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I actually found this more positive than I was expecting. Seems to have been a better pick up in new customer acquisition from May to August compared to the update of May figures. Hopefully they are able to accelerate this further, and it is not coming at too high a cost.
Way better than I was expecting too… may add at these levels.
Ditto….much better than I feared.
I also cannot understand why the share price has not risen on the back of this.
I think that why the share price hasn't reacted is because their cash burn is so high at the moment, so they may still need a placing in the not too distant future?
I think these figures are very underwhelming and the company is years away from making a profit.
They have also given millions of shares to the BOD despite missing their ARR target!
I also can't understand why the gross margin % is only c50% i would expect it to be c80% as surely once you've created it the software runs by itself.
ALso not sure why so many staff keep getting employed - the rate of increase in costs is greater than the increase in revenues, which is clearly not good.
Regarding cash of c$2.2m they had a 6 month operating cash burn of $2.5m so this is a concern. Also if you look at the details they have $2.3m of deferred revenues, which is essentially pre payments. Without this they would have no cash!
The only positive i can see is the new contracts, which as has been mentioned has picked up int he last few months.
I thought the figures were bad. Cash burn is a real concern. I considered putting in money to average down but the risk is way too high. It's disappointing. I'm well under water and things don't seem to be going well.
terry leahy must have free money to play with, hes put a lot in to keep giving these guys going, TL must have known something to keep investing though
i hope you are right re Leahy as the number look worse every time i look at them. A Gross profit of c1.3m whilst spending 1.8m on marketing is madness. This is before operating expenses of over 2m and R&D (which can be increased/decreased as required i suppose).
I presume the logic is to increase marketing spend for a limited period to support the salesforce and then when reduce it once these contracts start renewing. However, the growth in revenues is just too low to justify it.
I had such high hopes for this company so am very disappointed. BOD just do not seem to know how to get this to profitability
Guys like Leahy are rich for a reason, this isn’t spare money he expects to play with and lose. He will have done tonnes of research and, more importantly he will have tested the character / skills / trustworthiness of the management team. A key difference to us more normal folk is I would expect him to have a 5 year plus time horizon here.
Not a holder at the moment, but would like to start building a holding fund permitting.
i doubt hes done any research, have u worked in the City? most people like him just go drinking every night
I think you need to do bit of research, he is not a city boy.
I thought draft just posted irrelevant cyber attack links which have little to do with brand protection, but that make me laugh out loud!