Early childhood technology business TALi Digital Ltd (ASX: TD1) has confirmed its robust financial position with three senior appointments as the company’s online education suite attracts growing interest under social distancing.
Managing Director, Glenn Smith, said the company is a strong financial position to ride out the COVID-19 storm with that cash and cash equivalents as at the 31st December 2019 of $6.1 million.
Mr Smith said that given the COVID-19 pandemic threat is causing world-wide school closures resulting in children having to be schooled from home, there is a significant opportunity for TALi Digital’s product suite in the education segment and in particular via direct-to consumer sales.
He added that the flexibility of the TALi product suite allow programmes to be purchased and delivered via a direct-to-consumer model along with the education and healthcare focused models.
The company is of the view that this period may present a unique opportunity for TALi to focus on parents and providing them with relevant information and products to help them and their children throughout this period,” Mr Smith said.
“We will be undertaking focused marketing campaigns over digital channels and via other channels to raise awareness of TALi and increase direct sales designed to complement and/or offset a decline in sales in other segments should that occur due to the COVID-19 pandemic during the current and over the forward periods.
“At this point there is a substantive pipeline of potential customers and users for the TALi products with increased revenue from activities now expected to begin in the next financial quarter.”
TALi has achieved Google For Education Partner status which allows the company’s TALi Detect and TALi Train products to be accessed via Google products including G Suite for Education and Google Chromebooks.
“This is a significant opportunity for the Company as these products dominate the US education system – over 55% of all U.S. school children using a Google product every day to facilitate their learning experience.
“Whilst the current COVID-19 pandemic will slow the ability for the company to appropriately leverage the potential of the partner status in the near term, the Company remains confident that this and partnerships like it will be the backbone of revenue growth and profitability for TALi over the longer term.”
To boost the potential opportunity, TALi Digital has appointed three senior positions to assist the company in operations and future sales of its suite of digital products.
It has named David Turnbull as National Sales Manager, Lee Simpson as Marketing Manager and Pete Saunders as Chief Operations Officer.