mdf commerce Ord Shs MECVF

Link to last nights earning news release

[classicact]

https://ca.finance.yahoo.com/news/mdf-commerce-reports-third-quarter-015300386.html

[retiredcf]

Refreshing to finally see some positive developments. GLTA

[Sunsurfer12]

don't know about refreshing...more like mixed bag to me... 1) NHS contract on hold...how long? 2) Margins down..higher manppower costs again 3) Only bright spot I saw was moving the e-procurement to a variable (trending higher) compensation mechanism that should allow for an increase in top line revneue as MDF becomes a core player in govt procurment. Am I missing anything? 

[Mrguillaume]

From the cc, they mentioned that the $2.6 fair value adjustment of deferred revenue is not over yet – a further $6.8 million to be charged in coming quarters. With this news, IMO they overpaid for Periscope. Also, the Ukraine office is uncertain and new hires are on hold given the political situation.  They really are betting their fate on government e-procurement. Hope it works. I'm on

[Capharnaum]

It's not a charge really, it's just that accounting standards ask them to pass a portion of acquired deferred revenue as charge to reduce adjusted revenue added on. As they explained, since they are subscription revenues paid up front, these revenues will be there eventually when the clients renew.

[Possibleidiot01]

mdf commerce (TSE:MDF) had its price target lowered by analysts at National Bank. from C$6.00 to C$5.00.This represents a 11.4% upside from the current price of C$4.49. Hardly an endorsement of the earnings .

[pierrelebel]

Possibleidiot01 wrote "..."Hardly an endorsement of the earnings ." Oh well, National Bank one year target is $5.00 while Laurentian Bank is $11.00 Time will tell. In the meantime it appears that investors like the earnings report as the shares have jumped over 10% in the last week. And insiders are buying. Patience will be rewarded.