite some digging other than some vanilla press reports about one attaining Cryptic and STO's F2P launch PW seams to be keeping what it views Cryptic on the DL.

Before you get mad there is most likely a good excuse in that PW is mostly a eastern based company. its American projects is maybe only 5%-10% of there total investment strategy which in its self is a small percent of that total 320M I mentioned earlier.

~what this means to us

PW is in a state of loss, they are losing more they they are getting in, the short bitter truth of the matter is they despretarly need to expand. It is the truth of survival whether it is Government, Business, or Personal, at some point you will exhaust the resources where you are currently residing and must expand. Think of the Romans.

So by opening up to the American market they are hoping to get a shot in the arm that will turn a profit in their investments but secondly and more importantly to them get American and European investors on board to further finance there company.

So now we see things like Grab bags and Character@Handle has unlocked new item scams. However it will only get worse as they are testing the water.

What is likely to come is yes the game will be advanced as it goes along but on the trad off we are going to see it more and more like a PW social game, Its only a matter of time till a Doff mission completed comes back and a message pops up saying Your officer has returned form assignment. post to your Facebook wall to share the XP with your friends

now don't get me wrong, pw is not circling the drain and are passing despite the tough economy but i hope this sheds some light on why they act the way they do.
Post edited by Unknown User on

Comments

  • Archived PostArchived Post Member Posts: 2,264,498 Arc User
    edited February 2012
    PWE hasn't released 4th Quarter financials yet but each Quarter for 2011 has shown profits in the 8-figure range. PWE has also spent most of 2011 repurchasing their stock and as of September has repurchased 3.5 million ADSs. As such the lower stock price has been beneficial to them.
  • Archived PostArchived Post Member Posts: 2,264,498 Arc User
    edited February 2012
    don't suppose you have a link, not saying i don't believe you just saying that i'm curious?
  • Archived PostArchived Post Member Posts: 2,264,498 Arc User
    edited February 2012
    don't suppose you have a link, not saying i don't believe you just saying that i'm curious?
    www.pwrd.com
  • Archived PostArchived Post Member Posts: 2,264,498 Arc User
    edited February 2012
    link taking me to a dead end
    -edit fixid now
  • Archived PostArchived Post Member Posts: 2,264,498 Arc User
    edited February 2012
    form looking at there news letter and 3rd quarter reports they don't give any hard numbers.
  • Archived PostArchived Post Member Posts: 2,264,498 Arc User
    edited February 2012
    1st Q Net Income AtCS: $40.3 million
    2nd Q Net Income AtCS: $49 million
    3rd Q Net Income AtCS: $22.5 million
  • Archived PostArchived Post Member Posts: 2,264,498 Arc User
    edited February 2012
    There's no excuse that would get me to approve of this garbage they pull in the game. Spamming me isn't gonna get me to spend more money on their cyber junk
  • Archived PostArchived Post Member Posts: 2,264,498 Arc User
    edited February 2012
    Cosmic_One wrote: »
    1st Q Net Income AtCS: $40.3 million
    2nd Q Net Income AtCS: $49 million
    3rd Q Net Income AtCS: $22.5 million

    again im no econimist (RTGDM Butters:p)
    Profitability
    Profit Margin (ttm): 29.47%
    Operating Margin (ttm): 32.87%
    Management Effectiveness
    Return on Assets (ttm): 12.37%
    Return on Equity (ttm): 25.01%

    but i don't understand why they would be underselling there stock :confused:
  • Archived PostArchived Post Member Posts: 2,264,498 Arc User
    edited February 2012
    ... but i don't understand why they would be underselling there stock :confused:
    The company doesn't determine the price of the stock. Its the open financial networks (a.k.a. Wall-street) that determines the price of the stock...Quite a few Internet entertainment companies are being dragged down right now by the success (or lack of) by the bigger players of this market, such as Electronic Arts & Sony...
  • Archived PostArchived Post Member Posts: 2,264,498 Arc User
    edited February 2012
    Is 10 Forward just a "dumping ground"? Why move it here?
  • Archived PostArchived Post Member Posts: 2,264,498 Arc User
    edited February 2012
    Aariny wrote:
    Is 10 Forward just a "dumping ground"? Why move it here?
    Discussion is for STO specific issues. PWE's financials are not STO specific. As such they are more as an off-topic subject. Ten Forward is for off-topic subjects.
  • Archived PostArchived Post Member Posts: 2,264,498 Arc User
    edited February 2012
    Ah. I guess that makes sense, sort of.
  • Archived PostArchived Post Member Posts: 2,264,498 Arc User
    edited February 2012
    If they are doing bad it's most likely becasue they have low quality stuff....which is apparent. But I think their scamming has been paying off in their games so far.
Sign In or Register to comment.