VEND submitted their quarterly report today - appears to me they are close to showing a positive Net Profit as the loss decreased from $0.03 per share to $0.01. Main apparent concern is cash flow and the need to continue borrowing for cash needs - hopefully this will improve as revenues continue to improve:
Three months ended March 31, 2015 compared to three months ended March 31, 2014
Revenues
We had revenues of $1,917,111 for the three months ended March 31, 2015, compared to revenues of $1,172,881 for the three months ended March 31, 2014. This represented an increase of $744,230 or 63.5%. Our revenues increased largely due to the increase in the number of machines installed and the corresponding franchise fees that were recognized.
Cost of revenues
Cost of revenues was $895,047 during the three months ended March 31, 2015, compared to $570,942 during the three months ended March 31, 2014. The increase of $324,105 or 56.8%, was primarily related to the increase in machines installed.
Gross margin
Gross margin for the three months ended March 31, 2015 was $1,022,064 compared to $601,939 for the corresponding period ending March 31, 2014, representing an increase of $420,125 or 69.8%. Gross margin percentage during the three months ended March 31, 2015 was 53.3% compared to 51.3% for the corresponding period ended March 31, 2014.
Selling, general and administrative expenses
Selling, general and administrative expenses for the three months ended March 31, 2015 of $1,275,098 represent a decrease of $2,600 from the $1,277,698 in the three months ended March 31, 2014.
Net loss
Net loss was $296,858 during the three months ended March 31, 2015 versus a net loss of $681,195 for the three months ended March 31, 2014. The decrease in net loss resulted from higher revenues, higher gross margin percentage and gross margin dollars.
Basic net loss per share during the three months ended March 31, 2015 and 2014 was $0.01 and $0.03, respectively.
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