DUB -6.84%: started well however the cloud based communications business rolled off into the close following the release of their 2Qtr results. Average Reoccurring Revenue (ARR) jumped over to $50m for the first time with the fastest net add rate on record with organic growth of 19% in the quarter alone. ARR nearly doubled in the last twelve months and with operating costs only marginally higher there’s a clear path to being operating cashflow positive, potentially by the end of the year. They continue to pen new partnerships & secured 2 acquisitions that will also bolster ARR & their unique offering to customers. The negative market reaction seemed to be a result of a miss to cash receipts following a delayed payment from a large customer – however these issues should pass and we are confident in the direction being taken by the company.
MM continues to like DUB despite SP weakness
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