Ann: Investor briefing - Full year results to 30 June 2018, page-47

First 47 Last

Share
Profile

Follow
austted

496 Posts.

10

24/08/18

17:24

Post #: 35166074
Share

Originally posted by jaluma ↑

This topic definetly doesn't need its own thread, I laughed when raised by the Motley Fool crew.
I don't fear a cap raise, largely because it won't happen now.
Nearmap were quite clear that the business will be cashflow positing in FY19.
They are often conservative, so I expect a small outgoing in H1 and then good positive cashflow in H2.
I really expect the US business to start spitting cash this year.
It sounds like they can dial up investment (capital light expansion in Canada anyone?) when they see fit, but they acknowledge most of the heavy lifting has been done and now largely steady growth in costs, which will be significantly exceed by revenue growth (and cash receipts).
In answering the questions on the conference call, I though Rob Newman answered it well that Patrick's role was on international expansion and that some of this might be "pre-funded" by specific customers who want us to jump into a particular geography.
Again, you could see Nearmap getting committed contracts signed for the Canada (capital light) expansion before flights take place. Once they have a certain amount of customers/revenue in place, then they start flying. Following that the imagery is ours to sell to everyone else.
Directors are also converting options, with $500k received today, so it is only onwards and upwards from here.

Expand

Jaluma

I believe you are spot on.

They have been conservatively run for many years and will continue to expand without going into debt mainly from cash flow. When they have the US market fully covered (and even before that you can bet they will be in Canada. Next probably the UK and Ireland and then the rest of the EU. If as they say US will be cash flow positive next year I read that as saying the US market is already pretty well covered.

Can't see why MF are suggesting a CR unless they suspect an accelerated entry into Europe.

NEA Price at posting: $1.78 Sentiment: Buy Disclosure: Held
2 Upvote

1 Great analysis

Reply

Top Stories

Week 47 Wrap: HotCopper users' most watched; Brent lifts on Putin's scary letter; RFK dents CSL

MIN

MinRes's Ellison knows he screwed up – for that reason, hunt for new Chair to be sped up

BTH

Bigtincan's Board backs Investcorp offer: Why a NASDAQ listing could be game-changing

PYC

Scientific conference spotlights PYC's work on blindness disease treatment

LPE

Sales growth pushes Lovisa's fortunes (and shares) upwards

GRL

To make modern missiles, you need 3D Printing. And in that gold rush, Amaero is selling shovels

HotCopper Highlights: Your most watched stocks for Week 47, 2024

SIG

Dale Gillham's weekly wrap: Sigma-Chemist Warehouse merger creates pharma powerhouse

WC8

Pan Asia rebranding to 'clear confusion' after bagging $35M for Chile projects

DUI

Panic, paranoia, and gangland politics: HotCopper users react to Dubber's missing $26M

There are more pages in this discussion • 20 more messages in this thread...

First 47 Last

Add NEA (ASX) to my watchlist

Ann: Investor briefing - Full year results to 30 June 2018, page-47

Top Stories

Week 47 Wrap: HotCopper users' most watched; Brent lifts on Putin's scary letter; RFK dents CSL

MinRes's Ellison knows he screwed up – for that reason, hunt for new Chair to be sped up

Bigtincan's Board backs Investcorp offer: Why a NASDAQ listing could be game-changing

Scientific conference spotlights PYC's work on blindness disease treatment

Sales growth pushes Lovisa's fortunes (and shares) upwards

To make modern missiles, you need 3D Printing. And in that gold rush, Amaero is selling shovels

HotCopper Highlights: Your most watched stocks for Week 47, 2024

Dale Gillham's weekly wrap: Sigma-Chemist Warehouse merger creates pharma powerhouse

Pan Asia rebranding to 'clear confusion' after bagging $35M for Chile projects

Panic, paranoia, and gangland politics: HotCopper users react to Dubber's missing $26M