@JPjpJPjpJP : My thinking around this is that they scale it by getting larger and larger clients. Not only in terms of getting them on board as a case study but with getting all of their staff in all of their jurisdictions subscribed. Global is a word that has been used a lot lately, which I like. They also seem to invest a lot into Employee Experience now, evidenced through the Simon Sinek kick-off event and now BrainPac. Not sure about the $ value of that investment but the tool sounds quite timely as mental health and well-being of employees is a huge topic at the moment; at least in all the companies that I am involved with. In short, I very much like that direction and a projected $60m+ cash generation p.a. for this FY is not too shabby either for a company with a MC of $100m. There are plenty of ASX listed companies that have another zero added to that MC and have not even half of that revenue (in hard cash rather than some distant ARR)..... All, they need is a few more large wins and CF+ will be there. Perhaps with salary discipline and a juicy R&D grant payment this quarter, we might get that late Xmas present from them in January. And then suddenly there could be lots of green.
Another issue that I keep thinking about re SP performance is that Retail Shareholders hold ~55% of the share register. What Karl and Co may want to try and do is to get the institutional share of 22% up to at least 30%. Have they been on road shows, say in the US or Europe lately? Does anyone know? If not, that may be an easy fix and way to make us all a little happier re SP performance. Now that MEL/SYD are out of lockdown and international borders reopening Karl/Peter should (and probably will) spent more time over there and get more funds on board; after all LVT have their HQ in New York and offices in many parts of the world; not bad foundation for a $100MC outfit either...
LVT Price at posting:
12.0¢ Sentiment: Buy Disclosure: Held
