Generation Next Franchise Brands Inc. (fka VEND)

[Officiousintermeddle]

There has a precipitous decline in units sold.

As of 6-30-18, there had been 1,417 units sold.

As of 12-31-18, there were 1,290 sales pending plus 188 delivered for a total of 1,478, a slight increase over the 6-month period.

As of 3-31-18, there were only 957 sales pending and only 186 net deliveries, for a total of 1,143 units accounted for.

That's an alarming decline of 335 units in a 3-month period. VEND has lost the equivalent of roughly 112 franchisees (at 3 machines per) during the calendar quarter. That's more than one franchisee per calendar day.

But not to worry, cuz Nick says that they are getting rid of all those pesky $38,000 sales and replacing them with $58,000 sales.

It's interesting to watch how this will play out, and it might actually turn out to be a blessing in disguise. As they hemorrhage franchisees, they may manage to finally get their delivery schedule synced up with their new sales and at a profitable price point.

On the other hand, if franchisee defections continue to outpace new sales at this rate, there won't be much need for deliveries come 2020.