Hi all, This in from BP... "Positive 1QFY17 trading update...

Hi all,

This in from BP...

"Positive 1QFY17 trading update

nearmap provided a 1QFY17 trading update which was positive and showed continued revenue growth in both the Australian and US businesses. The key points were:
 Australian revenue up strongly: 1QFY17 subscription revenue in the Australian business increased 32% to $8.6m and was driven by new customer additions as well as increased revenue with existing customers.
 US revenue continues to build: Subscription revenue in the US business grew
from $0.4m in 4QFY16 to $0.6m in 1QFY17 and the annualised contract value
(ACV) grew from US$1.5m in 4QFY16 to US$2.3m in 1QFY17. The US business
now has over 400 customers.
The company did not provide any update on earnings in 1QFY17 but did say it
continues to have disciplined cost management in Australia while there is a growingconversion of leads to sales in the US.

EPS upgrades of 4-10%
We do not forecast quarterly revenue for nearmap but the 1QFY17 revenue for both the Australian and US businesses were generally consistent with our 1HFY17 and FY17 revenue forecasts. It is clear, however, that momentum is continuing to build in both businesses so we have modestly increased our revenue forecasts and this has resulted in EPS upgrades in FY17, FY18 and FY19 of 4%, 7% and 10% respectively.

Investment view: Maintain HOLD, PT up 42% to $0.85
We maintain our HOLD recommendation on nearmap. We have updated each
valuation methodology we use in the determination of our price target for the earnings changes as well as market movements and the time creep. We have also removed the 15% discount we applied in the EV/EBITDA valuation and reduced the WACC from 12.7% to 11.5% in the DCF. The net result is a 42% increase in our PT from $0.60 to $0.85 which is a modest discount to the share price and supports a HOLD."

Getting paid a lot to check out the rear view mirror!

Should start seeing some other brokers picking up coverage on this stock soon.

Cheers