TSK - TASK Group Holdings

[Cadalac123]

Which part of PLX making a LOSS in the second half, with more costs - especially staff, to pile on in F2021 with the McD contract do you not get?

And well done to you - as happy as I am with my Serko shares at 29c too - but what about the ones sucked in by the self-confessed rampers on this stock & thread?

To be fair balance why would having a net profit at this stage of their transformation even matter ? They are literally in their expansion phase, I would rather seem then employ capital on expansion to facilitate platform growth and stability and new product mix

[Beginnerguy]

They have most of their technology deployed in Japan. Possibly the NZ contract doesn't require mobile order and pay and or geo fencing. Also, you're thinking purely from a front-end perspective. The data they glean from the backend is the key as it's super power for Mcd's in creating personalised marketing campaigns. The secret to their business is in the data they capture on purchases.

[Nigelk]

[QUOTE=Balance;816820]Which part of PLX making a LOSS in the second half, with more costs - especially staff, to pile on in F2021 with the McD contract do you not get?

SaaS companies generally add staff/cost to attract new clients, not support existing ones. Unless the client is paying for those enhancements.

[Beginnerguy]

The CEO also said in an article with the Herald I read that their customers are doubling down on their efforts. I imagine this is giving PLX more business. Also he'll be making a forecast in a few weeks so let's see then.

They made it clear last year that FY20 and FY21 were going to be expansion years with 'investment impacting financial results'. Thus far they have delivered mostly with they're said, although I'd like to see more customers onboarded to reduce reliance on Mcd's.

[Brain]

Plx currently have 170m users and most of them are probably associated with McDonalds.I am a shareholder average buy in @ 32 c so I am very happy with the current share price. I sold half of my holding over the last few months. Best to take some profits. I am cautious and will continue to be cautious with this share until I see some decent revenue from non McDonalds customers. White Castle is a relative minnow. Indonesia is a possibility for decent growth in users. PLX has had a lot of difficulty in selling their services and I am puzzled by that as clearly McDonalds think it is very good and that in itself should be a good selling point.

[Cadalac123]

I'm amazed the 50% revenue growth didn't break the previous resistance achieved on the McDonalds investment alone. Two new contracts since then. Wonder if it's just heavy profit taking.. or the capital raise point scaring some people off

[Checkmate]

I'm amazed the 50% revenue growth didn't break the previous resistance achieved on the McDonalds investment alone. Two new contracts since then. Wonder if it's just heavy profit taking.. or the capital raise point scaring some people off

Maybe profit taking and worry of Covid, and I think a lot of people believe there’s a lot of competitors out there in the market for CRM, I listened to Craig Herb today in his herald interview and he said that same thing and that there’s only 5 companies really that they benchmark (Didn’t say which companies but I can guess a few).
Anyway, he said they don’t really have the same product as Plexure and he thinks Plexures product is really quite “special”. So that was nice.

I guess overall market sentiment and fear of Economic downturn is keeping it below $1..

[Beginnerguy]

Plx currently have 170m users and most of them are probably associated with McDonalds.I am a shareholder average buy in @ 32 c so I am very happy with the current share price. I sold half of my holding over the last few months. Best to take some profits. I am cautious and will continue to be cautious with this share until I see some decent revenue from non McDonalds customers. White Castle is a relative minnow. Indonesia is a possibility for decent growth in users. PLX has had a lot of difficulty in selling their services and I am puzzled by that as clearly McDonalds think it is very good and that in itself should be a good selling point.

Fair enough, they should've signed up more companies I agree. But it takes time for their deals to come through. They are longer sales cycle type deals, not just your ordinary business. For example they were speaking with White Castle from at least March (as it was before Mcd's invested) and only announced it in July.

You have to remember the deal precluded Plexure from working with other bigger quick service rivals and they said discussions had been quite advanced with a few of Mcd's competitors. At that stage they were focusing on the quick service industry, so we can forgive them for that.

Also their sales force had been on the light side until now it seems, so possibly they've just been busy servicing Mcd's and didn't have much time to bring in new customers. However the Super Indo could be promising. Here's hoping they sign up more supermarket customers.

[Justin]

did he mentioned whats the special？

[Checkmate]

Yup, I reckon the worm turned in 2019, it is now a very good looking company (finally, after years of bulls*#t under VMob branding and crap management). I guess there was only one way to go though?

I reckon you guys should have a "Very optimistic" scenario. It seems like all your scenarios have an "organic growth" component. But there is a chance they onboard some more large customers this year and double their numbers. Their offering get's more and more compelling as their tech improves. Their tech could be huge for the marketing departments of any large companies that aren't quite there yet. Hence they are a very attractive proposition for a number of large companies trying to sell their product in a world where consumers are suddenly watching their spending closely.

Balance's comments re customers are a distraction and reflect his bias.

Sure PLX may have been strongly linked to McD customers at one stage. But this will change as other clients grow and PLX's contracts evolve. Here's some pertinent comment from the just released AR.

The Company’s revenue from contracts with customers of $25.251m does not directly correlate to our user numbers. This is because over 87% of the Company’s revenue from contracts with customers is linked to contracts that were signed in 2014 with pricing mainly based on store numbers. Only a small percentage of FY20 revenue from contracts with customers is linked to consumer usage. In 2019, this pricing model was changed with new customer contracts being based on digital adoption, which will mean that as consumer usage grows so too will the Company’s revenue from contracts with customers.

From this we can deduce that future revenues will more accurately reflect customer and usage numbers. Plus with user numbers set to increase from 187mill to 500 mill, there will be increased benefits of scale.

comvita comes to mind , balance rubbished it big time and like plx is one of the best performers this year.

did he mentioned whats the special？

No he just grinned when he said it.. haha.