@Rapstar did a good summary already. Publishing my rough notes as well.

Camplify got punched in the stomach today, with the stock ending down 16%. 

That’s on the back of revenue growth 95%, and a loss that’s slightly improve by 10% to $2.9M. 

Presumably, investors didn’t even look at the revenue growth number, went straight to the loss, and a the visceral reaction that unfolded caused an immediate trigger of the sell button. 

The growth needs to be put in context of Paul Camper’s acquisition, which has management pointed out, didn’t account for the whole period of the half year. 

If we want to be conservative, we can divide the growth by the share count increase to get to a growth per share number of 53%, I find that excellent. (@Rapstar how did you get to your 37% number?)

Growth per share of 53% with negative margins of 12% lands cleanly at 41% which beats my desired Rule of 40.

If your thesis was predicated on a profit inflection point, I understand your dissatisfaction and the rationale for selling.

My thesis revolves around a robust take rate indicating future healthy margins, sustained global scalability suggested by the growth rate, ample remaining market share to capture, all supported by strong execution. I remain confident in holding and affirming the trajectory of my thesis.

Camplify reported H1 results for H1 2024:

• Revenue: $24.3 Million, up 95.4% on PCP (but 37% when backing out Paul Camper)
• Gross margin increased to 61.4% (up from 58.1%)
• Operating Loss of $10.0 M, down 10%
• Owner vans up 19.7% to 29388.
• Future bookings: $26 million (excluding Paul Camper & TAP), up 10% on PCP.
• Justin Hales reported bookings are outstripping van availability in Australia. Looking back at the growth in vans listed on the Camplify platform, Australian vans for hire on their site have grown at 20% per annum over the past two years.
• Camplify brought a rent a tent business, that serves the events sector. The strategy is to expand the market for camper vans on it platform, and get a higher utilisation of its network.
• In 2024, Camplify is focussing on implementing its Myway insurance offering (which will increase take rate), and integrating Paul Camper.
• Re-iterated, Paul Camper will not grow in the near term, whilst they focus ion integration.

Justin refused to provide guidance or indications of how the business is travelling in the seasonally busy season. It appears camper / owners on the network are the constraint for growth....the market didn't like the lack of guidance.

DISC: HELD

Hi @Strawman

any chance of reaching out to camplify and having them talk to members?

business model is one of interest and if they execute which so far they have been it could be a big winner. They are also doing insurance on hired camper vans now which makes it more interesting to me.

thanks in advance

disc: hold a very small position IRL

Since they report quarterly and consistently provide metrics, Camplify's full-year results didn't come as a surprise. I thought they were very strong. 

In my article for a rich life I explain how I get to organic growth estimates of 75%, that’s very strong given the bottom line improved as well. 

Thesis remains on track.

In the next year I’ll look out for:

1. Growth in European markets. Watch the growth in European markets closely, with particular emphasis on the UK. The successful integration of Camplify with Paul Camper within the next year is crucial; any setbacks in the UK market could potentially hinder the company's overall progress.
2. Growth in average booking value. Monitor the growth in the average booking value and Camplify's direct revenue generated from these bookings. This is the core of Camplify's business.
3. Marketing efficiency. Assess the efficiency of Camplify's marketing efforts. Management claims ongoing improvements based on experience and network effects, and it would be valuable to see tangible evidence of this in the coming 12 months.

Ref: 

https://www.goforgrowth.co/p/10-growers-in-fy23-part-1

Headlines from CHL:

• GTV (gross transaction value) growth of 172.8% pcp to over $146m
• Revenue growth of 133.7% pcp to over $38m
• Increasing average booking value by over 39% pcp
• Increasing revenue to CHL per booking of 31.6% pcp to $437

Looks like a good result. Revenue is up, PaulCamper (which covers the EU markets) not included in PCP comparisons due to it being recently acquired.

> Note PaulCamper numbers are not displayed here, as the business was acquired in December of FY23, and pcp results are not able to be shared for the FY22 vs FY23 period.

Wonder why?

FY23 revenue of $38.2M, up from $16M in FY22 is impressive, but includes some acquisitions. But even if we just look at revenue in Australia that's up 70%. 

