TSK - TASK Group Holdings

[Greekwatchdog]

Nice to see good volume going thru the ASX and NZX for a change.

[sb9]

Nice to see good volume going thru the ASX and NZX for a change.

Yes. ASX volumes picked up significantly. Hopefully it’ll draw attention of one or two other midcap funds over there.

Can’t wait for the FY results to be out next month. I’m sure Dan has another little surprise or two by then.

[Greekwatchdog]

4th Quarter update




Highlights
• FY23 revenue and adjusted EBITDA guidance exceeded, subject to external audit
- FY23 total revenue of approximately $65 million (FY23 Guidance: $59.0 – 62.0 million).
- FY23 adjusted EBITDA of approximately $12 million (FY23 Guidance: $8.5 – 9.5 million).
• 4Q23 cash from operating activities of $7.4 million (3Q23: $0.5 million)
• Strong cash position of $28.3 million at end of March 2023, up $6.8 million on prior quarter
• Acquired software IP to support the development and commercialisation of TASK payments capability


CEO Commentary
Commenting on the performance for the March 2023 quarter, CEO Dan Houden said:
“The Group continues to make significant progress in feature development and performance enhancement across all elements of our platforms. These initiatives have directly benefitted our existing clients and position the business to extend its reach and customer base.


“We have also demonstrated our commitment to improving the profitability profile of the business, and have exceeded our revenue and EBITDA guidance for FY23 while also growing our cash balance.


“Our confidence in the trajectory of the business as we exit FY23 enables leadership to make targeted and considered investments in growing our talent base and extending the platform features and functionality to ensure we grow strongly.”


FY23 Guidance and Cashflow Commentary
As reported in its trading update on 20 April 2023, the Group expects to report total revenue of approximately $65 million and adjusted EBITDA of approximately $12 million, exceeding the guidance range previously provided of $59.0 – 62.0 million in revenue and adjusted EBITDA between $8.5 – 9.5 million for full year ended 31 March 2023 (FY23). The results are provisional and remain subject to external audit.


The Group generated cash from operating activities of $7.4 million in the quarter ended 31 March 2023, compared with $0.5 million in the previous quarter. Included in these cash flow were payments of $0.08 million in fees to TASK’s Directors and $0.1 million to rent the Group’s Australian office space from related party associates.


As at 31 March 2023, the Group’s cash position was $28.3 million (31 December 2022: $21.6 million).


Business Update
The Group has made significant progress during the quarter, particularly in the ongoing development of TASK’s transactional management and customer engagement platforms, which strengthens its position to service existing and prospective customers going forward. The Group has also focused on advancing a number of strategic initiatives to maintain high levels of operational performance.


The following developments occurred during the quarter:


Customers & Markets
• The Plexure division continues to build on its record breaking Q3 FY23 performance, which was achieved supporting McDonald’s FIFA World Cup and Advent global market campaigns, delivering further increases in the monthly number of active users in the 4Q23 period
• We have made significant hires in the USA and continue to hire aggressively to support our growth globally.
• The TASK division commenced deployments for Retail Food Group (Crust - pizza segment)


Product & Platform
• TASK’s new white label mobile order and pay became fully available in app stores in 4Q23, including features such as Google and Apple Pay, Loyalty sign up, Member Quick Ordering and Order ahead, location search and the ability to set Favourite stores, whilst also enabling customers to process complex item modifications and order from Virtual Brands.
• A new version of the TASK Online Ordering is now available (TOLO7), which enables a range of virtual location management tools, plus added mobile responsive views, active order module support and improvements in more accurate location searches based on order types.
• Development work for the upcoming April 2023 TASK platform release (23.04) progressed smoothly during the 4Q23 period, with integration additions or upgrades including Doordash marketplace, Aristocrat API, Clover Payments, Uber Eats marketplace and Omnivore integration for Kiosks. In addition, security enhancement work for the retirement of V1 and V2 of API was completed.
• Post period end, TASK acquired software IP to support the development and commercialisation of TASK's payments capability over the medium term.

[Muse]

Great cashflow.

Enterprise value / FCF looks modest.

[Baa_Baa]

Great cashflow.

Enterprise value / FCF looks modest.

Amazing turnaround from basically Plexure going down the gurgler! McD's profitable, 5 year contract, massive turnaround. Converted a lot of TASK pipeline and re-contracted existing large customers.

Only question in my mind is whether they are net-profitable, that'll be a question for the results presentation.

[Ggcc]

Should’ve, could’ve, would’ve bought more shares comes to my mind. Converted to NZD, current share price should be about 44 cents.

[sb9]

Amazing turnaround from basically Plexure going down the gurgler! McD's profitable, 5 year contract, massive turnaround. Converted a lot of TASK pipeline and re-contracted existing large customers.

Only question in my mind is whether they are net-profitable, that'll be a question for the results presentation.

My pick to be a small profit or close to break even and outlook commentary will set price course for this year. Might hit a buck by end of this year.

[Checkmate]

This morning i'm seeing TSK.AX quoted at $0.40 (up c.9%) on ASX but TSK.NZ is quoted $0.39 NZD on the NZX. What's going on?

[Ggcc]

This morning i'm seeing TSK.AX quoted at $0.40 (up c.9%) on ASX but TSK.NZ is quoted $0.39 NZD on the NZX. What's going on?

Nothing will move, until the true numbers are revealed later this month.

[Curly]

This morning i'm seeing TSK.AX quoted at $0.40 (up c.9%) on ASX but TSK.NZ is quoted $0.39 NZD on the NZX. What's going on?

You’re right, NZ price should be approximately 2 cents dearer than the Aust price to be on a par. Buying opportunity on NZX? Result due 30 May.
Bring it on.