I think that's wishful thinking Tape but for you I hope it happens. Personally I think the PR train has stopped at its last station and is out of fuel. I don't think any amount of PR, especially of the quality that seems to be Marani's style. The only thing that's going to save this stock is a stellar quarter of sales and profits and I really have a hard time seeing that given the facts we have and what little facts the company has released. With only one container imported it is mathematically impossible to show a profit. Mater of fact it's going to be a massive loss. On a side note, the good catch by one poster here of the old tax stamp tells me Costco was still working of what was left of the old inventory and nothing off the new container. Margrit said the new container had been paid for... very clever but deceptive. She didn't say it had been sold and I doubt much if any has moved out of that container if they're still working over old inventory which by the way they listed at only $100,000 gross.
My analysis would show the following. Moving to Q2 from the last published unaudited financials the company had zero cash, $100,000 in inventory with $2500 in sales. They did receive another container so they have another $200,000 of inventory but there is significant reason to believe it's sitting in a warehouse until the old inventory is gone. With a burn rate of what must be close to $200,000 based on previous 10Qs and the G&A from the latest financials, expenses to date (end of Q2) would be $1.2 million. Assuming generously that all the old inventory has been moved that would represent a $46,000 in gross margin sales. I think conservatively you are looking at a loss for the quarter of at least $1.15 million or a loss of $.002 per share. Given the $2M in A/P and other issues I would also assume the cash position going into Q3 is extremely low if any.
It will be very interesting to see if the Costco store restock. Again, hope for your sake they do because that's about the only sales channel they have. Look for more dilution, more cheesey cheap PR and lots of fluff. It ain't going to be enough anymore.
