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UUU - Yeah, false alarm. I was looking at the note originally being interest only.
But the company only paid $237,686 in interest expense for the year, and that included interest to their factor. So big improvement in cash flow, but not much to earnings. Still a good thing, but won't help much come earnings report time.
Yeah, makes sense to not call attention to it. Congrats regardless
UUU - Yeah, that might be a better way to look at it. It started as an interest-only note, but then looks like it was amended.
Woo-hoo! What was the symbol? I gotta see this chart. That candle must look like a toothpick. haha
That's a good day! Congrats on the good fortune!
UUU - Found something. Even assuming sales are down a bit, found this in the 10-K which will mean an awful lot to a company with only 2.3m shares outstanding. They paid off a loan (reflected in both balance sheet and cash flow statement) on which they were paying $100k per month. So that's $1.2m per year that theoretically drops to the bottom line. Roughly $.50 per share in earnings improvement possible next year just from this alone:
UUU - Yeah, that's what I was looking at also, Larry. Hweb, I certainly get your point that on a quarter to quarter basis they definitely had a couple of boom quarters in fulfilling the lockdown backlog, but when viewed against the many prior years, they didn't tend to have that big of a backlog. Like Larry, I'm uncertain how it all shakes out, I would guess next year will be down a little, but if they're switching from a much longer cycle and delivery time from all the delays and getting back to faster inventory and order times, who knows. FWIW, here are the prior year's backlog statement in full, as well as the revenues for that 10-k year, and the prior year. The backlog was usually a little bit predictive, but not always. Admittedly, $6m to $2.3m is a big drop:
- March 31, 2017 Rev $14.1 vs. $13.7 prior year
"Our backlog of orders as of March 31, 2017 was approximately $830,000. Our backlog as of March 31, 2016 was approximately $631,000. This increase in backlog is primarily due to the timing of orders of our safety products.
- March 31, 2018 Rev $14.9 vs. $14.1 prior year
"Our backlog of orders as of March 31, 2018 was approximately $1,326,000. Our backlog as of March 31, 2017 was approximately $830,000. This increase in backlog is primarily due to the timing of orders of our safety products."
- March 31, 2019 Rev $17.6 vs. $14.8 prior year
"Our backlog of orders as of March 31, 2019 was approximately $748,000. Our backlog as of March 31, 2018 was approximately $1,326,000. This decrease in backlog is primarily due to the timing of orders of our safety products."
- March 31, 2020 Rev $14.8 vs. $17.6 prior year
"Our backlog of orders as of March 31, 2020 was approximately $507,000. Our backlog as of March 31, 2019 was approximately $748,000. This decrease in backlog is primarily due to the timing of orders of our safety products."
- March 31, 2021 Rev $17.5 vs. $14.8 prior year
"Our backlog of orders as of March 31, 2021 was approximately $3,905,000. Our backlog as of March 31, 2020 was approximately $507,000. The increase in backlog is primarily due to delays in unloading of freight at California ports of entry caused by or related to COVID-19 issues."
- March 31, 2022 Rev $19.5 vs. $17.5 prior year
"Our backlog of orders as of March 31, 2022, was approximately $6,028,000. Our backlog as of March 31, 2021, was approximately $3,905,000. The increase in backlog is primarily due to delays in unloading of freight at California ports of entry caused by or related to COVID-19 issues.
- March 31, 2023 Rev $22.2 vs. $19.5 prior year
"Our backlog of orders as of March 31, 2023, was approximately $2,382,000. Our backlog as of March 31, 2022, was approximately $6,028,000. The decrease in backlog is primarily due to a resumption in shipping of orders during the fiscal year ending March 31, 2023 after experiencing delays unloading freight at California ports of entry caused by or related to COVID-19 issues in the prior fiscal year."
UUU (2.90) Not one I follow closely, but it seems to be recovering nicely. For those who do follow it closely, is there any chance that the sharply lower backlog could be somewhat misleading? Could it just be odd timing? Or lockdowns caused a ridiculously high backlog as things just got backed up? Is it possible this is a perfectly normal backlog as things return to normal?
It doesn't SEEM like that's the case, but I just wonder if it's possible? They make it pretty clear that there were unloading delays, so that created the backlog. How long do their products take to work thru their manufacturing process, etc.?
If anyone is familiar with their business, would appreciate your thoughts.
Boy, isn't that the truth.
Ameritrade - I'll give you one better. This was probably 15-20 years ago or longer. I had maybe $25,000 in my account and not much more to my name.
I logged in and the account balance was a huge negative, showed up in red, it was something like -$572,878, or some ungodly figure. I nearly had a heart attack, no kidding. Shortness of breath, panic attack, started thinking I was gonna have to file bankruptcy, etc. Calmed down after maybe 15min and gave them a call.
