They might in the next announcement.
My prediction. Three bits of positive news, then a capital raising, within a month.
(No inside knowledge. Just a cynical guess)
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Very very strange that the announcement is from Leanne Graham, CEO of GeoP? I thought she resigned in September?
Weldon is too busy now with MediaWorks to be concerned about GeoP.
Problem for him this time round is that he is the Chairman, and is totally identified with the formation and IPO of GeoP. Cannot run away and hide like he did when DIL blew up after listing,.
Graham reassigned herself to a more specific US role.
Announcement in September is clear : "GeoOp's Chairman Mark Weldon says, "Leanne led the company through its
transition from a private company to a successful listing on the NZAX in 2013
and under her leadership GeoOp has continued to grow. Leanne has built a
strong team of executives around her and has made a significant contribution
to GeoOp in her time as Chief Executive. She moves into her new role to
accelerate development of the important US market."
So why issue a statement in her name as CEO?
BTW, nothing surprising about Leanne leaving GeoP - Weldon's track record at NZX is there for all to see.
GeoP's ability to attract a suitable CEO with great credentials and ability is highly questionable imo.
Factors (all negative) to consider :
1. First job is to do a capital raise - a yucky job given how badly investors have been burnt in the IPO so far.
2. Putting up with Mark Weldon and his ego - few executives lasted at NZX.
What's happening to this Company, down to $0.37 today. Must be getting to a point of being a bargain buy. I seem to remember Diligent being at 10 cents once upon a time. Anybody thinking of taking a bundle of these?
0 more likely. I don't see them getting to the scale they need to be profitable - their price point is too low.
Contrast to XRO which will get profitable, it's just questionable whether it is worth $2B.
What is the purpose of this (missed it yesterday)?
https://nzx.com/companies/GEO/announcements/259406
it was disclosed in the accounts but they did well to hid the announcement late on Christmas Eve. There was probably a loan associated with it so they had to buy back or it would be a disincentive, not an incentive. So it is probably neutral for her, rather than a nice premium as it looks.
They structure it this way as share options are complicated in NZ.
Harvey, it was $1 for 500k shares, not $1 per share! Equal to a peppercorn rent back ye olde times. Bizarre as I've never seen anything like this before. Seems like a f***** up Xmas present from "lofty" Weldon to Graham for not performing. How he's going to fix it and, more importantly, who he is bringing in to replace her is the question.
I had a very long and vivid dream last night about owning a huge amount of GEO shares and trying to hock them off to anyone and everyone. I was wandering the streets of Wellington engaging anyone who would stop and talk. I eventually ended up down by Aotea Quay near the stadium and train tracks with a train hurtling towards me. I woke up screaming. What makes it more bizarre is that I never dream anymore...
If you see Mr Weldon today give him some sympathy and somr pieces of leftover Xmas ham. I don't think I could go through that routine every night!
Is that a cap raise I can smell coming with a near 100% gain on no news???
What's with the sudden interest in this company? Just when I thought of buying a few they have jumped 20cents. Maybe others have seen a bargain share to trade on? Hoping to make it to the Heritage meeting on the 31st BFG.
Yup. Rights issue a-coming.
So for those unfortunate holders, when do you think would be the best time to exit and at what price? I am assuming you think there will be a ramp up in the sp, and then a fall once the cap raise is announced? Sell side currently looking thin (as is the buy side), with only $30K on offer below $1.50, so there is potential for a buyer to move the price rapidly, but are interests associated with the company actually allowed to influence the sp in the lead up to a capital raising?
Anytime would be a good time to exit this dog! The ex-CEO was just basically put on the naughty step with all her performances shares being bought back for a single dollar. $1, for ALL of them!!!
Yes, I have seen this happen way too much on the ASX to be fooled by it. Cap raises are usually after a "feel good" announcement, but it appears GEO doesn't even have one of those to announce. Of course people associated with the company can't trade in shares, but that doesn't mean they can't give a nudge nudge wink to others with money and associated interests. Sometimes it is also the underwriter for the cap raise to get a better price for the company.
The VWAP average price will be based on a 5-10 day trading average, with a probable 5-15% discount to this price being set for the cap raise.