Number of hirers on the platform is way up, too, to 500k. This included acquisitions but growing this number should mean increased marketing efficiency for online advertising spend, I think?

NZ and Spain all growing well. EU flat, but seems like focus has been on integrating platform which is well underway.

Couple of notes from the earnings call:

• Overall seeing longer average duration trips booked, particularly from New Zealand
• Temporary accomodation program (Governments hire campers as emergency accommodation) has been well received. State government contracts extended, insurers have started engaging, in discussions with governments ahead of summer. These aren't structured to have any fixed revenue component: Camplify is paid per hire.
• Have changed marketing approach in UK, and seeing good results. Using the playbook from Australia (using influencers, building brand) that has worked well, rather than previous focus there on targeting customers already committed to hiring.
• PaulCamper revenue is recognised at time of booking, Camplify revenue at time of hire.
• Insurance product Myway is has licensing in place and software platform to roll out in quiet season end of 2023. Planning to offer Accident Excess Reduction (AER) product to all EU countries by next year, so offer premium subscriptions currently only available in AU/NZ. UK to follow.
• Not seeing significant competition in key markets from other P2P platforms or car share (eg Uber)

The Myway insurance rollout was a key talking point. Seems good opportunity to increase revenue and margin per hire.

I thought Camplify's results today were very strong.

They always lead with their GTV growth (109.87%), but I think that metric is too messy and I much prefer their revenue growth which came in at 63.8% versus Q2 FY22.

Now, this does take into account 1 month of contribution from Paul Camper, so I could do some back of the napkin map to pull out the organic growth, but I reckon the growth of their Australian business serves as a good proxy for that. And the growth there was 52.3% (pcp Q2 FY22). So we can see from this that the growth slowed down a little. Still, that level of growth is quite an achievement.

The next quarter will be a full contribution quarter from Paul Camper, which will hurt their take-rate, but improve revenue. Very keen to see what comes of that, also very keen to see the full story when they report on the half-yearly in a few weeks.

Non-executive director Andrew McEvoy made a decent sized on market purchase of $100,000 worth of shares last week.

Disc: not held

Re-posting Claude's article from A Rich Life here. Some good points made.

https://arichlife.com.au/camplify-asx-chl-h1-fy-2022-results-show-decent-growth-but-im-disappointed/

CHL announced half yearly results. See here. Last half was severely covid affected with travel restrictions in Australia. Company headlines figures of 109% revenue growth to $6.782m for the half compared to PCP. However, it is only approx. 30% increase half on half with 2nd half of FY21, which posted $5.21m. I still think this is impressive to grow 30% in a impacted half.

Im very interested to see how this half compares considering Australia now has international borders open, whether that is a positive for the company, or whether domestic hirers will go down as people look to holiday overseas. Coming into European Spring and Summer should be a positive for their UK and Spanish operations which seem to be growing rapidly - admittedly off a tiny base.

On the negative side, expenses blew out dramatically for the half to $10m. I do understand this is a land grab in the early stages of company growth, but still not great. Also i still have concerns about their product review ratings particularly on Google and productreview.com.au sitting at 2.5 to 2.7 stars respectively. I know the CEO stated they use trust pilot, but the first thing you see when you google "Camplify" is the google rating and when you google "Camplify review" is the product review rating. I feel like this is a big issue, and would detract many people using the platform. They didnt even mention reviews in their presentation. Its all well and good to grow, but it would be much easier to grow if people are loving the product and giving great reviews.

Very interesting business in a sector where the winner takes the most. Who's second to Uber and AirBnB? You know there are competitors, but I can't name them without looking it up. That is enough to get my interest in a growing global sector.

I'm kicking myself I didn't jump in earlier becuase of caution over EU growth, but I'm waiting for a buying opportuity with market volatility.

Disc: Not held. Yet.

Important for any investors interested in Camplify as an investment to know that 75% of all shares are held in escrow, and cannot be traded until September 2022 (2 weeks after FY2022 reporting date).

It may pay to be patient, as there may be some selling pressure when shares come out of escrow if management wish to upgrade their RVs.