The guy was totally nonchalant about it. "Oh yeah, looks like some short-selling trades from someone else's account got incorrectly attributed to you. Not a big deal. I'll make a fix. Should be cleared up by the end of the day."
As you can imagine, I tore into the guy. "Not a big deal?! Not a big deal?!! How can you say that?! This would totally wipe me out and I'd have to file bankruptcy! It may not be a big deal for you but this is a huge deal for me! You just made like a $600k error and you expect me to take your word for it that all is well?!
Got a supervisor on the line and just excoriated everybody, and I'm normally a very mellow person. But this would have wiped me out entirely, so no Mr. Nice Guy on this one. I couldn't believe how cavalier they were about the whole thing. What if I had been on a two-week vacation and away from computers the whole time? Most of these brokerage agreements are so one-sided they say you have to dispute within like two weeks or else lose your right to dispute. What if I was gone and never had a chance to see the error? I've been VERY cautious of brokers after that.
So in a weird way, I'd say at least be glad you were on the positive ends of things. Think about the poor guy who has $300k missing from his account.
I moved nearly all my money away from Ameritrade shortly thereafter.
BUKS - Yeah, tough to know how much input the Stewarts will still have. But there's one thing that suggests they don't hold THAT much sway, at least with the Board. And that is, it's a 7-member Board, and the Stewarts (Dad and Son) were 2 of those 7 members, and yet the Board voted to terminate the son. This is copied and pasted from p.15 of the Jan 31 10-Q:
BUKS - I'm hopeful that all the mgt shakeup will work out positively. But upcoming Q4 might be a "big bath" quarter with lots of expenses in order to wipe the slate clean of the Stewarts (I still don't know if this was a friendly parting of the ways or not). If they report bad earnings and the stock plunges, I'll be a buyer.
I like that the new CEO isn't some new guy coming in who knows nothing about the company -- he's been there a couple of decades. And the Chairman of the Board (Wagoner) has been Chairman since the elder Stewart (ex-CEO) came on with the company, so again, long tenure and knows the biz.
In the proxy, it says, "In fiscal 2022, there were three related-person transactions related to director and CEO, Mr. Clark D. Stewart. Butler National employed the brother (Wayne Stewart as an engineer), son (Craig Stewart as a Vice President) and son-in-law (Jeff Shinkle as an architect) of Clark D. Stewart, an executive officer. Compensation for these related-persons was calculated in the same manner as the Summary Compensation table resulting in compensation of approximately $292,000, $484,000, and $247,000 respectively, for fiscal 2022, and $353,000, $503,000 and $255,000 respectively, for fiscal 2021."
We know Craig (the son) and Clarke (the 83yr old father) are both gone, and I would guess maybe the other two as well, but who knows. The company took a $1.3 million charge for the termination of the son, which was around 3 times his previous year compensation. The CEO father made around $863k, so I'm guessing there might be a $2.5 to $3 million charge for that in Q4.
But after that, the consolidation of locations, plus elimination of some possible nepotism, and I'm hoping for a much leaner, meaner organization where earnings improve in Q1 and beyond. (One oddity, however, is that because they're both big shareholders, they're both remaining on the board.)
We shall see what happens. Last year the 10-K was filed on 7-15, so pretty soon. Who knows, maybe we'll get the dreaded, "after-hours on Friday" filing to try and minimize the damage.
BDCO - Yeah, that's what it looked like to me also. But if this upcoming quarter produces really good earnings, then maybe they've got some interesting contracts on the pricing of their products or something, because it doesn't make much sense to me. Seems like someone is looking at the last Q's earnings and just multiplying by four.
No matter the reason, essentially $2 to $8 in two months is a darn good move! I always thought the rocket ship move might come when they clarified their debt situation. But interestingly, when that happened the stock barely budged.
BDCO - You still holding any, KiK? I sold the last of mine around 5, and most in the 4's. Made very good money, but it always hurts to see a rocket ship after you've sold.
BDCO ($8.83) Sheesh, it rocketed without me. I certainly don't understand the move, but maybe there's some things I don't know.
SURG, yeah it will probably pop for a bit.
SURG - Company filed a $100m shelf offering on 7/3, which seemed a little suspect for a company claiming to make lots of money. Today a pretty detailed short report came out:
https://www.birddogresearch.com/
Yeah, almost anything travel related. Airlines and cruise lines have all been running.
Maybe it's more common than we realize. Just searched for "busted trade" on google news, and it looks like there's been a few instances and it may be more the exchange's fault than the broker:
https://www.reuters.com/business/nyse-bust-erroneous-trades-cdw-corp-shares-2023-05-18/
https://finance.yahoo.com/news/nyse-listed-stocks-briefly-halted-153301312.html
https://archive.is/7ZDje
That is odd. I've actually asked my broker to bust a trade where it was the market maker just trying to get me off the bid or the ask. Example would be I placed an order to buy, say, 200k shares of a $.0006 stock, so a total of $120. And then for two days in a row I would get executed for like 3 shares one day and 7 shares the next, and that was the total volume for each day. That kind of thing. Just trying to ring up commissions on me to make me go away. Nobody places trades for which the total amount is less than a penny. Nobody but the market maker. And my broker has agreed and will bust those trades.
