The NBR article and comments from Darrin are very optimistic. Aspirations of $100m total income in FY2025 was confirmed. Aussie market hasn't opened yet. Will be interesting to see how the asx reacts.
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The NBR article and comments from Darrin are very optimistic. Aspirations of $100m total income in FY2025 was confirmed. Aussie market hasn't opened yet. Will be interesting to see how the asx reacts.
Soo... Cost base will be pretty stagnant while revenue climbs to the targeted $100m... (and beyond I'd assume)
Time to put my feet up I think
Always good buying at 2 bucks
Revenue $48m. Remuneration expense $49m........ 34 people paid over $200k.
SKO just one big party for those employed there. A company built up on the back of free money.
Lucky they still have $87m in the bank. They did so good raising heaps of capital when markets were throwing it around willy-nilly.
The party can continue :eek2:
Wouldnt get away with it these days aye.
Cashflows from operating activities gone backwards even after the huge increase in revenues...
and Amazon and xero back in the day, it funny many years ago when someone came out with an article keep shorting Amazon and said it losing money and will go bankrupt, he short it at $200 it went slow to $400, he then keep betting on shorting it it went to $600 then $800 then he turn around and said ok it time to go long hahahaha lucky for him because amazon eventually went to thousands before a 20:1 Split
and the non believer in xero when it was 30 and 50 and 60 and it keep going up and up and up
Xero was first profitable in like 2019? The share price had grown from a few $1-3 in 2012 ish to $40ish in 2019. Tech does not need to be profitable to grow in value.
It's also important to note that the capital raise was at $7ish, so lots of room for growth based on current metrics and information.
and xero cash flow was shocking in 2009/2010, revenue 2m burned 10m :)
those who sold out and dont understand the model missed out big time
Sadly NZers have largely missed out on the huge gains made on the IT & software industry - a total lack of understanding on how the companies in these sectors build up market presence and future cashflow.
They get sucked into companies like MFB & CBL and then, blame the market for failing to deliver gains to them!
Big rerate to happen over near term. Closed at 2.92 on ASX which is 3.10 here.
Could easily be knocking on 5 handle over mediums term.
Great result and building solid momentum now, glad to have added some in low to mid 2s over past few months. Mostly after Darrin put his hand up by buying on market.
Did they mention why USA didn’t see much growth?
look like USA market on the back burner while they working on booking.com integration
they just laying the ground work for USA market by the look of it. they briefly mentioned they try to signed on more reseller
and bring more CWT content to that market and developing NDC integration. I assume once booking.com integration is bed down
they start putting more resource into the North America market
Haha - my ex-boss always said that one should always celebrate when one has held true to a view and reaps the reward.
Share the joy and success around.
So that's what I am doing with this huge spike in SKO's sp.
Hope no one sold on the way down towards $2.00 but took the opportunity to top up.
Had a little look of this a month ago and didn't take any action. Convinced myself it was too similar to my Webjet and more laterally THL shareholdings and had sufficient travel exposure, despite having reasonable conviction on the sector.
Kicking myself now!
Can't win 'em all or chase every lead I guess.
But pleasing to see a strong performance from a NZX listed growth company...true international growth companies are increasingly rare on the NZX and should be celebrated when they perform (whether one holds them or not)
Congrats to holders.
Its one of the growth stocks of Fisher Funds NZ growth scheme ...I wish they had added it to KFL too when it was down in the dumps ...only Xero and SKO are not part of KFL out of NZ Growth Fund's stocks ....They are bigger on MFT than KFL ...18.1 % !!!
Valuation wise still isn't too bad despite the price jump, remember booking.com happy to pay a lot more for this when SKO revenue was a lot less.
Though they bought for strategic reason so that SKO don't fall into competitor hand because they know SKO got the good tech.
The question one would ask, if some was to replicate what SKO do and embed themselves into many business travel agency
can they do it for $300 Million? the answer is probably no, and even if they can, they lost the first mover advantage which is in tech world it a huge advantage
Imagine what would happen if SKO swapped the word intelligent technology to AI. Boom. Alot of ppl are missing the AI aspect of Serko and the growth potential this aspect has.
Grinding up few cents everyday, probably market anticipating another upgrade at ASM end of this month, taking cues from AIR announcement of strong continual of air travel demand.
