New Zealand's Serko to see increased cash burn in Q2 2023 -Citi

Serko

01/09/2022 02:29

** Citi says New Zealand-based travel and expense management
firm Serko Ltd  SKO.NZ   SKO.AX  might be averaging monthly cash
burn well below Citi's estimates, but will see timing related
short-comings in current half poorly affecting cash burn in the
second quarter of 2023
    ** Says year-to-date cash burn has been averaging NZ$3.6
million ($2.20 million) per month, which is about 8% below the
brokerages' forecasts for the first half of 2023 
    ** Citi forecasts 700,000 bookings in FY23 for Serko,
implying 1.4 times bookings per customer as per the current rate
    ** Citi, however, notes Australia and New Zealand bookings
for SKO have risen 90% of pre-pandemic levels in June
    ** 4 of 6 analysts rate the stock "buy" or higher, 1 "hold"
and 1 "sell"; median PT A$5.50 – Refinitiv Eikon
    ** Stock down 46.6% this year, as of last close, vs a 6.2%
decrease in the benchmark S&P/ASX 200 index  .AXJO  


($1 = 1.6375 New Zealand dollars)
    
   

 (Reporting by Roushni Nair in Bengaluru)
 ((Roushni.Nair@thomsonreuters.com;))