IKE - Ike GPS.com

[Snow Leopard]

Up nearly 4% on ASX.
They must like the bit about quintuple subscription revenue.

[winner69]

Professor Damodaran says that the power of story drives corporate value, adding substance to numbers

So IKE’s story has a lot of value

[justakiwi]

If you were still a holder, you could have submitted that question, and maybe got an answer at this afternoon's webinar.

Anyways what does the revenue growth look like adding the smaller customers? 1 customer a week, they need to tell us what that means in $$$

[Rawz]

Looks like a work from home day for the IKE boys. Home wifi not very good thou lol

[justakiwi]

As I said before, I still believe in this company, but I have to say, it pisses me off that they pick and choose which Q&A to respond to, in these webinars. I think I have submitted a question every single time, and not once have they ever answered it. That is something that disappoints me greatly. I could understand it if they were inundated with questions, but they were not.

On a more positive note, I am not too concerned about the drop in transaction revenue. The explanation given is acceptable when one understands that the transaction revenue is related to customers' operations, rather than to IKE's. If there are hold ups or problems with customer A's project at any given time, that is obviously going to impact on the "per asset" transactions, and is really out of IKE's control. If it was subscription revenue that was down, that would be an entirely different matter, and a major concern.

[Forrestdun]

As I said before, I still believe in this company, but I have to say, it pisses me off that they pick and choose which Q&A to respond to, in these webinars. I think I have submitted a question every single time, and not once have they ever answered it. That is something that disappoints me greatly. I could understand it if they were inundated with questions, but they were not.

On a more positive note, I am not too concerned about the drop in transaction revenue. The explanation given is acceptable when one understands that the transaction revenue is related to customers' operations, rather than to IKE's. If there are hold ups or problems with customer A's project at any given time, that is obviously going to impact on the "per asset" transactions, and is really out of IKE's control. If it was subscription revenue that was down, that would be an entirely different matter, and a major concern.

What was the question that you asked?

[justakiwi]

I asked the question Rawz posted above. But this isn’t the first time they have simply ignored my questions. If you provide a Q&A feature in a webinar, you should have the decency to address all questions. If there are a lot of questions and no time to cover them then, they should be answered via email later. This is not just an IKE issue. I have experienced the same thing with other companies.

What was the question that you asked?

[Rawz]

I thought the call was very positive and should be onwards and upwards from here. Transaction revenue is going to "materially" increase over the next 12-24 months.

Each customer pays $6,345 per quarter in subscription revenue.
Hardware revenue is hard to calc but my guess is about $50,000 per new customer.

So 1 new customer a week = 13 a quarter. $56,345 per customer x 13 new customers = $736k new revenue each quarter.

Then there is the transaction revenue which is a bit all over the place.

IKE (like a lot of other service companies) need to figure out how to charge more for their services. I think they hinted at it on the call. Much much higher subscription revenue is the key and offset it for the customers with lower transaction fees. then revenue growth wont be so lumpy and followers like me wont get grumpy

[Nor]

What were the
"the engineering practices of an underlying utility where two larger IKE
customers are building fiber networks"
which depressed transaction revenue? Were they doing something sneaky?

[justakiwi]

Who knows, but whatever it was, that is not IKE’s information to share. My guess is that whatever the issue was, it impacted on the customers’ projects significantly, which resulted in less “assets” being processed than expected. Transaction income = assets processed using the IKE platform (poles).

Completely out of IKE’s control. It is good to know however, that these customers have provided reassurances that the issues have been resolved, and it will be business as usual from here on. That’s my take on it anyway.

What were the
"the engineering practices of an underlying utility where two larger IKE
customers are building fiber networks"
which depressed transaction revenue? Were they doing something sneaky?