So the push to $2 begins, page-915

Quotes from the 2017 Annual Report:

The company continues to convert an increasing amount of customers in its sales pipeline.
BIG takes the conservative approach to recognise revenues on video subscriptions, where
delivery is ongoing through the membership, over the 12 months resulting in a significant
deferred revenue balance for the year. Due to the company’s ability to generate high quality video at low cost, there are minimal ongoing costs incurred during the 12 month membership, with sales costs and a significant proportion of production expense incurred and recognised in the first 3 months of the membership.

The Company’s cash receipts totalled $21.52 million for the 2017 financial year. Revenue for
the period comes primarily from the sale of licenced video content produced from Australia-
wide operations. The significant difference between cash receipts from operations and sales
revenue is due to the revenue recognition of the sales contracts. In many cases, the Company
receives cash payment upfront on 12 month contracts, however, the accounting treatment
sees the sales revenue recognised proportionately over the life of the contract as the services
are provided.