Revenues are inflated with future income on subscriptions for few years out that cant be billed. Lots of future income that was pushed into the q1 without cost on thoes future incomes. So we have nice revenues and net income with lots of improvement on cost vs revenues but no cash flow thatcan be billed. Pure manipulation.
“We have about $2 million of increase in the unbilled receivables, related to the reseller subscriptions that we closed this quarter. Those are majority of those is revenue that we're seeing in our financial statements, but we haven't necessarily billed all of that yet. And that was the big shift in our working capital this quarter
“In terms of duration, we're starting to close multiyear deals. In the past, most of our contracts have been annual. But for example, we did close a 3-year reseller agreement this quarter, which is the main driver behind the increase in unbilled AR.”
Revenues are inflated with future income on subscriptions for few years out that cant be billed. Lots of future income that was pushed into the q1 without cost on thoes future incomes. So we have nice revenues and net income with lots of improvement on cost vs revenues but no cash flow thatcan be billed. Pure manipulation.
I have no interest in this company, but thanks for the review anyway!
Cfo:
“We have about $2 million of increase in the unbilled receivables, related to the reseller subscriptions that we closed this quarter. Those are majority of those is revenue that we're seeing in our financial statements, but we haven't necessarily billed all of that yet. And that was the big shift in our working capital this quarter
“In terms of duration, we're starting to close multiyear deals. In the past, most of our contracts have been annual. But for example, we did close a 3-year reseller agreement this quarter, which is the main driver behind the increase in unbilled AR.”