It’s quarterlies season again as the ASX market announcements page becomes increasingly flooded with lodgements.
Just when investors are about to write off the software sector post-pandemic, the latest results show they still could pack a punch.
Crowd Media (ASX:CM8)
Crowd Media has reported a positive cash flow of $36k in Q1 as the company continues its growth to profitability.
The positive cash inflow of $36k compares to -$4k of outflow in the last quarter, and a 210% improvement in comparison to the operating cash flow of the prior financial year.
The company’s balance is solid, with cash at bank of $2.57 million at 30 September, and no debt.
Crowd has also had a very productive last three months.
During the quarter, a Tier 1 Big Five tech company (which cannot be named due to confidentiality clauses) has purchased three licences for Crowd Media’s Talking Head platform for two years to provide them with a digital avatar.
The digital avatars will be designed in collaboration with the client and be programmed with conversational AI functionalities to support daily operations.
The initial 2-year licence is a cornerstone in Crowd’s relationship with the company and opens further commercial opportunities.
Meanwhile, commercial interest for Talking Head has accelerated following Crowd Media’s feature at the World Telemedia conference in Spain with a keynote presentation, along with the Global Carrier Billing Summit in Germany.
The company says it’s now exploring new marketing channels, particularly social media channels, for the distribution of new products based on the in-house AI-powered Talking Head technology.
“Conversational AI has the potential to transform workplaces, delivering better experiences for both employees and customers,” said Crowd Media’s CEO Idan Schmorak.
“We are delighted to be working with such a forward-thinking company that has employees located around the world, and millions of customers.
“This is just one example of how progressive businesses can utilise conversational AI to automate procedures in a humanised way.”
Playside Studios (ASX:PLY)
Game maker Playside’s quarterly revenue was $6.5m, up 60% on pcp.
Original IP revenue was $2.3m (down 14% on pcp) while work-for-hire revenue was $4.1m (up 211% on pcp).
For the quarter, the company ended up with cash receipts of $7.2m, and an operating cash outflow of $0.8m.
Cash at bank at end of quarter was $34.7m.
The quarter saw the global launch of Legally Blonde, which was featured worldwide by Apple on the App Store.
Playside also had a soft launch of Dino Warfare, Idle Recycle, Dumb Ways To Sleep, and appointed a new chief strategy officer in the September quarter.
Complii Fintech (ASX:CF1)
The financial Saas company reported receipts from customers of $2.2m in Q1 FY23, a 205% increase from the pcp.
The company has maintained its trading volumes and numbers of trades executed for the third consecutive quarter.
It also continued to produce strong growth in both recurring revenue and transactional revenue.
During the quarter, Complii signed six new clients bringing the current total to 127 AFSL firms (including market leading local and overseas owned firms), who each subscribe for at least one or multiple modules/services provided by Complii.
At the end of the quarter, cash of bank stood at $6.486m, an increase of 98% from the pcp.
Swift Networks (ASX:SW1)
Swift has continued its focus on the delivery of its Swift Access solution during Q1.
This focus has been rewarded with the signing of a $3.4m contract with Mineral Resources for its nine mine sites.
To bolster its balance sheet, the company has secured a three-year, $7.7m Finance Facility with expiry extended to 30 September 2025.
At the end of the quarter, Swift’s cash at bank stood at $1.9m.
Orcoda (ASX:ODA)
The software firm had a record quarter in terms of receipts from customers, very positive operating cash flows, and good growth in total income driven by underlying growth across all its businesses.
Quarterly receipts from customers were $6.8 million, representing an increase of 59% compared to the last quarter, and an increase of 49% compared to the pcp.
Orcoda also reported cash flow positive from operations of $1.7 million for the quarter, which is an increase of 114% compared to the pcp.
The company has a robust balance sheet with cash and equivalents of $3.5 million as of 30 September to fund investments to drive growth.
EZZ Life Science (ASX:EZZ)
The genomic life science company reported a significant increase in receipts from customers of $1.4m from last quarter, and by $2.5m on the pcp.
Oerating cash flows in the quarter turned negative due to increased advertising expenses and manufacturing expenditures in preparation of major shopping events both domestically and in China, which will take place during the upcoming quarter.
The company’s cash position remained robust with a balance of $9.2m at 30 September.
During the quarter, EZZ commenced trading on Douyin (mainland China’s version of TikTok) and generated $1.8m of revenue in the first quarter which contributed 38% of the total revenue.
Four new EZZ products were released to the market and the formula has been upgraded for one of the existing core products.
EZZ also partnered with national pharmacy retailer Priceline to run a number of in-store offline activations with Instagram and TikTok influencers to promote EZZ’s haircare range.
James Hudson, the previous director of Corporate Affairs and Marketing for Alibaba Group in Australia and New Zealand, was engaged by EZZ on a part-time basis as director of Corporate Affairs during the quarter.
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At Stockhead we tell it like it is. While Crowd Media and EZZ Life Science are Stockhead advertisers, they did not sponsor this article.