Kids love Fudge. But investors dont. Or so we thought. The new Go Henry Crowdcube blockbuster proves us wrong again. Paint a pretty picture, air brushing the facts - that's all you need to do.
This is bonkers. Go Henry is a neat idea and has a little traction. Although this traction is no where near to the traction if promoted just over a year ago. Now readers, who dont have their last projections, will not know this - but it is a fact. One that Go Henry do not mention in their latest fairy tale.
Take for example the sales numbers for Apr 2017 to Mar 2018. Crowdcube allowed them to produce this forecast the last time - it showed revenues of £15m. Now we are told that the revenue for CY 2017 was in fact £6m and that this was an increase of 115%. Nout about where it was supposed to be. Again the projections from the last time showed revenues for Apr 2018 to Mar 2019 as £37m. Now we are told the revenue projected for CY 2018 is just £8m. A fall of ~ 78% (!anon) on a 18 month old projection. Wow.
On the back of these falling numbers, the share 'price' has risen from £1.50 in 2016 to £3 now - a price increase the company incorrectly identifies in a footnote as a 50% increase. Is it any wonder they cant get their sums right. Back to school boys and girls.
Children are even included in their metrics - so their active members are stated as 550k - broken down into 226k parents and 330k children. Is that supposed to be some kind of joke? Of course the fact that this imaginary split (so obviously used to up the 500k figure) doesnt appear anywhere in the new fairy tale says it all. ALL.
A neat idea that may get traction in the US - although is more likely to get copied - is worth £55m without traction. If traction fails to hit targets in the US, then kiss goodbye to this dream.