VASO -Probably talking to myself but think its worth mentioning...
They receive half of the commission from GEHC upon completion of order booking but record it as deferred revenue until the underlying equipment is delivered, and upon delivery they receive the second half of commission and record the full amount of commission as revenue.
At the end of Q3 VASO had $18.4Mil in deferred revenue after recording $6.6Mil in GEHC sales
At the end of Q4 VASO had $19.4Mil in deferred revenue after recording $8.2Mil in GEHC sales
With the deferred revenue going up $1Mil to a level not seen since Q3 of 2015 it seams clear that sales in this segment are still strong.
Again, deferred revenue is only half of the revenue they will ultimately receive so this represents nearly $40Mil in bookings.
Now, They absolutely need to get a grip on cost and start turning the VasoHC-IT backlog ($7.4Mil) in to revenue but this is still a very new segment. However they did show $1.9Mil in sales in this segment which I believe was like a 200% increase.
Its also important to realize the sales in this segment is a majority of re-occurring revenue with 60% of their customers signing up on their SaaS package.
VASO with now $8Mil in cash IMO will look to eventually expand on its own equipment segment.
I do believe this is important to their diversification strategy and not solely rely on GEHC.
And yes, I have been adding heavily on the dip after earnings.
