Are you tieing receipts and revenue together? You keep on saying...

First 2 Last

Share
Profile

Follow
stardestr0yer

5,909 Posts.

88

28/07/17

16:35

Post #: 26146773
Share

Originally posted by t1obrien ↑

I apologize if my last post seemed harsh - I was in the foetal position after realising that quarter on quarter sales went backwards.

The Blue Reef acquisition aside, by July 2018, we will have a very very clear indication of Tesserent's ability to grow sales on its own. 1.75 million per quarter is the benchmark. Blue Reef has been fully accounted for. Any revenue growth going forward will be all Tesserent.

What will the quarterly sales be for the 4C June 2018? 2 million? There will be no where to hide then. No spin to put on things. No acquisitions to muddy the waters in terms of measuring the performance of the business.

Karen Negus and her sales team will earn their money over the next 12 months. The revenue figures going forward will give a clear indication of the organic growth of the business.

If I were to speculate on why things haven't worked out for Tesserent, as well as might have been hoped, it would be that the dominant growth strategy was always planned to be based around acquisitions. Acquisitions are the most effective and efficient way of gaining new customers and revenue. The Blue Reef acquisition had to have been in the wings before listing on the ASX, and on a cynical view was designed to push the share price up to say 30-40 cents - putting Tesserent in a position to raise further capital for acquisitions. In the early interviews, Keith talked about acquisitions as being part of the strategy going forward. When the share price didn't go up as planned after the Blue Reef acquisition - acquisitions were suddenly of the table and we were left with Plan B or C or D - organic growth and channel partnerships - which have been a slow burn at best, and marred by turnover in the sales team and the sudden departure of Kurt Hansen.

I'm speculating - but I believe Tesserent always intended to grow mainly by acquisition but have been hampered by the depressed share price.

Expand

Are you tieing receipts and revenue together? You keep on saying sales are down QoQ... receipts are slightly down and you cannot necessarily tie the 2 together. You never know.. they may have had some delayed payments from customers (possible that 200k was payed by 4 customers on the 4th July and therefore sales were up 10% QoQ).

TNT Price at posting: 8.0¢ Sentiment: Buy Disclosure: Held
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

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

Breaking news: New opportunities for investors & companies - HotCopper opens to capital raising!

There are more pages in this discussion • 7 more messages in this thread...

First 2 Last

Add TNT (ASX) to my watchlist

Are you tieing receipts and revenue together? You keep on saying...

Top Stories

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

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

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

Breaking news: New opportunities for investors & companies - HotCopper opens to capital raising!

Featured News