Ann: Response to ASX Query re Appendix 4C, page-3

YodaObi
Q1/ A1 JULY 4C is past history to June 30 for CGA and subs ( incl licensee ). EXCEPT for the SEPT QUARTER estimated costs. They don’t appear unusual given the costs disclosed in the previous 4C’s.
The real question is, what assumptions have been made for future revenue ( ie. FUM ). Growth is needed to solve ongoing cash shortfall before the past and future borrowings are exhausted. Are they realistic given the lack of sales of institutional mandates in the recent past?
Q2/A2 is a statement of expectation – not a settled answer
Further
The prospectus 1 year ago had FUM at $672m, and a revenue run rate quarterly of approx. $1.35m. Recently announced June FUM was $752m.Gains in June alone appear to be approx $130m. (CQG and CTN /OC). That would seem to imply other FUM losses during the year of $50m (? Trust and/or client withdrawals, market and performance movements etc?)
4C for March also showed the quarter revenue approx equal to the 2016 prospectus running rate.
All these factors seem to imply revenue in the June quarter had not greatly changed from the March quarter, as the FUM gains occurred right at the end of the quarter. And some other revenue declined over 16/17.
The question the ASX did NOT ask was –How did the June quarter revenue increase by some $400k above the March quarter?

DYOR