I think you are right SRR. It is intriguing how these stocks...

I think you are right SRR. It is intriguing how these stocks that transform during a tech bear market can be completely overlooked. It's like the tree falling in the forest but no one sees it. Don't despair though, leaving aside a bit of illiquid trading, there's no downside risk at the current valuation and it will rerate, so perfect asymmetrical investment.

Using the second half guidance, which is the run rate post restructuring the MacDonald's contract, EBITDA is $14m annualised. EV is $100m (Market Cap NZ$124m less $24m cash) so trading about 7x EBITDA. That's at least half price given its mainly recurring income with limited capex and growing at 25pc +. (Trading 1.7x revenue is another way to look at it).

People use 'transformation" a bit loosely but in the last 15 months this is one of the most tangible turnarounds you could imagine:

- Marged with Task Software (Oct 21). Task Execs take over the management take over enlarged Group.
- $8m cost out
- Plexure's main contract with Macdonald's repriced to profitability.
- Task itself gone through a tipping point with limited growth pre-merger to recurring revenue growing 25% and overall revenue 50%.
- Task signed first contract using full software platform Oct 22 (Starbucks Australia).
- From - $-4.6m EBITDA FY21 to -$12.9m FY22 to +$9m EBITDA FY23 (March) guidance or $14m run rate as above

Like many of the best stories, the company's performance has exceeded their own expectations with dramatic guidance upgrades along the way.