We believe that this transfer was done quietly with the potential motivation to allow for further insider selling Corporate Strategy Initiatives Are Not Showing Signs of Progress: In 2016, Globant introduced a new company wide model called 50-Squared.The main goal of 50-squared is to focus Globant’s team on the top 50 highest potential accounts that have the capacity to grow exponentially over time. Four of its top clients (excluding its top client, Disney) only grew by an average of 2% in 2017. Adjusted for a change in revenue accounting principle, Kratos Q1 revenues missed expectations by 6% 2.
Mercury appears to be caught in the perfect storm of slowing growth, rising costs and debt.
Globant’s status as a foreign private issuer allows it an exemption from reporting the customary insider disclosure via Form 4s to the SEC.
Globant chooses to file paper forms with the SEC via Form 144s.
There is also a pattern where Globant continuously revises IFRS or adjusted numbers.
The 2016 financials have been published three times (4Q16 press release, FY16 20F, and the 4Q17 press release) and we identify changes in each subsequent release.