In response to ThinkEquity, in the last CC, Braiker said
"So that really is part of where those large deals fit. They are – they would be large ad deals, there’s only so much you can do on the marketing side so it’s our ability to cross-sell into the ad bunches of these big clients that we have and we think that’s where there is a lot of opportunity."
The statement about "only so much you can do on the marketing side" has been bothering me since the CC. Marketing is the source of large gross margins for AUGT. The first Q, that includes the revenues of HC, was the Q ending 11/2011. Since then, AUGT's mobile marketing revenue has grown about 21 % (and 15% Q over Q for the last Q). However, the mobile advertising revenue has grown about 117% since the Q ending 11/2011 (and 40% Q over Q for the last Q). Of course, mobile advertising gross margin is less.
This is consistent with Braiker's answer to Aberdeen Investment Management from the last CC--which should be read. I checked out Jeb Terry from Aberdeen and found his internet information can be useful. To find him seach with "Aberdeen Investment Management jeb terry." Pick the link beginning with his name. He tweets regularly. I haven't checked out the other individual analysts.
They supposedly just got a sizeable one. Let's hope they are able to announce it. Also hearing there is a big company which I've mentioned here that is very interested and looking at the company closely. They looked at them months ago and are looking actively now. Big interest in the IP but also the mobile wanting to get in on mobile marketing and having been partnered with Amobee prior to its acquisition at $321 million doing les revenues that Augme now and their own patent attorney filed all 91 of augme's current pending patents. There's no doubt in my mind the company will be acquired but my biggest concern is that it will be less than what it ultimately could have been. I'm curious to know what most of you would accept as fair for your shares?
What do you consider to be sizeable? How much did you hear (roughly) in dollar terms and over what period of time? It's good to hear that they got another deal, but "sizeable" doesn't mean much to me or probably most others here because your opinion of what's sizeable and my opinion of what's sizeable may be very different.