Xro - xero

[Baa_Baa]

Up more than a $1 today though so maybe the "one large seller" did push the price down.

There were a few small trades seemingly capping the price earlier, but it's off now. http://stocknessmonster.com/stock-trades?S=XRO&E=ASX

Obviously profit doesn't matter:

Attachment 7317

Source: NZ Herald http://www.nzherald.co.nz/business/n...ectid=11437425

[Daytr]

No we agree, as he has no idea on how long or if they will actually achieve it.
Subtle difference to what I was suggesting. i.e. they have a plan, but just no idea on when or really if it will be achieved.
In some ways its understandable, but increasing costs in the hope that it is achievable is not.
If it was Rod knocking on everyone's door selling product then I'm sure they would have 1M customers by now, because there is no denying he's a great salesman.

[winner69]

I reckon he have 3-4million customers by 2020 .... the difference between a 80% growth decay rate and a 70% one (calculated by geography with a one time subjective boost in NA in 2016)

[kizame]

Soooo... If it's not certain if and when the company will make a profit,this makes the company more of a risk than it has been in the past,as time goes by runs are either scored or they aren't,and it seems at the moment when the company should be increasing the run rate,it is slowing down a bit.
This will follow 1 of two scenarios imop,

The first being that traction is slower in coming as attracting customers away from american institutions (intuit etc.)to a new kid on the block,is a battle.But starts to make gains as potential clients decide to give them a go. Short term problem.

That growth will trickle in at far below the potential,and not justify the share price(investors get frustrated) Longer term problem.

For me as an investment at lofty heights,the risk is way too high,my opinion is to trade out on the next upward wave,maybe another capital injection,and take a profit that way.With so much conjecture on here obviously there is a lot of doubt as to whether targets can be achieved,so make your money at the next opportunity.

[Daytr]

The other problem Kizame, as I have stated before I think they completely over estimated the tech savviness of the US small business market.
Cloud uptake trails significantly behind that of the likes of NZ & Australia is a very good indicator imo.
Many Mom & Pop businesses that have been past down & would have the old book register still!
They still have a large demand for cheques for instance.
I haven't written a cheque for probably 10 years!

[Baa_Baa]

Interesting the wee snippets that you have to be searching social media channels for rather than a getting clear unambiguous statement to investors from the CEO. I wonder if some growth investors won't mind just another couple of years of losses (ergo the USA fires up big time), but drag this quote out in two years if it turns out to be 3, or 5 years, or something else.
Attachment 7318

[winner69]

Rod likes his story about global denomination
http://www.fool.com.au/2015/04/27/is...al-domination/

While shareholders were clearly disappointed, I believe that selling out of a company posting 81% revenue growth per annum might indicate a bad case of short-sightedness.

Net losses doubled, sure, but revenue also almost doubled and Xero is clearly getting bang for its buck with its extra spending on staff and marketing.

Believe the story

[winner69]

In another Fool article

Promisingly, the New Zealand-based Software-as-a-Service (SaaS) company grew its gross profit margin to 70%, hinting that its ability to scale profits could have further to run.



Good stuff

Believe the story

[JamesST]

Any way you slice and dice this thing growth in the U.S. has been pathetic

I think the US numbers are quite encouraging. I was pleasantly surprised.

I suspect the CFO that quit did so because he didn't want his career sabotaged by a company failure.
Maybe as a highly competent CFO he just can't for the life of him see how they can make money...AKA peeked under the hood and thought the engine was f....d

Do you have any info on this? Or pure conjecture?

[mfd]

Little snippet from Rod's web chat the other day when asked when they'd make a profit:

"It is a hard question. I don't know. We could slow down and do it next year. We could delay it 5 years. As this year develops we can decide. The role of the board and I is to maximise long term value for shareholders."

Seems to me they're throwing the cash pile at the market so that when they do decide to make a profit it's chunky, rather than pulling back and making a modest profit next year. If you don't like the strategy or the risk involved, noone is forcing anyone to buy in.