Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
I have it on pretty good faith that the board has been "in discussion" with at least 1 candidate for taking over the CEO role. I mean, nothing is ever official until it's official but I'm very optimistic that Sam's reign of terror is about to end.
your justification for the wager is interesting..........
triangling and pinpoint of what the next big outcomes are likely to be,by the big/determined players and based on acquisition of the additional shares by DS: purchased made after his letter of discontent,may be a fool's errand. unless you are correct and soon,my logic of proxy war have been wrong on this one for a long time.
what have i missed and can these collectively be the reasons for no action?
***scalability of revenue,a no go. turing to a net margin,a no go.cash infusion always and a must.
** due to inflation,inflation,inflation:food cost up,labor cost up,shipping cost up.
*debt trap is structural,a consistent and predictable and always a go.
or
the big players are trapped(f**k may be more appropriate): fighting over a non-performing-asset is not business. SD buying(stupid and hubris move) more shares is no blood of other players' noses: why other players are not buying?again,with ivhf survival need,it becomes an addicted debt based company and management has no incentive to get out of the hole. throwing more good money after bad is no solution,what is left is hubris and only reason big players have not gotten out.it is a shame that this ends in a lose-lose for everyone so far.stay away or sell while you can.this is a fight no one can win.
ps-i will buy when price dropped to 3c.
I Rebuke You!
And I also Rebuke Sam with the same stroke of the pen:
Denver Smith is at 8% ownership and is putting his money with his frustrated mouth according to his latest filing:
Date Entity Type Of Transaction Number of Shares Average Share Price
5/31/22 CRC Founders Fund, LP Open Market Purchase 28,000 $0.27
6/2/22 CRC Founders Fund, LP Open Market Purchase 100,000 $0.27
6/3/22 CRC Founders Fund, LP Open Market Purchase 4,927 $0.26
6/10/22 CRC Founders Fund, LP Open Market Purchase 62,400 $0.23
6/21/22 CRC Founders Fund, LP Open Market Purchase 43,929 $0.21
6/22/22 CRC Founders Fund, LP Open Market Purchase 17,500 $0.23
6/23/22 CRC Founders Fund, LP Open Market Purchase 16,000 $0.23
6/27/22 CRC Founders Fund, LP Open Market Purchase 7,250 $0.24
6/28/22 CRC Founders Fund, LP Open Market Purchase 42,707 $0.25
7/25/22 CRC Founders Fund, LP Open Market Purchase 38,414 $0.24
7/26/22 CRC Founders Fund, LP Open Market Purchase 35,000 $0.25
7/27/22 CRC Founders Fund, LP Open Market Purchase 45,490 $0.25
7/28/22 CRC Founders Fund, LP Open Market Purchase 175,000 $0.26
7/29/22 CRC Founders Fund, LP Open Market Purchase 20,000 $0.26
If he can do that, I will honor his presence with the same:
08/10/22 02:29 PM ET Buy 1250 IVFH Executed @ $0.2545
08/10/22 02:28 PM ET Buy 2900 IVFH Executed @ $0.265
08/10/22 02:26 PM ET Buy 1000 IVFH Executed @ $0.26
08/10/22 02:21 PM ET Buy 2500 IVFH Executed @ $0.26
08/10/22 02:20 PM ET Buy 3350 IVFH Executed @ $0.26
Over 10,000 purchased today. 61,000 total shares at a .306 cost avg.
One of two things happened: Denver Smith got Pappas and Bandera on his side for a coup d' etat. Or, Pappas and Bandera see lift off on this runway with their cash on the line and underwater.
Either scenario is good for me. We all crash and burn together. Or we become a Phoenix rising from the flames.
lever up to the tilt.....
"Upon the successful approval of the USDA Guarantee, IVFH through its relationship with MapleMark Bank and under the terms of the Revolver and the Term Loans, will have access to more than $4 million of additional commercial borrowing capacity."
https://www.otcmarkets.com/stock/IVFH/news/Innovative-Food-Holdings-Inc-AnnouncesRefinancing-and-New-Credit-Facilities?id=362012
sam is going for the broke,what is the risk of active investors throw in the towel??too high(price drop) for the long is my believe.
my guess:
50% chance below 10c before the end of year.ouucchhhh.
ps-sam will prove "a selfish management and go for broke" is the worst nightmare and likely total destruction for the longs.
