Without March contract news here's what happens in April!
This is what the letter will probably look like when it comes from Stafford and Little Stevie White. It was actually written by White and his partner to another company a few years ago. This is what they do, slaughter companies they have invested in at the expense of all the shareholders they have fooled into believing them.
"The Company is Hopelessly Subscale The chart below shows The Company's SG&A spending as a percentage of sales and operating margin for every quarter The Company has been public.
We believe three important facts are made clear by this chart: 1) The Company has never reported an operating profit; 2) The Company is unprofitable because it must spend an average of 65% of its sales on SG&A; and 3) despite increased investment in SG&A of up to 106% of sales, The Company has not been able to achieve any meaningful revenue growth.
The only reasonable conclusion that can be drawn from these facts is that The Company is hopelessly subscale. The Company has already failed once to drive revenue growth from increased sales & marketing spending and there is no reason to believe another experiment would lead to a different result. Furthermore, after burning $4 million of cash in Q1 2014, The Company simply does not have the balance sheet to support sustained losses from an increased sales & marketing investment.
The chasm to significant profitability is too wide to cross and this leaves the Company with no viable path out of its unprofitable subscale purgatory other than a sale to a strategic acquirer.
The Company is Worth More to a Strategic Acquirer than as an Independent Company There is no doubt that The Company has good technology and products, and operates in a market with meaningful barriers to entry. There is also no doubt that these assets are stranded in a subscale organization from which shareholders have derived little value. Fortunately, there are other companies with the infrastructure to realize substantial cost and revenue synergies from a Company acquisition and thus put The Company's assets to better use."
Sounds just like PPHM/CDMO..........SOON......!
IMO
