This is why the company has been stagnant on the pps.
Nov 2015 statement (Q3) - revenue: $48,933. Stockholder Equity: $2,795,860
Mar 2016 statement (Q4) - revenue: $49,859. Stockholder Equity: $2,730,447
May 2016 statement (Q1) - revenue: $45,879. Stockholder Equity: $2,726,129
There has been no growth and our stockholder equity has gone down. Every quarter, the value of the film assets is reduced. However, this is to be expected as the only new source of revenue since the acquisition in July, 2015 will not materialize until Mountains of Madness is released.
The real issue was the result of the stock split. Before splitting, we had about 5 Billion Authorized and 3.5 Billion Issued. It was a 1:500 RS. That worked out to 7,111,582 issued, but not really. Because if you look at the OTC Markets company profile, we actually have 111,224,650 Issued, not 7,111,582. The 7,111,582 is the float (what we own). So he converted those Preferred Shares into 80 million common restricted and took as a salary compensation 12,000,000 more common shares. That bumped the issued from 7 Million to the current 111 Million shares. But the Authorized was only reduced by 1:20 down to 250,000,000. So the equivalent pre split Authorized would be 250 million times 500 or roughly 125 Billion. Tom has done us no favors.
If you had 50 Million shares before the split, you owned 1.4% of the Issued. After the split those 50 Million became 100,000. With an Issued of 111 Million, you now own 0.09%. That's 6% of what you used to own. If Mountains of Madness were not released (and that's the only thing holding this stock price up), the stock pps would reduce to .003 from .05 in a flash.
And we have heard nothing regarding The VOD search engine nor the New Broadway Cinema projects. It's as if Tom purposely wants this stock to tank while putting out quarterly financials that merely compare themselves with last year's numbers which are irrelevant because they were GBGM's.
It's getting harder and harder to be optimistic about Innovativ Media Group. Mountains of Madness better be good. Even if it is and were to bring in several million dollars in profit, our pps only stands to rise negligibly as a result. The current Market Value of INMGD is $2.78 Million and we're at .025. If it went to $5 million, we'd only go up to .04.
Sorry guys but the numbers don't lie and the reverse split is the reason. when Tom originally said INMG should be a .05 company, maybe that's all it will ever be.
