Revenues in March : $5.1 m +(ARR increase in Dec)/4 $1.0 m + (ARR of Wizdom in Dec)/4 $2.0 m - Wizdom ARR incl in March -$1.0m
Total Revenue $7.2 m Total Expenses - $14.5 m Government Grant + $1.4 m
Cash Burn -$6.0 m
I can see why $6.0m +/- of cash burn is a good starting point.
Variances will be caused by 1) The amount of upfront annual subscription fees included in March vs June. (If March had a lot of annual fees after year end, then this will not be repeated in June and vice versa) 2) How much of Wizdom's subscriptions are quarterly vs annual. (The $2m assumes all fees are quarterly) 3) Any non-subscription revenues (eg installation fees/consulting fees) 4) Integration of Wizdom ( Did LVT get only half of Wizdoms March Q fee revenue or where fees paid towards end of Q or early in Q?)
LVT Price at posting:
52.0¢ Sentiment: Buy Disclosure: Held