Cannabis Report
Home > Boards > US OTC > Mining/Resources > Drone USA Inc. (DRUS)

DRUS/HowCo's "contracts" thing is misunderstood!

Public Reply | Private Reply | Keep | Last ReadPost New MsgReplies (2) | Next 10 | Previous | Next
Stock Barber Member Profile
Member Level 
Followed By 221
Posts 26,990
Boards Moderated 14
Alias Born 08/19/09
160x600 placeholder
Current Report Filing (8-k) Edgar (US Regulatory) - 9/14/2018 6:06:35 AM
Current Report Filing (8-k) Edgar (US Regulatory) - 8/21/2018 11:52:37 AM
Quarterly Report (10-q) Edgar (US Regulatory) - 8/14/2018 10:38:14 AM
Current Report Filing (8-k) Edgar (US Regulatory) - 8/6/2018 2:40:32 PM
Current Report Filing (8-k) Edgar (US Regulatory) - 8/2/2018 2:55:13 PM
Penny Stocks With Massive Upside Potential and Massive Downside Risk InvestorsHub NewsWire - 7/30/2018 4:29:05 PM
Current Report Filing (8-k) Edgar (US Regulatory) - 7/27/2018 10:01:42 AM
Current Report Filing (8-k) Edgar (US Regulatory) - 7/26/2018 6:08:02 AM
Penny Stocks That are Trending Extremely Bullish! InvestorsHub NewsWire - 7/25/2018 1:04:01 PM
Statement of Ownership (sc 13g) Edgar (US Regulatory) - 7/25/2018 11:49:56 AM
Companies That Could Breakout This Fall! InvestorsHub NewsWire - 7/23/2018 10:30:00 AM
Current Report Filing (8-k) Edgar (US Regulatory) - 7/19/2018 2:44:09 PM
Current Report Filing (8-k) Edgar (US Regulatory) - 7/17/2018 5:23:33 PM
Current Report Filing (8-k) Edgar (US Regulatory) - 7/10/2018 5:28:01 PM
Current Report Filing (8-k) Edgar (US Regulatory) - 7/3/2018 10:29:09 AM
Quarterly Report (10-q) Edgar (US Regulatory) - 5/15/2018 3:29:57 PM
Information Statement - All Other (definitive) (def 14c) Edgar (US Regulatory) - 5/4/2018 5:17:59 PM
Current Report Filing (8-k) Edgar (US Regulatory) - 4/24/2018 9:19:00 AM
Proxy Statement - Other Information (preliminary) (pre 14c) Edgar (US Regulatory) - 4/23/2018 5:19:59 PM
Current Report Filing (8-k) Edgar (US Regulatory) - 3/15/2018 5:18:42 PM
Quarterly Report (10-q) Edgar (US Regulatory) - 2/14/2018 6:41:29 PM
Current Report Filing (8-k) Edgar (US Regulatory) - 2/12/2018 4:10:06 PM
Current Report Filing (8-k) Edgar (US Regulatory) - 2/12/2018 4:09:45 PM
Current Report Filing (8-k) Edgar (US Regulatory) - 1/19/2018 5:04:40 PM
Current Report Filing (8-k) Edgar (US Regulatory) - 1/18/2018 5:09:28 PM
Stock Barber Member Level  Monday, 09/03/18 11:42:11 AM
Re: Majk76 post# 43241
Post # of 47702 
DRUS/HowCo's "contracts" thing is misunderstood!

Calling them "contracts" may be technically correct, but the term in very misleading when applied to what HowCo does!

Many investors misunderstand the term to mean a contract to sell the government drones or some such product that DRUS actually makes! Like say $100M worth of drones over 2 years.

Nothing could be further from the truth!

HowCo's business model is actually just as a middleman. The government places a PO to actual manufacturers through HowCo. HowCo accepts the PO ("contract") and places the order with the actual manufacturers of the products. The products are shipped to HowCo's warehouse, and then reshipped to the government branch that placed the order. HowCo has recently shown a margin of just 4.5% to date for doing that. And out of that they have to pay all their operational costs!

$4.5% in clearly not enough to cover expenses... hence how they are able to win "contracts"!

But is it a sustainable business model?

THEY LOSE MONEY EVERY QUARTER!




Public Reply | Private Reply | Keep | Last ReadPost New MsgReplies (2) | Next 10 | Previous | Next
Follow Board Follow Board Keyboard Shortcuts Report TOS Violation
X
Current Price
Change
Volume
Detailed Quote - Discussion Board
Intraday Chart
+/- to Watchlist