I'm not saying that's what's happening here, just saying it's a very possible hypothetical situation ;)
What an absolute abomination of reporting this is:
https://nzx.com/files/attachments/207007.pdf
No reports on client retention/churn, CAC, lifetime value of a customer, or whether the licenses were paid at normal prices or cut rate trial prices.
This company is in trouble even just looking at those paltry numbers. Stay WELL away.
Agree. Customers numbers are important but in isolation, mean very little. Xero is also guilty of these 'vanity' market disclosures in the past but at least they are improving to ensure some of these more important metrics can be determined.
I assume these guys will end up on the NXT so hopefully shareholders will demand that all these metrics are included in the quarterly disclosures.
I think they mentioned on the NXT there is a mandatory qtrly update that has the things that we mentioned above. Not sure how this is enforced or what exactly they are supposed to disclose.
Increasing customer numbers and getting a good price for the product are what I would like to know as this will influence the ARR. Overall happy with the growth but not if they are giving the product away.
Correct. What are the relevant metrics needs to decided by the company but I customers numbers alone wont cut it. There will me market research undertaken (paid for by the NZX) so I would expect that company so be explicit on what metrics they see as important for them to do their job.
Time will tell whether the NXT delivers - the NZAX definitely hasn't.
Have we all given up on GeoOP?
What a farce,today's trading......Obviously everybody is doing other things or the share price wouldn't have taken that jump...IMHO.
https://nzx.com/companies/GEO/announcements/263877
GeoOp, the workforce management software company, today announces a new Product team.
"Our plan involves a leaner operation, focusing on product enhancements and faster release cycles for our customers. At the centre of this strategy is the new Product team led by one of the GeoOp’s founders, Brendan Cervin. This team is dedicated to making our product better, and improving customers' experience with our application.”
As part of the organisational realignment, CTO/CIO, Jamie West, and CMO, Tim McFarlane, will depart the organisation on 4th August 2015. GeoOp thanks Jamie and Tim for their significant contributions to the team.
If that is their new plan, it does make you wonder what their old plan was!
"The old team was dedicated to making no changes to our product, and making customers experience difficult"?
I think they thought they were the next Xero to early. They should have started lean, with faster reiteration. From what I can tell, thats how Vend and Timely started with Vend breaking out of that only once they got big VC money.
Yes - capital raise will be tough. They need to be showing more traction.
Revenue growth over 150% and customer growth of over 80%. Currently priced at 13x AMRR which is high but not as high as Xero. Factor in their revenue for the year and they just have 1 year left of runway at current burn rate.
Capital raising is definitely needed and I wonder if the change in year end (to 30 June) is so that they can present accounts with improved performance over the 3 months to June before the capital raising. Revenue growth looks good but costs still look out of whack.
AMRR of $1.4m so trading on a 8x multiple so looking better.
Interesting they have applied to move to the full board. I think the NZX should reject it and make them move to the NXT given their market cap is only $11m. Quarterly reporting of SaaS metrics would also help investors. If NZX wants the NXT to be successful, they cant allow companies that should be on it ditch it for the full board.
The Market maker on the NXT would also give a bit of confidence that you can get out of a position quickly too.
I've always thought they were trying to play in the big boys arena before they are ready and this is more evidence.
Maybe they are expecting rapid growth? But even then I do agree that going to the NZX main board with only $11m market cap is a bit ambitious, I am worried that the extra compliance costs could increase costs significantly (but I am not sure so thoughts on this would be much appreciated).
I suppose extra exposure the NZX main board has will mean people look and track the stock more? more liquidity?
I still think GEO has great long term potential, just needs a bit of time (like PEB and XRO)
(Disclosure: I don't hold, but close people to me do)
I don't understand the thinking behind that in this day and age. How does a "main" board create more exposure? All stocks have a 3 letter acronym regardless and they are all accessible thus on our pc's/tablets. I gravitate to an AX stock as easily as to a NZX stock....
Happy to be corrected.
To be honest, I don't really get it either... but this is just what the market seems to do/say... I am just as interested in say Burgerfuel as I am with Fletcher Building (in fact I am hungry to watch Burgerfuel more than I am to watch Fletcher Building)
In theory the NXT should have more exposure because they will have an analyst report (how many outside the NZX50 have those) and they have a market maker to give liquidity (to small traders).
