Ann: User growth accelerates following Android & Wealth launches, page-17

You need to be looking forward. DOU has great prospects, which is now starting to show a proven product.

If you are worried about DOU generating revenue, all you need to look at is Stash who currently has more than 5m customers and is charging a monthly subscription fee (same as DOU). Stash last reported valuation is US $1.4bn. It is clear to me that DOU's revenue model will bring in strong cashflows (from both the subscription fee and the interchange fee).

If you look at Australian neobank 86400, it got bought out by NAB for AUD $220m earlier this year. At that point in time, 86400 had just 85,000 customers. Yes, it is a different business model - but it also demonstrates how NAB values the technology and its future prospects.

DOU has also only raised AUD $18m of capital, whereas some of their Australian competitors such as 86400 and Volt have raised significantly more capital. Volt for example has raise AUD $90m of capital. Even when you exclude 50% of Volt's capital raisings purely for regulatory capital purposes, it is still a lot more than DOU. When you compare the capital raising, DOU is actually in a really good spot compared to their competitors.

DOU will experience exponential growth once the following are complete:
1. refine and finalise their product offering by late this year/early next year - BNPL, crypto etc.;
2. completes another capital raising (not announced yet); and
3. Launches in Australia next year.

To me, DOU is valued at 5-6x their FY23 forecasted revenue.