After announcing estimated 2018 calendar year revenues of $24.5 - $25M on 9/4/18 and then the Adcel acquisition on 3/5/18 and two new Asian contracts on 17/5/18 showing combined 2018 revenues of $30M in a graph why did the company then on 31/5/18 reaffirm previous revenue guidance of $24.5 - $25M?
I would have thought with the two new Asian contracts of $4 -$8M and the Adcel revenues of $2 -$5M, both annualised and 75% of the revenue coming in the second half (not entirely sure about the two Asian contracts) this would have lifted forecast revenue for 2018 calendar year to at least $30.5M but maybe as high as $33.5M.
Also the 10% increase over forecast for the half year announced on 2/7/18 would have to boost full year forecast revenues by a further $612,500 being $24.5M x 25% x 10 %.
I think the market is confused about revenue guidance and this is not helping the floundering share price.
Can anyone shed some light?
EN1 Price at posting:
12.0¢ Sentiment: Buy Disclosure: Held
