hilldweller
Welcome aboard. I think $1 by year end seems reasonable , but the real growth will come next year when RDF can finally announce a profit and the market starts to understand the annuity type revenue coming from the US which will just grow and grow with the majority of costs being fixed.
As I may have said before the huge driver for Revenue is Camera installs in the US. This process really only got into full swing in July. From ASX releases they installed 37 jan to june, and 24 july and August and I would suspect the average will now probably be around 15 a month and should stay at that rate for a while. I suspect they may be limited to around a max of 18 as they currently only have 2 installation crews. To go higher they need to add another crew. I dont expect this to happen for a while as they only just got their second crew up in June, Hence the historical install rates. The other factor is that you have to allow 2 to 3 months from the time a camera is installed to the time revenue is generated. These 2 factors were clear reasons why a significant improvement in operating profit was not expected in the second half just announced. For the current year though revenues and camera installs were flowing very nicely as at June 30.
I personally dont expect to sell any of my shares in the next 2 years
hilldweller Welcome aboard. I think $1 by year end seems...
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