Sangoma Technologies Corp T.STC

Assessment

[retiredcf]

EPS of -4c matched estimates. Sales of $61M were marginally lower (0.19%) than expected. EBITDA of $11.15M were 3.7% better than estimates. Debt is down about $10M from the fiscal year end. Revenue did decline 3%. But operating cash flow rose 121%. Service revenue is now 82% of total. Guidance was mostly affirmed, but 'tightened up' within a narrow range. The CEO said he was 'exceptionally pleased'. The stock has had a good run. The quarter was not perfect, and we would likely to see sales growth, of course. But there are encouraging signs here, nonetheless and the company is getting things back under control. (5iResearch)

[GeraldW]

Cormark's analyst estimates that based on the free cash flow generation Sangoma will be bank debt free by June 2026. That means over $120M debt has been wiped out since that last acquisition.

[Torontojay]

  By my calculation, and using ~ US $30m in fcf generated in the last year, it will take about 3 years to pay off its operating facility and loans. According to the latest quarter, they have total debt of $17,700k listed in current liabilities and $69,850k listed in long term liabilities. Total debt is $87,550k or almost 3 times the free cash flow generated in the last year. Its

[GeraldW]

You are calculation of FCF level is based on last 12 months. FCF increasing.