Sono Group NV (SEVCQ)

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I think a rights offering would be a great way to raise a little money, if they need it. Earnings last quarter could have been better. But there may have been a negative effect from that brutal winter that affected so many companies. They're also investing in that JV in China. Those costs will continue, but we should start to see revenues from the JV in the current quarter. Won't be much at first, but I think those revenues will only continue to grow.

I'm expecting a sequential rebound in earnings. Should be a hefty % increase vs. last year. In a few quarters, I think we can look forward to substantially higher earnings. Increasing revenues, a small share count & significant margin leverage will have a VERY positive effect on EPS.

From the last earnings PR:

"Although we are investing in Sevcon's future growth, our business continues to benefit from having a low-cost, flexible manufacturing model. As a result, we believe that Sevcon is positioned to deliver significant margin leverage on incremental sales as conditions in our markets improve."