If you're a fan of small cap shares then you're in luck because there are a good number of promising companies trading at the small end of the Australian share market right now.
Three that I think are worth watching very closely are listed below. Here's why:
Audinate Group Limited (ASX: AD8)
Audinate is $340 million provider of digital audio-visual networking technologies. I'm a big fan of the company due to its award-winning Dante audio over IP networking solution. Dante is used extensively across the professional live sound, commercial installation, broadcast, public address, and recording industries globally. Due to the quality of the product, demand for Dante has been growing strongly and helped drive half year revenue 60% higher to $14.2 million. The good news is that management remains confident that there will be more of the same in the second half and beyond.
ELMO Software Ltd (ASX: ELO)
Another company which has grown its first half revenue at an impressive rate in FY 2019 is ELMO. It is a cloud-based human resources and payroll software provider which offers customers a unified platform to streamline processes for employee administration, recruitment, onboarding, learning, performance, remuneration, compliance training and payroll. Basically, everything from hire to retire. In the first half revenue jumped 62% to $17.7 million due to a significant jump in customer numbers. Thanks to positive organic growth and increased traction in the lower mid-market segment, I feel the company is well positioned to deliver a similarly strong second half.
Straker Translations (ASX: STG)
I think that Straker Translations is well worth keeping a close eye on. It is a global technology driven translation services platform which uses artificial intelligence and human intelligence to provide efficient language translation services at scale. The company's cloud-based platform manages the end-to-end translation process, leveraging machine translation technology to create a first draft translation and subsequently matching the customer's content with one or more of the approximately 13,000 crowd-sourced human freelance translators for refinement. In the first half the company generated revenue of NZ$12 million, up 39% on the prior corresponding period.
