ApplyDirect Limited (ASX: AD1) is a provider of customer-branded recruitment technology platforms. It aims to simplify the connection between the job seeker and the employer, by providing an online database and search platform that acts as a bridge between the job candidates and employers. The company provides utility software billing services along with management platforms and related services. The company is based in Kew, Australia.
On 20th May 2019, the company notified the market that it had signed an agreement with Australia’s Pharmacy Guild. The agreement’s focus is towards development, hosting and maintenance of Pharmacy Guild of Australia’s branded digital destination. This connects the employers and candidates in the pharmacy sector across the Australia region.
This announcement marks the latest in the Pharmacy Guild of Australia’s member value offerings. Also, in Australia, this is the first time that an industry association or peak body has partnered up with AD1.
Established in 1928, the Pharmacy Guild of Australia has over 90 years of experience in contributing towards the Australian health care system. It represents and promotes the value of community pharmacy in the country, emphasising on its role. Across the Australian region, there are above 5,700 community pharmacies, who distribute ~300 million prescriptions every year.
Commenting on the recent exclusive agreement signed with the company, The National President of the Pharmacy Guild of Australia, George Tambassis stated that, the agreement would provide the Guild members vital resources to help in addressing workforce-related issues. These issues are deemed to be an integral part of businesses, precisely in the community pharmacies context, daily. The agreement would provide Guild members pharmacists with efficient tools that would engage with potential staff and contribute towards the reduction of costs of doing business associated with recruitment.
The announcement is a depiction of the company’s will and extension of its talent platforms into industry verticals. The partnership was announced after the company’s recent win with Advanced Personnel Management.
AD1’s talent platform for Guild would be inclusive of mobile applications for iOS and Android. It would enable members and the talent in the pharmacy sector to connect without any fault or any need for intermediaries. The revenue associated with this is most likely to be launched in the first half of FY20. It would be structured on an annuity basis. The initial contract term is of 3 years.
The company aims to keep its strong portfolio of large destination sites, using its talent platform solution intact, across NSW Government, Victoria Government, APM and the latest being the Guild. Along with this, the company is accelerating its sales momentum and working towards revenue growth in FY20.
The company had released its cash flow statement for the quarter ended 31st March 2019. The details from the same are illustrated in the table below:
|Cash flows||Amount ($A’000)|
|Net cash used in operating activities||1,641|
|Net cash from investing activities||839|
|Net cash from financing activities||990|
|Cash and cash equivalents at the end of the quarter||1,875|
|Estimated cash outflows for next quarter||2,413|
As per the company’s report, cash receipts for September 2018 quarter reached $630,000, up 93% pcp and up 25% on the June 2018 quarter.
Record cash receipts by Quarter (Source: Company’s report)
Share Price Information:
By the closure of the trading session, the stock of the company as at a price of A$0.020 (as on 20 May 2019), up by 33.333% from its previous close.