GAXY (Galaxy Next Generation Inc.)
Current Price: $0.265
Float: 6.18M
Chart Analysis
Price Target $4.25
(Goldman Small Cap Research)
CFO Interview
Must Watch Video Presentation
Website | Recent News
========================
Members,
We've just identified another amazing opportunity trading on the OTCQB.
Please turn your immediate attention to GAXY (Galaxy Next Generation Inc.).
GAXY is a U.S. distributor of interactive learning technology hardware and software that allows the presenter and participant to engage in a fully collaborative instructional environment.
Education as we know it is seeing an incredible change at the moment. As a result of technological innovation and a drive to teach and learn more, better, faster… efficiently, we're seeing a shift in classrooms and board rooms, bringing a fully collaborative interactive classroom to the table. Projectors, chalkboards, and whiteboards were the center of attention in virtually every classroom just a decade ago. Today, these seemingly archaic technologies are being traded in for up-to-date information technology that is driving a revolution in the education and learning market.
Today's classrooms are picking up smart technologies that lead to an enhanced learning environment for students through the creation of a concise view of educational materials. Today's classroom is getting smarter, and stocks like GAXY that represent the companies behind this evolution present a compelling investment opportunity.
In addition to its game changing technology, GAXY has a share structure favorable for day trading.
With a float of just 6.18M, GAXY has the potential to run-up big in a very short amount of time.
The Company has also completed the acquisition of Interlock Concepts, Inc.
A recent audit of Interlock Concept Inc.'s financials shows the potential for yearly revenues of $4M!
Gary LeCroy, Galaxy's Chief Executive Officer, commented, "We are extremely excited to have Interlock Concepts and its innovative audio solutions as part of our ever-expanding total classroom technology offering. Our team believes we it can accelerate upon the 8% revenue growth they showed on a stand-alone basis and continue its path of diminshing losses and potentially turning profitable."
About Galaxy Next Generation, Inc.
Galaxy Next Generation (OTCQB:GAXY) is a provider of interactive learning technology solutions that allows the presenter and participant to engage in a fully collaborative instructional environment. Galaxy's products include Galaxy's own private-label interactive touch screen panel as well as numerous other national and international branded peripheral and communication devices. Galaxy's distribution channel consists of 22+ resellers across the U.S. who primarily sell the Company's products within the commercial and educational market. Galaxy does not control where resellers focus their resell efforts, although generally, the K-12 education market is the largest customer base for Galaxy products - comprising nearly 90% of Galaxy's sales.
For the years ended June 30, 2019 and June 30, 2018, Interlock Concepts generated $4.4 million and $4.1 million revenue, respectively. Operating loss was reduced by $0.8 million or 60%, to $0.5 million for the year ended June 30, 2019, from $1.3 million for the year ended June 30, 2018.
Gary LeCroy, Galaxy's Chief Executive Officer, commented, "We are extremely excited to have Interlock Concepts and its innovative audio solutions as part of our ever-expanding total classroom technology offering. Our team believes we it can accelerate upon the 8% revenue growth they showed on a stand-alone basis and continue its path of diminshing losses and potentially turning profitable."
The Bullish Case for GAXY:
Tight Float
Listed on the OTCQB with Plans to Uplist to the NASDAQ
Grew their core technology interactive panels and related prodicts business by 25%
Closed acquisition of Interlock Concepts, Inc. (Potential $4M In Additional Revenue)
Branching Out Into Other Sectors (Sports, Military, Law Enforcement, Entertainment)
Added more resellers
Increased their product line
Healthy Chart. Based on our very own chart analysis we see the potential for a move of over +60%!
GAXY Witnesses Tremendous Growth In Technology Interactive Panels And Related Products
Key Financial Highlights for Q1 FY 2020
Revenue of $0.6 million, representing growth of 25% in technology interactive panels and related products
Gross Margin of 21%
Adjusted EBITDA loss of $0.7 million, after deducting non-cash stock-based compensation
Key Business Highlights for Q1 FY 2020
Closed acquisition of Interlock Concepts
Executed agreements with various new resellers, expanding geographically and vertically, including AIOS Group
Completed successful install with the International School of Louisiana
Awarded contract from Thompson School District in Loveland, Colorado
Management Commentary
"We are off to a teriffic start in our fiscal year 2020 as we closed our acquisition of Interlock Concepts and grew our core technology interactive panels and related prodicts business by 25%," commented, Gary LeCroy, Galaxy's Chief Executive Officer. "We are very excited with several new products launched and our suite of innovative audio products in order to offer a more robust and complete total classroom solution. Our Interlock Concepts audio include notification and building communication platform, amplifier, lanyard microphone, handheld microphone and speakers, call buttons, microphones and alert buttons, IP notification devices (clock and speakers), notification software and soundbar, in-ceiling and wall speakers."