Having said that, I am not sure how easy to trade an NXT stock is - is it the same as a NZX one (once you are set up) or have they added an level of complexity which will scare people off? ANZ and ASB have full electronic trading for NZAX stocks so no impediment to trading there so hopefully it is the same for NXT stocks..
They have announced the details of their SPP. The price is the same as the current market price (48c) so I dont expect there will be any takers. Normally you get offered a small discount. Glad I didn't buy in to get the arbitrage.
Option B should still be of interest.
The 5 day averaging period for the SPP opens tomorrow, current share price $0.45 compared to the placement price of $0.48. It will be interesting to see if there is any price pumping. Lots of discussion happening on the NBR site http://www.nbr.co.nz/tags/geoop.
Those NBR posts are hilarious.
The two new investors have been announced (http://www.sharechat.co.nz/article/5...placement.html) not sure how VC's are going to help out but it is a vote of confidence. Will be interesting to see if they can increase their scale but I still dont think their unit economics work.
Looks like the NBR are not allowing posts on GeoOp articles anymore. http://www.nbr.co.nz/article/geoop-l...arter-b-180372 I think I'll be waiting a while before the shares get backup to my purchase price. If ever.
They have disabled all comments on all posts as they let a dodgy one through over the weekend so need to review their procedures.
I must say it does make reading the NBR a bit more boring.
GEO Op is finally moving in the right direction. Growth only 40%ish but they seem to be keeping costs constrained (staff numbers down).
They have a long way to go to make the business viable unfortunately. Lots of competition. They need to increase their client base 4 to 5 times on existing overheads or drastically reduce staff costs. I think they are keeping it alive to safe face but that can only last so long. Hopefully they will turn it around.
2015 Report out now.
To be honest I'm a more than a bit pissed off. Am I missing something here?????
https://www.nzx.com/files/attachments/223216.pdf
So with a total revenue of $1.7 over 15 months.. $614,000 goes to the Directors.. How is this not lining their own pockets at MY @#@#$@ expense. Including a whopping total of $355,000 to Mrs HYPE herself Leanne Graham.
What a scam.
YOur not the only one who has picked up on this. https://twitter.com/benkepes
https://twitter.com/benkepes/status/657028714341924868
That graph on page 4 should frighten the hell out of any shareholder. Their customer growth rates are slowing, from a peak of 54% QonQ in Q1 of 2014 they have only grown customer numbers by 7% in the last quarter. Certainly not the sort of figure you expect for a 'growth startup'.
I find this article quite fitting.
http://recode.net/2015/10/22/the-arr...ampaign=buffer
The new partnership with www.mycloudcure.com looks good for future growth in the US and Canada. Share price up 10c (25%) yesterday. :)
Hopefully they will be able to add the 40,000 to 50,000 base users they need just to be solvent. I doubt it. I don't know how many more funding rounds they are going to be able to do just to keep afloat. As an investor I put dibs on the half circle couch.
Let's face it, GeoOP is just a way that Leanne can pay herself $350,000 a year at the investors expense.
I would be very cautious to think success will come to GeoOP because Mark Weldon's involvement. There are plenty of supposedly clued up people who got involved with dodgy finance companies, tech tyros in years past and the like.
The better question to ask is - "What is GeoOPs sales force like?", because from what I can see, its not that impressive. Signing up distribution agreements for a major market like the USA suggest that GeoOP have no idea on how to break into the US market, and/or lack the cash to build such a great sales team.
Looks like we are going to be stuck with sub 0.40 share prices for sometime/ever? I can't see GeoOP recovering.
If they have not made significant increases in income and actual user subscriptions I think it will be end.
[QUOTE=Yeshiva;603716]I would be very cautious to think success will come to GeoOP because Mark Weldon's involvement. There are plenty of supposedly clued up people who got involved with dodgy finance companies, tech tyros in years past and the like.
A cynic would suspect Weldon and the other launch director/investors quickly realised they'd been sold a pup. It wouldn't have gone down well that Graham has a stack of shares and at the current share price is the only one of the three launch directors still in the money on their original investment.
Leanne Graham was moved sideways relatively shortly after the IPO, stripped of her options and hasn't been paid directors fees. The replacement CEO cried off, supposedly for family reasons, since then there's been an ongoing reshuffling in the top management culminating in the CFO recently leaving to pursue other opportunities, which is usually an euphemism for being given the push.
