UBN - Urbanise.com

[System]

Urbanise.com is the first cloud-based platform designed specifically for delivering services to buildings.

Facility Managers, Property Managers, Corporate Real Estate Owners and Utilities and Telcos all use Urbanise to extend and enhance the range of services they deliver. Integrated into the world's largest towers and adopted by the most prestigious communities, Urbanise is changing the way services are provided to buildings and the people who live or work in them.

http://urbanise.com

 

[fergee]

UBN are reporting end of Feb(sometime) and judging by previous earnings reports they will be very close to breaking even and on the road to becoming profitable. As they are subscription based the income should be consistent and along as they grow the customer base income will increase nicely. They seem to have a toehold in the UAE and South Africa. UBN currently hold no debt and from what I can make out the main development period of their product is basically over. Currently 40m~ market cap I think people have started to notice and volume has been increasing since mid last year.
Disclaimer: I don't own this company.

 

[Trav.]

Chart looks good to me as well. not much doubt that it will break .07 and then away she goes.

 

[fergee]

 

[fergee]

Looks like there's an almost perfect, yet to be completed, inverse head and shoulders forming over the last few years. A break out over 10c could see a really nice pop. @Trav. what do you make of the charts?

 

[Trav.]

@fergee some musing on the daily chart below

 

[fergee]

@Trav. Nice chart. What is the green and yellow line there?

Can see the trend in earnings and revenue has been improving also. Good possibility they will be in the black very soon which would be a good trigger for breaks over 7c + 10c.

 

[Trav.]

@fergee The green / yellow line is my ribbon that just confirms the ADX and MACD is rising, as shown in the bottom pane. Just another visual confirmation for me that can be used as a filter on the buy signal.

I don't normally trade this type of stock as I have been burnt too many times, but my system did give me a buy on the 24/1 which was that lovely green bar.

 

[fergee]

Exerts from the 2019 annual report

"At 30 June 2019 Urbanise had a net cash position of $3.7 million with no external debt or borrowings."
-Reasonably solid cash position for a company of 63 employees and a few offices.

"The net cash outflow from operating activities, capitalisation of development cost and spend on PPE reduced by 64% during FY19 to $3.3m (2018: $9.2m)."
- This to me implies the bulk of the product development is almost complete and the big cash out flows are over. Although they do mention that they will keep investing in innovation.

"Urbanise will continue to invest in product development to enhance existing solutions, expand the number of features and applications provided and develop new solutions."
-As a provider of SaaS they need to do this to stay competitive, so good to see.


"Emphasis on achieving cash and profit break-even by driving sales and cost containment
Further improve working capital position and free up cash with emphasis on trade receivables"
-Looks they are talking the talk, time will tell if they walk the walk.

"Urbanise has invested in operations in the Australasia, Middle East and South African regions, and will continue to grow scale in these regions while some of the development function remain in Bulgaria. Further geographic expansion will occur only after critical mass has been achieved in the current geographies."
-Scalability is the key! Good to see them being prudent and waiting to get this right before scaling up.

 

[fergee]

@fergee The green / yellow line is my ribbon that just confirms the ADX and MACD is rising, as shown in the bottom pane. Just another visual confirmation for me that can be used as a filter on the buy signal.

I don't normally trade this type of stock as I have been burnt too many times, but my system did give me a buy on the 24/1 which was that lovely green bar.

Did you take the trade?

 

[Trav.]

Did you take the trade?

@fergee no mate as I have filters that prevented me from seeing this signal. I assume that you are in ? and if so I wish you the best.

another good indicator is the sector that UBN resides in has been doing well this year.

 

[fergee]

@Trav. Na mate Im not, no spare capital right now unfortunately, just watching out of curiosity.

Good point, Industry strength is a great indicator.