LeCroy concluded, "We are confident that Interlock Concepts will enable us to accelerate our revenue growth. Our sales pipeline of opportunities we have identified and are competing for is as robust as ever. We believe this is just the beginning of a major technology turnover cycle in the K-12 education market and we look forward to being a major participant in it."
GAXY Closes Acquisition of Interlock Concepts
FYE June 2019 Growth of 8% to $4.4 Million Revenue
In late November, the Company announced that it has provided 2 years of audited financials for its recently closed acquisition of Interlock Concepts, Inc. And Ehlert Solutions Group, Inc. and filed such in an amended 8-K with the U.S. Securities and Exchange Commission on November 12. The filing can be accessed here:
www.sec.gov/Archives/edgar/data/...
The Interlock Concepts acquisition, which closed on September 4, was audited by Somerset CPAs and Advisors, a PCAOB registered public accounting firm. For the years ended June 30, 2019 and June 30, 2018, Interlock Concepts generated $4.4 million and $4.1 million revenue, respectively. Operating loss was reduced by $0.8 million or 60%, to $0.5 million for the year ended June 30, 2019, from $1.3 million for the year ended June 30, 2018. Gary LeCroy, Galaxy's Chief Executive Officer, commented, "We are extremely excited to have Interlock Concepts and its innovative audio solutions as part of our ever-expanding total classroom technology offering. Our team believes we it can accelerate upon the 8% revenue growth they showed on a stand-alone basis and continue its path of diminshing losses and potentially turning profitable."
GAXY Has Plans to Uplist to the NASDAQ
In June, the Company announced that it has engaged Maxim Group LLC ("Maxim"), a leading investment banking, securities and investment management firm, to provide investment banking services to the Company.
Maxim will provide its full scope of investment banking services that includes strategic planning and developing strategic partnerships.
In her interview with SmallCapVoice, CFO Magan McGahee stated they will look to Maxim to help develop a path towards uplisting to the Nasdaq in the future.
Goldman Small Cap Research Slaps On $4.25 Price Target
Upside of Over +1,600% From Current Price
INVESTMENT HIGHLIGHTS
Leveraging next-gen technology, emerging interactive learning solutions provider Galaxy Next Generation is poised to generate outsized revenue growth and market share in the critical education technology market. The Company’s solutions improve and enhance learning environment outcomes by providing a collaborative reality setting in the classroom.
Judging by recent events, management is on a roll. The Company has secured a series of wins in key school districts and have even opened up new markets. Plus, it has bolstered its balance sheet by eliminating $4.5M in long term debt through the sale of its non-core business.
GAXY announced a LOI to acquire a firm with complementary products, and new sales territories. Slated to close next month, the target generated $4M in sales in the last 12 months.
Our calendar year forecasts call for revenue to leap from $2M in 2018 to $7.9M in 2019 and $20.6 in 2020, with EPS of $0.21 next year. The Company’s model should generate industry-leading profit margin, beginning next year.
Our $4.25 price target is based on 2.9x 2020P revenue and 20x 2020P EPS forecasts. It should be noted that upside potential exists once management provides financial guidance, post-acquisition closing. Plus, GAXY could execute more M&A in 2020, enhancing the overall valuation further.
It should be noted that both our forecasts and price target could be raised pending LOI guidance.
Source: www.goldmanresearch.com/20190813...
Market Outlook
The Smart Education and Learning Market is estimated to grow from $240 billion in 2017 to $994 billion by 2024, a CAGR of 22.7%. The utilization of new technologies in the classroom serve as key growth drivers for companies offering next generation solutions, such as GAXY . These tools have generated high demand across the education spectrum, from K-12 to universities, trade schools, and corporate training. Thus, forward-thinking organizations are leading a migration in the incorporation of collaborative learning and e-learning, aided in part by a major rise in the introduction of new, mobile learning applications. Moreover, disruptive technologies such as augmented reality and mixed reality are being deployed as they foster collaborative reality, interactivity, and enhanced learning environment outcomes.