GeoOp's disclosure has been so appallingly bad you have to feel sorry for the original investors who hung in after paying the full ticket price, in doing so collectively taking the biggest hit. Perhaps the CFO simply had a conscience, he would certainly know how bad GeoOp's fundamentals are.
The launch directors were not "sold" a pup I don't think. If you look at what some are paying themselves it stinks to high heaven. The cynic in me thinks they are just keeping the head above water so she can take the pay check and doesn't really care about the share price or long term sustainability of the company. Also being a strategic advisor is very convenient as who wants to be the CEO when the **** hits the fan.
I would like to know what happened to the US market that Leanne was supposed to heading up and pushing. Where they at Xerocon for the last few years in NZ, AU or US? I don't think so. How much time and money are they spending in the US market?
Looking at the share price and the thin market it is, I get that most other shareholders are just holding on hoping they can bail at some point. They don't want to cut there losses. Either do I which is the only reason I have not sold.
The fact remains that it is now a very crowded market with other more professional, better managed and profitable companies doing a better job. The only thing that is keeping their numbers up is the telco (mainly) partnerships and some other smaller partnerships which is keeping the churn rate slightly above into a small positive growth.
GeoOp is and will never be a Xero, its a simple app, that it can easily be replicated as has been shown by all the competition.
If they have not increased their revenue considerably AND reduced their expenses they will never fly. The next quarter report will be critical as I know that I am many other shareholders are sick of holding our breath.
The fact is, we were sold a pup. I take my hat of to the Hype team.
So the founder and majority shareholder of GeoFLOP sells from what I can see 10% of his shares. Food for thought. https://www.nzx.com/companies/GEO/announcements/277827
What does he know that we don't?
whats happening here... down to 30 cents at close today? Cannot believe (hindsight is a wonderful thing) the price this got to just after the IPO.
Sadly the end is nigh. Why else would the founder by selling his shares?
Geoop didn't give a market update for the Dec qtr, first one they have missed. The market rules require them to give a 6 month update for the Sep/Dec qtrs by the middle of next month. You have to think its already drafted and its not going to be pretty.
As of late, GeOP extremely aggressive with their sales campaign. We've also received countless offers of special deals for signing up additional customers.
The whole thing is bs. It was just a way for pre-ipo shareholders to make $ and for Ms Graham to pay herself a million dollars over 3 or 4 years as "Strategic Advisor". Why doesn't **** stick to people like this?
Wtf are you talking about with "clients"? We shareholders and in my case have lost tens of thousands by putting faith in people who initially looked and smelled good but who are obviously full of it.
I'm alienating clients? I think GeoOp is doing a great job themselves and I highly doubt the "clients" are reading this forum. If they are it's probably a good thing so they can move their company and to another solution before the whole thing falls over. I know three people who have left GeoOP for other solutions either due to bad support, bugs or lack of functionality.
No one's claiming you are alienating clients; all I said was that clients share your view about the company obviously due to management's actions/reputation, and this makes it much harder to attract and retain customers. So the bottom line is that I am agreeing with you.
GEOOP Announces Acquisition Of InterfaceIT Pty Ltd
https://www.nzx.com/companies/GEO/announcements/279128
I was about to quit this dog but maybe things just got a little interesting?
"Revenues of the combined entities were $4.3M at December 2015, including Callaghan grant revenue for GEO. Operating costs of the combined entities were $8.4M at December 2015.
Combined losses were $4.2M at December 2015. "
Cash flow will be an issue and a capital raise must be on the cards, but at revenue of $4.2M and high growth rates for both companies, with some good cost control profitability may be achievable in the next 18-24 months.
Would be interested in others comments and thoughts.
So it is a technology acquisition or a customer acquisition?
If the companies are the same size, then does that mean the value of GEO should be $9m as well?
What is the growth rate of the new company?
A lot more info would be need to determine if this will save them.
