Polar Power Inc (POLA)

[ebase22]

Thanks.

So the good news:

1. They showed improvement on production capacity
2. They kept their costs under control. Sg&a held somewhat steady and and they made some gross margin improvement.
3. Headline is big beat on revenue and bottom line.

Bad news:
1. They seem to not be able to retain engineering talent - that the reason for the delay in launching new products?
2. Still nothing international and their talking points are no longer “just around the corner” but rather they need better support and they’ve messed up.
3. Backlog/ order book perhaps not so great. Bracing for a bad q3 where we step back on revenue? And odd that they won’t offer a current backlog number when they have done in the past. Sounds like it wouldn’t have been pretty.

So how should we think about this? The headline is really positive. But they may have just stumbled again in the short run future and we have to wait 2-3 quarters again?

Anyone have any other thoughts?