Savvy Trades and Investments

[abh3vt]

One can hope, but its a big miss. They explained the top line miss (around 4MM) as being due to deals that didn't close when expected and also because of a Heelys distributor issue. Adjusted earnings were also light, likely due to margin compression and a tough y/y comp.

They still expect to close on their refinancing in Q1 of 2018 which should provide some savings next year.

Guidance provided on the call was for mid to high single digit rev growth and low to mid single digit growth in adjusted ebitda.

Looking ahead to Q4 2017, the company's mid range guidance for FY17 would put them at 46.4MM in revenues.

A similar margin profile as in Q3, would put their adjusted EBIT (i.e. pretax) at around 0.12/share.

My own adjusted, ft, fd eps number for SQBG is around 0.33 for FY17.