CVCheck, the ASX listed resume verification company, has reported positive profits as of this quarter following investments and growth on the business to business market and minimizing company costs.
The company looks very different to its former self just two years ago with revenues hiking $5m in two years from $7.1m in FY2016 to $12.5m in FY2018 whilst its customer acquisition costs and cash burn has steadily decreased
The bottom line has been steadily increasing too and now looks to have a clear pathway to profitability with the annual cash burn collapsing from $4.1m in the 2017 financial year to $2.4m in FY2018.
CVCheck’s strategy of focusing on the business to business market is clearly starting to bite with 70% of the company’s revenue now hailing from that more lucrative sector.
The company has also been steadily dropping its customer acquisition costs which has in turn led to a decreasing cash burn.
CV Check Chairman Ivan Gustavino said that once the company achieved positive cash flows in the short-term, its focus would be to repeat that performance in the following quarter before positioning itself as a profitable, sustainably cash flow business.
Looking ahead, management said there were still significant opportunities to lift Australian revenues as just 8% of its FY2018 revenue came from products other than criminal history checks.
Read more here.
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