With a class-leading low-code solution, acting as the ‘hub’, Netcall is now adding ‘spokes’ (i.e. capabilities) at pace and accelerating growth in the process. For today, the company has announced its third acquisition of 2024: Smart & Easy (trading as “Parble”). We upgrade revs and EPS both +2% (i.e. its only small) but as ever - its tech is very relevant and complementary. When taken in combination with Skore and Govtech, we have now upgraded FYJun25 revs and EPS +12% and 20% resp., thus contributing to +21% and +15% revs and EPS growth in FY25. These are strong returns and makes for a compelling investment case. Trading on a 7% FY25 FCF yield, this potential (of compounding growth) has not been priced correctly, in our view.