Just as an anecdotal evidence, our company (global presence) ELT are traveling pretty heavy in the last few months between AU and Singapore on various business trips after virtually no travel over last two years.
Heading towards $4.00 by ASM date?
Market must have finally latched on to the fact that Serko is not only an early but also, very successful adopter of AI in its services.
"Businesses and organizations are adopting AI, most commonly investing in automation for customer service needs—for example, virtual assistants, chatbots, etc. Other popular reasons for implementing AI include social data mining, human resources automation, enhancing products and services, and translating languages (i.e., Google Translate). Still relatively new, AI adoption is growing across the world among organizations looking to streamline processes and raise efficiency and production standards. AI adoption is the most popular in telecom, high-tech, and financial services industries."
Chart and fundamentals pointing blue skies ahead, not matter of if but when. All depends on ASM commentary and outlook statements. If markets like them, $5 is not out of question in the short term.
Your $5 in short term a certainty now sb9
Things going well in Serko land
http://nzx-prod-s7fsd7f98s.s3-websit...767/397303.pdf
…and love this bit ……. ‘tracks towards positive cashflow for the FY25 financial year.’
Where $5 SP comes from???
Fy24 income $63-70m n total spend $86-90m n with current market value of $400m
Lol..good observation... everyone will be rich now!!!
by the time it go cash flow positive it will have over 70m in the kitty
are we expecting a small maiden dividend in FY25?
if we pick up more customers and more sign up in US market FY25 could be a very good year
development cost probably slow post FY25 as well, so post FY25 we could expecting more revenue and less cost
exciting time ahead
"……………………..
Did not get to $4.00 last week but at $3.85, SKO is now within striking distance of the $4.00.
This comment about Serko’s Travel Mgmt App pretty much sums up just how good the software is and how Serko's early adoption of AI puts the software ahead of the competitors :
"WOW! Leaves the other travel apps for dead. Booked all my flights and hotels in just a few taps, even knew what I was going to select! Cool."
Your phone camara watches your eye movements and the microphone listens to your thinking and then it knows your choice is, before you even make it.🤪
Spot on mate ….don’t forget the old adage that in many cases stock valuations are based on dreams rather than fundamentals
Still have no idea how their business model works or how they make money …that’s assuming that one day they will be profitable.
In the meantime dreams are the game.
their model of making money is fairly simple, it is the engine that powered business travel booking, so every time you booked for travel it clipped your ticket
you paid whatever price for your air faire or accomodation, Serko take a cut of it.
it is still a startup it just getting bigger and bigger so a lot of money ties up in development but that should slow down in the next couple years.
in fact they are on their way and it will cost them less and less each year in development
the equation will reverse once most of the development slow down and your ticket clipping doesn't
so lot more money come in from winning new clients and more travel booking > up keep = Profit
Hopefully $5 wont be far. Market cap was around 600m previously, the company is in a much better position now.
Half way to where she was. So could go 100% in a year like it did in 2020.
wouldnt that be nice .
10% in there at the moment for me, .
I think if you have this in your comp choices, it will really help :)
Sky is the limit with this one. Just got to buckle in and wait a few years. Travel has not died down, indeed it looks like people are travelling more now.
Prominent booking.com signage at woman’s World Cup
Serko and booking.com connected aren’t they …can’t keep up with such things
CWT partnership went live last week bring it on, more customers, more booking
Analyst predicting Serko will either hitting the upper guidance or will beat it
this prove it, I expect serko meeting the upper guidance or beats it, second half travel exploded
Corporate Travel Management (ASX: CTD) expects full year FY23 guidance to be in the range of $165-$170 million, delivering a 2H23 underlying EBITDA of $113.7 to 118.7m. CTM’s 2H underlying EBITDA will more than double 1H23’s result of $51.3 million, indicating strong momentum into FY24.
Booking hits new 52 week today, very strong travel industry atm. Just matter of time for sko to take off..
After todays good update from Bookings Holdings I thought that Serko might show some interest.
I also feel heartened by recent WEB.ASX and CTD.ASX announcements.
