I hear you…and we hear @accountsdept……over and over and over and…. but these same conclusions were reached a long time ago. Since then, the problems have been dealt with. Yes, the burn was high. Now it isn’t. Yes there were people on the payroll not pulling there weight. They’ve moved on. Yes there were some large deals booked that consumed too much working capital with too low a gross margin. That’s stopped. Yes there were some contracts that consumed more resources than they were worth. They’ve been exited.
These are all too common artefacts of businesses incentivised to grow fast….which is most ASX tech companies. Punters of micro cap tech stocks don’t like waste, love profit but don’t like slow growing, small businesses either. In other words we need to build a fast growing tech business from scratch that requires no working capital, delivers a strong profit and creates free cash flow. That’s not easy to deliver. I’d be keen to see one on the asx so please post the tickers for me and let’s analyse them together. Seriously. I’m keen to learn and it would be a far better of use of our time to debate the future strategy than repost (and make me reply) to the same negative rhetoric over and over and over again as if it’s some amazing commercial revelation.
While you do that homework, I’ll get on with helping Nasser and the team get NNG firing.
NNG Price at posting:
2.0¢ Sentiment: Buy Disclosure: Held
(20min delay)