United Communications Partners Inc (UCPA)

[naturalborninvestor]

Revenue growth sure looks great, but company just cannot capitalize on it enoguh. Also. UCP faces a serious cash generating issue. I hope they are not going broke on a liquidity drain. Management, this is the real challenge you should be addressing!

It is also striking that despite being able to grow 'non-traditional' revenues (traditional media investments grew 18% vs a 34% growth in total revenues), the company cannot increase gross margins above the stagnant 8.6%. Just 1.5% growth in margin and UCP had generated a $500k profit for the 9-months period, instead.