Sam has proven incompetence as a manager of a public company. I don't think that's debatable. As a public company, Sam's record at IVFH is there for all the world to see.
If this pair of geniuses, Bandera and Pappas, haven't revolted yet, there can only be a handful of reasons. And none of that bodes well for the average IVFH investor. Sometimes, geniuses get had. You pays your money and you takes your chances. I think they underestimated Sam and Sam played them. If they are waiting for Sam to pull a rabbit out of his hat and turn this POS into a real company, then let me be the first to recommend that the Mensa Society revoke their membership cards. IVFH doesn't have the capital or the depth of management. We've seen the people that Sam brought in to run The Fresh Diet. There is no reason to expect a masterpiece from a horse with a paint brush in its mouth.
The most likely scenario is that Sam has the votes and these guys know it. There can't be more than a few hundred shareholders in the company. If they spent $100 on each, it might amount to $30K to wage a proxy battle - peanuts. Yet these distinguished investors continue to sit on their hands and watch as management runs the company as he has for years. There has to be a reason. Either these guys aren't the geniuses they are billed to be (and I doubt that is the case), or they were snookered. I'll take snookered and lay the points.
My "heroes" haven't been here that long, actually. JPM is rather new, and Bandera's fresh capital infusion isn't even one year old. I think you underestimate their experience and intelligence, as well as Sam's power over them. I don't think they got "snookered." I think they have and always had great clarity. This wouldn't be their first rodeo, and Bandera Partners didn't get to be Warren Buffett's endorsement by being fools.
I don't know how familiar you are with Bandera Partners, but Jeff Gramm has a very long history of dealing with entrenched mgmt. I'm not saying he'll get on board with Denver Smith. If he doesn't, then this $10M runway has purpose and he sees lift off. I wouldn't underestimate him. I'd say .25 is a good price here. Bandera's capital is at .35, so I think that says it all right there. Unless one think they are "fools" that got "snookered," of course. That would be a way of dealing with a false assumption. The fool never knows who he is. I know that Bandera is much smarter than me, and in Bandera and Pappas I trust here. Whether or not they get on board with Denver Smith. And, no, I don't think his letter was for amusement purposes. I'm sure it is well thought out with strategic importance.
These are my counterpoints from my vantage point:
1) Sam steps down per Denver's request. I doubt it, but never say never. Win!
2) A proxy war ensues. I never said this would happen. I said I bet it happens. It doesn't need to. I think it only will if Bandera and Pappas are aligned with Denver's goal there. -- Another win!
3) Bandera and Pappas stick with Sam. Which means, they see lift off. Another win.
All bases covered. The stock is cheap for a reason, of course. I wouldn't want a rosy picture, and this is certainly no rosy picture. It's also been a safe place to be this year, as most penny stocks have been in this official bear market now. It's very low hurdles ahead, no matter what happens.
Roman, let's use a little common sense. Since The Fresh Diet debacle, Sam has not made any huge acquisitions. Everything he has done has been a little here and a little there. No bet the farm transactions like Fresh Diet was.
All these Johnny come lately investors, with the exception of Denver Smith, got in post-The Fresh Diet disaster. That fiasco ended in 2015 or maybe early 2016.
Since then, these geniuses, as some seem to regard them, bought into this POS, watched Sam do his antics, and they have done absolutely nothing. Denver went out on a limb and wrote a letter. If Denver is fed up (and it only took him one near bankruptcy and close to a decade of piss poor IVFH performance) and all he could do was write a nasty letter, then we have to make some assumptions.
1) Your heroes won't give Denver the time of day. If they have enough shares to outvote Sam, why aren't they? Are they morons masquerading as business geniuses? Or, as I contend, Sam is holding pocket aces.
2) These clowns still believe that Sam is the man. In their minds, Sam is the next coming of Warren Buffet but he's had a run of bad luck. They could get rid of Sam because they have the votes or can find the 12% you claim they need, but they won't. Sam is their guy.
3) Sam really has control. Others can piss and moan all they want but Sam knows where every significant vote is and he's looking at a winning hand. And everyone knows it.
I'm going with #3. I'm going to assume your heroes were snookered when they bought in. They thought Sam didn't have majority control at the time and maybe he didn't. But I'm guessing he does 6 or 8 years later. This is Sam's piggy bank and he knows a coup d'etat would eventually happen. Say what you want about Sam, but he's no fool. Sam can count. And he has the votes. Denver may or may not know it. The letter may be for show. But it's going nowhere. Sam has dealt with malcontents before. Since he became the top guy at IVFH, Sam remains the undefeated heavyweight champion. It's not an accident. Sam is clever.
