OptimizeRx Corporation (OPRX)

[DragonKrys]

I think the most disappointing number in today's report was that revenue share is up to 53%. It was also stated in the Q, and reiterated on the call, that future quarters will be similar.

This is a drastic departure from last quarter when revenue share was just 37% and the following color was in the Q: "We expect revenue share expense to move back towards the 40% level as distributions increase as the result of the launch of new distribution channels."

I think it's safe to say most were already skeptical of that "40% level" given LDM's share, as even Merriman and Noble analysts used 45% for their modeling. Still, gross margins dropping below 50% for the first time was a surprise.