In 2017, the education & learning market was valued at about $240 billion according to Allied Market Research. By 2024, that market is expected to grow to $994 billion with a compound annual growth rate of approximately 22.7% from 2018 through 2024.
Moreover, the educational content segment, a segment that you will soon find GAXY to be highly active in, accounted for the highest revenue share in the market as a whole. Key drivers of the expected market growth are interactive displays and active learning. We're also seeing strong growth in the mobile learning space.
Much of the growth in the segment is expected to come from the United States market. This is ultimately the result of strong infrastructure as well as increased adoption of innovative smart technologies designed specifically for the education and learning industry within the region.
Investors poured more than $8 billion into education technology companies in 2017, according to Metaari, a quantitative market research firm focused on the space.
Interactive flat panel displays were a $9 billion market in 2015 and are expected to reach $27 billion by 2022, according to research from Markets and Markets.
New installs are expected to be the primary driver of near-term market growth with additional demand driven by early adopters entering replacement cycles.
In addition to the education market, interactive flat panel displays are gaining traction in healthcare and corporate enterprise markets as well.
The global education technology market surpassed $17.7 billion in sales in 2017 and is expected to grow to $40.9 billion, an 18.3% CAGR , by 2022.
Technical Analysis
GAXY is currently trading at the lower end of its price channel .
This leads us to believe that GAXY's upside potential far outweighs its downside risk at the current share price.
The float on GAXY is also very thin at just 6.18M.
With a float that tight, GAXY has the potential to break out for significant gains, should it see a sudden burst in trade volume .
Based on our very own chart analysis we see the potential for a move of over +60% from here!
Bullish Indicators
RSI Front Running Price In Reversal. Bullish DIvergence
Strong Historical Daily Support
Momentum Is A Leading Indicator And Is Showing Strong Bullish Divergence In A Long-Term Uptrend
The Bottom Line
GAXY Appears Primed and Ready To Reverse Hard Off Its Recent Downtrend.
Those Who Start Building A Position Now Could Be Rewarded With A Triple-Digit ROI
That being said, we ask that you start your research immediately, and add GAXY to the top of your watchlist.
(*Remember to use a Stop-Loss Order to protect your gains, as well as limit possible losses.)
Dec 17
Comment: Galaxy Next Generation Issues Shareholder Update and Provides Revenue Growth Guidance of At Least 400% (25% Pro-Forma) for the FY Ended June 2020
T
Dec 17
Comment: TOCCOA, GA / ACCESSWIRE / December 17, 2019 / Galaxy Next Generation, Inc. (OTCQB:GAXY) ("Galaxy" or the "Company), a provider of interactive learning technology solutions, is pleased to provide the following shareholder update as it looks to close out the calendar year 2019 and enter 2020 in a much stronger financial and business position.
For its fiscal year ended June 30, 2020, Galaxy expects to generate revenue growth of at least 400% or $8 million in consolidated revenue. Galaxy also expects to continue to decrease operating losses as it increases revenue. The expected revenue growth is partly related to its acquisition of Interlock Concepts and Ehlert Solutions Group on September 4, 2019. For the years ended June 30, 2019 and June 30, 2018, Interlock Concepts and Elhert Solutions Group generated $4.4 million and $4.1 million of revenues, respectively. The combined operating losses of Interlock Concepts and Ehlert Solutions Group were reduced by $0.8 million or 60%, to $0.5 million for the year ended June 30, 2019, from $1.3 million for the year ended June 30, 2018.
Dec 17
Comment: Recap of Recent Financings
In mid-November, the Company closed on a $1.5 million equity financing from an existing shareholder. The majority of the proceeds were used to fully repay and satisfy $1.5 million of convertible notes. The notes were initially issued in May 1, 2019 and were convertible into common stock at a discount to market.
In late-November, the Company closed on a $1.0 million senior secured convertible note financing from an institutional investor. The note bears interest at the rate of 8.0% per annum and matures on November 25, 2020. primarily for the acquisition of Interlock Concepts and Ehlert Solutions Group.
Also in late-November, the company was able to eliminate approximately $400,000 in additional convertible debt. The two notes were originally issued in November and December and were convertible into common stock at a discount to market.
