Those numbers posted about forecasted revenue are more than far fetched. 20,000 cases a month? It took them over a year to get a single container here. But just for giggles let's use His math. 20,000 cases for a gross margin sales number of $2 million. Assuming a profit margin of 30% nets out 600,000 a month or an annualized run rate of $7.2 million. Before paying off any of the existing debt and liabilities based on shares outstanding you get a book value of $.014. That said I should note that at those sales levels Marani would fall just shy of Sobieski and just and of Ciroc brands. Does anyone really thnk this is even remotely possible? It's a pipe dream. You can plug in any sales numbers you want but unrealistic numbers don't tell the story. The only way to forecast is to take current sales and a reasonable growth rate based on historical levels or even in this case for lack of historical data short term results and pro forma forecasts.
Basically this company must sell no less than ten times current annual sales PER MONTH in order to justify a PPS of $.02 at a 15X multiplier. Just the facts. As for the pie in the sky forecasts it might be fun to think it could happen but it can't and won't. Another way to look at it is that for every million in earnings, earnings mind you, it's only one fifth of a cent in book. The more and more I look at the financial logistics I find it harder and harder to see any business plan that makes this work without use of wildly unrealistic sales goals.
