IKE - IKE GPS Group

[Left Field]

What are we missing?

Not missing anything..... well positioned and feeling the love.

[Greekwatchdog]

Not missing anything..... well positioned and feeling the love.

Some broker in Aust has a target price of $1.40 AUD. This from the other channel..

[Left Field]

Looks like Regal Funds is a believer and has helped drive the SP to current highs.

https://api.nzx.com/public/announcement/461812/attachment/455665/461812-455665.pdf

For some holders it's Deja vu all over again. 

[Greekwatchdog]

Looks like Regal Funds is a believer and has helped drive the SP to current highs.

https://api.nzx.com/public/announcement/461812/attachment/455665/461812-455665.pdf

For some holders it's Deja vu all over again. 

And they just bought more https://www.nzx.com/announcements/461999.

Love it when these guys pay double my average price.

[Left Field]

IKE share price down 10% today to $1.025 on small volumes.

Lots of tree shaking going on...... take care holders, your patience is being tested.

[Greekwatchdog]

IKE share price down 10% today to $1.025 on small volumes.

Lots of tree shaking going on...... take care holders, your patience is being tested.

Its only caught up to the falls on ASX over last 2 weeks, hence todays fall

[Left Field]

Its only caught up to the falls on ASX over last 2 weeks, hence todays fall

IKE still showing a 110% SP gain YTD so I guess we shouldn't grumble too much.

[Greekwatchdog]

Trade of 1,959,665 on NZX just before Half Year. Interesting timing.

[Greekwatchdog]

Half Year Result out. All very encouraging.

https://www.nzx.com/announcements/463560

[Left Field]

Half Year Result out. All very encouraging.

https://www.nzx.com/announcements/463560

Better than I was expecting.


Highlights include:
 • Exit run rate (ERR) of platform subscription revenue ~NZ$19.4m annualized (+47% vs pcp).
 • Strong growth of recognized platform subscription revenue to ~NZ$8.8m (+35% vs pcp).
 • Total revenue of NZ$12.9m (+6% vs pcp), noting IKE's lower margin services revenue component is down vs pcp because of short-term volatility in the fibre communications market.
 • Reiteration of FY26 guidance for ~35% or greater growth in platform subscription revenue and EBITDA breakeven on a run-rate basis within 2H26.
 • Gross margin of NZ$9.6m (+18% vs pcp).
 • Gross margin percentage increased to 75% (up from pcp of 67%).
 • Net loss of $4.3m (39% improvement from pcp)
 • Cash operating expenses were materially the same as pcp, while executing the above growth.
 • Launch of AI companion capability within the core IKE Office Pro product, called PolePilot , a game-changing AI-driven automation for electric utility distribution network analysis. This delivers material productivity gains for customers using IKE's core platform, also driving increased ARPU for IKE.
 • Total cash of NZ$34m as at 30 September 2025, with no debt, puts IKE in a strong financial position to execute the product roadmap and market development.
 • In the period, IKE completed a significantly oversubscribed A$24 million capital raise (approximately NZ$26 million), demonstrating strong institutional and retail investor support.
 • In September, IKE was elevated to the ASX All Ordinaries Index, which tracks the 500 largest companies listed on ASX by market capitalization.


Regal Funds still buying IKE..... now at 9.2%

https://api.nzx.com/public/announcement/463563/attachment/457877/463563-457877.pdf

[Minimoke]

Better than I was expecting.


