Marygold Companies Inc (MGLD)

[DrD]

Over the last year the company has experienced some growing pains that led to declines in bottom line profits. Some of this was associated with acquisitions, some with taxes, some with currency fluctuations, and even more due to the prior years decline in oil prices. (Do note that since January oil prices have been on the rise.)

A few of the acqusitions included deffered payment terms. While this makes the initial payout less painful it does by definition cause additional costs that extend into later periods. One of the prior 10Q's listed a negative tax situation that was due to revised tax laws. Currency flucuations and oil prices are going to change and there's nothing the company can do to affect those.


The company still suffers due to the fact that it is widely unknown to the majority of potential investors. The CEO has said that among other things they need to raise awareness, stop flying under the radar, and get some visibility. On their own dealing with these issues can be difficult. Putting out tons of press releases might be one method and there are many small public companies that do go this route. Unfortunetly doing this on their own can be very time consuming. In addition if not done correctly can run into problems with security rules. There are other small companies that go out and hire outside internal relation organizations that provide these types of services professionally. This would be one way to go that frees up internal people and still gets the needed information out. If the company does finally become listed on a major trading exchange it will be nearly impossible to operate without some form of IR help.

Getting onto a larger exchange later this year is specifically one of the things the CEO has mentioned. Doing a final reverse is just one way to reach the needed minimum share price. However with all of the potential building up within the company there should be little reason for this. There should be no reason that new investors wouldn't buy in (and help lift share prices) if they just had more visibility into the company.

Gerber interview from February:
https://www.superbcrew.com/concierge-technologies-diversified-holding-company-specializing-in-a-broad-spectrum-of-industries/