Concerns re: costs up and delayed revenue

  1. 3,456 Posts.
    lightbulb Created with Sketch. 947
    I note Class' website is advertising free software until 1/1/19 for new users. I strongly support an aggressive strategy to gain market share whilst your customers are still playing catch-up technically .... but I wonder if the market has factored in this delay in revenue + increase in costs and how long it may continue until EBITDA starts increasing again (my reading of the 1H results/forecast was for flat EBITDA in 2H). With continued discounting and increasing head count/marketing, maybe FY19 EBITDA won't increase either?

    I like Class as a business a lot - but concerned that costs up coupled with delayed revenue may put downward pressure on the share price and maybe a big fall when their results are published.

    Others thoughts?
 
Add to My Watchlist
What is My Watchlist?
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.

Currently unlisted public company.

arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.