Roman, let's use a little common sense. Since The Fresh Diet debacle, Sam has not made any huge acquisitions. Everything he has done has been a little here and a little there. No bet the farm transactions like Fresh Diet was.
All these Johnny come lately investors, with the exception of Denver Smith, got in post-The Fresh Diet disaster. That fiasco ended in 2015 or maybe early 2016.
Since then, these geniuses, as some seem to regard them, bought into this POS, watched Sam do his antics, and they have done absolutely nothing. Denver went out on a limb and wrote a letter. If Denver is fed up (and it only took him one near bankruptcy and close to a decade of piss poor IVFH performance) and all he could do was write a nasty letter, then we have to make some assumptions.
1) Your heroes won't give Denver the time of day. If they have enough shares to outvote Sam, why aren't they? Are they morons masquerading as business geniuses? Or, as I contend, Sam is holding pocket aces.
2) These clowns still believe that Sam is the man. In their minds, Sam is the next coming of Warren Buffet but he's had a run of bad luck. They could get rid of Sam because they have the votes or can find the 12% you claim they need, but they won't. Sam is their guy.
3) Sam really has control. Others can piss and moan all they want but Sam knows where every significant vote is and he's looking at a winning hand. And everyone knows it.
I'm going with #3. I'm going to assume your heroes were snookered when they bought in. They thought Sam didn't have majority control at the time and maybe he didn't. But I'm guessing he does 6 or 8 years later. This is Sam's piggy bank and he knows a coup d'etat would eventually happen. Say what you want about Sam, but he's no fool. Sam can count. And he has the votes. Denver may or may not know it. The letter may be for show. But it's going nowhere. Sam has dealt with malcontents before. Since he became the top guy at IVFH, Sam remains the undefeated heavyweight champion. It's not an accident. Sam is clever.
At this point, it wouldn't really matter because they are already in the OS. All those percentages are pre-existing. And in theory, Carlson could buy up another 8% in the .20s before your proposed 15% threshold. Then they'd just need to find the other 4%.
They can't make anyone already in swallow any pills. My math adds up, right? Am I in err there somewhere? I don't see it being a huge leap to 51% if Bandera and Pappas both get on board. Those two are clearly invited in the letter, and the two are tight. And both have lots invested. More so than Sam. And a much better alignment of interests with us as opposed to Sam.
Pretty sure Sam has sort of a poison pill in place that may be invoked if anyone owns more than 15% of the company. Going on recollection here. As i recall i=his salary increases and don't remember what happen with the stock. Will have to look it up.
Pretty sure I posted that info here before.
Amigo Mike
if you were the cfo.....
can ivfh break even within the next 12-24 months?and how would you do it??
plus if a recession hit,are the bets off?
Interesting. Thanks for posting that. It gives them liquidity for sure. What I like about all this is that Bandera's money is essentially my hostage as I see it. It's a ransom. He put up his own capital, and it's in the form of common stock and at .35ish per share if memory serves correct. So, that's a huge motivator. Bandera is very competent with a long history of shareholder activism and Warren Buffett's endorsement.
Pappas and he are literally best friends. Don't make this stuff up. Pappas is the largest shareholder here. So, I"m not sure why DickMo thinks Sam is untouchable with an ace up his sleeve. He is outgunned if Pappas and Bandera get on board with the Carlson team. Bandera's own capital influsion was dilution in the form of votes in his favor, in fact.. I ask DickMo to do the math himself here and tell me where I go wrong. I assume Bandera and Pappas will back Carlson. And if they don't, then they see a bright future on that runway and they are not fools. My bull thesis is around Bandera. Not Sam.
The winning votes if a proxy war were to ensue, which I suspect will happen. And don't expect Sam to go peacefully. However, his own shares become a gun to his own head as well in his own defiance. Similar to Putin's dilemma. The math below that I posted at Seeking Alpha:
COUP D'ETAT
So Denver Smith's bio says, "He previously was a portfolio manager at 73114 Investments, LLC, and eventually became CIO of 73114." 73114 Investments owns 2% of IVFH and is the 8th largest shareholder. So, I bet he has their votes for sure. He must have calculated the chances of all of this.
