@schueym99 without going on a long discussion since previous posts have already addressed, I recommend that you watch the videos from Ted's fireside chat.
The key point you are missing is the debt financing component in 2019.
Your A/P will increase to a certain degree but you have a debt facility to use for cashflow.
Q4 2018 is bad. Yes!
Q1 2019 is ok but a massive improvement in revenue growth (remember that Q4 is the busiest quarter)
Q2 2019 4C pretty good and is consistent with Ted's regular announcements. Increasing Monthly / Daily growth (rate) + CASH positive (albeit small)
Upcoming:
Q3 2019 Expect increase on Q2 by +X% due to seasonality factors + min $65K per day revenue + possible increase $x
Q4 2019 busiest quarter, possible 30-50% increase on Q1 (someone correct me on %), 3 consecutive positive cashflow 4C results
That's not to mention things like
+ AdCel growth
+ potential to increase $100K per day
+Fixed COGs costs due to digital automation instead of humans facilitating publisher adverts
+ international market space
+ new activations (software interfaces) to increase
The negatives on this are:
- Historical figures pre 2018 are just like any other startup - cash issues and SP dropping so old holders exit as new ones come in.
- lack of institutional support, although this may change as attention grows
- consolidated cashflow balance sheet still a little weak
- bad debts, write-offs still a possibility but are being addressed and are decreasing
- MC low (although I see this as a positive since EN1 will grow exponentially)
So the re-rate will happen at some stage if all things hold true. In the meantime we are certainly going to get daily/weekly SP movements.
The actual market cap valuation ...well that's debateable.
- Forums
- ASX - By Stock
- Ann: EN1 Achieves Cash Flow Positive Q2 2019 4C & Commentary
@schueym99 without going on a long discussion since previous...
-
- There are more pages in this discussion • 50 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add CTV (ASX) to my watchlist
Currently unlisted public company.
The Watchlist
FHE
FRONTIER ENERGY LIMITED
Adam Kiley, CEO
Adam Kiley
CEO
SPONSORED BY The Market Online