How was the call for those who were on it? I’ve emailed asking for a recording to be released or a transcript for those who couldn’t join like me.
ive also emailed them as per my question (which I requested on HC for someone to ask on my behalf) ie what is their strategy to grow the core business (AD) in the large govt/ corporate end of the market? I am keen for them not to just ‘diworsify’ away from their core business via M&A in the hunt for growth to achieve targets that score the ceo/ board some bonuses/ cheap shares. They have a <1% share of large govt and private recruitment platforms so should have a razor sharp focus primarily on winning market share here to enable margin expansion and scale benefits.
if they don’t think they can compete or win contracts in this space and want to pivot to USS / AoM then they should at least acknowledge and articulate that to investors.
what I don’t want to see is more M&A into a 4th vertical such that a tiny micro cap ends up biting off more than they can chew in trying to execute and integrate all the different businesses. M&A into new verticals (as opposed to swallowing small disruptive competitors or businesses that do the same thing to gain cost synergies and reach) doesn’t usually work out well for investors in the majority of cases, so my investment thesis in AD1 is based on them executing and integrating them achieving organic growth within the current 3 verticals. I don’t want to see more M&A unless it is extremely compelling value (which it usually isn’t because (by definition, because most acquisitions require a premium to be accepted by the vendor unless they are a distressed seller on the verge of liquidation.
anyway, despite some of my doubts, I’m generally supportive of the strategy and commend the execution of the turnaround thus far, and it’s nice to finally see an investor presentation who cv we have been asking management for, to articulate their growth strategy to potential new (and existing) investors.
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