Have been picking my brain re the PMOC/REVENUE ratio since my...

Have been picking my brain re the PMOC/REVENUE ratio since my post.

I have an idea why PMOC may have been elevated this Q- and they likely pertain to 2 one off costs.

I previously wrote that elevated pmoc might be due to question marks re Partons operating inefficiently since it was the first full quarter of integration- but rereading the quarterly report- Dean specifies a number of times that Partons is releasing synergies/ increasing efficiency within the ecosystem as a whole- so empirically the idea of an inefficient parton had to be scrubbed.

1. CAP EX- During webinar and in the quarterly- Dean mentioned several cap ex projects would be initiated to rejuvenate partons and bring it into the future; addition of solar, upgrade of fleet, investigation of autonomous/ai tech.. Since partons was just settled the prior quarter- it does seem likely that cap ex spend would start to be seen in the following Q2FY22 report.
2. Payment to blue ocean equities likely paid in Q2FY22 when the raising was completed. $0.7MM was the fee- and it was likely tallied into PMOC- as it didn't get added to admin as admin total was only $0.5MM.

Just my guess- end of day without spend breakdown- it's quite hard to use ratios to evaluate a startup as there are so many random costs associated with building out the business- and we are still very much a startup. Good thing is that things seem to all be trending in the right direction, 3/4 cost ratios are looking very very reassuring- and im confident PMOC has random cap ex bundled into it.