Ann: Appendix 4C - quarterly, page-2

“31 January 2020​

Tambla Delivers Fourth Consecutive Positive Operating Cashflow Quarter​

• $1.3 million operating cashflow surplus recorded for CY2019 ($993,000 for the quarter) – the first time the Company has achieved four positive operating cashflow quarters for the past decade​

• Achieved after capitalisation of development costs - $691,000 for the quarter and $2.08 million for the year​

• Quarterly cash receipts improved at $3.1 million​

• Growing overseas recurring revenues from Tambla-PayCE with five US based​

customers and expansion of Canadian based customer with Tambla-Rostima​

• Robust business development pipeline continues to grow, with project underway for key new customer in the local government sector​

• New Global Customer Support Desk went live, which provides 24/7 customer support for Tambla’s product suite​

• Company achieves ISO 27001 re-accreditation​

• Chris Fydler appointed Managing Director after 2 1⁄2 years as CEO”..​

Hi, is there anyone out there ?
I bought a few shares a fortnight ago so as to watch the company after reading a newspaper story on Chris Fydler (that I would link except I can’t find it now ).

Tambla seems to have plenty of positives -as noted in the quarterly - and it would be good to hear some more specific perspectives from someone else .

I did just find a report from a fund that likes it though
From July 2019

https://www.dmxam.com.au/files/DMXCP July 2019 Update.pdf

Portfolio activity
We continue to identify a number of interesting opportunities, particularly among companies with smaller capitalisations. Several new positions were initiated during the month including;
Tambla Limited (ASX:TBL)
Tambla is a software company that provides enterprise grade workforce solutions to organisations with large shift-based workforces, such as those in the aged care or transport sectors.

The Tambla software helps ensure these organisations comply with what is often complex award-based payroll requirements, as well as automating often manual (or excel) based processes such as rostering, time sheets and payroll calculations.
Tambla has a global customer base of over 200, with tier one enterprise customers including K-Mart, Sydney Buses and Sydney Trains. Customer retention is at 95%.

Tambla should achieve revenues of ~$11m in CY20, of which ~65% is recurring, with EBITDA approaching $1m. Tambla recently announced 1H EBITDA of ~$450k, and an encouraging outlook. On our entry price (implying a market cap of $10m), we were paying less than 1x revenue and less than 1.5x recurring revenue for our position.
The business is currently EBITDA, operating cashflow and NPAT positive, and our discounted cash flow valuation is materially higher than where the stock is currently trading.

Former Olympic swimming gold medalist, Chris Fydler, took over the reins in 2017.
We believe he has turned around the business and positioned it for profitable growth.
The management and operations teams have been strengthened, and the business re-focused on customer satisfaction and product innovation.