Ann: Appendix 4C - quarterly, page-64

”100% cash?”
”Most of the customers dont pay in this quarter...”?



If you looked at the FY20 annual report carefully, you will see Deferred Revenue account which is amounted to nearly 18M. As noted this amount is the advance payments made by its clients. So by end of June 2020, BTH already collected from its clients around 18M in pre-paid cash. On contrary to claims, it’s a powerful business, BTH mostly collects its cash in advance, anyone can go back to previous reports to find that.

So, the reason for cash receipts down this quarter is an indication of BTH is servicing its deferred revenue for the quarter. So, in this quarter, we may see revenue is up and Deferred Revenue account is down as the unearned revenue becomes revenue.

On contrary, it’s not the case of recording huge Revenue but less cash received. It’s the case of collecting lots of cash in advance and now you have to service your obligations to book your revenue. This explains why we have lumpy cash receipts quarter by quarter.