Domain registrar continues to show solid growth.
The registrar has been on a tear in recent years, especially after it was acquired last year. It is often among the top ten registrars in terms of new monthly .com domain registrations.
In a release, the company states that it added 420,000 domains under management (DUMs) last quarter across all top level domains. It says it’s the largest registrar for .ICU domains, so the DUMs are inflated a bit by inexpensive domains. But it had nearly 1.5 million .com domains as of the end of September, making it one of the top 15 domain name registrars overall for .com.
NameSilo reports that it has 240,000 customers.
Happy New Year.
Have you tried to decipher the enterprise value of the company? The Pink listing suggests a market cap of just $4.3 million presumably due to concerns about cash flow relative to high debt load presumably from the LBO.
Since you are tracking the story and have a good idea for parsing regulatory filings, I would be curious if you took a deeper dive. I met the founders in person years ago and liked them a lot. Curious how this all works out.
You missed a digit. The market shows as nearly $17m as of right now.
Check it:
https://www.marketwatch.com/investing/stock/NTCEF
Other sites are showing more outstanding shares:
https://finance.yahoo.com/quote/NTCEF/
So who knows.
Do they have to file with an agency in Canada? I don’t really know how companies on the pinksheets work, but this is all I can find with the SEC: https://www.sec.gov/cgi-bin/browse-edgar?company=brisio&owner=exclude&action=getcompany
> “It is often among the top ten registrars in terms of new monthly .com domain registrations.”
How much can that really mean, though? I can’t be the only one noticing that .coms are often on sale for $6.99. Are they not taking a big loss on that, and does that not explain why they are often in the top ten monthly?
They get a rebate from Verisign if they hit a quota and thats how they can do this.
Mystery solved, I believe.
The equity is worth about $16.7 million.
There is another $24 million in debt.
So the total enterprise value is about $40 million for a business scaling with razor thin margins and major debt service due to what I presume to be the LBO.
Those guys will be working hard for the next year or two. If they can manage to service the debt or do a follow-on offering, they will have a nice business.
They are probably holding their breath hoping the PINK market holds up long enough to uplist to NASDAQ.
Wish them luck. The industry needs viable independent registrars.