Australia's largest stock trading and investment forum Australia's #1 stock forum

NRR

Click for more information

0.00%

5.6¢ naracoota resources limited

Accumulation, page-125

First 125 Last

Share
Profile

Follow
ryan1986

2,167 Posts.

16/11/15

13:52

Post #: 16405273
Share

Originally posted by SeanFromSydney ↑

The other upside to consider is that any further growth actually lowers their ongoing R&D costs significantly over time.

Consider that they win their first new client, and that hospital has software A in Emergency Room, Software X in Oncology and Software Y in Paedeatrics. This is not an uncommon situation in Healtcare IT as these software are specialised for those departments. Alcidion has to do an "AXY" integration into that hospital to give real time decision support for patients who go from one department to the next.

They win another new client and have to do a "AXZ" integration. They now spend a third less money developing the code for their software to 'talk' to that hospitals systems.

And so on and so on until in a couple of years time every new client has a combination of systems they've already seen before and is a much more 'plug and play' integration.

Annual software license revenues go up and R&D goes down.

We are currently seeing this 'pretty much break even' with very low revenue and very high R&D in the grand scheme...

Expand

Very good point.

First post on HC and a cracker!

NRR Price at posting: 7.4¢ Sentiment: Buy Disclosure: Held
5 Upvote

0 Great analysis

Reply

Top Stories

ACW

This biotech stock raised $11M in a risk-off environment. Its Alzheimer's drug could change the game

CXM

'Taking money from the market': Garbage giant cleans up as this week's Hot Stock tip

MIN

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

WC8

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

History-making uranium sample grades and an imminent drill run. Infini Resources is poised to transform in 2025

There are more pages in this discussion • 12 more messages in this thread...

First 125 Last

Add NRR (ASX) to my watchlist