I note your post reflects what I would consider are Internal Factors within the Novatti management, however, what about the influence from Factors Outside Novatti's Control?
1. COVID-19 Pandemic Impact
RADI License Freeze (March 2020 - November 2022): The Australian government's decision to freeze the issuance of RADI licenses due to the pandemic delayed Novatti's plans. This regulatory freeze required the return of $10 million in funding, as the intended use for these funds could not be pursued.
Reduced International Travel and Students (2020-2022): Australia's strict border controls during the pandemic significantly impacted industries reliant on international students and tourists, reducing payment volumes in these areas.
Operational Challenges (2020-2021): Travel restrictions hindered Novatti's expansion efforts, particularly affecting the Emersion business's growth in the U.S.
2. Economic Downturn (2020-2023)
BNPL Sector Contraction: The economic downturn led to reduced consumer spending, negatively impacting the Buy Now, Pay Later (BNPL) sector, a key growth area for Novatti.
General Economic Uncertainty: Widespread economic instability affected consumer and business spending, impacting overall payment volumes and revenue streams
3. Geopolitical and Economic Factors
Global Political Instability (2019-2023): Geopolitical tensions, including trade wars and changes in international relations, affected global supply chains and market access, impacting Novatti's international operations.
Rising Inflation and Interest Rates (2021-2023): Global economic pressures, including inflation and rising interest rates, created a challenging environment for securing investments and managing operational costs effectively.
NOV Price at posting:
5.2¢ Sentiment: Buy Disclosure: Held
(20min delay)