Nic is trying his best, and the management look like good quality people, but the financials (unfortunately) are not good.
(Statutory) Net loss after tax, for FY18, was $26 million, down 1,200% from FY17.
How can the business continue to survive these losses?
And the AGM presentation was only a shallow paltry 9 pages - very sad.
Where is all the detailed information for shareholders?
Where is an update on the company's investments?
How much cash does the company currently hold?
This report, instead of trying to portray enthusiasm for an upbeat future, gives the impression that the company is shrouded in doom.
And it looks like in 2019 they are gearing up to sell the Cohort business, the one that broke their back, and which they paid some stupidly over-the-market price for. They probably paid in excess of $20 million (all up) for Cohort, and will probably sell it for a penny - oh... what a disaster.
Will they find a buyer for Cohort in the current market, given it's performance over the past year?
Is the PureProfile business now a going concern?
What do shareholders have to look forward to?
How long will any of the current directors last in the job before they decide to move on?
Many questions.
I wish them the best with their turnaround efforts, and I hope they keep plugging away at it.
They will probably need a capital raising at some stage in 2019 - at what price?
All in all, the team look like they are trying to save the business, let's hope they succeed and make FY19 much better than FY18.
Gw
PPL Price at posting:
9.0¢ Sentiment: None Disclosure: Held