But, like you, I'd agree it's quite odd to happen long after settlement. Maybe there was some actual evidence of foul play or something, or lawsuit, etc. For example, I think I can remember trades being busted after-the-fact when SEC determined someone put out a phony press release, for example. Can't remember any specifics, but I can actually see the point of that.
But yeah, your situation is sure odd. Doesn't give one a lot of confidence, especially when there is no explanation.
Not really, it was a stock grant to a newly hired person
Yeah, I thought so too. Debt being gone should improve future earnings a little also. I've held it for a while and was sort of wondering how real it was. Showing good signs
PRPH - Interesting approach where they announce that an offer they made was rejected. It was for another public company, NAVB, so I presume they're trying to create an uprising in the shareholders of NAVB.
Still, just kind of made me kind of laugh that they are announcing their failure and rejection. It would be like me writing press releases for my 20s: "Cute Girl At Grocery Store Totally Rejects My Offer. She Declined To Make A Counteroffer and Did Not Seek To Engage In Further Discussions, Even Though I Thought The Offer Was In The Best Interests of Both Parties."
https://ih.advfn.com/stock-market/NASDAQ/prophase-labs-PRPH/stock-news/91461656/navidea-biopharmaceuticals-rejects-prophase-labs-o
5 yr T-Note went off at 4%, so the risk-free rate of return keeps inching up, and for longer duration.
Cruise stocks nearly all hitting new highs today (gotta wonder how many of these trips are being put on credit cards)
Supposedly, two production cuts in oil, and yet the price can barely stay above $70. Suggests serious lack of demand.
Cardboard box demand plunging as well:
Cardboard Box Demand Collapses To Lowest Level Since The Great Financial Collapse ......
— Wall Street Silver (@WallStreetSilv) June 18, 2023
Probably Nothing ... 🚨🚨🚨 pic.twitter.com/IkZoodKpOT
Yeah, I think a year or two from now there will be tons of AI stocks that are going bk
HHS - Yeah that does seem odd. BUKS had a big shakeup too, but that one seems a little more understandable becuz the CEO was in his 80s, faltering, plus the new guy has been with the company like 20 years or something. Who knows how that one will go, but at least I can see the logic. With HHS, I agree that I don't like when there's some new person from outside the organization being brought in. Good chance that a lot of the employees will still want the previous leadership and not the new savior.
SBOW - Shareholder activist making some noise:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230614:nPnYFb24a&default-theme=true
Thx for the heads up. This one had admittedly fallen off my watch list and need to give it another look.
Office RE is going to be interesting:
Older SF office tower sells for 70% below listing price, and 60% below 2005 purchase price:
https://wolfstreet.com/2023/06/05/what-are-older-office-towers-worth-in-the-new-era-second-san-francisco-office-tower-sells-for-over-70-off-original-listing-price/
No need to be sorry. I wasn't being sarcastic, I was totally agreeing. As in, amen brother.
Amen
SRTS ($3.10) After the plunge down, this dog has at least recovered to the 3's for now, was $2.60 just a couple weeks ago.
Thank you for considering and certainly hope you implement the option. thx again
That's what I had to do to type my post, but if that's the case, would prefer to have the "Write New Post" box gone. Takes up a lot of screen real estate.
Auto-refresh Wipes Out Text in "Write A New Post"
I'm on a laptop. Tried the new "Write A New Post" box 3 times and it kept wiping out what I had typed. Once, almost instantly, and the other two times it took a little longer. Couldn't figure it out, thought I'd hit a wrong button or something. Then I could see it was auto refresh.
Is it possible to allow the user to have the option to have the new "Write a New Post" or the old New/Reply if that's what he prefers?
LMB ($23.50) Man, this thing just keeps chugging away. I like the new biz model and things are improving and more profit should indeed drop to the bottom line. Still, sure seems like it's pricey up here. But hey, what do I know. The one year chart is a thing of beauty.
Can you point to what your speaking about in the proxy? I've read it, and it seemed very normal to me. I didn't see anything I would describe as the CEO being uber bullish.
BDCO - Maybe he is aware (and we are not) of some long-term agreement where they get paid a fixed price on products rather than spot price. I couldn't find anything and mgt doesn't talk to investors so you just don't know what's going on.
nelson, you brought back some bad memories lol. I was in that Reserve fund at TDA as well and got locked up. Luckily I Had other accounts, but it reminded me of the importance of not having everything with one broker or one fund. You never now what can happen. That was back in the days where all the tv experts said Fannie and Freddie were totally safe. Oops.
NVDA - Personally, I'd be happy with the paltry 10,000%