Key takeaways from todays results and earnings call:

• GTV of $10.5 M, up 69% on PCP.  
• Revenue of $3.07 M, up 106% on PCP. 
• From earnings call - UK GTV of $2.2 M.  UK GTV was $1.1 M for all of FY2021! 
• Take rate of 26.9%.  
• Premium membership was soft due to seasonality and lockdowns.  RV owners tend to upgrade membership once 30 days rental passed, which lockdowns has hampered. 
• From earnings call: Spain GTV was $185 k, so very early stage. 
• Increase in costs due to seasonality, and Q4 payments to RV owners follwonig strong Q4.  
• Customer success team ramping up, particuallary in UK & Spain.  
• NZ RV rental market TAM is at least $125 M GTV.   Huge growth opportunity before it, just in this one market. 
• Camplify assesses future markets according to RV ownership growth, RV owner age demographic (the younger, the better), and market synergies (UK market frequently holiday in Spain).  This is the reason why Spain was identified as preferred market.  Camplify is focusing on bedding down UK and Spain before further expansion. 
• Outlook: Increasing activity in recent weeks, but some hesitancy remains, particulalry in relation to interstate travel.  

DISC - I HOLD.  

Nothing more than an observation I noticed yesterday. One of my enjoyments is getting to the beach at any moment I possibly can. I noticed quite a few vans that appeared rented from camplify. I'm not over how the business works but just saw a number of vans with camplify stickers with QR codes stuck on to the back of the van. 
I live in WA so the strict border measures would have a positive impact on the business which can be seen in the share price chart. Also noticed a lot of people wanting to get out of the city and travel into nature which would further benefit Camplify.

DISC: I do not hold

dumb bunny going to rhyme again,

because you don't see it yet my friend,

but all i do is track down trends

and trust me mate the zeitgeist bends;

to #vanlife, which is covid safer

than air travel which is in disfavor

Acorn Capital have sold 15-20% of their position.   They may be doing this because:

1) $CHL became too large a position size in their portfolio, and they have trimmed for risk management purposes. 

2) They think $CHL is overvalued.   

DISC - I HOLD......

Gladys has announced rather agressive re-opening plans, INCLUDING CAMPING GROUNDS.  

• Some regional areas can open now, including North Coast of NSW.  
• Other regional areas on NSW to open on the weekend, including the South Coast. 
• Remaining regional areas, where ther have been no cases, can open on the weekend.   

These areas are the regions with the most Camplify RVs.  Will be interesting to see if a spike in bookings is evident in Q1 4C update.   

DISC - HELD.

This may seem like a silly question.

Car Sales (CAR) Sells and reviews Cars, Boats, Bikes, Tyres, Construction equipment and Farm Machinery.

Is it possible that with a market Cap of $48 Million they could  see Camplify as a possible acquisition in the future, depending on how they perform?

At some point surely Camplify will bolt on a sales element to their site, and CAR are always looking for growth stratergies.

Nothing more than a random thought, I dont buy companies hoping for takeovers.

DISC - I dont own at this time.

Shoutout to @TEPCapital straw of Appen vs Domain, which i thought was great.

I thought Id look at two gig economy companies both recently listed Airtasker (ART) vs Camplify (CHL). 

Below are the financial profiles of the two listed gig economy / platform companies. As of writing ART is valued at $409m AUD and Camplify is valued at $37m. These companies are similar models both operating in the gig economy space, albeit for different services. Neither of the companies have a monopoly in their space with plenty of competitors. Both are at early stages of their growth stories and listed entity life. Below are the financial profiles of both companies, and the multiples for both are so different, it makes no sense.  

• Revenues by 300% (CHL rev $8.4m) vs 38% (ART rev $26.6m) in the last FY.
• Price to sales for CHL is approx. 4.5x vs 15x for ART
• CHL has $21m in cash and $29m in total assets vs ART has $33m in cash and $47m in total assets.
• Price to book $1.3x for CHL vs 8.7x for ART.
• Expenses for the year for CHL was $11.39m (loss of $2m) vs ART which was $37m (loss of $9.5m)

Does Airtasker deserve to be trading at $409m vs Camplify at $37m. Maybe Airtasker is way over priced? Or Camplify is way under priced? Its probably somewhere in the middle. If CHL was to be awarded the same P/S multiple it would be trading at $126m MC and current shareholders would more than triple their money. Ignoring the metrics both businesses have high potential, but both are in my view as risky as each other. 