That makes Carlson's true vote count 9% in my eyes. JCP Investments (Pappas) is the largest shareholder at a 21% stake. And he just goes together with Bandera in my eyes, the 4th largest shareholder at 9%. So right off the bat, assuming Pappas and Bandera will get on board, I see 39% percent in the bag. Assuming my thoughts on that are correct. And who's to say that off the record they haven't already talked and had all this planned? I sure hope they did! I love the unofficial records even better sometimes!
Sam and Hank collectively own 22%. Not sure what the 3rd target for removal has, but they are already outgunned. So, Denver Smith only needs 12% more to my theory.
That shouldn't be asking too much. He has my 50,000 shares, so that's another .001% . If we need a feather to tip the scales in a proxy war. Guaranteed, I'll vote rather than have my vote default to unfair incumbent advantage. That's a promise!
So all the above is around 60% of the entire OS. That means they need only 12% more from the other 40%! That should be a cake walk! Who could possibly not be on Team Carlson? For some reason, I feel like they are going to fight it out and squander as much shareholder money as they can before they are forced out. They'll have the incumbent advantage with defaulted votes from those not tuned in, but I don't think an extra 12% is asking for too much.
And Carlson can keep buying in the 20s too! I hope there is no poison pill. Do we have a poison pill? It's too late once the shares are bought, right?
lever up........
a middle finger to you all?
"The Company and its subsidiary, Innovative Food Properties, LLC (“IFP”), as borrowers, entered into two similar Loan Agreements, dated as of the Closing Date (the “Term Loan Agreements”), with the Lender for an aggregate of $10,455,680, before fees, first-lien secured term loans (the “Term Loans”). ....proceeds used to repay the Company’s existing term loans with Fifth Third Bank."
https://www.otcmarkets.com/filing/html?id=15891825&guid=pEpwkW-VfXmSJth
balance sheet as of 3/31/22:
short term and current long term debt $2.6(million)
long term debt $5.8
scraping bottom of the barrel and all for an added quarter of survivability?is sam running out of his 9 lives??
Haven't been here in months and to see the Denver Smith's letter, well, I am amazed. Remember, this is the guy who wrote the glowing report about how IVFH stole The Fresh Diet in 2014. I was the CFO of The Fresh Diet from 2010 to 2013. No one ever spoke to me. They could have done some due diligence, but that doesn't seem to be anyone's style that is connected to this POS.
Let's give Denver Smith a mulligan on The Fresh Diet article he wrote. He was young and dumb. After 7+ years of abuse, he has finally begun to see the light. But alas, it's too late. Sam controls this company. He has for years. His stock-based compensation and his ability to keep warring factions apart have served him well. They cannot coordinate to outvote Sam. I'm not sure that is even possible.
Years ago I noted that Sam was taking this company private without spending a dime of his money. Mr. Smith's letter is proof positive that Sam has been successful in his efforts. Despite his poor financial record, he remains in control and will be until he decides to give it up. No one is going to force him out. IVFH is his piggy bank.
Two items worth noting. One - I could be wrong, but I do not remember The Fresh Diet losing $25 million in any one year. At their worst, they were only losing about $900K per month, which on sales of roughly $1.6 million per month is a rather impressive number. And secondly, IVFH has always been unsaleable. The company receives too much of its sales from US Foods. If they pull the plug, this company is worthless. No one is going to buy it. And Sam knows that too.
So in the end, Sam wins again, as I have repeatedly claimed. Mr. Smith can piss and moan all he wants, but he was fooled and invested poorly. Been there and done that with my own money. I am shocked the people that invested with him took this long to pressure Mr. Smith to do something. But too bad, the game is over. His single with two outs in the bottom of the ninth, down 9 to 2, is not going to matter. The game is over and he has lost.
sam was pissing off denver smith&company......
"I have made numerous requests to you to meet with the board of directors of IVFH over the past two years, and these requests have seemingly fallen on deaf ears. You have responded with excuse after excuse."
stock price ranged between 32c-67c within the 12 months after ds realized something was wrong BIG TIME.why didn't he pull the trigger and get out,take loss,and move on?because he was unprofessionally hopeful and lost his objectivity with this value trap,did nothing and wasted valuable time for an inevitable train crash,subsequently he and ivfh are in a unintenable position now and more so going forward.it is too late now he has to eat it.
ds violated the golden rule:
selfish management is toxic and the most observable sign that leads to costly failure.
the objective question becomes, is ivfh business(ex-sam) savable and risk/reward worth the 5-7 million(good money) needed?????
or
would you take over a sick dog full of fleas?$?$?$?$$$$$$$($ suppose to be in red)
I still have my 50,000 shares at avg. cost of .316. I love this shot across our bow. I think Pappas and Bandera will get on board, and I think Sam and his two obstructionists will not leave peacefully and a proxy war will ensue. That's my prediction. And they will squander as much money as possible in the process. But I still think it will be a net positive because I think Team Carlson has the votes to win with Pappas and Banderas.