 

[frugal.rock]

Yeah, it seems to have gathered a heartbeat from around September.
From what's been said and looking at the chart, the volume pickup from September and SP rising, yes, looks good. Seems to be a gappy stock with low supply thus increase in sp on what can only be described as moderate low volume.
I suspect supply will kick in around the 10c mark.
A good Ann or 2 should see a bit of action with a potential breakout over the 10.
For a speccie stock price, seems to have potential with interest building.
Like you say Fergie, the break even point will probably be taken positively and be a tipping point.
If the startup price 5 years ago or so is any indication, it seems like the bottom is well and truly in.
Cheers.
F.Rock

 

[fergee]

Yeah, it seems to have gathered a heartbeat from around September.
From what's been said and looking at the chart, the volume pickup from September and SP rising, yes, looks good. Seems to be a gappy stock with low supply thus increase in sp on what can only be described as moderate low volume.
I suspect supply will kick in around the 10c mark.
A good Ann or 2 should see a bit of action with a potential breakout over the 10.
For a speccie stock price, seems to have potential with interest building.
Like you say Fergie, the break even point will probably be taken positively and be a tipping point.
If the startup price 5 years ago or so is any indication, it seems like the bottom is well and truly in.
Cheers.
F.Rock

Its got more gaps than Madona's teeth!
I think they have raised capital multiple times and diluted the float another reason for the big decrease from IPO so it probably wont get back to that level for a while. I can see a case for the circa 30c region if they start to make profits and increase customer base.

 

[fergee]

Urbanise.com Limited (ASX:UBN) today released its first half result for the six months to 31 December 2019.

Licence fee revenue of $3.80m, up 33.5% on H1 FY2019

Total revenue of $4.56m, up 17.4% on H1 FY2019, 83.3% recurring

EBITDA loss of ($1.29m), down 24.2% on H1 FY2019

Net loss of ($2.06m), down 6.7% on H1 FY2019

Annualised recurring revenue (ARR) of $7.85m, up 33.1% on H1 FY20191

Backlog of $1.60m as at 1 January 2020

Average monthly cash used of $218k for H1 FY2020, down 33.3% on H1 FY2019

Closing cash balance of $4.59m, includes $2.20m net proceeds from institutional-led private placement in December 2019

 

[fergee]

 

[fergee]

UBN has broken out on high volume. Looking like they will be in the black by years end as per plan.

 

[Dona Ferentes]

some commentary from Naos:
After an almost 6-month search process for a new Chief Executive Officer, the UBN board of directors announced that the interim CEO and current CFO Simon Lee would be appointed to the role of full-time CEO and Executive Director. Even though we felt the process took an inordinate amount of time we firmly believe that Simon’s appointment is an excellent decision.

Within the announcement a number of other notable points were released, the first of which was that the project with Colliers Australia continues to progress. This in turn has led to engagement with other Colliers entities in their Asia Pacific portfolio. Secondly, management and the board stated that they continue to believe the cash position of the business will be sufficient to get to a sustainable cash position by Q2 FY23. Keeping in mind that UBN recently lost Ventia (ASX: VNT) as a client, if this statement proves correct we believe it will demonstrate the current health of the sales pipeline and management’s ability to convert these leads into signed deals over the short term. UBN will provide a detailed Q4 FY22 update in July, and this should provide more clarity on why the board and management remain comfortable with their current cash position.

.... is a six month search to then settle on the CFO/ acting CEO as the new head honcho a real vote of endorsement?
.... $1.50 to 65c via 40c in May. market cap < $40million

 

[Dona Ferentes]

two years on

$28M market cap


Urbanise.com is an Australia-headquartered cloud-based software business, providing solutions for both the strata management industry as well as the facilities management industry in the Asia–Pacific and Middle East regions. The Urbanise Strata Platform is a market-leading accounting and administration software system used by strata managers across ~650,000 individual strata lots. The Urbanise Facilities Management Platform is used to aid the maintenance of property assets and supervision of contractors across various sectors including aged care, retail, commercial and essential infrastructure.