Urthecast Corp T.UR

My Take on Managment of UR

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I've thought long and hard about this one since the August release. No matter how many times it crosses my mind I always come to the same conclusion. Here it is:

1) Decision Making/Drive/Skillset/Execution - These guys are very, very good. I think of where we were last year at this time. The MRC was at IOC and we had a HRC up in space that was no good. THAT'S IT!! Since then the technical guys designed a fix on the ground that worked flawlessly when installed. Mgmt recruited an Advisory Board that includes some of the brightest tech and Aerospace minds on the planet with many connections. Tish Long, formerly of the NGA joined the board. Remember, this all happened when UR had 0 revenues and unproven capability. Commissioning of the HRC took place. 1M resolution video from space was broadcasted for the first time ever. Partnerships with some of the biggest brands in the world were created. An accretive and complementary acquisition was made that accelerated the business plan. The next 5 years direction of the organization was mapped out and communicated that included a 16 satellite constellation that will provide coverage of the entire earth multiple times per day!!! $370 million of outside was "committed" to the organization for these plans. Mgmt are getting other people to pay for the majority of URs start up costs! They've started to generate revenues, beating estimates and filling the pipeline so there is some visibility into the near future. And some people on this board want to get rid of these guys because they haven't made a few press releases when somebody sneezed?

2) Investor Relations - I'll admit these guys hold their cards close which can be frustrating at times, no question there. But... looking at the last 90 days, we can now look back with 20/20 hindsight. What would you have wanted to know through press release?? They executed their business plan flawlessly, no need for a press release. They signed another MOU just recently, which coincided nicely with their Q3 release. That's it. No need for any press releases in the last 90 days IMO. Conference calls - I need to give this last one a re-listen, but I remember hearing nothing but positivity in their tone and in the words they used to describe the potential of the market, the customer base, their discussions with the NGA, the Deimos integration, the hard work their teams put in, etc... Sure they didn't want to give any guidance on future numbers. How can you blame them? They are in the start up phase still and to peg down numbers with any kind of accuracy is almost impossible. If they provided FY 15 figures and blow them out of the water - they will be scrutinized and accused of not knowing their business. If they fall short, the same will happen, stock price would collapse even more profoundly then we've seen recently and who knows what law firms will come out of the woodwork. When the business becomes more mature, yeah sure start providing guidance. Until then I'm happy waiting for the quarterly release and seeing that they've beat analyst estimates. The market will react accordingly.

I'm shocked that anybody would suggest that the Larson's should step back. Look at some of the best leaders of public companies and the type of people they are. They're not always the most personable, but they get Sh*T done. That's what the Larsons are doing and that's what I want them to continue to do.