Pinned straw:
The 8CO 4C for Q2 FY25 is out today and unfortunately it's much the same as previous quarters
- -$12k operating cashflow. Cash on hand of $100k
- Total Revenue down from $2.25m PCP to $1.78m
- Federal Gov Onboarding pipeline unchanged since 30 Sept 2024
- ARPU down 1% on previous quarter, but up 10% on PCP
- The small specks of good news are total users resuming its uptrend from 163k to 182k, continued reduced admin costs and a record SAAS revenue figure, but in the greater scheme of things these wins seem relatively minor.
I've ridden this one down 74% IRL, but this was the quarter I finally cut it loose. They make all the right noises every quarter, but the truth is that it's a ship that is taking waaayyyy too long to turn around. It's hard to see any catalyst in the next 6 months that will trigger an SP rebound.
i agree @Dangles -- slow progress and seems to be running on fumes.
They’re still burning cash (-$12k for the quarter) and with just $0.1m left in the bank the only thing keeping them going is a $1.5m financing facility from the Executive Chairman. They keep talking up “strong business development,” but deals seem to take forever to convert into actual revenue.
To be fair, they've onboarded more government agencies, but the drawn-out TAPPS credit card transition delayed some revenue again. It all feels like a lot of waiting around.