@mal85 as you know I typically like to evaluate FRX's cashflow...

@mal85 as you know I typically like to evaluate FRX's cashflow statements and use the financial reports to look for possible red herrings, such as Trade payables.

In this instance, I think its also important to look at the composition of their liabilities. Payables have only increased by $1m, which with a fast growing negative working capital model isn't much given revenues have increased by ~$2.7m.

Deferred revenue has grown substantially & this is largely due to growth in Corporate Sales. This is important from a cash flow perspective because although it's a liability, in reality it is inventory sitting with a partner. The liability is highly likely to be converted into a receipt or revenue at a multiple during the current quarter (or soon anyway).

The other things that stands out to me is the huge level of inventory they have shifted during the year. That is a lot of microchips/SIMs/eSims!

Also their wages, how can they be reducing wages with this growth?!

Unfortunately I was correct about margins. Unavoidable, but has obviously led to massive growth. I recall @praetorian commenting a while back about their pricing, but they are seriously competitive now. The other factor that may be worth considering is they were trying to flog iPhones last Q. I don't think this was too successful (they have since ceased), but this may also have had a small impact on GM.

I was also spot on regarding their reticence to provide any detail. In fact. they went beyond my expectation, removing segment reporting altogether!

They did, however drop a nice little tidbit regarding Aigle Azur. I try to keep a reasonable handle on their socials, but missed this one. I never heard of them, apparently France's 2nd biggest airline? Anyway seem to be a free SIM handout similar to Scoot, Air Asia & MAS. It would also go a long way to explaining the increases in numbers seen in Europe, though not the UK as I don't believe they fly there? Anyway, even though not as relevant, I thought I'd mention this as no-one else has mentioned a deal with them here previously.

Overall impression is they are almost now running as a private company. With capital needs thus far being met by wealthy Malaysian business types, and a tiny free float, I guess they don't view that they need to 'woo' the market? Or perhaps this would provide too much competitive intel to competitors (as had been hinted at previously by their PR rep).

Interestingly their PR rep has disappeared. So to has @brendankok?