Cannacord Update, page-11

To attempt to add something to the discussion, I've been following this since it floated. I admit I was amazed to see it go as high as it did and I still think it is significantly overvalued for the risk involved.

Why do I think this? Simple - they aren't making any profit and even for a company in the growth phase I am not convinced they actually have a profitable business model. Have a look at the half year report for instance. Revenue increased from $1 million to $2.8 million. That's great, but their LOSS over the same period increased from -$1 million to -$6.6 million. Basic maths will tell you than means they had to spend a whopping additional $7.4 million to earn that additional $1.8 million in revenue.

At what point does management expect to grow revenue at a faster rate than expenses? All I see is expenditure growth outstripping revenue growth. When will it turn?

I still check in with cv1 every now and then because it may reach a point where they can turn it into a profitable business and it may then be worth looking at further but for now I'm not convinced. The financials say it all.