Jack Collopy, the small cap Tsar at Perpetual writes: STW Communications (STW) is the largest communications group in Australasia. Despite many traditional media companies struggling with declining revenues and shrinking market share from other channels (online, multi-channel, payTV), we really like STW due to its considerable exposure to the growing online channel. While STW offers its services mainly in Australia and New Zealand, its recent expansion in South East Asia has been an excellent move, generating impressive growth results so far, especially within digital. What really sets STW apart from some of its competitors is the management's focus on diversifying its service offering. Its strategy of constantly evolving the services it offers to clients is a good one, with many of these moving well beyond 'traditional' advertising solutions. And with a strong franked dividend yield, we believe STW will continue to generate good returns for our investors. Read more: (VIEW LINK)
@jmarlay know's the business quite well as he covered them whilst at BRR. James - what's your view on how they handle so many smaller businesses?