Releasing a 105 deck slide tends to indicate SLC are trying to...

Releasing a 105 deck slide tends to indicate SLC are trying to educate the market on its value prop going forward and to rekindle the sentiment it previously has had. Not an easy task and will take improved sales figures and cash flows to do so.

A lot of this deck is very technical so probably won’t help too much but a few key points I took away from it:

- The hyperscaling of BigAir (slide 33)  and the tech that NuSkope (slide 67) have or are building is setting SLC up very nicely for a strong fixed wireless offering (wholesale and retail) connected by a national backbone in Aus. Webpass that was acquired by Google Fiber in the US is not a dissimilar business model to SLC and in time SLC could be of significant interest to these types of cos (especially with the cables and presence in Singapore and HK).

As I posted about this time last year SLC was getting its house in order with merger integration and addressing legacy systems in order to rapidly scale when required and  still hoping this will (should) pay off. Superloop 360 looks like it will make a strong contribution to achieving this objective.

The network and infrastructure economics on slide 46 (particularly the chart in the bottom right corner) is impressive. We have been presented with this before but the graph is a strong representation. Something that would be nice to be able to ascertain from the slides is whether there is an actual need any time soon forecasted for a second cable? At 11.8% capacity utilisation, let’s worry about loading that up first before speaking hypotheticals. Happy to be pleasantly surprised similar to the capacity growth at NXT and it not be too far into the future.

I think the cyber security element will increasingly be a tail wind for SLC as well.

Still good buying at these prices. I’ve been averaging down.