No worries. The past has been riddled with multiple promises and then...delays. The market has responded accordingly. That said, the INDUE transaction clearly posed some challenges. It was eventually wrapped up. The dividend was a promise made late last year, which has been axed (a great decision given the debt load). McGregor has joined the board to help out with the equity decisions and give Todd a helping hand. It seems to be working as the company has made a lot more smart decisions. Shareholders can NOW see where the company is heading.
The INDUE transaction was meant to happen earlier in the year. If that was the case, we would have generated a lot more FCF during FY17. That didn't happen and the market acted accordingly.
The next big milestone is rolling out the EFTPOS. When that happens, everything should be on track IMO. That should give the market more confidence to buy more shares. The preso, being so close to EOFY, should be pretty consistent with FY17 results. I am comfortable to hold for them. FY18 should be on track with INDUE transaction added to the bottom line. EFTPOS shows about $1-2 million in revenue; so nothing major. I'd say there's more upside than downside from the rollout and management are starting to hold more cards close to their chests.
Investor preso starting to roll out on target. Todd/ management have been asked by multiple institutions to sell the company more. Multiple of my contacts (the smart money) have told me they are waiting for FY17 results before acting to see whether on target and believe the company isn't sold enough. The register really has no institutional support. That's a cost of the numerous past over promises and lack of hitting deadlines.
I believe things will turn around. A risk is a stock market correction. But that doesn't look likely ATM. Dow Jones at all time highs.
STL Price at posting:
2.7¢ Sentiment: Buy Disclosure: Held
