This augers well for 2019 as a turnaround year for CRO.
I note the EMBU agreement is for a minimum of 150 pool stores (EMBU has 500+ within its network) and the average value to Cirralto per store over a 3-year term is $24,750.
150 x $24,750 = $3.7m, which is a tidy sum when you consider the present market cap of the Company is only a little over $5m.
The beauty is that the PoolBox product is now well refined, courtesy of those 10 early-adopter customer reference sites within the EMBU pilot program, and can be confidently cranked out, cookie-cutter style, into even wider markets.
I'm thinking here of the US in particular, where CRO is plainly setting its sights (see the Investor Presentation from December). Presumably, only minor tinkering required to make it country specific.
Mouthwatering to think the Company has identified 8,000 businesses that fit its PoolBox customer profile in the US (cf. 1200 in Aus) - with anecdotal evidence pointing to real appetite for the product.
CRO Price at posting:
1.3¢ Sentiment: Buy Disclosure: Held
