As per Joanna's New York Interview in March 2016, she was upbeat about the $4.2m in new bookings, but also highlighting that they now have an offering for small businesses that have 1 to 5,000 employees. This new offering was also detailed in the 31 Jan Annual Report "In late FY 2015, 1-Page launched an automated outbound marketing effort to an identified group of 7,000 SMB companies that fit our target criteria for company size, revenue, and current open roles. This creates an additional revenue stream for the Company that will expand throughout FY 2016".
The Jan 2016 Quarterly Report confirmed that "New bookings at the end January 31, 2016 increased 200% to A$4.2M from A$1.4M at the end of November 2015. ● The number of annual enterprise contracts at the end of Q4 were 24, also a 200% increase over the quarter. ● Of the 24 annual contracts signed, five were valued at over A$300,000 each, two of which had annual value of over A$500,000 each. Annual contracts contributed to 58% of new bookings. ● From Q3 to Q4 new bookings grew by over 400%, with new bookings in January of over A$2M."
The 31 Jan 2016 Annual Report clarified the financial meaning of this in a little more detail "We define new bookings as our annualised contract value, recognised as revenue on a straight-line basis over the term of the contract. We recognise a new booking upon the execution of a contract. New bookings are indicative of revenue that will be recognised and cash receipts that will be collected in future periods. Revenues lag new bookings by one to three months due to a customer deployment period, which the Company believes is typical for enterprise customers to ensure customer success. Cash receipts will lag revenues by another one to three months due to the typical payment terms of our clients."
These lags mean that expected cash receipts in the July Quarter could possibly be in the range of $0.5m to $1m.
The Nov 2015 Report gave a little more insight into their pricing model "1-Page Curated Talent Pools are created for an enterprise for any open role within the organisation. 1-Page charges a fixed fee typically starting at US$1,000 per pool, per open role, with an agreed minimum number of pools (typically 10) in the first three months, rolling automatically onto a higher amount of pools (typically 25) in the fourth month of the annual contract. The minimum expected annual contract size of the average enterprise with 1,000 employees is expected to be US$300,000. The minimum annual contract is only for an estimated 25 open roles per month, demonstrating the significant scale opportunity when clients request additional Curated Talent Pools. The accelerated go-to-market strategy has replaced the previous model of a Stage 1 contract (3-5 months), which would be renewed into a Stage 2 contract (12months). The reception from pipeline and existing clients has been extremely positive. 1-Page has seen significant traction with an existing client, that has 10,000 employees that is already requesting well above the minimum 25 pools a month."
The Apr 2016 Quarterly Report built on this story as follows "The Company is introducing the latest version of its Sourcing Solution (“Source 3.0”) to customers as of end of May. The latest version of the Sourcing Solution shortens the customer deployment and onboarding time, while enabling close to immediate revenue recognition. With the deployment of Source 3.0 over Q2, the Company expects both new bookings and revenue to accelerate over the coming quarter. At the same time, the Company is focused on reducing operating expenses and achieving break even." "This new version of the Sourcing Solution offers a number of enhancements and improvements for customers, including: • Shortening the time required to deploy and onboard new clients from months to days. • Shortening the time required to deliver curated pools to clients from days to minutes, at large scale. • Enabling enterprise clients to request and receive additional pools seamlessly. • Allowing 1-Page to bill clients up front and recognize revenue without a meaningful lag, therefore significantly shortening the time to recognize revenue and shortening the payment cycle." "Lastly, the Company believes in prudent cash management and is reviewing operating expenses (including executive compensation) with a plan to reduce monthly operating costs to below US$1MM within Q2. With the expected momentum in new bookings and revenue recognition and the focus on prudent management of operating expenses, the Company is focused on achieving break-even and profitability.
This is the story I bought into, and I expect the story to unfold a little more in the forthcoming Quarterly report. However, there will probably be enough fuel in there to fire both the believers, and the non-believers, and this rather boisterous HC forum will continue.
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