IKE - Ike GPS.com

[Rawz]

Lucky they have a relatively strong balance sheet and dont need to raise capital.

[Cobber]

looking at the market depth you cant sell..

just read the preso. You don't get the sense they are confident in the short term but very confident in the long term

They have always been confident in the long term!

Their revenue is like a yo-yo.

[Rawz]

IKE setting a new 52week low today. Trading 3x FY23 revenue so in today’s environment it’s a bit expensive still. Could halve from here even.

All good thou, on the next bull run it can trade 5x revenue no sweat

[Baa_Baa]

IKE setting a new 52week low today. Trading 3x FY23 revenue so in today’s environment it’s a bit expensive still. Could halve from here even.

All good thou, on the next bull run it can trade 5x revenue no sweat

That's a bit depressing, already trading 57% down from the highs and you reckon it could go down to the all time low in 2017! Doubt it, but TA says definitely not a buy right now though.

[Rawz]

That's a bit depressing, already trading 57% down from the highs and you reckon it could go down to the all time low in 2017! Doubt it, but TA says definitely not a buy right now though.

The trouble is half year was 32% behind pcp so IKE are going to have to have a huge H2 just to be on par with FY23. And based on H1 commentary I do not sense they are confident in this.

So potentially it’s trading at an even loftier forward revenue multiple than their backwards.

Hence the potential for a re-rate down to 1.5x revenue. Only those saas companies that grown revenue double digits deserve 3x + multiples

[sb9]

IKE setting a new 52week low today. Trading 3x FY23 revenue so in today’s environment it’s a bit expensive still. Could halve from here even.

All good thou, on the next bull run it can trade 5x revenue no sweat

Looking very cheap for someone to gobble up especially from the US, chump change for any of those MNCs they service...

[Baa_Baa]

The trouble is half year was 32% behind pcp so IKE are going to have to have a huge H2 just to be on par with FY23. And based on H1 commentary I do not sense they are confident in this.

So potentially it’s trading at an even loftier forward revenue multiple than their backwards.

Hence the potential for a re-rate down to 1.5x revenue. Only those saas companies that grown revenue double digits deserve 3x + multiples

Fair enough, they can't control their customers or their rollouts, so seems reasonable to temper confidence in their commentary. But that said, the rollouts will happen and the revenue will follow, be it this or next quarter or the one after that. Those deals/revenues are locked in, it's just the timing that's in question.

So as the market re-rates IKE down on uncertainty of when the revenue multiple expands, it's just another opportunity to get some while the short termers unload on the uncertainty of when it will happen. Anyway, TA suggests backing up the truck isn't a good idea right now, but when it does, imo it will re-rate upwards very quickly and one needs to be positioned for it.

[Sideshow Bob]

https://www.nzx.com/announcements/422572

Highlights for the half year, with results in line with the performance update of 26 October 2023:
 Revenue 1H FY24 of ~$10.5m (-32% vs pcp).
 Subscription revenue was ~$5.1m (+24% vs pcp).
 Transaction revenue was ~$3.7m (-60% vs pcp).
 Gross margin 1H FY24 of ~$6.2m (-24% vs pcp), reflected in the revenue mix above.
 Gross margin percentage 1H FY24 of ~59% (up from pcp of 53%).
 Net loss was ~ -$6.9m (pcp $1.1m profit). This change was primarily due to:
 Gross margin of $6.2M (-~$2m vs pcp)
 Foreign exchange and asset fair value movements of $0.3m (-~$4.7M vs pcp).
 Cash and receivables at 30 September 2023 of ~$16.3m, comprised of $10.2m cash and $6.1m receivables, with payables of $1.2m and no debt.

[Cobber]

https://www.nzx.com/announcements/422572

Highlights for the half year, with results in line with the performance update of 26 October 2023:
 Revenue 1H FY24 of ~$10.5m (-32% vs pcp).
 Subscription revenue was ~$5.1m (+24% vs pcp).
 Transaction revenue was ~$3.7m (-60% vs pcp).
 Gross margin 1H FY24 of ~$6.2m (-24% vs pcp), reflected in the revenue mix above.
 Gross margin percentage 1H FY24 of ~59% (up from pcp of 53%).
 Net loss was ~ -$6.9m (pcp $1.1m profit). This change was primarily due to:
 Gross margin of $6.2M (-~$2m vs pcp)
 Foreign exchange and asset fair value movements of $0.3m (-~$4.7M vs pcp).
 Cash and receivables at 30 September 2023 of ~$16.3m, comprised of $10.2m cash and $6.1m receivables, with payables of $1.2m and no debt.

$7 million loss in 6 months. Wonder how long until they will be back with their cap out needing more.

[Rawz]

see ya at 20 cents