Pointerra Ltd (ASX:3DP) provides an end to end, cloud-based data as a service solution for capturing, storing, manipulating and analysing massive 3D datasets in the geospatial sector. It has taken what has been a highly manual, slow and cost prohibitive process and turned it into a fast, efficient workflow solution for 3D data, enabling digital asset management from any device in any location. Its customer base spans pole and power companies, resources companies, construction companies, government agencies, data capture companies and surveyor and mapping companies. Pointerra has reported H1 FY21 revenue growth of 218% to $1.56m and cash receipts growth of 132% to $1.14m. The net loss for the half was $0.94m, down 28% from the same period a year ago and better than our forecast loss of $1.1m. We have made some minor adjustments to our forecasts to reflect timing differences for revenue recognition and the recent strength in the Australian dollar against the USD. Our base case DCF valuation using a WACC of 14% and which is predicated on Pointerra delivering ACV of US$50m by FY25 is $0.75/share.
