Bioelectronics Corp (BIEL)

[JustGoDeep]

That post-is-simply-clueless when it comes to accounting standards. The company in Q4 sold 661K and lost only 331K. The margin was 77% and I will use a 64% margin (substantially lower) in this example. All fixed costs are cover and the loss was 331K. Therefore figure how many more sales are required to get to breakeven. Well $518,000 additional sales X .64 = $331,520 which gets us to breakeven. So how many units per store of the 1925 stores added in Q4 needs to be sold Q1 for breakeven. $518,000 (gross sales) divided by 1925 stores = $269.09 sales per store per quarter to breakeven. This example assumes all other sales remain stable, but last quarter we did see 32% growth in sales. So if Biel gets 15$ per unit sold, $269 divided by that $15 = about 18 units per quarter to breakeven. That is only 1 sales every 5 days. The actual sales number is most certainly probably much higher. So if fixed costs don’t change much it is almost a certainty that this is at least breakeven or more probably profitable in Q1. Now wait for Q2 with the B Braun sales. Hehehehe I am Giddy!! My analysis.