With the new slides, here are some key takeaways:
1. Revenue has grown from $17.2 mil ($12 mil K-12 and $5 mil in transit and recurring) to over $37.5 mil in 2024 ($22.5 mil K-12 and $15 mil in transit and recurring)
2. Revenue in the K-12 market has been positive and growing for 7 consecutive years
3. Doug always mentioned that K-12 would be a big driver of growth, and this slide validates that this is where our largest revenue contributions have come from. I believe K-12 is where we will drive consistent revenue growth in 2025/2026/etc.
4. Any new transit authority will provide a significant bump in revenue given we have a consistent base with SEPTA and growing K-12 revenues
5. MDC's have been growing at a faster rate recently. For example, # of MDC's added
- 2021 - 4,000
- 2022 - 6,000
- 2023 - 6,000
- 2024 - 9,000 - This shows that we are seeing good growth in number of vehicles onboarded with our MDC and future potential for recurring revenues
6. Doug has been constantly letting us know revenue per bus is climbing, so it makes sense to see our revenue so high given the higher rate of MDC adoption and the higher revenue per bus
7. A 7-year timeframe CAGR at around 30% per year. This is extremely solid growth over a 7-year period.
Conclusion: I have very rarely ever found a micro-cap stock with a clean balance sheet, no debt, cash on hand, positive net operating margin, positive and accelerating revenue growth, access to TD credit facilities, and a CAGR of 30%+ over a 5+ year time horizon. I hold a large position, and these kinds of numbers are what give me comfort in doing so. No business is without challenges, but from a risk/reward perspective, I like this one.
GLTA