So I finally had a chance to listen to the CC. It is indeed the best one I have heard thus far in 4 years. Finally feeling that what they have to say has some substance.
To begin...the BOARD recognizes the importance of shareholder relationships and communication, hence they have hired an IR firm.
Secondly, they recognize and acknowledge that the stock price has performed poorly.
Here is what I heard:
FINANCES
# Finally EBIT positive! about 2 million.
# As a result, much more legitimate financing options...it is the boards top priority and they state that something will be done..."stay tuned."
# Assuming that this will be done within the next 4 months as the the credit agreement with DMRJ runs out
# Grants will start paying for R and D in december, totaling 2 million dollars
ORDERS
# First wave of europe ETD sales went well, won about 70% of tenders.
# Still more tenders to attend to...including both germany and England.
# Second wave of europe will include smaller airports...stated at last conference call that second wave will be in 03/16
# Still sticking to backlog of 44 million or so.
# No mention of Canada or DOD
TSA
# 21 million dollar number is not useful in any calculation for unit price...stop guessing.
# 1st week of december will be the first shipment, set date for "large amount" ...in the hundreds, no further specification
# No mention of a second order although "it is something we work on everyday."
FUTURE HANDHELD
# Handheld done, but marketing and packaging not yet done
# TSA swab technology available as is non-contact, but no tsa approval available, no set standards
# Behind schedule due to all hands aboard for ECAC delivery, but still thinks it will be out and selling by end of fiscal year
MISCELLANEOUS
# ETD/EDS bundling is not a sales disadvantage, if needed IMSC can partner with EDS company to sell equiptment
# Gross margins will be at 41-44%, inefficiencies of ramp costs will be eliminated
Pretty much it...believe that IMSC is a long term hold, should see significant appreciation in the next 4 months. GLTA, KB