Gary LeCroy, Galaxy's Chief Executive Officer, commented, "Our management team and Board believe that these recent financings and repayments were important to avoid and/or minimize the dilution of the shareholders. These balance sheet transactions, coupled with our recently closed Interlock Concepts and Ehlert Solutions Group acquisition and growing customer demand have put us in a much stronger position entering calendar 2020."
Dec 17
Comment: Other Key Recent Business Highlights
Launched and highlighted new products G2 Spoke, G2 SLIM and G2 Overlay at ISTE, InfoComm, Future in Educational Technology Conferences
Executed agreements with various new resellers, expanding geographically and vertically, including AIOS Group and J.D.B. and Associates
Awarded contract from Lamar County, Georgia
Awarded contract from Stephen County, Georgia
Awarded commitment from Brooks County, Georgia school district
Awarded contract from Marshall County, Alabama
Awarded contract from Newtown County, Georgia school district
Awarded district-wide deployment from Thompson School District in Loveland, Colorado
Completes install with the International School of Louisiana
Recap of Interlock Concepts Key Products
Phoenix Software Suite (Notification and building communication platform)
Classroom Audio Product Suite (Amplifier, Lanyard Microphone, Handheld Microphone and speakers)
Intercom Product Suite (Call Buttons, Microphones and Alert Buttons)
IP Notification Devices (Clock and Speakers)
Notification Software
Speakers (Soundbar, In-ceiling and Wall)
Those Who Start Building A Position Now Could Be Rewarded With A Triple-Digit ROI
That being said, we ask that you start your research immediately, and add GAXY to the top of your watchlist.
(*Remember to use a Stop-Loss Order to protect your gains, as well as limit possible losses.)
Best Regards,
Past performance is not an indicator of future returns. The publishers of this report are not investment advisors and does not provide investment advice. Always do your own research and make your own investment decisions. This message is not a solicitation or recommendation to buy, sell, or hold securities. The publishers of this report has received fifteen thousand dollars compensation to complete a multi day investors relations marketing campaign for GAXY .We have previously been compensated fifteen thousand dollars by a third party to conduct investor relations for GAXY which has now expired. Never make investment decisions based on anything the publisher of this report says. This message is meant for informational and educational purposes only and does not provide investment advice.
Current Price: $0.265
Float: 6.18M
Chart Analysis
Price Target $4.25
(Goldman Small Cap Research)
CFO Interview
Must Watch Video Presentation
Website | Recent News
========================
Members,
We've just identified another amazing opportunity trading on the OTCQB.
Please turn your immediate attention to GAXY (Galaxy Next Generation Inc.).
GAXY is a U.S. distributor of interactive learning technology hardware and software that allows the presenter and participant to engage in a fully collaborative instructional environment.
Education as we know it is seeing an incredible change at the moment. As a result of technological innovation and a drive to teach and learn more, better, faster… efficiently, we're seeing a shift in classrooms and board rooms, bringing a fully collaborative interactive classroom to the table. Projectors, chalkboards, and whiteboards were the center of attention in virtually every classroom just a decade ago. Today, these seemingly archaic technologies are being traded in for up-to-date information technology that is driving a revolution in the education and learning market.
Today's classrooms are picking up smart technologies that lead to an enhanced learning environment for students through the creation of a concise view of educational materials. Today's classroom is getting smarter, and stocks like GAXY that represent the companies behind this evolution present a compelling investment opportunity.
In addition to its game changing technology, GAXY has a share structure favorable for day trading.
With a float of just 6.18M, GAXY has the potential to run-up big in a very short amount of time.
The Company has also completed the acquisition of Interlock Concepts, Inc.
A recent audit of Interlock Concept Inc.'s financials shows the potential for yearly revenues of $4M!
Gary LeCroy, Galaxy's Chief Executive Officer, commented, "We are extremely excited to have Interlock Concepts and its innovative audio solutions as part of our ever-expanding total classroom technology offering. Our team believes we it can accelerate upon the 8% revenue growth they showed on a stand-alone basis and continue its path of diminshing losses and potentially turning profitable."
About Galaxy Next Generation, Inc.
