the other cautionary note i would make is they twice mentioned...

the other cautionary note i would make is they twice mentioned "focused acquisition strategy" and that they will inform of "as these potential acquisitions develop further".

This is after acquiring Sonnet, now there is a litigation case in play. Sonnet was the dumper of their shares they received as part of the deal.

So whatever value was placed on Sonnet, now appears it ain't much.

Over the past 3 quarters receipts have increased by 12%, staff cost increased by 15%, working capital increased by 39%, yet EBITDA Q1 was negative $706k compared to Q4 positive $88k.

Then to claim margin of 11% as continuing to improve when the previous quarter was 15%. Then to really screw things up they claim YTD margin as 19%.

Previously they mentioned they have lost IBM ($1.8mil pa) this was a Sonnet customer. The latest note states that they are culling Jetstar as its low margin, this too was a Sonnet customer.

They mentioned they are reviewing all contracts associated with the Connxion Data acquisition. So one would expect more rotten apples to appear.