SKO - Serko. (Travel industry SAS)

[Left Field]

Great result..... and nice guidance for FY24.... onwards and upwards

https://www.nzx.com/announcements/411540

Summary of Financial Results:

• Total income $48 million, up 154%
• Average revenue per booking $9.56, up 65%
• Average revenue per completed room night €9.34, up 36%
• Online bookings of 4.1 million, up 93%
• Completed room nights on Booking.com for Business 1.5 million, up 381%
• EBITDAF loss of $21.8 million, a 23% improvement
• Net loss after tax of $30.5 million, a 15% improvement
• Cash and short-term deposits $87.7 million
• Underlying average monthly cash burn $2.7 million
• FY24 guidance for total income of $63 million to $70 million

[Left Field]

Poised for 30% plus FY24 revenue growth..... with goal of $100m revenue in FY25 looking achievable.

• Serko confirms its aspiration of $100m in total income in FY25.
• Serko is well capitalised with cash of $88m and no debt. Underlying monthly cash burn peaked in 1H23 and Serko is committed to achieving positive cashflow for the FY25 financial year with appropriate cash reserves on hand at the point of breakeven.
• Serko anticipates full year total income of between $63m and $70m for FY24 based on current trends including the continued business travel recovery, growth in active customers in Booking.com for Business, a strong Euro:NZD exchange rate and current average revenue per completed room night. There are a number of initiatives which have the potential to drive further revenue growth, however, the timing and therefore the impact on FY24 revenues is uncertain.
• Serko anticipates total spend of between $86m and $90m based on its current investment plans and anticipated efficiency gains partially offset by higher volume related costs.
• Guidance remains subject to ongoing risks including geo-political and macro-economic risks.

[Left Field]

Loving the SP action today....... closed up 67c at $2.97 or 29% up.

[Teitei]

Loving the SP action today....... closed up 67c at $2.97 or 29% up.

And continuing to power on.

Hope nobody sold out on the way down but kept the faith and added more!

[Left Field]

And continuing to power on....
Hope nobody sold out on the way down but kept the faith and added more!

No fears Balance..... I did both......

(sold out on the way south (took profits off the table and de-risked...whatever)..... then bought twice as many near the lows $2.30 ish.)

Happy Happy now.

[Teitei]

No fears Balance..... I did both......

(sold out on the way south (took profits off the table and de-risked...whatever)..... then bought twice as many near the lows $2.30 ish.)

Happy Happy now.

Well done!

[Left Field]

Top of the weekly leader board last week.

SP up 90c or 39%.

Still lots of potential for this one.

[Shareguy]

Will be interesting next week as the funds from PPH are paid out. SKO might benefit from this.

[Teitei]

Powering on towards $4.00 - hope it reaches there by ASM.

Always good to buy at close to $2.00 eh, W69?

I reckon the market must have finally latched on to the fact that Serko is an early and very successful adopter of AI in its service offering.

"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."

[winner (n)]

All tracking well in Serko land

Why 4 bucks teitei .....could get to 5 bucks soon with this positive announcement


http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/SKO/413767/397303.pdf

Still have no idea how business model works and where they monetise bookings ...but they have a Plan on a Page and that's a good start

[Left Field]

Tuned in for the Q & A's of the ASM

Seems biggest concern was the Booking Com partnership and it's renewal prospects in October 2024.

Holders wary after EBO's recent experience.

[KW]

So SKO has had a bit of a breather but is bouncing off its support level.  Any pick up in the US tech market is going to provide a tailwind for this one.  Could be a good entry opportunity if you missed the first breakout move. 

Its also a good potential Takeover candidate for one of those US tech stocks 

NB:  Chart is of SKO.ASX 


You cannot view this attachment.

[Left Field]

This holder v happy...... plus an upgrade. Go SKO.

https://www.nzx.com/announcements/421665

Serko Limited (NZX:SKO) today announced its unaudited financial results for the six month period ended 30 September 2023.

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

Negligible cash burn and approx $84 mill in the bank..... profitability just around the corner.

[winner (n)]

Pretty amazing appointment

Endorsement by a clever guy as to what Serko are doing and how great they can be


http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/SKO/425437/411713.pdf

[Hectorplains]

Pretty amazing appointment

Endorsement by a clever guy as to what Serko are doing and how great they can be


http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/SKO/425437/411713.pdf

Agreed Winner, this is a great sign on.  A marquee signing!  I had a lot to do with his family back in the day in Chch.  Sean is a real renaissance guy - brains to burn and athletic (he was a top class decathlete.) His political and business career stateside has been phenomenal.

I'd have thought he was way out of Serko's league.  I know it's the Wah's year but I can't think of an analogy that works for them.  So maybe, for the Phoenix it'd be like them nabbing Chris Wood.