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Ann: Appendix 4C - quarterly, page-21

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CaptainBarnacles

11,077 Posts.

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22/01/18

19:50

Post #: 30479845
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Originally posted by Transplant ↑

At 69% compounding Q on Q you would need 3 quarters to get over $2.5m ( $2.67m)
To achieve $2.5m in the next 2 quarters you would need 113% compounding Q on Q.

Not impossible to get the Class A shares, but the dilution risk which might be keeping a few away at the moment is overdone in my view.

Interestingly at 69% compounding in 2 quarters the revenue will be $1.58m and very close to break even with the burn rate.

40% compounding in 3 quarters the revenue will be $1.52m and very close to break even with the burn rate.

So my view is:
1. Management miss out on the class A, B & C shares and the share price adjusts up.
2. In 3 quarters (conservatively) we are cashflow neutral and the shares price adjust up.

270 days to go.

Expand

$553 * 1.69 = $934k for Mar q
$934 * 1.69 = $1,578k for June q
$934k + 1578k = $2,512k = $5m run rate = bingo at 69%

Last edited by CaptainBarnacles: 22/01/18

ISX Price at posting: 16.5¢ Sentiment: Buy Disclosure: Held
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0 Great analysis

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