Ann: Dividend/Distribution - TNE, page-13

First 13 Last

Share
Profile

Follow
daicosisgod

12,867 Posts.

1357

25/05/22

11:47

Post #: 61609540
Share
Originally posted by It investor ↑

This was a really good result. The SAAS revenue is growing dramatically and with the sunset on the on-premise solutions being October 2024 their recurring will rise dramatically over the next 2 years as people move before the sunset. Some will go to market and replace but the overall impact should be a significantly higher recurring component to their earnings. Scientia seems a good acquisition with good revenue and profitability.

Some really good takeouts

Trade Receivables have increased but in line with revenue increase. Still a bit high which shows customers are not paying on time. $33.5m on revenues of $172m seems a bit high but an improvement on previous years which shows customers are getting happier

Strong war chest to buy up complimentary products

Strong growth in Local Government, Education, and Government. These are resilient markets who have money available. There were challengers in these markets that they have won against (especially Oracle and Microsoft) and this means locked in revenue for many years

Consulting Services and UK were badly performing parts of business that now seem to have turned around

Good and conservative approach to capitalisation of R&D

SIgnificant R&D spend which should keep them relevant

Not sure why the share price is decreasing. This is a good result which should meet market expectations. They have a plan, they are sticking to it whilst taking up opportunities for acquisition when available.

Expand

Great summary and thanks.

The SP decline is a direct result of increasing interest raises and the mirror image of PE compression. I hope it stops soon. My feeling is that after the US Fed does its next interest rate increase it will pause and gauge the effect before any more rate rises.

Cheers.....D
TNE Price at posting: $10.15 Sentiment: Buy Disclosure: Held
2 Upvote

0 Great analysis

Reply

Top Stories

SS1

Sun Silver confirms high-grade extension theory at Maverick Springs with 79.6 g/t intercept

GTR

GTI extends uranium mineralisation at Lo Hema through development drilling

CHN

Chalice jumps on Putin nickel export ban threat – but then there's bad news

3 stocks with antimony news on Thursday

CU6

Clarity progresses SECuRE trial with positive safety results

DXB

Dimerix begins recruiting young kidney disease patients in Mexico for Phase 3

MTM

Forget gallium: MTM says it's extracted gold from e-waste

BRX

Belararox to grow copper footprint in Botswana with 4,286 square km tenure

NEC

Nine Entertainment announces its CEO is stepping down – on an ex-divvy day

ASX Market Open: Local bourse to trade green | Thursday September 12