On4 Communications Inc (ONCI)

[QTRADERQ]

The collections are atrocious.

Here's a roll forward of the accounts receivable account balances from 10/31/2016 to 10/31/2017.

These numbers are all from the FINS.:

A/R @ 10/31/2016 - -0-

Samples - -0-
Billings/Sales in 1Q - $55,500
Collections - ($55,500)

A/R @ 1/31/2017 - -0-

Samples - -0-
Billings/Sales in 2Q - $307,750
Collections - ($104,500)

A/R @ 4/30/17 - $203,250

Samples - -0-
Billings/Sales in 3Q - $533,000
Collections - ($52,033)

A/R @ 7/31/2017 - $684,217

Samples - $18,500
Billings/Sales in 4Q - $782,855
Collections - -0-

A/R @ 10/31/2017 - $1,485,572

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A recap of A/R for 12 mos (to simplify things)

A/R @ 10/31/2016 - -0-

Samples - $18,500
Billings/Sales for the year - $1,679,105
Collections - $212,033

A/R @ 10/31/2017 - $1,485,572


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So from the above recap for the 12 month ended 10/31/2017 (in red), we can clearly see a collections issue. They billed $1.6 mil for year but only collected $212k. The collections in the 3Q & 4Q were just awful. 52k collections on $1.3 mil billed. Wtf!!! This is why (I speculate) they were unable to make that first payment to Cogosense due 10/1.

As always. JMO
$ONCI