Dear Investor,
I am pleased to update you on some of the positive outcomes we have achieved ahead of the financial year-end.
Key points include:
- We have achieved our monthly operating cost base to deliver our FY2019 target of $20 million, a key goal we outlined in the H1FY2018 investor presentation;
- Improved gross margin in H2FY2018 of 49% (as at May 2018) compared to 44% in H1FY2018;
- As a result, EBITDA has been consistently positive each month from March 2018 and the H2FY2018 EBITDA margin has also improved compared to H1FY2018;
- Progressed to sign-off stages of new domestic and international partnership opportunities that I look forward to updating the market on shortly;
- Further to the ASX announcement dated 28 May 2018, we are pleased to advise that our new Chief Financial Officer, Melinda Sheppard, started on 25 June 2018 – this appointment will allow me to focus more on the commercial side of the business going into FY2019; and
- Other executive appointments, including a Head of Marketing and Communications and Country Head – UK/EU, which are expected to be finalised by end of June 2018. This will provide a strengthened executive team, focused on growing revenues in FY2019, all still while maintaining the operating cost base of $20 million.
There is no doubt FY2018 has been a challenging year for Pureprofile. With many of the distractions now resolved and with a restructuring of our cost base and key people in the executive team in place, this gives me great confidence that FY2019 will see a marked turnaround in financial performance.
I look forward to updating you further in the coming months.
Yours Faithfully
Nic Jones
CEO & Managing Director
