Frontier Digital Ventures Limited

ASX:FDV

Frontier Digital Ventures Limited

ASX:FDV
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$0.445 (-3.3%)
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#31
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36
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Reports (10) My Report Forum Investors
Forum Topics FDV FDV Quarterly Review

Pinned straw:
Bradbury
Added 2 months ago

The Good

  • LATAM360 EBITDAs are trending up across 3 of the 4 business’s

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The Not So Good

  • Revenue is up on the PCP but down QoQ. Q1 is revenues can be impacted slightly by seasonality so the expectation would be an improvement next quarter. The $19.2m revenue for the quarter when annualised is less than FY23.

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  • Cash balance of $13.9m indicates a FCF burn of ~ $0.9m, so there is still room to improve before the business is covering its investments in R&D.
  • Now that the quarterly reporting isn’t mandatory, operating expenditure will not be visible until the half year report.
  • Web metrics and revenue splits across transactions and subscriptions are no longer reported
  • Yappo was impacted by fires in Chile and a system change which is more aligned with Encuentra24.
  • ASIA businesses are trending flat or falling EBITDAs except for iMyanmarhouse

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  • The same is the case for the MMG business’s

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Watch Status

Deteriorating - QoQ decrease in revenues across all business units

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Valuation Status

Hold

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What To Watch

  • Pakistan is still struggling economically and likely to for quite some time.
  • LATAM360 - Launch events planned through major cities for the IRIS platform. Potential to continue to drive revenue growth. (3.6% of Revenue)
  • LATAM360 - Expanding locations for Centrify (13.5% of Revenue)
  • MMG - Integration of home financing product
  • MMG - No reported details for PropertyPro?
  • ASIA - Online inspections and auto bidding in the pipeline.
  • Zameen revenue was the highest in Feb24 since Feb23, showing signs improvement could be starting.
  • Improvements in Yapo after system change and release.
reddogaustin
2 months ago

Great straw @Bradbury .

I thought this report has cracked the nut on displaying and describing their business Units via geography, a long held complaint by would-be investors as I understand it.

For me, QoQ is less valuable then PCP, as these markets move so wildly at times that i'm not convinced that QoQ is a fair comparison practically. Still worth doing, but I weight it lower in FDV's case.

11
Bradbury
2 months ago

I agree that QoQ is probably a bit short sighted in comparisons, however its more the significance of some of the moves that are probably impacting my sentiment a little a the moment. The other way of looking at it is that if you zoom out and go back to Q1FY22 revenues, LATAM is only up 16%, MMG is flat and ASIA is down 37%, which is less than favourable.

I'm still a holder IRL and on here, however I think there needs to be some traction soon to validate the business case.

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