esn & mkb - a comparative analysis, page-146

Hi Borris…I think you were a bit hard on Ozzy… I knew what he meant.

Appreciate your effort, however in order to look at HYPOTHETICAL’S
There should be consistency. e.g. PE on your first one is 30 and on your last one is 130, massive difference?
Note - I have used the SECTOR PE taken from Comsec.
Also I have used admin. costs of $2M as you did, costs will increase, with 230K paying users they will have to increase to well over $2M (admin. is used to cover all associated costs, other than PTA)
Even the figures below show there is considerable up side, I think it might all end up relying on how good the games are and wether kids will play them continually or get bored with them.
Any ESN holders with kids in the target age group who could give an honest opinion from their kids?
I am inclined to agree with Ozzy… but what would I know about games for 10 year olds?

ESTIMATED PAYING USERS (annual) 230000
Subscription per ann. $50.00
Gross revenue $11,500,000.00
Less PTA ($5,750,000.00)
Less Admin. etc. ($2,000,000.00)

Profit $3,750,000.00
Less MMZ 10% ($375,000.00)
ESN profit $3,375,000.00
x PE (sector - Comsec) 19.4
Market cap. $65,475,000.00
Shares - fully diluted approx. 3175000000
Estimated SP $0.021