2021 Q2 Results Out -- adj. EPS 0.015 vs 0.0202021 Q2 results:
revenue up 4.6% = $1,244,719 compared to $1,189,897
net income before tax down 35% = $416,175 ($0.015 per share) compared to $640,356 ($0.02 per share)
relevant note: 95% of revenue in USD (slide 9 https://namsys.com/files/misc/namsys_annualmeeting_2021_presentation.pdf) and USD is worth about 10% less now than a year ago
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Original press release:
https://stockhouse.com/news/press-releases/2021/06/24/namsys-reports-results-of-operations-for-the-second-quarter-april-30th-2021
No info / financial statements on SEDAR at the time of writing:
https://www.sedar.com/DisplayCompanyDocuments.do?lang=EN&issuerNo=00009724
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I wish there was more info and the actual financial statements available. I am really curious about the free cash flow and about the new expenses related to the new compensation plan.
From the info in the press release though, I am a little sad.
After a relatively modest growth in 2020 [which - given the pandemic - was still wonderful], I was hoping that 2021 would be an above-average growth year. I was hoping that the economic re-opening of restaurants and stores, persistent shortages in the lower pay labour during the pandemic, and customers' deferred investments from last year would result in a very strong sales in 2021. I was hoping a high teens revenue growth year-over-year.
I was also hoping that we would see a nice boost to the EPS... now that the long-term incentive plan issue has been resolved. On the other hand, if the company is indeed "spending considerable time [therefore $$$] to move... [new] initiatives forward", then that would be a big positive. Reinvesting capital into new growth initiatives would be really good, if it would result returns on capital as high as has been the historical average.
I am really curious on what you guys think. I am hoping Blair from Battleship Investing Blog will share some of his thoughts with the rest of us. Blair's blog has really good write-ups on NamSys and also includes interviews / conversation summaries with the management.
Have a nice day everyone!