OTCPK:VPYYF - Post by User
Post by
93Darkhorse93on May 25, 2016 8:12pm
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Post# 24904873
ARC Revenue Growth of 85% with 63% customer growth since YE
ARC Revenue Growth of 85% with 63% customer growth since YE The ramp and scale potential is so enticing that Versapay can generate in 2016 and beyond with its ARC suppliers could make it an absolute bargain. Management is taking to deliberate approach that every add is successful and they develop a sticky client base.
The secular tailwinds are strongly behind them it’s just a matter of how quickly they ramp, and I believe 85% revenue growth and 63% increase customer base in only 3 months is impressive. The legacy Point of Sale business is still growing helps fund future growth of the ARC system.
Looking at the ARC business revenues grew at 85% while Cost of sales and Operating Expenses were up only 33% and 19%. The inherent leverage in the business model when it scales will develop a significant amount of EBITDA, I can see a turn in trend in negative EBITDA on a percentage and dollar value in the upcoming quarters.
Great product, business model and a proven management team from Descartes provides a good set up to get long, got the trigger finger ready to finally buy it after watching this name for some time.