RE:Q3: Poor Quarter Across the Board.EPS was down primarily due to a failure to launch a deal between an airline and large retailer - issuing miles and points for that retailer. It is a one time deal that doesn't really affect topline revenue but siginifcantly impacted the bottom line. There is some hope that talks can be rekindled and this deal can come back into play in 2017.
On a positive, management mentioned on the call that they have 3 new airline deals which they will announce soon.
Also, 2 new partners for the Points Travel program which they will also announce soon.
Pipeline is still $40 million in gross margin dollars for Points Travel and on the call today management mentioned that to reach that number it would consist of around 30 deals. And with these 2 new ones we already have 7 for Points Travel. Of course will take time for them to be fully deployed.
So, maybe tomorrow people sell the stock on EPS being down for the quarter.
I would look at it as a buying opportunity.
2017 definitely looks very pomising for Points Travel and the Loyalty Wallet.
And 3 new airline wins will help the core BGT business.