Banderas and the Pappas family are very close. They are best friends, in fact. Since Bandera has a long history of activism, and since they have their $3 million capital infusion last year on the line, I think it's war time and it's time to pick sides. Sam will get the incumbent advantage since many may be tuned out and won't vote. But he's outgunned by the enraged I think.
I'm going to buy 10,000 more shares at .20 IFFFF that opportunity arrives.
The good thing about fighting a war that you are gong to lose, and I think he would have to see the writing on the wall, is that as you destroy shareholder wealth, you also shoot your own self in the foot. He is a big shareholder, after all. His votes count two ways: As defiance and self destruction. Like Putin.
Denver Smith did appear to put out the PR he stated late on June 9th.
https://www.businesswire.com/news/home/20220609006065/en/
Up to Sam and BoD to respond I would think .... publicly.
I'd think the BoD situation is easy to resolve but ..... nothing IVFH has made sense for a number of years. I have my popcorn and soda .......
Amigo Mike
good moneys says......
asset price(mc) $9 million
annual loss of $6 million currently
case 1:
going forward
one year to break even,net loss of $6 million,cash -$3 millon(prior infusion of capital a must)
33% likely
case 2:
2 years to break even,net loss of $12 million,cash -$9 million
33% likely
case 3:
black swan event,net loss of $15+ million,cash -$12+ million
33% likely
so,the question becomes "is it worth it to add good money($7-9 million-minus cost of sam's poison pill) with 33% chance of eps=0 at the end of 12 months?"
it's going to be a tough slug(to stop the cash drain) for the active investors even if it won the proxy fight: war chest full of cash a must;high cost of takeover;and difficult challenges under a deep recessionary regime.
another possibility:
at 10% chance in the next 12 -24 months,and just maybe,in the mess of things,plus a black swan event,i get the chance to buy the stock early and below 5c.
when it rains,it pours.....
https://www.zerohedge.com/markets/not-afraid-strike-teamsters-warn-us-foods-east-coast-walkout-could-impact-restaurants
a black swan event at work??
million dollar questions.................
how many million dollars you want for you(sam) to leave this mexican standoff(if papas & bandara are not inline with denver smith)?
then
the next million dollar question,where is the money be coming from,more specifically,from who's pocket??
another possibility:
ds is pissed off and dumping his ivfh stock at market.
why took so long to fire the first shot..............
it should of been done 2 years ago. if a piss of moron like me saw it,where the hell was everyone else: rear view bias,plus cheap hopes.
million dollar questions:
can this induce management change within the next 12 months?
50% chance
if yes,can the new management become effective day 1?
50% chance
last one,will a deep recession sets in soon?
50% chance
or
if there is a change,the success rate is less than 10% in the following 24 months.
ps-i am give it few more years to get their act together,my signal is when its eps=0,before i pull my trigger.
unless,sam got fired and pissed off,and dumping all his stock at market,down to 3-5c.ouchh.....
I finally got to the end of that LONG SCATHING letter! That was a GREAT LETTER! That was better than the episode of Marty's driver's rage in the last season of Ozark! That had me on the edge of my seat from start to finish.
He has my all of my 50,025 votes! No questions asked! He had me at hello!
I like his final conclusion. Because I do like Pappas and Bandera:
...I am not going to sit around and wait until the music stops, as your decisions have brought IVFH to the brink of collapse more than once. Step down as Chairman and CEO and let the truly independent board members find someone better suited to run this business. Given your long-term track record, this is clearly in the best interest of all shareholders.
Mr. Pappas’ and Mr. Gramm’s backgrounds as Chairmen and members of other boards of directors and the success those companies have had make them both extremely attractive candidates to take over as Chairman of IVFH if they are willing. I wouldn’t know if they are willing, as you have prohibited me from speaking with the board. Either of them would be more than qualified to take over as Chairman and maybe IVFH shareholders might have something to look forward to for the first time in a very long time...
