Kaya Holdings Inc. (KAYS)

[Pennywhistle]

Indeed, KAYS inventory depleted over last 3 quarters.!!! While sales remained flat .

Not a sign of a productive Grow, if any at all!!

2015 q4 inventory $80,000
2016 q1 inventory $50,000
2016 q2 inventory $44,000

These end of quarter "snapshots" tell a story that doesn't lie.

And as far as cost of goods go maybe you should take another longer term look before tooting the horn of KAYS competence.

KAYS best performance for cost of goods was achieved in the first 6 months of 2015 and since then has never been as good.
These two quarters cost of sales % reflect what might look like a Grow supplying the shops.

2015 q1 cost of sales as percentage 26% during which time KAYS states25 lbs. harvested since Jan.
2015 q2 cost of sales as percentage 18% as inventory and sales decreased and KAYS announces increased production.

After June of 2015 a different looking story starts to emerge right after KAYS announces an increase in production. Looks to me like somebody dropped the ball and is making up stories about success.

2015 q3 cost of sales as percentage 101% !! as inventory drops by half and sales remain flat.
[odd considering there is supposedly an increase in production?!]
2015 q4 cost of sales as percentage 44% as second store comes online inventory peaks at 80k.
2016 q1 cost of sales as percentage 73% another huge percentage for a company that supposedly grows its own!!
2016 q2 cost of sales as percentage 52% Not what I'd call an improvement in reducing cost of sales or increased gross profits especially as inventory dropped in nearly equal proportion.

Considering the first two quarters that the store was operating before KAYS announced 'Growing their own' the reported cost of sales were an average percentage of 60 % . It doesn't appear that Production is KAYS strength, if it is in fact happening at all anymore.

From the looks of these numbers in relation to production, I'd guess that KAYS has forgotten to announce the calamity of what is actually transpiring at that 6000 sq ft warehouse.