Moovly continues mooving forward with cloud-based video technology
By now Moovly Media Inc. (TSXV: MVY) (‘Moovly’) should be no stranger to readers of InvestorIntel. Matthew Bohlsen first wrote about Moovly back in November 2019 when the stock was trading at C$0.05. Closing yesterday at C$0.67 would have been a pretty good ride but the story doesn’t appear to be over any time soon. The good news is that Moovly is continuing to make progress on growing its business with further integrations with new software partners.
On March 3rd, the company announced it had successfully integrated with Wistia, a leader in the video marketing software space. Then on March 11th, the Company press released another deal launching two new integrations into the suite of Microsoft products – Microsoft AI (featuring Neural Text To Speech) as well as Microsoft’s OneDrive (cloud storage).
I’m sure most people are familiar with Microsoft and what it brings to the table, so focusing on the Wistia deal, CEO Brendon Grunewald said, “Moovly has recently focused on integrations to optimize our business, reduce costs and leverage our technology in order to add value to our clients, and our business as a whole. Moovly’s users can easily create and publish captivating videos along with the marketing tools and analytics that help any company grow and succeed.”
Imagine all the companies that have recently found tools like Shopify, allowing them to survive the Covid pandemic, now being able to make a quality, low-cost video (commercial) to sell their product and drive more traffic to their new e-commerce platform(s).
This intuitive, easy to make video can then be posted to any number of social media outlets and even translated or captioned to almost any language on the planet utilizing the many innovative tools that Moovly can provide. Companies big and small can all benefit from this technology but keep in mind that users from over 300 of the Fortune 500 are already existing Moovly clients.
Another major market for the company is the education technology space where last month the company announced a 302% increase in paid subscribers. Moovly recently added a Zoom-style collaboration and communication tool which has proven to be a key element of the growth in the education sector.
Clients can use this communication tool in conjunction with their existing Moovly subscription, thereby dispensing with the need for a second, separate service. Again, ease of use is at the core of Moovly’s success at expanding its business lines with approximately 3.7 million total registered users now accessing its platform.
It’s encouraging to see that Moovly is advancing the business but still being mindful of the bottom line. The company recently announced its second capital raise of 2021 (approx. C$3.8M) in order to fund its future growth and remove any financial stress from interfering with the company’s focus.
Based on recent cash burn rates, this should give the company ample breathing room to continue to increase paid subscribers and transition to growth from internally generated cash flow or perhaps even look at an acquisition. We continue to watch this stock with interest.
Dean Bristow has been involved in the North American Crude Oil business for 30 years including Energy Trading, Infrastructure Development, Transportation, and Refining. During that ... <Read more about Dean Bristow>