AGMGot a bit sidetracked this morning and missed the first half or so of the AGM. Bit of a disappointment that there were no live / spoken questions. Only questions that had been submitted in advance.
We all know Q1 (May 10) is not going to be pretty.
And looking beyond that? Notwithstanding some missteps and the current challenges, I don't believe that our interim CEO is the kind of person who would express fake or manufactured enthusiasm. I'm pretty darned sure it's real.
One thing you want to keep in mind. The difference between a buyers' market and a sellers' market can be small and subtle. A delicate balance, as they say. There was a piece in CCN (I think) a few days ago projecting that by 2025 electric cars will cost less than equivalent gas cars. Regardless, state and city governments must be freaking out as they watch the gas tax fizzle away. I now see Teslas and other electrics all over the place. What a great deal they're getting on the gas tax.
My guess is that the tolling industry shift from buyers' market to sellers' market is already underway. Just a guess. And the top people at Quarterhill are already sensing it in the communications with customers.
If I'm right, how might that play out? Think of a signed tolling project where there's, say, eight potential add-ons. Some vertical, like software upgrades, some horizontal, like additional highway segments. In a buyers' market the customers will be happy to bide their time. Why make a decision now when you can hold off and maybe get a better deal or better technology two years from now?
But if the customer senses that other buyers are scrambling to get in line? And in our current era of supply chain issues? That customer (and others) might suddenly see a logic in pulling the trigger on all eight add-ons right away.
I don't know what's actually going on. But the shift can happen surprisingly quickly. And this narrative fits with Mr. Gillberry's enthusiasm.
Am I just fooling myself? In this instance? I don't think so.