WOW! I'm excited!!!!!
This is exactly the kind of angry drama we need! He doesn't ask Pappas or Bandara to step down (on a skim anyway) which I'm happy to see because I still have faith in those two! I"m not even sure who this is making the demands. I'm too busy right now.
Somebody explain it to me please and who is this fund?? All I know is they've been buying in the 30s and 20s per disclosure (again, on a skim only so far)
Long letter to CEO and BoD
https://www.sec.gov/Archives/edgar/data/312257/000121465922007867/r66221sc13da12.htm
In short .....
For shareholders to be best served going forward, the following things need to happen:
§ You should step down as Chairman and CEO of IVFH.
§ Joel Gold and Hank Cohn should step down from the board of directors and all committees.
§ IVFH should immediately cease making acquisitions.
§ IVFH should immediately cease all stock-based compensation to yourself, Joel Gold, and Hank Cohn.
Passed due ..... I believe movement against Sam triggers contract clauses that digs him in more at certain thresholds.
Hmmmmmm ..... been outta this name for quite a while .... hmmmmm maybe should buy a few shares here in support of shareholders. Unfortunately not enough info yet for me to jump back in.
Amigo Mike
Shareholders taking action .... from today SEC Filing
>>>>>>
Item 4. Purpose of Transaction.
Item 4 of the Schedule 13D is hereby amended to read in its entirety as follows:
The Reporting Persons acquired their positions in the Shares in the belief that the Shares were undervalued. The Reporting Persons have held and intend on continuing to have discussions with representatives of the Issuer’s management and board of directors relating to capital allocation policies, executive and board member compensation practices, corporate governance, and capital structure. The Reporting Persons may also seek shareholder board representation, changes to the size and composition of the board or changes to the Issuer’s management or seek to discuss any of the foregoing with representatives of the board or management.
Without limiting the generality of the foregoing, on June 7, 2022, Denver J. Smith (i) delivered to the Issuer’s Chief Executive Officer a letter that, among other matters, requests the resignation of the Issuer’s Chief Executive Officer and two other members of the Issuer’s board of directors and (ii) intends on issuing a press release including the text of the letter. The foregoing summary of the letter is qualified in its entirety by reference to the full text of the letter, a copy of which is attached as Exhibit C hereto and incorporated herein by reference.
Reporting Persons may, from time to time and at any time: (i) acquire additional Shares of the Issuer in the open market or otherwise; or (ii) dispose of any or all of their securities in the open market or otherwise.
<<<<<
Amigo Mike
down to 12.5c....
driven down by 13.5k shares selling(middle finger to sam??). it is becoming clear the rats are jumping the ship,started with a small amount of shares,will it cascade into an avalanche??again,only time would tell.
i could be wrong again with investors turn active......
it is likely and soon.
headwind in the market:
macro environment have changed,blood on the street: stagflation now,easy money(capital) days are over.
e.g. pe compression on money losing stocks becomes a norm.
e.g. amazon dropped 43% from its yearly hi
e.g. target dropped 30% from its yearly hi
e.g. walmart dropped 25% from its yearly hi
can papas withstand price drop down below 20c with no action?? we shall know soon enough.
2-3 years into the business with sam....
papas had stayed passive was a major surprise and disappointment for me to see. will he take off the kid glove and start swinging? i still believe so,since he is cornered(slow death) and have nothing more to lose(stock price is becoming worthless with everyday gone by).
Answer - no one. Sam will find a way to keep the good ship afloat. He always does. I believe I told you all several years ago, Sam is working on taking this private without spending a dime of his own money. When he and his cronies (his board of directors makes the US Supreme Court look neutral and independent) have this all wrapped up, there will be an exit. Not a moment sooner and there is no reason to show profitability until the end of the game. Until then, it's just a string of uninspired management and sloppy performance.
without gain on the interest swap of $294k.....
the net loss would have been around -$1.5 million.
"houston,we have a problem(cash)!!!"
snap shot:
cash $3.1 million
a/r $3.4
inventory $3.2
so far,the way out was thru the share dilution:
3/2021 36 million shares
3/2022 46 million(28% increase y/y)
million dollar question?
the train wreck is within sight(3q 2022),who has the ball and common sense to turn active and fire Sam before it is too late?
