Tucows still has no new Domain and no new CEO

Like these men in the caption above Tucows is still doing things the same old way.They reported their second quarter results on August 7 and there were few changes.Tucows says in their report that they are"a provider of network access,domain names and other internet services".But in fact they are only a registry for domain names and the manager of a mobile internet provider called Ting in a few southern USA towns.It is time for Tucows to make some changes and make some new investments.Nevertheless Tucows is still considerably more profitable than far bigger names like Kinaxis and Shopify.
         Second Quarter Highlights
    Generally speaking performance was slightly down from Q2 in 2018.Although revenue was up 4% it was down 8% for the 6 month period.Net income was down 28% for the second quarter and 26% for the six month period.However more importantly e.p.s was constant over the 3 month and 6 month period in 2018.Adjusted EBITDA was up 3% over Q2 in 2018 and down 3% for 6 months.
        This Blog's Complaint 
      There can be little doubt that Tucows is very tightly managed and is squeezing every possible cent of profit  from it's operation.But revenues have been starting to decline.There have been one or two small acquisitions but in exactly the same business.This blog believes that the stock price  could start to stall soon without  some changes.On the positive side Tucows has a very strong capital structure.Little debt and only 10.5 million shares outstanding.This thin capital structure makes the stock very volatile;a few shares trading up or down can move the stock price up or down.
      This blog recommended a number of small acquisitions of small software companies plus an out of favour on-line advertising company(Yellow Pages).Now it seems that none of these suggestions have been taken and Tucows is stuck with domaine names and a company called Ting.Ting makes up less than 1% of net income and is capital intensive.This anchor should be sold and TC find something easier to manage (preferably Canadian). .Tucows could easily float a 2 to 4 million equity issue and buy something to take it in a new direction.But in order to do that Tucows needs a new  CEO.         http://www.cppib.com/en/https://www.otpp.com/