20 cent party, page-301

Just remember mate, markets are meant to price companies 2 years in advance (by market cap).

This is an example where the market hasn’t priced Novatti for what it is, it’s definitely a miss here and the disconnect is substantial- there are many examples I can provide in the tech space where the MC is larger and scale, growth, SOI & revenue are much lower- there are plenty.

I had Novatti possibly generating $25M-$30M this financial year, I believe we may even smash this now with Reckon and the acquiring licenses really growing at a substantial rate.

If we are to generate the following (without bank) purely processing and acquiring, I have the MC at the following-

Based off a PS metric of 4 & SOI of 340 Million

$30 Million Revenue (NOW) $120M MC (.37c)

$50 Million Revenue- (10 Months from here) $200M MC (.58c)

$100 Million Revenue (Possible 20 Months) 400M MC ($1.17)

$200 Million Revenue (Possible 30 Months) 800M MC ($2.34)

Now the above doesn’t take into account current assets, dividends & Banking license, this is purely from a transaction & acquiring perspective.

Based off the above, our current core business demands a far higher MC than where we are now as a minimum we should be at .37 and .58c based off a forward looking 12 months.

We have Visa and MasterCard acquiring licenses which already is assisted sting our core growth at 110%

I suppose where I’m getting at, this is one of those occasions where the market isn’t looking at this correctly (even after today’s announcement) and will eventually catch up to what Novatti is and what they’re going to become.

todays announcement was a significant milestone for Novatti, it further solidifies our product and scale, Reckon are a quality business which we now have 114K customers to work with- that’s massive scale.