Renewals in the FY'24 H1 were strong generating more than 90% of...

Renewals in the FY'24 H1 were strong generating more than 90% of revenue. The flip side to this is much lower new business. That concerns me however I do know that the US lost its Senior Manager Rodney Foreman who left and went to another IT company. He has since been replaced however I an certain this unplanned personel change would have disrupted any underlying new sales momentum.

What gives me confidence is that renewals are strong and with such a blue chip client list it is actually an endorsement of the product suite. The other comforting factor is that cash continues to be generated.

I believe the cash generation and the incredibly low SP makes IRI ripe for a re-rate once the H1 results are published and understood.

If you take away the 21m of cash at bank it leaves IRI with an EV of just $32m. Based on annual FCF generation of about $6m (my best estimate) it gives a EV/FCF ratio of just 5.3x and that is very low. Let's see what happens later this week.

Cheers......D