Amazon stock price dropped around 33% y/y........
ivfh is up around 10% in the same period.
with amzn backdrop, my expectations in the next 12 months:
33% price above current price(up to 40c)
33% price down 33%(down to 20c)
33% price down to 10c
again, i expect 10q/10k losses until 2025.oucchhhh.
You IVFH trolls have been taken for a long ride from Sam and his orthodox fake religion. Especially USfoods is cutting them off. What do you think Pappas is gonna do "Nothing" that's what.
You're all a joke to stay in this clown stock, especially that these Morons pay themselves ridiculously amounts of money and produce ZERO income, that's why the Staff is leaving. Sam is a Troll. Let's see if you have the balls to post Admin.
Justin
I heard a rumor that they lost almost half of their staff and they ran through 2 Heads of Ecommerce in the last year. I think this goose is cooked.
mexican standoff continues.......
factors beyond everyone control:
interest rise
labor inflation
cost up due to inflation
cost up due to supply disruption
...
...
unless the company can do
revenue expansion(yes)
margin expansion(no)
positive free cash flow(no)
burn rate less than zero(no)
...
...
i believe its value(ex-ceo) of ivfh would be difficult to be realized in the current market condition without a huge discount.value trap for years to come.ouuch.
disclosure-i have no shares and waiting to buy only when ivfh earning turned positive.i am in new mexico now,checking out a company with covid-19 testing locations.it just had a 2c earning and selling at 1/3 of the ivfh price or with a projected pe of less<2.wwwwooowww.
Now Bandera has his $3M on the line too. Now it's his money on the line, and he is very vocal. He and Pappas do have a history, and Bandera does push back with their money to their mouth.
I think it feels better with his money on the table.
They also had this comment in the 10K:
"we expect to benefit from the significant organic and M&A opportunities we are pursuing that can leverage..."
How do you feel about that statement? I'm not aware of what they are pursuing; but apparently, they are pursuing some sort of merger and/or acqusition activity. Possible that it could even be the sale of the company? James Pappas, after all, is known to have sold the JMBA juice chain, which rewarded patient investors handsomely in the end.
It is a dirt cheap company. Very low p/s. Sam should have been fired long ago, I do agree. Don't know how he keeps his job. That does seem a bit unethical. I can't justify it. Perhaps new owners would not be so forgiving. Then again, wouldn't be our problem either...
VOLUNTARY DISCLOSURE: 50,025 shares here at a .316 avg. cost per share.
pappas is a dud so far.i guess he falls for sam's trap: growing the topline as all cost and at some future date,the bottomline falls inline.the only problem to this is replenishment of money is needed on a regular basis,with more good money turn bad.the question becomes,how many more suckers left to burn before sam capitulates?
as a passive investor,i would not bet a dime on this company until sam is neutralized or gone.
'Diligent board' is the key phrase. Would a diligent board allow a CEO to abandon shareholder conference calls? There's your answer. Grease - still convinced Pappas is the company's change agent? I'm surprised he hasn't bailed yet.
just reminiscing to the old days trying to understand what happened to the $4.5M income reported in 2017.
Since 2017, GP increased by $3.3M and operating expenses increased by a whopping $11.6M - with profits dropping to $4.5M to a loss of $4.1M. Most CEO's would be fired right?? Somehow Sam keeps getting compensated in shares... his share count has increased from 2m (6.3%) in 2017 to 4.6M (10%) in 2021. I don't understand how a diligent board with shareholders in mind could allow this
likely scenario of net income......
assuming business model stays stagnant(1%-2% overall margin improvement per annum at best)
projection:
2022 -3 million(loss)
2023 -2 million
2024 -1 million
2025 break even
or
time to go long(buy) is 2024-2025 below 20c.
I was expecting a little better for Q4. It is usually the company's best quarter. Q1 is not a good quarter in the restaurant world - Only one good holiday (Valentine's Day), snow, and generally foul weather in much of the country.
2021 4q .....
what i have so far
$20.8 million revenue
$14.7 million cost(70%)
$6.1 million gross
$6.0 million expense(29%)
$0.1 million operating income
net profit $1.7 million with $1.9 million forgiveness of debt
or
net profit -$226k ex forgiveness of debt
for all 2021
revenue 62.2
cost 45.3(72%)
gross 17.0(27%)
expense 20.5(33%)
operating loss -3.6
net income -0.8 with 3.4 forgiveness of debt
or
net income -4.2 adjusted for forgiveness of debt
again,the pricing model 100%(revenue)-72%(cost)-33%(expense)<0%(loss) is structurally flawed: revenue growth without margin expansion,more losses in 2022 very likely.
also
share dilution of 10%-15%(in 2021,from 34.8 to 39.4) is likely/needed to continue in 2022(expect 39.4 to 44) to shore up the balance sheet.