I agree with TEPCapital, sometimes the market is crazy.

Vandelay posted up some quite valid concerns regarding van owner and customer feedback.   It is interesting to note Camplify are investing heavily in their Sales and customer success.  sevemn new positions in totla ar eadvertised, including: 

Customer success roles - 4 roles, including a manager, with roles of onboarding new RV owners...

Insurance resolution officer - To assist owners manage insurance claims.  

So it looks like Camplify are growing strongly, and working hard to address the issues Vandelay has raised........

DISC - I HOLD

key takeaways:

1) Q4 FY21 Gross Trasnaction Volume (GTV) of $9.6M for Q4, up 163% on PCP. 

2) GTV for year: $31.5-$31.8 million ($27.8 million Prospectus guidance). 

3) Unaudited net revenue of $7.1-$8.2 M ($6.7 M forecast in Prospectus). 

4) EU Market GTV up 199%  for the year. 

5) ANZ Market GTV up 158% for the year. 

6) Q4 GTV growth rates of 629% on lockdown affected Q4 2020.  Augurs well for strong momentum into Q1 2021. 

7) Operational costs below Prsopectus forecast. 

8) NZ market grew GTV by 485% on pcp, with Q4 growth of 2627% on PCP (obviously off a low base).  Note: this result was domestically driven, with strong tailwinds as NZ opens up on 2022 / 2023. 

9) Both RV fleet and customer additions grew by 14% as at June 30, since Propsectus publication (May).  

1) $21 Million in the bank - planty of funding for a business already operating close to breakeven point. 

DISC - I HOLD.  

Following on from my #bearcase straw yesterday regarding reviews. I decided to send them to the investor relations email. I recieved a response from the CEO/Founder this morning. His responses are in Bold. See below:-

Thanks for your email. Happy to answer your questions. Just for my background are you a current investor or prospective investor?

Below are the answers to your questions; 

• Currently Camplify have a 3.1 star review on ProductReview & a 3.5 star review on Google. These are based off small sample sizes of 11 reviews and 123 reviews respectively. - We integrated with Trustpilot about 12 months ago, and the bulk of our reviews go there. You will find 2,194 reviews  with a score they describe as 'Excellent' and an average of 4.5 stars
• The App is currently 2.5 stars on Google Play and 4.1 stars on Apple App store. Based off 19 and 12 votes respectively. The app is relatively new and has been evolving quickly. It is also only for owners on the platform ATM. We are dramatically improving this ATM. 
• Reading through a bunch of reviews, it appears the main points of concern from Van owners are:-
  • Poor process when van is damaged by a user.
  • Insurance is meant to be included as comprehensive but some people saying hard to get damages covered and fixed.
  • Lack of customer support in general.
  • Customer service is poor.
  • in regards to customer service, if you look at the reviews on Trustpilot in general you will find the opposite feedback. The reviews you have looked at are a small sample size and were most likely made when the business was in the midst of coping with the pandemic outbreak in early 2020. 
  • In regards to insurance. Camplify provides 2 levels of insurance, either a casual insurance policy, or a fleet policy. Generally speaking our insurance offering and assistance with insurance is excellent. There are always improvements to be made. At the start of this year Camplify installed a dedicated team of incident management professionals to improve our processes, and work more actively with the insurance company. Its important to note that may of the complaints are mostly due to the owners not following the process and expecting a claim to go smoothly. Eg no evidence of pre hirer condition, waiting 2 weeks to put in a claim after undiscovered damage, etc. 