10 years is a long time. Wonder how much cash they have consumed in that time. Interesting
Booking reached another 52wk high overnight at eye watering $3063 and CEO had a very upbeat commentary on travel demand, no signs of slowing.
https://itbrief-co-nz.cdn.ampproject...ravel-to-life²
I came across this and thought it was interesting although is from 2 years ago. I am confident you're just joking W69, but some people really may not know what they do
Interesting article on booking.com
Booking.com’s Glenn Fogel: ‘Every day we have to fight for customers’
https://www.ft.com/content/48c23844-...b-a5fa891f7f44
The crowds of travelers filling airports in many parts of the world this summer are a telltale sign of what’s ahead for tourism. By 2033, travel is set to become a $15.5 trillion industry—accounting for more than 11.6% of the global economy. This represents a 50% increase over its $10 trillion value in 2019, when travel represented 10.4% of the world’s gross domestic product.
We only need a fraction of this economy :)
I have a question: Serko seem to have a great product for corporate/government travel, so much so that a giant travel company like booking.com feel the need to integrate the tech.
Does the product have any capacity whatsoever to expand into something that could also serve the individual/consumer travel market as well?
While the wider market looks shaky, this one has quietly moved past $4 and looks strong.
The amount of air travel this year has been insane. If this continues and Serko continues to clip the ticket from taxi, flights, hotel bookings etc the future is bright.
Yeah it's having a nice little rally from August levels eh Silu.
Always kicked myself for not taking up a shareholding earlier this year. Growing very well.
Rationalised it as I have a big holding in Webjet, which for an old fashioned guy like me I can still wrap my mind around its valuation. It's having a little correction from its July highs as investors ponder how sustainable the travel rebound will be, macros, interest rate et al. So I don't know how robust the consensus is but w/ a current year PE of 22.8x, and next of of 17x, I can get my head around that. Quite a unique business with a lot of strong market positions.
I watched it for ages as it rose and rose and never invested as it went into the nosebleeds. Come covid it crashed and there was a whole lot of cheeky investment by brave instos going into travel companies punting there would be massive discounted rights issues (which made those investors a lot of money) so I followed and bought a parcel in late March at around A$3. Not long after it went into trading halt and they raised $270m, with the ability to take oversubscriptions and go 2x your pro rata, for A$1.70/shr. I took 2x my pro rata and nearly doubled my investment. Three and a bit yrs later its hovering around $7/shr. My initial purchase came w/ a div that was deferred and took a while to pay but I got that and its back this current yr to paying divs.
It's WebBeds business is going great guns and I reckon it'll continue to grow well and re-rate higher as it does.
True, but how much of this is consumer vs. corporate/government travel? (Corporate/government is where Serko gets its revenue, unless I’m mistaken?)
At least here in NZ there has been a big crackdown in last quarter on Government department/SOE travel, only essential now permitted in most teams.
$26 m in FY2020 - pre covid , SP $5.50 ish
48m in FY2023 SP $2.50 ish. ( $6 by Christmas .?)
and guidance to up to
$70m for FY2024
$100m by FY 2025 and profitable expectation.
may be $10 SP by then, unless we get another lock down, which I fully expect to happen in the next 3-4 yrs .
Looks like there are signs of another run starting ?
Lots of buyers at the mo.
82,000 buyers over $4.10 and only 7,000 under $5
Looking good for further gains from here..could be knocking on 5 handle soon hopefully with help of a nice trading update.
There has been a global sell off associated with bonds. It take at least a few months for all markets to recover :)
Looking forward to the results on the 15th. Anticipating that the results will be good. Any ideas from anywhere else? Share price has been a good year so far .
Booking.com up 10% since they reported last week
crazy big market cap - $100b
yep ,I feel the same.
SP getting ready to respond if they do. up again today.
https://www.nzx.com/announcements/421665
SUMMARY FINANCIAL RESULTS
• Total income of $36.3m, up 87%
• Online bookings of 2.5 million, up 26%
• Completed room nights on Booking.com for Business of
1.3m, up 192%
• EBITDAF loss of $0.8 million, a 96% improvement
• Net loss after tax of $7.2 million, a 64% improvement
• Average monthly cash burn of $0.6 million, an 84%
improvement
• Increase to FY24 guidance for total income to $67 million
to $74 million
The only problem is that I don't have enough shares in SKO.
6 monthly revenues last 2 periods $28m and now $36m and second half about $38m ….heading right direction
What does Serko get out the 1.3 million completed room nights on booking.com?
Could retate to $6 very soon, wait for ASX to open and brokers upgrades to come through following the investor call.
excellent result and clear road to profitability with plenty of cash left over in the kitty, time for her to takes off