@martincooper What I'm saying is that they shouldn't really be claiming that $3.7mil (or $3.9 mil) ASR as an asset at all, because it is only "expected revenue". Only an estimate; a potential.
What happens if, for some reason, they are unable to deliver on the Cushman and Wakefield deal? That expected revenue stream could conceivably just evaporate- and that could be roughly an 18% chunk of the $3.7 mil, if you look at the C & W announcement. Remember, there was no mention of the Cushman and Wakefield implementation in the half yearly. An oversight? Or have they not progressed with the onboarding and implementation yet? Do they have the capacity to implement this large deal? No word.
There is a statement on page 2 that because of increased sales activity in January and new deals being signed, the ASR has already increased to $3.9m. That's fine and dandy, but there needed to be an update on the progess of realising the potential revenue, ie in terms of the progress made with a large deal like the C & W deal.
This from the Cushman & Wakefield announcement from Dec 17th:
"BidEnergy Limited (ASX:BID) (“Bid” or “the company”
is pleased to announce that it has entered into afive year agreement with the Australian division of Cushman and Wakefield (“C&W”
to provide end toend energy spend lifecycle management services for the supply of electricity and natural gas, water andcouncil rates to its customers.
Onboarding and integration will now commence, with first revenues under the Agreement expected tocommence from March 2019 to be completed by 1 July 2019. Revenue generated by BID under theagreement is currently expected to contribute
18% to ASR once all the meters have been on-boarded."
So, where is the detail in the half yearly, released last week? Onboarding and integration completed? Revenue streams on track? Nothing, zip.
And this is an important indicator that they can turn potential revenue into actual revenue.
