Sigma Labs Inc (SASI)

[alanthill]

Driftin I don't think I would get overly excited over these numbers. A gross margin of 33.5% is nothing to write home about. Don't forget that gross margin does not include the cost of employee salaries and benefits, amortization for equipment depreciation (a huge number with this printer, which should realistically be amortized over five years or less), any sales commissions paid, all accounting expenses,insurance, rent, utilities and probably lots of other things I can't remember at this time. When you back these expenses out your net margin becomes a much much smaller number. They would have to generate very significant sales with their contract printing to have much of an impact on their bottom line.