• Main points of concern from users:-
  • Poor process when an issue such as breakdown or accident. Once again I would suggest a small sample size. We do over 40,000 rentals a year and if we had a poor process we would be out of business. 
  • Pricing isn't that much better than standard van hire companies. Camplify provides the widest variety, the largest distribution, and the ability to book a specific vehicle. We dont set pricing, the owners of the RVs do. However, I know from research this comment is generally not true. There may be an odd occurrence, but on the whole not consistent. 
  • Refund policy on cancellations. Which is a big issue with Covid - I feel like the company should have a better plan for this. Camplify has a very clear policy. We provide it to our customers before they book. Every customer wants the ultimate freedom of a full refund if they cant or decide not to go on holiday. Under the current COVID environment this simply is not possible. However our policies are fair and reasonable, we ultimately want customers to be able to take their holiday perhaps at a delay if government restrictions come in. We have benchmarked our policies against other tourism businesses and feel they are fair and reasonable. 
  • Lack of customer support in general. See above. 

My take - He was a little bit dismissive for some of the issues, but seems like they are aware of most and trying to improve. Id still like to see the reviews improve overall even if it is a small number. For a business like this people genuinely take the reviews & ratings seriously when considering whether to use a service - i know that i do anyway. 

I think Camplify is an awesome concept and the business idea has merit. Think of AirBNB for campervans. 

I bought an initial small starter position. But doing my due dilligence, i found some concerns regarding Ratings and Reviews on sites like Google & Product Review. 

Currently Camplify have a 3.1 star review on ProductReview & a 3.5 star review on Google. These are based off small sample sizes of 11 reviews and 123 reviews respectively. 

The App is currently 2.5 stars on Google Play and 4.1 stars on Apple App store. Based off 19 and 12 votes respectively. 

Reading through a bunch of reviews, it appears the main points of concern from Van owners are:-

• Poor process when van is damaged by a user. 
• Insurance is meant to be included as comprehensive but some people saying hard to get damages covered and fixed. 
• Lack of customer support in general. 
• Customer service is poor. 

Main points of concern from users:-

• Poor process when an issue such as breakdown or accident.
• Pricing isnt that much better than standard van hire companies. 
• Refund policy on cancellations. Which is a big issue with Covid - i feel like the company should have a better plan for this. 
• Lack of customer support in general. 

My perspective from the above, seems like they are either understaffed or have poor systems in place to deal with complaints and damages. 

Id like to see the ratings improve and percentage of similar complaints diminish before investing anymore. Hopefully management have a plan to tackle these issues. 

Thought i'd take a closer look aftrer @Aljac introduced this to Strawman.

Some initial thoughts:

Think of Camplify as AirBNB but for caravans and RVs -- it connects owners to renters.

It charges a commission for hirers (15%) and owners (7-11%) on bookings, and it also offers a premium membership -- a monthly subscription service that offers additional marketing services, lower commissions, insurance and accident excess reduction. ($76-198/month depending on RV value)

Founded in 2014, but only listed on the ASX on 28th June 2021. It has experienced strong revenue growth --> $1.6m in FY19 to an expected ~$7.5m in FY21.

Operates in Australia, NZ (since 2020), UK (since 2019) and Spain (launched this year).

There are around 5,400 RVs on the platform (total in Australia is 740,000)

Covid seems to have been a positive for Camplify, with Australians unable to travel abroad.

Revenue grew 77% in FY20 and is expected to grow over 135% this year (recently upgraded from prospectus guidance). Company now expecting $7.4-$7.6m in revenue for FY21.

Company is still loss making and is on track to lose ~$3m in FY21. It does have $15m in cash after the IPO.

Gross margins have been consistently at 70%

38.8m shares on offer, giving the company a market cap of $52.4m (as of 1/7/21), and a forward Price to Sales of approximately 7x

Directors and senior management own 6% of the business, while the founder and CEO Justin Hales owns 14%.

Apollo Motorhomes, one of the major RV rental companies, owns 17% of the business.

The platform appears to have very favourable reviews

The company is very capital light, and looks to have good capacity to scale.

The prospectus lists traditional RV hire companies as the main competitors, but I wonder if the bigger threat comes from AirBNB, which could easily expand into this segment and compete with lower prices.

Overall, i think the business looks really interesting. I'm usually reluctant to invest in newly listed companies, but will be keeping an eye on this.

Things to watch:

• Pace of revenue growth (needs to sustain a high rate to justify sales multiple)
• Costs management (ongoing platform development and geographic expansion could push back the breakeven point and keep the company reliant on future capital raises)
• Competitive landscape -- will other bigh tech players enter the space?