Ann: Alcidion Announces Appendix 4E - FY17 Preliminary Report, page-6

In the quarterly released on 31/07/17 we were told in regards to the $NZD1.60m contract with the MidCentral District Health Board in New Zealand that:

"This initial contract is expected to be delivered in FY18 Q3 and as such, no revenue has been recognised in the current quarter."

This is also part of the current financials, so your comment that "but they don't have a meaningful amount of cash paid to them as unearned revenue" is just wrong. To add to that they are spending significant dollars on setting up this environment. Dollars that show in THIS financial year. We also know that the costs to setup initially are high, but if they get a similar configuration, ie more hospitals in the same group, the price drops significantly, I believe it was described as "plug it in and switch it on" in a recent video presentation.

Further to this we can see that "receipts from customers & R&D rebate" increased from $3,209,630 in FY16 to $4,345,205 in FY17.


I would also point out that very little of this report would come as a surprise to any share holder, everyone was aware there would be a loss. We read the quarterly's we see the contract announcements...​