Galaxy Next Generation (OTCQB:GAXY) is a provider of interactive learning technology solutions that allows the presenter and participant to engage in a fully collaborative instructional environment. Galaxy's products include Galaxy's own private-label interactive touch screen panel as well as numerous other national and international branded peripheral and communication devices. Galaxy's distribution channel consists of 22+ resellers across the U.S. who primarily sell the Company's products within the commercial and educational market. Galaxy does not control where resellers focus their resell efforts, although generally, the K-12 education market is the largest customer base for Galaxy products - comprising nearly 90% of Galaxy's sales.
For the years ended June 30, 2019 and June 30, 2018, Interlock Concepts generated $4.4 million and $4.1 million revenue, respectively. Operating loss was reduced by $0.8 million or 60%, to $0.5 million for the year ended June 30, 2019, from $1.3 million for the year ended June 30, 2018.
Gary LeCroy, Galaxy's Chief Executive Officer, commented, "We are extremely excited to have Interlock Concepts and its innovative audio solutions as part of our ever-expanding total classroom technology offering. Our team believes we it can accelerate upon the 8% revenue growth they showed on a stand-alone basis and continue its path of diminshing losses and potentially turning profitable."
The Bullish Case for GAXY:
Tight Float
Listed on the OTCQB with Plans to Uplist to the NASDAQ
Grew their core technology interactive panels and related prodicts business by 25%
Closed acquisition of Interlock Concepts, Inc. (Potential $4M In Additional Revenue)
Branching Out Into Other Sectors (Sports, Military, Law Enforcement, Entertainment)
Added more resellers
Increased their product line
Healthy Chart. Based on our very own chart analysis we see the potential for a move of over +60%!
GAXY Witnesses Tremendous Growth In Technology Interactive Panels And Related Products
Key Financial Highlights for Q1 FY 2020
Revenue of $0.6 million, representing growth of 25% in technology interactive panels and related products
Gross Margin of 21%
Adjusted EBITDA loss of $0.7 million, after deducting non-cash stock-based compensation
Key Business Highlights for Q1 FY 2020
Closed acquisition of Interlock Concepts
Executed agreements with various new resellers, expanding geographically and vertically, including AIOS Group
Completed successful install with the International School of Louisiana
Awarded contract from Thompson School District in Loveland, Colorado
Management Commentary
"We are off to a teriffic start in our fiscal year 2020 as we closed our acquisition of Interlock Concepts and grew our core technology interactive panels and related prodicts business by 25%," commented, Gary LeCroy, Galaxy's Chief Executive Officer. "We are very excited with several new products launched and our suite of innovative audio products in order to offer a more robust and complete total classroom solution. Our Interlock Concepts audio include notification and building communication platform, amplifier, lanyard microphone, handheld microphone and speakers, call buttons, microphones and alert buttons, IP notification devices (clock and speakers), notification software and soundbar, in-ceiling and wall speakers."
LeCroy concluded, "We are confident that Interlock Concepts will enable us to accelerate our revenue growth. Our sales pipeline of opportunities we have identified and are competing for is as robust as ever. We believe this is just the beginning of a major technology turnover cycle in the K-12 education market and we look forward to being a major participant in it."
GAXY Closes Acquisition of Interlock Concepts
FYE June 2019 Growth of 8% to $4.4 Million Revenue
In late November, the Company announced that it has provided 2 years of audited financials for its recently closed acquisition of Interlock Concepts, Inc. And Ehlert Solutions Group, Inc. and filed such in an amended 8-K with the U.S. Securities and Exchange Commission on November 12. The filing can be accessed here:
www.sec.gov/Archives/edgar/data/...
The Interlock Concepts acquisition, which closed on September 4, was audited by Somerset CPAs and Advisors, a PCAOB registered public accounting firm. For the years ended June 30, 2019 and June 30, 2018, Interlock Concepts generated $4.4 million and $4.1 million revenue, respectively. Operating loss was reduced by $0.8 million or 60%, to $0.5 million for the year ended June 30, 2019, from $1.3 million for the year ended June 30, 2018. Gary LeCroy, Galaxy's Chief Executive Officer, commented, "We are extremely excited to have Interlock Concepts and its innovative audio solutions as part of our ever-expanding total classroom technology offering. Our team believes we it can accelerate upon the 8% revenue growth they showed on a stand-alone basis and continue its path of diminshing losses and potentially turning profitable."
GAXY Has Plans to Uplist to the NASDAQ
In June, the Company announced that it has engaged Maxim Group LLC ("Maxim"), a leading investment banking, securities and investment management firm, to provide investment banking services to the Company.
