RE:RE:Q4 results were rather good...I just quickly picked the $20M off the bottom line of the cash flow from Operating activities section. You're right about the changes in working capital of course, although I would argue that Deferred revenue is actually a source of cash flow pretty much each and every year. I recognize that the service hasn't been provided yet, but we are talking about cash flow and this particular bit of it doesn't have much Cost of sales associated with it.
So, if you like the $11.2M, that's fine with me and it makes good sense. (Even with this metric, the company is a huge cash cow.) For me, I think I'd at least add in the $5.3M of Deferred revenue, which is a regular additional source of cash.
Thanks for pointing that out.
Possibleidiot01 wrote: Overall , I liked your post but I'm not sure of your last paragraph.
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- Cash from operations before changes in working capital was $11,180,747 as compared to $7,119,817 last year.
- Net income before income taxes of $5,327,733 as compared to $1,306,717 in the equivalent prior year period, an increase of $4,021,016 or 308%.
Where did you get $20 million?
theinvestor22 wrote: A couple of my CEO posts...
A nice quarter. All of the growth was organic. Compounded sequential SaaS revenue growth of 4.441% translates to 18.983% over a whole year period, which is pretty decent. As we know, some quarters include acquisitions, which makes the numbers look sexier, but as noted this was rather good for a between-acquisitions period. Gross margin is still excellent and expenses are quite well controlled. I do a calculation whereby I remove taxation and one time items (like forex, business acquisition/restructuring/integration expenses and change in fair value of contingent consideration). This is up 17.5% sequentially and 118% year-over-year. So, I continue to be one happy camper. A nice long term compounder.
Oh ya, the company continues to throw off huge amounts of cash - about $20M last year on earnings of less than $5M. That will fund a lot of acquisitions. Wow! (By the way, that's about .42/fully diluted share in cash flow.)