With 240k odd users HC made 500k for FY15. That's roughly $2 per user for the year. If they charged $5/month but lost 200k of those subscribes they'd make $60*40,000 which is 2.4mil. Seems good but then ad revenue would drop from 2mil to maybe 400k. And you don't end up far ahead. Also the current P/E ratio assuming the 22mil market cap in the prospectus and 500k earnings is over 40. What gives for such a high asking price?
