Is the Canada expansion too early?

I am doing a write-up on Mader if anyone interested.

https://whealthyninja.com/mader-mad-analysis-a-boring-company-with-exciting-prospect/

MAD is quite well established in Australia. They dominated the market by servicing around 350/518 sites. While this is a great thing, but 1 downside is that they are pretty much at a mature stage in Australia and there isn’t much room left to grow. But they are well aware of this. They have entered the US market and are beginning to enter the Canadian market (the end of FY21). The 2 markets combined are more than triple the size of the Australian market.

I love it when a company brings a proven business model to a different market. But I would be lying if I say that the quick expansion doesn’t cause me some concerns. I think the Canada expansion might be a little too premature for MAD. Given the fact that they are only servicing 25/2,837 sites in the US. I think that it might be better to focus on the US first before expanding to Canada?

But again, I obviously do not know what is better for their business than their management. Maybe they want to quickly establish themselves in the market to have some first-mover advantages? But with limited cash on hand, they might have to raise capital for the expansion.

Full analysis: https://whealthyninja.com/mader-mad-analysis-a-boring-company-with-exciting-prospect/