Highlights include:
 • Exit run rate (ERR) of platform subscription revenue ~NZ$19.4m annualized (+47% vs pcp).
 • Strong growth of recognized platform subscription revenue to ~NZ$8.8m (+35% vs pcp).
 • Total revenue of NZ$12.9m (+6% vs pcp), noting IKE's lower margin services revenue component is down vs pcp because of short-term volatility in the fibre communications market.
 • Reiteration of FY26 guidance for ~35% or greater growth in platform subscription revenue and EBITDA breakeven on a run-rate basis within 2H26.
 • Gross margin of NZ$9.6m (+18% vs pcp).
 • Gross margin percentage increased to 75% (up from pcp of 67%).
 • Net loss of $4.3m (39% improvement from pcp)
 • Cash operating expenses were materially the same as pcp, while executing the above growth.
 • Launch of AI companion capability within the core IKE Office Pro product, called PolePilot , a game-changing AI-driven automation for electric utility distribution network analysis. This delivers material productivity gains for customers using IKE's core platform, also driving increased ARPU for IKE.
 • Total cash of NZ$34m as at 30 September 2025, with no debt, puts IKE in a strong financial position to execute the product roadmap and market development.
 • In the period, IKE completed a significantly oversubscribed A$24 million capital raise (approximately NZ$26 million), demonstrating strong institutional and retail investor support.
 • In September, IKE was elevated to the ASX All Ordinaries Index, which tracks the 500 largest companies listed on ASX by market capitalization.


Regal Funds still buying IKE..... now at 9.2%

https://api.nzx.com/public/announcement/463563/attachment/457877/463563-457877.pdf

Regal buying.

Might be about time for another, more realistic takeover offer.

[Left Field]

Regal buying.

Might be about time for another, more realistic takeover offer.

I suspect that's Regal's cunning plan.....however I would prefer IKE to carry on as is.

ps Nice to see the market seems to agree with my "better than expected" from earlier today.

Onwards and upwards.

[Greekwatchdog]

For Bar Review

ikeGPS (IKE) delivered a solid, largely pre-released 1H26 result, supported by continued subscription momentum, expanding margins, and progress on product execution. Total revenue of NZ$12.8m grew +6% year-on-year, with subscription revenue growth of +35% mostly offset by softer hardware and transaction segments. Subscriptions now represent 69% of total revenue, underscoring IKE's shift toward recurring software income and lifting group gross margin to 75% (1H25: 70%). Operating expenses were broadly flat at NZ$14.7m, with R&D and support costs in line with expectations, but sales and marketing was +10% ahead of expectations, at NZ$5.3m, as IKE moves to accelerate resourcing post its capital raise. With NZ$34m in cash and no debt, the company remains well funded to execute its expanded product roadmap and lift sales and marketing capability. Management reaffirmed expectations for cash-flow breakeven on a run-rate basis in 2H26. We make minor changes to our estimates, and our blended spot valuation rises +NZ1cps to NZ$1.13.

What's changed?
Earnings: FY26 EBITDA estimate lifts +NZ$0.5m, while FY27/FY28 fall -NZ$1.1m/-NZ$0.7m on revised cost assumptions.
Spot valuation: Our blended spot valuation lifts +1% to NZ$1.13, on a modestly higher DCF offset by peer multiple weakness.
Subscription momentum maintained
Subscription revenue rose +35% against the prior year to NZ$8.8m, supported by continuing momentum in IKE Office Pro and PoleForeman. Growth reflected both new customer additions and cross-sell/upsell activity, with seat licences up +55% to 9,283 and +12 net subscription customer additions, taking the base to 423. These dynamics supported a +48% increase in the annualised subscription exit run rate (ERR) to NZ$19.4m, reinforcing the structural shift toward recurring software income. Segment gross margin expanded +6.2pp to 92.9% versus the same period last year. Management noted continued momentum into 3Q26 to date.

PolePilot to take off in 2H26
The September launch of PolePilot, an AI-driven companion embedded in IKE Office Pro and offered as a compulsory module at ~US$200 per seat per annum, has lifted average per-seat pricing by +10%, enhancing ARR growth through 2H26. Alongside two customer council-backed modules now in development, this reinforces IKE's product cadence and the strength of its customer engagement model. Management reaffirmed guidance for +35% subscription growth and EBITDA breakeven on a run-rate basis in 2H26, underscoring continued momentum across the US utility sector's digital transition.

