- If you don't consider leasing as debt then the lease payments should be counted as opex not interest payments (all the acquisition multiples should also be adjusted either to include leasing debt in EV or (better) to substract the full lease payments from EBITDA)
- Irisity is a SaaS company (surveillance video analytics software) and thus not a relevant peer
I have only assumed the interest portion of the lease as interest. Both components, interest & amortisation on ROU assets, are included in my calculation of the P/E. $SECU.V also reports under IFRS, so there was no need for adjustment.
Thanks for the comment. I haven't looked into Irisity either, but $SECU.V does virtually the same thing as IMG.
That is definitely an unknown. The CEO has already offered me a call and that's one of the questions I'm going to ask. In their older presentations they have stated that the average lifetime of business relationships is 7 years. However, due to the acquisitions and the changes in the proportion of business and private customers, this may have changed significantly.
Thank you please update us when you have info. It would help complete the picture. Commercial security is a big PE roll up target in the USA at the moment, very interesting space.
- If you don't consider leasing as debt then the lease payments should be counted as opex not interest payments (all the acquisition multiples should also be adjusted either to include leasing debt in EV or (better) to substract the full lease payments from EBITDA)
- Irisity is a SaaS company (surveillance video analytics software) and thus not a relevant peer
I have only assumed the interest portion of the lease as interest. Both components, interest & amortisation on ROU assets, are included in my calculation of the P/E. $SECU.V also reports under IFRS, so there was no need for adjustment.
Thanks for the comment. I haven't looked into Irisity either, but $SECU.V does virtually the same thing as IMG.
Thanks for the nice write up. Any thoughts on churn rates or organic CAC? Seems this may contribute to the seemingly low multiples paid?
That is definitely an unknown. The CEO has already offered me a call and that's one of the questions I'm going to ask. In their older presentations they have stated that the average lifetime of business relationships is 7 years. However, due to the acquisitions and the changes in the proportion of business and private customers, this may have changed significantly.
Thank you please update us when you have info. It would help complete the picture. Commercial security is a big PE roll up target in the USA at the moment, very interesting space.