Iddan

Investor in (mostly) small caps worldwide, looking for quality and growth without paying too much, because it's best to have the cake and eat it too

[Iddan @SmallcapInv1]

@ShanghaoJin 哇！比什么时候涨了40-50%？

[Iddan @SmallcapInv1]

@MaaizKhan 2x

[Iddan @SmallcapInv1]

@eniac Where did you see that Moloco is building its own ssp?

[Iddan @SmallcapInv1]

@eniac Also, seems like Smadex has a more transparent and customizable approach than Liftoff, while Liftoff has their own SSP (Vungle). Does that differentiation cause a different clientele (e.g. based on tech savviness)?

[Iddan @SmallcapInv1]

@eniac Makes sense, thanks.
How do you think Smadex fares against Liftoff and other peers (Moloco? others?)? Not in terms of valuation, but in terms of their offerings and also how they're viewed by clients (ROAS? other considerations?).

[Iddan @SmallcapInv1]

@david_katunaric I see see see what you did there...

[Iddan @SmallcapInv1]

@david_katunaric It was rightly noted that Christenson's 2023 New-Hire package includes options still not in the money (up to $13.75 required by mid 2028).
Additionally, the most recent proxy I mentioned shows the 2025 comp plan for mgmt, with hurdles "just" up to $6.
https://t.co/oZcPWkwGOX

[Kingdom Capital @kingdomcapadv]

First time I met with the CEO at $EVC, the stock was ~$1.50, but he had this comp package:
"In connection with the hiring of the Company's CEO in July 2023, the Company has granted the CEO PSUs, which are subject to both time-based vesting conditions and market-based conditions. Both the service and the market condition must be satisfied for the PSUs to vest. The PSUs consist of five equal tranches (each, a "Performance Tranche"), based on achievement of a share price condition if the Company achieves share price targets of $5.75, $7.25, $9.00, $11.20, and $13.75, respectively, over 30 consecutive trading days during a performance period commencing on July 1, 2023 and ending on July 1, 2028"

https://t.co/MzzjhsjyXT

[Iddan @SmallcapInv1]

Big win for $EVC
- Mgmt is about to wildly exceed the highest hurdle of their comp package at $6, set up to Jan 2029... Hope they come out with a new aggressive comp plan
- Perhaps the "core" media business is the one that should be spun out...
Congrats @david_katunaric on reaching the Championship League finals! :P

[Iddan @SmallcapInv1]

@Floebertus Well deserved, to many more!

[Iddan @SmallcapInv1]

@capytalmgmt Thx for sharing, Capy
Didn't see the announcement about the CEO and EC buying shares. At what valuation was that done?

[Iddan @SmallcapInv1]

@Premski_SGP And also the lack of a Q&A session

[Iddan @SmallcapInv1]

@Premski_SGP Besides the generic "sell the news" option, I only have two hypotheses -
1.they added "just" ~1000 licenses in q1 (much less than in q4)
2. I think he didn't reiterate the adj ebitda guidance for 2026 (just the 150m revenue target)

[Iddan @SmallcapInv1]

$ilyda.at with solid results out
https://t.co/4OgbnqLV9M

I collaborated with @SimeonResearch_ on his deep dive on them a while ago (on his s*bstack), and he later interviewed the CEO as well

[Iddan @SmallcapInv1]

@realLigerCub Very interesting note, thanks for sharing
You mention a 1-2.5 year licensee onboarding process from signing Q1 26 to full onboarding in 27-28. I've seen explanations from the company about onboarding and ramp ups, but I think much shorter (~1-3 quarters).Why such a long process?

[Iddan @SmallcapInv1]

@illyquid Such a great decision, and a lot of alpha gained since, so very well deserved. To many more!

[Iddan @SmallcapInv1]

They'll probably use their HK subsidiary (Yuanbao (Hong Kong) Limited) to circumvent the additional 5%.

However, I'm not sure at all that they'll pay out the full amount that they are transferring, as so far they've been quite conservative. However your guess is as good as mine (and I hope you're right of course). You can assess the dividend payment in several ways (e.g. the yield compared to the market cap, % of annual income, etc) and compare to peers.

Overall, I'm happy about the dividends for 2 main reasons - that they have shareholders' interest in mind, and that integrity is shown since they do as they said. I don't expect them to have wonderful capital allocation solutions (e.g., to find creative ways to buy and cancel shares from VCs who might want out, normal buybacks, or big dividends), but of course it'd be great to be pleasantly surprised.

[Iddan @SmallcapInv1]

@friso_alenus I think we might have a hint indicating progress with the dividends, wrote about it here:
https://t.co/Nf27vGFNMB

[Iddan @SmallcapInv1]

Actually, I came out pretty enthusiastic. They didn't mention dividends in the PR and were vague on the call, but they gave us a big (yet concealed) hint - the accrual withholding of Q4 tax!
The accounting implication is that they are transferring money from their Chinese entity into the US one (probably via the HK entity), and the main reasons for doing this would be - dividends, buybacks or acquisitions. In this case I think it's pretty clear that the reason is an upcoming dividend.

While they haven't mentioned it specifically, my guess is that they'll announce the dividend by end of June, and that it'll be around 4%-5%. We might learn more after release of the 20-F (ADR equivalent of the 10-K) by end of April. Their IPO was less than a year ago, and there really are some preparations prior to the first dividend payments, so I believe management when they're saying it's in the works.

The relevant text:
"Income Tax Expenses. Income tax expenses in the fourth quarter of 2025 were RMB75.4 million (US$10.8 million), representing a 734.9% year-over-year increase from RMB9.0 million in the same period of 2024. This increase was primarily driven by the accrual of withholding income tax in the fourth quarter of 2025."

[Iddan @SmallcapInv1]

@friso_alenus Great post. I've been unsuccessful in trying to get hold of management or IR for a while now. Have you talked to them?
(by the way, I know this company relatively well and happy to discuss it further. Your DMs are closed so feel free to DM me)

[Iddan @SmallcapInv1]

@Floebertus @trackdalf I actually think they're doing a decent job, e.g. recently created a ~5% dividend. They can't do buybacks due to 25% public float req of HKEX. I agree that listing in Singapore would be ideal, and wouldn't be surprised if div grows later this year or if they bid bigger projects