Transaction and Hardware revenues soften
Transaction revenue fell -32% against the prior year to NZ$2.7m, reflecting weaker US fibre-linked activity following funding delays under Republican policy settings. Segment gross margin contracted to 17.2% (1H25: 36.9%). Hardware revenue declined -21% to NZ$1.3m, although gross margin improved to 69.3% (1H25: 57.9%) due to a higher services mix and tighter pricing discipline. While both segments remain volatile, they now represent less than one-third of total revenue, reducing their influence on the group.

1H26 results review
IKE's 1H26 result reflected a short-term moderation in overall top-line growth but highlighted ongoing margin expansion and a robust outlook. Operating revenue rose +6% to NZ$12.8m, with strong platform subscription growth offset by softness in transactions and hardware. Gross margin expanded +8.1ppts to 74.6%, driven by a higher proportion of subscription revenue (69% versus 54% in 1H25). IKE reported an improved net loss of -NZ$4.4m (1H25: -NZ$7.1m), underpinned by: (1) higher gross margin; and (2) a -1% decline in operating expenses, with lower expensed R&D (-20%) more than offsetting higher sales and marketing (+15%) and corporate costs (+9%). The company's cash position increased to NZ$34m (1H25: NZ$10.3m) following the August 2025 capital raise, providing ample headroom for the development of two customer council-backed software modules. Divisionally:

Subscriptions: Revenue lifted +35% year-on-year to NZ$8.8m, driven by continued PoleForeman momentum (structural pole loading revenue up +NZ$2.0m to NZ$3.8m) and robust IKE Office Pro growth (up +8% to NZ$3.0m). Subscription seats grew +55% to 9,283 (1H25: 5,990), supported by new enterprise additions and cross-sell activity, lifting the annualised subscription exit run rate to NZ$19.4m (+48%). Gross margin improved +6.2ppts to 92.9%.

Transactions: Revenue declined by -32% versus 1H25 to NZ$2.7m, reflecting reduced spend from US fibre-linked customers amid funding uncertainty under the Republican administration. Transaction volumes fell to ~100k (from ~160k) while the average price declined by -6%. Gross margin contracted to 17.2% (1H25: 36.9%). Though volatile, management expects recovery over the medium term as communications market funding stabilises.
Hardware and other services: Revenue fell by -21% to NZ$1.3m, while gross margin improved to 69.3% (1H25: 57.9%), reflecting a mix shift toward services, away from traditional hardware, and improved pricing discipline.

Earnings revisions
We make minor revisions to our estimates following IKE's 1H26 result, which was broadly consistent with expectations. Our revenue forecasts remain unchanged, and our estimate for subscription revenue growth of +35% remains aligned with management's FY26 guidance for +35% or greater expansion, supported by the contribution from PolePilot through 2H26. Transactional softness was anticipated, and given the fall in its percentage of group revenues and earnings, it is unlikely to affect the FY26/FY27 revenue trajectory materially. We continue to model accelerated R&D investment (following the September 2025 capital raise).

We lift our sales and marketing expense forecasts +9%/+9%/+5% across FY26/FY27/FY28 respectively, reflecting the higher-than-expected spend in 1H26 and an upcoming 'expansion of sales and marketing resources to capitalize on strong market demand'. We view the uplift in sales and marketing spend as appropriate given IKE's materially stronger financial position post-raise, but we maintain our expectations for sales and marketing expense to decline steadily as a percentage of revenue across our forecast horizon.

General and administrative expenses decline -16% in FY26 following the reversal of a prior assumption in which capital-raising costs had been assigned to corporate expenses rather than netted against capital raise proceeds, as was reported. The combined effect of these changes sees our FY26/FY27/FY28 operating EBITDA estimates move +NZ$0.5m/-NZ$1.1m/-NZ$0.7m respectively. We maintain our expectation of EBITDA breakeven on a run-rate basis in 2H26.

[Greekwatchdog]

Just took $1.00 on ASX, NZX at $1.14. 3rd quarter update should be due in the next week.

[Greekwatchdog]

29th Jan for update. I won't be able to catch the report from ECO, if someone has is going to be able to watch be good if they could report on it.

Thanks GWD