Dubber Corporation (ASX:DUB) - CEO, Steve McGovern
CEO, Steve McGovern
Source: Dubber
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  • Call recording software company Dubber Corporation (DUB) spent the June quarter focusing on its core operating plan and growth business strategy
  • Service providers grew by seven to 138 and service users grew by around 40,000 to 192,544
  • Dubber Corp. reported $2.56 million in operating revenue and $16.1 million in annualised recurring revenue
  • Dubber’s call recording service became fully integrated as the native Cisco Webex Calling service
  • It also completed the $1.175 million acquisition of CallN which is an Australia-based call recording company
  • Cash at the end of the quarter totalled $18.4 million which is up from $12.4 million at the end of the March quarter
  • Company shares are down 5.07 per cent and are trading for $1.31

Dubber Corporation (DUB) spent the June quarter focusing on its core operating plan and growth business strategy.

Dubber is a unified call recording and voice intelligence cloud service designed for service providers and businesses.

The company’s plan during the quarter was to deliver call recording and artificial intelligence onto global networks, grow its customer base and revenues, convert commercial agreements into billing deployments, fulfil increased demand, develop its Cisco Webex Calling program and develop its go-to market program in Australia through Telstra.

“We took significant steps forward during the quarter against a backdrop of economic and social volatility in most of our key markets,” CEO and Managing Director Steve McGovern said.

“As challenger service providers have experienced slower demand in their markets, conversely Dubber is seeing substantial activity from its larger partners, notably US Tier One Carriers and Cisco Webex Calling,” Steve said.

“This activity has provided the company with a clear line of sight towards executing its longer term strategies while achieving its short term goals,” he said.

User growth

User numbers increased from 152,581 at the end of the March quarter, to 192,544 by the end of the June quarter.

The number of contracted service provider partnerships grew from 131 to 138 in the June quarter. Dubber is currently billing 83 of these network partnerships which is an increase from the 77 at the end of March.

Cisco Webex Calling

During the quarter, Dubber’s recording service became available as part of the standard ordering and provisioning process through CCW and Cisco Control Hub. Whereas before, Cisco channel partners had to engage with Dubber directly on a referral basis.

The Cisco Webex Calling program has seen engagement with large enterprise customers – particularly in the banking, financial services and health care sectors.

Telstra

Dubber’s services went to general availability through the Telstra TIPT, SIP Connect and Liberate services at the end of June.

The companies first teamed up in February this year which saw Telstra customers have access to Dubber’s artificial intelligence (AI)-based call recording and data capture technology.

Originally, the technology was only available to pre-engaged users of Telstra Liberate, Telstra IP Telephony, and Telstra SIP Connect services through a software-as-a-service (SaaS) platform.

Wide availability for recording on Dubber through Telstra TIPT, SIP Connect and Liberate will be co-launched through Telstra’s internal sales and external dealer channel during the current quarter.

CallN

Dubber acquired CallN at the end of June for $1.175 million. CallN is an Australia-based call recording company with an on-premise and cloud model aimed at end user businesses.

CallN also has arrangements in place with Telstra and its channels which Dubber believes will be beneficial. CallN has around $1 million in annualised recurring revenue (ARR) which has been included in Dubber’s ARR of $16.1 million for the June quarter. This is a 22 per cent increase from the previous corresponding period

Financials

Due to the volatility in the Foreign Exchange (FX) rates, particularly with the US dollar, Dubber’s reported revenue decreased by two per cent to $2.56 million. On a constant currency basis, its revenue would have been $2.81 million for the June quarter.

A total of $8.59 million in net cash was generated from financing activities while roughly $2.8 million was spent on operating activities.

Cash receipts were roughly $1.85 million however, due to the fluctuation of FX rates, the resulting customer receipts were $1.64 million for the June quarter.

Dubber has claimed this hasn’t met its expectations and has reached agreements with smaller debtors while sustaining confidence its the stability of its larger debtors – most of whom are located in the U.S. and Europe.

The company does not expect any material provisions for uncollectable debts.

Dubber completed a $10 million placement at the start of the quarter which supported its position during a volatile economic period.

Dubber ended the June quarter with roughly $18.4 million which is up from the $12.4 million at the end of the March quarter.

The company considerably expanded its product suite in the quarter and remains focused on building a strong foundation to support future expansion.

Company shares are down 5.07 per cent and are trading for $1.31 each at 2:30 pm AEST.

DUB by the numbers
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