I was at the shareholders meeting and there was some stuff there that raised eyebrows. i.e. the Chairman waxed on about how much value the listing and board members brought to the table and one of the examples given was that through their smartness they somehow reduced the amount of re-writing of software. Later in the meeting someone asked why the company wasn't as responsive as some competitors with new features and the reason given was that there was a lot of code-rewriting to be done. There were a few other little niggles like that that cropped up during the session that were just left to slide, but overall I was fairly ok with the situation. The offices possibly looked like they would have cost more than they probably should for a business in establishment phase and there seemed to be something weird going on with Leanne Graham, but as long as the costs don't spiral out of control and as long as they continue growing monthly revenue then as a business it should be a going concern and may even go on to become a good one. The good thing about SAAS is that you don't actually have to take over the world and it's usually not a winner take all scenario (like Google with search or Facebook for social or Linked in for networking) - if they run a tight ship and stick to their knitting then there's every reason why this business can go on to flourish.
I don't care about the share price, and I won't for a couple of years, but I do wonder about where all these shrill comments such as "if this will save them" are coming from - if you have any info then please put it on the table.
The value of the company is the value of the idea and its ability to execute, as you mention the share price isn't a relevant measure because trading is so shallow. That’s why I think it’s a little crass* to be annoyed at executives for not delivering in this case. Everyone knew what the deal was from the outset.
*However in many cases of better established companies I think long term shareholders would generate more value through being much more confrontational.
"but as long as the costs don't spiral out of control and as long as they continue growing monthly revenue then as a business it should be a going concern and may even go on to become a good one."
This topic is getting a thrashing on the NBR site http://www.nbr.co.nz/tags/geoop
A pretty damning analysis by Aaron Bhatnager via nbr
https://soundcloud.com/nbr-radio/ven...l-saas-metrics
Another company I can't understand.
34,225,501 shares on issue.
At 37 cents the market cap is $12,663,435.
Yet the revenue is only $1mil and that includes grants of $284,000 from Callaghan Innovation.
Being profitable appears to be a long way off.
So $0.26... officially junk stock yet? Just shows the stupidity of this company. Spending lots of money is not a business plan.
SSH Notice - Silvia Trustees Limited - The founder is selling out. This is the 2nd time he has sold his shares in the last few months. What is going on?
Obviously the new deck is bigger and costing more than they thought :)
Seems he's selling out to fund his new venture. Extracts from an article in the NRB on 2nd March, other news feeds also covered this:
> Kiwi entrepreneur Nick Bartlett, the co-founder and original chief executive of (whisper it) GeoOp [NZX: GEO] has launched a Kickstarter campaign for a device called Bluejay – a mount for your smartphone with built-in Bluetooth.
> The Bluejay campaign launched four days ago and as NBR types has raised just north of $US55,000.
> Its public goal is to get to $US80,000 by March 31. But Mr Bartlett says his company's internal goal is to hit $US200,000-plus (with Swedish rounding, call it $NZ300,000).
> After selling out of GeoOp, he moved to Europe with his Slovenian wife. The pair are now settled in Slovenia for the foreseeable future.
The most interesting question about GeoOP's recent trading activity relates to 15th January when the share price spiked from $0.40 to close at $0.50, a 5 month high, over the next 2 days it fell back to $0.38 and has trended downward since. At the time the $0.50 close appeared to be an outlier, except GEO's subsequent half year update disclosed the company had vested 50,000 shares to the CEO on 29th January on the basis the share price having closed at $0.50 on 15th January. According to the update the incentive scheme shares would be "awarded upon the Company’s share price achieving certain share price targets (based on end‐of‐day pricing on a specific trading day)".
A salties are smelling blood (Darwin competitor). https://try.servicem8.com/switch_from_geoop/?gclid=CJ62qM38hcwCFYJjvAodBXcEbA
Ok, so let me get this right.... GeoOp has never made a profit, from what I can tell the are almost out of money. They are going to buy a company with no money and list on the ASX with what track record? All I can see is that they are going to try to fleece even more people? Thoughts?
https://www.nzx.com/companies/GEO/announcements/280888
Well at least I wan't the only one scratching my head and looking at the lint in my pocket.
Yep, you'd have to be crazier than a monkey brandishing a maraca on a banana skin high to touch this thing. I'd been looking it over from a contrarian viewpoint but, oh lordy, what a mess... This might be the single worst stock on the NZX. I stand to be corrected as that's a mighty low appraisal...
http://www.nbr.co.nz/article/media-b...ting-cg-188581
Bad bad sign.