Not much commentary on the bridge. There was a question on the $1.5m gain from acquisition/Zuuse sale and it was confirmed it is existing acquisitions (largely Xcite) and a sale of some Zuuse shares (less than $1m).
Issue is if Zuuse sale is booked as revenue with no costs that falls straight to EBITDA line, it's effect on $35.5m revenue is minimal but it's effect on $6.45m EBITDA (slight downgrade from $6.5m noted) is much higher. My concern here is that the company is masking higher costs within the business with the sale of shares to hit it's guidance numbers.
The other concern is that $10.6m pipeline sales in the second half is very big. Hard to see that happening, but again management seemed confident.
I'm preparing for the company to miss it's numbers without Zuuse sales or acquisitions. Question is how far does it come off and what is the growth of the underlying businesses?
MPW Price at posting:
21.0¢ Sentiment: Hold Disclosure: Held