Maxim will provide its full scope of investment banking services that includes strategic planning and developing strategic partnerships.
In her interview with SmallCapVoice, CFO Magan McGahee stated they will look to Maxim to help develop a path towards uplisting to the Nasdaq in the future.
Goldman Small Cap Research Slaps On $4.25 Price Target
Upside of Over +1,600% From Current Price
INVESTMENT HIGHLIGHTS
Leveraging next-gen technology, emerging interactive learning solutions provider Galaxy Next Generation is poised to generate outsized revenue growth and market share in the critical education technology market. The Company’s solutions improve and enhance learning environment outcomes by providing a collaborative reality setting in the classroom.
Judging by recent events, management is on a roll. The Company has secured a series of wins in key school districts and have even opened up new markets. Plus, it has bolstered its balance sheet by eliminating $4.5M in long term debt through the sale of its non-core business.
GAXY announced a LOI to acquire a firm with complementary products, and new sales territories. Slated to close next month, the target generated $4M in sales in the last 12 months.
Our calendar year forecasts call for revenue to leap from $2M in 2018 to $7.9M in 2019 and $20.6 in 2020, with EPS of $0.21 next year. The Company’s model should generate industry-leading profit margin, beginning next year.
Our $4.25 price target is based on 2.9x 2020P revenue and 20x 2020P EPS forecasts. It should be noted that upside potential exists once management provides financial guidance, post-acquisition closing. Plus, GAXY could execute more M&A in 2020, enhancing the overall valuation further.
It should be noted that both our forecasts and price target could be raised pending LOI guidance.
Source: www.goldmanresearch.com/20190813...
Market Outlook
The Smart Education and Learning Market is estimated to grow from $240 billion in 2017 to $994 billion by 2024, a CAGR of 22.7%. The utilization of new technologies in the classroom serve as key growth drivers for companies offering next generation solutions, such as GAXY . These tools have generated high demand across the education spectrum, from K-12 to universities, trade schools, and corporate training. Thus, forward-thinking organizations are leading a migration in the incorporation of collaborative learning and e-learning, aided in part by a major rise in the introduction of new, mobile learning applications. Moreover, disruptive technologies such as augmented reality and mixed reality are being deployed as they foster collaborative reality, interactivity, and enhanced learning environment outcomes.
In 2017, the education & learning market was valued at about $240 billion according to Allied Market Research. By 2024, that market is expected to grow to $994 billion with a compound annual growth rate of approximately 22.7% from 2018 through 2024.
Moreover, the educational content segment, a segment that you will soon find GAXY to be highly active in, accounted for the highest revenue share in the market as a whole. Key drivers of the expected market growth are interactive displays and active learning. We're also seeing strong growth in the mobile learning space.
Much of the growth in the segment is expected to come from the United States market. This is ultimately the result of strong infrastructure as well as increased adoption of innovative smart technologies designed specifically for the education and learning industry within the region.
Investors poured more than $8 billion into education technology companies in 2017, according to Metaari, a quantitative market research firm focused on the space.
Interactive flat panel displays were a $9 billion market in 2015 and are expected to reach $27 billion by 2022, according to research from Markets and Markets.
New installs are expected to be the primary driver of near-term market growth with additional demand driven by early adopters entering replacement cycles.
In addition to the education market, interactive flat panel displays are gaining traction in healthcare and corporate enterprise markets as well.
The global education technology market surpassed $17.7 billion in sales in 2017 and is expected to grow to $40.9 billion, an 18.3% CAGR , by 2022.
Technical Analysis
GAXY is currently trading at the lower end of its price channel .
This leads us to believe that GAXY's upside potential far outweighs its downside risk at the current share price.
The float on GAXY is also very thin at just 6.18M.
With a float that tight, GAXY has the potential to break out for significant gains, should it see a sudden burst in trade volume .
Based on our very own chart analysis we see the potential for a move of over +60% from here!
Bullish Indicators
RSI Front Running Price In Reversal. Bullish DIvergence
Strong Historical Daily Support
Momentum Is A Leading Indicator And Is Showing Strong Bullish Divergence In A Long-Term Uptrend
The Bottom Line
GAXY Appears Primed and Ready To Reverse Hard Off Its Recent Downtrend.
Those Who Start Building A Position Now Could Be Rewarded With A Triple-Digit ROI
That being said, we ask that you start your research immediately, and add GAXY to the top of your watchlist.