Looks like some shareholders are finally getting down to voting heavily against Sam and company.
2021 Shareholder election results
Nominees for Directors For Withheld
Hank Cohn 19,446,750 3,059,915
Joel Gold 16,902,362 5,606,299
Sam Klepfish 18,563,655 3,943,006
Justin Wiernasz 22,189,515 317,146
David Polinsky 18,446,750 3,896,816
James C. Pappas 22,251,296 255,365
Mark Schmulen 22,221,296 285,365
Jefferson Gramm 22,262,186 244,365
Amigo Mike
It's concerning that even though specialty foodservice revenues have rebounded they are still losing money hand over fist.
This new PA facility increased their cost structure too much. I can't see how they can increase e-com revenues fast enough to make up for it - they will end up dumping money in advertising and probably not getting the returns required.
Next quarter is the 4th. It is always the best quarter in the higher end food business. IVFH will be profitable next quarter. It's the other three that the company has to fix if they are going to be long term viable. I'll have to take a look at the information in the ER. Curious to see how much the consumer sales business has dropped off.
A peaceful and glorious Thanksgiving to all who venture into the tiny IVFH wasteland of a chat board. It's just not the same as it used to be.
er is out and we have......
revenue of $15.2 million vs $11.2 million,up 36%(great)
margin 24% vs 25%(problem #1)
sg&a 33% vs 39%(problem #2)
loss -$1.3 million(exclude ppp forgiveness of debt) vs -1.6 million
or
margin expansion of 6% asap is needed to make the current business model work(break even that is).if not and at the current margin of 24%,the revenue needed for the breakeven point is around $25 million.
or
4q 21 loss of $0.5e million
1q 22 loss of $1e million
2q 22 loss of $1e million
3q 22 loss of $1e million
plus
headwind:
inventory $2.8(3q 21) vs $3.7(4q 20)
margin capped by 3rd party shipment
i believe breakeven point is 3 years away,unless they took drastic measure and worked.
this er would confirm investor of good money either.....
he is a turkey about to be harvested
or
sam delivered and no longer a turkey himself.
be happy you are not a turkey on the chopping block,and happy turkey day everyone!
Anyone who would dump good money into this to possibly gain control can't have all their marbles. What a waste of good money.
I've been holding a position in $IVFH for a while, now, and the pps action and heavy volume of yesterday and today look very intriguing.
A couple Form 4's, indicating insider buying, appear to be the catalysts:
https://www.otcmarkets.com/filing/html?id=15199761&guid=7G29kaHZKyNXA3h
https://www.otcmarkets.com/filing/html?id=15200489&guid=7G29kaHZKyNXA3h
correction........
from 8k:
"each Investor purchased 3,125,000 shares of the Company’s common stock for an aggregate of 9,375,000 shares (the “Shares”) from the Company at a price of $0.40 per share."
or
$3.7 million from the new issuance of stock to papas
or
sam got an extension of 1 more year to get the company in order(profitable),how likely would sam to resign if the goal was unmet?? inevitably followed with an implied takeover by papas(ownership of 35%=(9+7)/(36+9)????
or
16% more to go before papas becomes a majority shareholder and sam is out.
so far papas has put up $8.5 million bucks for his participation in the company.while sam continue be in charge,does papas not known sam is the problem all along??
had he not bought the 3 million+ shares recently.....
the stock price would have tanked big time,was papas emotionally attached to the company??
dilemma ahead:
loss of $1 million
no buy,stock down big
buy,stock overpriced
more good money after the bad
meanwhile:
sam continues business as usual,a calamity at work.
Followers
|
146
|
Posters
|
|
Posts (Today)
|
0
|
Posts (Total)
|
19261
|
Created
|
01/17/05
|
Type
|
Free
|
Moderators |
Business Summary |
---|
Details |
---|
|
Market Value | Not Available | |
Shares Outstanding | 6.43 Mil | a/o Jun 13, 2013 |
Float | 2.85 Mil | |
Authorized Shares | 500 Mil |
Volume | |
Day Range: | |
Bid Price | |
Ask Price | |
Last Trade Time: |