2016 AGM Presentation - US Sales Update, page-13

Just on this, my interpretation is that they are leaving open the option of a capital raising.

The key message today regarding cash was that they have a firm grasp on cost control and ROI. Newman specifically said several times that they are comfortable they can grow revenue without adding costs. However they may choose to invest (i.e. increase costs = sales & marketing) to accelerate growth.

This was said several times so I think the option of a capital raising is on the cards, especially given the comprehensive Investor Strategy deck that was released today.

Not sure who that was presented to but I guess they took the opportunity to get the whole board + executive in front of potential investors as Ian Morris (US NED) and Patrick Quigley (SVP & GM - North America) are both in Sydney.

3D data was highlighted as a new product area, coming out of the HyperCamera2 system, and Newman stressed that the value in Nearmap was not simply the capture system but the whole end-to-end process of capture, process and delivery in a useful manner to end customers.

e.g. with 3D data a targeted solar product may take into account roof pitch and shading from nearby trees/buildings to provide a more precise estimate of power output.

Overall my takeaway from today is that they've delivered what they promised a year ago and whilst we still need to get US to breakeven we have good people and processes to make that happen.

Cast your mind back 12 months and everyone was freaking out about Crowther having left the month before (October 2015), and what the heck was happening in the US.

At the time Newman told us they'd focus on 3 things which was to grow the AU business, get the US properly setup, and continue to enhance our technology. He's delivered all 3 things.

Last year he also promised to increase transparency which he did via the quarterly updates, something we all appreciated. There was some indication today that they may not continue the quarterly updates going forward.

I don't think that's necessarily a bad thing. The team seems solid now and I'd be ok with them just getting on with business and not worry about how the results will look to the market on a quarter by quarter basis (this is one of my personal bugbears with Wall St reporting).