(*Remember to use a Stop-Loss Order to protect your gains, as well as limit possible losses.)
Dec 17
Comment: Galaxy Next Generation Issues Shareholder Update and Provides Revenue Growth Guidance of At Least 400% (25% Pro-Forma) for the FY Ended June 2020
T
Dec 17
Comment: TOCCOA, GA / ACCESSWIRE / December 17, 2019 / Galaxy Next Generation, Inc. (OTCQB:GAXY) ("Galaxy" or the "Company), a provider of interactive learning technology solutions, is pleased to provide the following shareholder update as it looks to close out the calendar year 2019 and enter 2020 in a much stronger financial and business position.
For its fiscal year ended June 30, 2020, Galaxy expects to generate revenue growth of at least 400% or $8 million in consolidated revenue. Galaxy also expects to continue to decrease operating losses as it increases revenue. The expected revenue growth is partly related to its acquisition of Interlock Concepts and Ehlert Solutions Group on September 4, 2019. For the years ended June 30, 2019 and June 30, 2018, Interlock Concepts and Elhert Solutions Group generated $4.4 million and $4.1 million of revenues, respectively. The combined operating losses of Interlock Concepts and Ehlert Solutions Group were reduced by $0.8 million or 60%, to $0.5 million for the year ended June 30, 2019, from $1.3 million for the year ended June 30, 2018.
Dec 17
Comment: Recap of Recent Financings
In mid-November, the Company closed on a $1.5 million equity financing from an existing shareholder. The majority of the proceeds were used to fully repay and satisfy $1.5 million of convertible notes. The notes were initially issued in May 1, 2019 and were convertible into common stock at a discount to market.
In late-November, the Company closed on a $1.0 million senior secured convertible note financing from an institutional investor. The note bears interest at the rate of 8.0% per annum and matures on November 25, 2020. primarily for the acquisition of Interlock Concepts and Ehlert Solutions Group.
Also in late-November, the company was able to eliminate approximately $400,000 in additional convertible debt. The two notes were originally issued in November and December and were convertible into common stock at a discount to market.
Gary LeCroy, Galaxy's Chief Executive Officer, commented, "Our management team and Board believe that these recent financings and repayments were important to avoid and/or minimize the dilution of the shareholders. These balance sheet transactions, coupled with our recently closed Interlock Concepts and Ehlert Solutions Group acquisition and growing customer demand have put us in a much stronger position entering calendar 2020."
Dec 17
Comment: Other Key Recent Business Highlights
Launched and highlighted new products G2 Spoke, G2 SLIM and G2 Overlay at ISTE, InfoComm, Future in Educational Technology Conferences
Executed agreements with various new resellers, expanding geographically and vertically, including AIOS Group and J.D.B. and Associates
Awarded contract from Lamar County, Georgia
Awarded contract from Stephen County, Georgia
Awarded commitment from Brooks County, Georgia school district
Awarded contract from Marshall County, Alabama
Awarded contract from Newtown County, Georgia school district
Awarded district-wide deployment from Thompson School District in Loveland, Colorado
Completes install with the International School of Louisiana
Recap of Interlock Concepts Key Products
Phoenix Software Suite (Notification and building communication platform)
Classroom Audio Product Suite (Amplifier, Lanyard Microphone, Handheld Microphone and speakers)
Intercom Product Suite (Call Buttons, Microphones and Alert Buttons)
IP Notification Devices (Clock and Speakers)
Notification Software
Speakers (Soundbar, In-ceiling and Wall)
Those Who Start Building A Position Now Could Be Rewarded With A Triple-Digit ROI
That being said, we ask that you start your research immediately, and add GAXY to the top of your watchlist.
(*Remember to use a Stop-Loss Order to protect your gains, as well as limit possible losses.)
Best Regards,
Past performance is not an indicator of future returns. The publishers of this report are not investment advisors and does not provide investment advice. Always do your own research and make your own investment decisions. This message is not a solicitation or recommendation to buy, sell, or hold securities. The publishers of this report has received fifteen thousand dollars compensation to complete a multi day investors relations marketing campaign for GAXY .We have previously been compensated fifteen thousand dollars by a third party to conduct investor relations for GAXY which has now expired. Never make investment decisions based on anything the publisher of this report says. This message is meant for informational and educational purposes only and does not provide investment advice.