Ann: October Operational Update, page-261

Still don't know why you keep quoting $10mil in profits that we would currently be making if we stopped converting....not relevant IMO as market has a forward mindset. Even at a gross profit of 20% on $26mil = $5.2mil gross profit before other costs which does not come close to your prediction. This is a snippet from the link you posted the other day


So this fund manager has LPE making a net run-rate profit of $500k at June '18.....not even close to $10mil. Even if they weren't converting anymore they haven't spent $9.5mil in a year on conversions (Note - last financial year they reported they spent $2.5mil on conversions).
His numbers are also probably slightly out now considering he was assuming 7GW monthly increases and LPE are forecasting 6GW/month and they dropped approx 500k on setting up locality embedded networks.

What the market needs to price in SP growth and to help sell the story is -
- GW in the pipeline.....all we know is they have GW to get them in excess of 200GW. We have no idea how new sales have been tracking for months now.
- How they plan to ramp up conversions to more than 6-7GW month
- Expansion plans interstate (will take care of above point if done well)
- Debt facility

If you line up all those ducks I think the market will stand up and listen.

I agree our time will come. This business is bring run as per their plan (probably a slightly conservative one) but now they are pretty much cash nuetral and moving toward cash flow positive an argument could definately be made now for a more aggressive approach.