Praemium - A Technology Company poised for growth

We like companies where the numbers obscure the underlying value. This is the case with Praemium. At a headline level, Praemium looks to have delivered A$2.2m in EBITDA in FY15. On further inspection, you would uncover a business that is making A$8.2m EBITDA in Australia (net of corporate overheads). So why is the reported number lower than this at A$2.2m? Well, the answer is that Praemium is currently losing A$4.7m in the United Kingdom and A$1.3m in Asia. Of course this is not an ideal situation. However, we believe management can produce a positive EBITDA in these markets in time. In fact, we believe profitability in these loss making markets is sooner than you think. Click on this link for our in-depth analysis. (VIEW LINK)