Ouch - this isn't good. She is saying cash flow for the 2nd...

Ouch - this isn't good. She is saying cash flow for the 2nd quarter (May-Jul) will be revenue from the 4th quarter (Nov-Jan), which was very minimal according to the FY report that was released in March. It showed revenue for the year ended 31 Jan 2016 was $412,629. So actual revenue for the 4th quarter is probably $100k max.

Those $4.2m in bookings in the 4th quarter won't have been converted into revenue until the last 2-3 months as revenue isn't recognised until after the client has used the platform for that particular month and cash is received 90 days afterwards, therefore cash won't be received in the 2nd quarter, although it will add to revenue in the 2nd quarter.

This is why she is saying the report at the end of this month which has cash receipts is "meaningless" and the HY report in September which has revenue figures will "have more meaning".

This will bounce in the Nov quarterly when cash flow shows a huge improvement. Need to ride out the storm in the meantime.