Afternoon all. Doing some DD and have been unable to find any references to CK product order/unit volumes. Granted we're talking about a PK co. so the details are not as - well - "detailed" :)
Seems to be 3 groups of product prices (+/-$20 bucks) ($50-$100) ($499). Has anyone made an attempt at backing into estimated unit volumes and product share? I'd be curious to know their average unit sale - wild guess at $35-$80. The $499 safe is awesome! It would be great to have a $499 average unit sale, but with the other CK products pricing around $20, that's not the case.
Run with a $40 average order - to produce $120MM in annual revenue, CK would have to push out about 250,000 units per month, or about 10,000 per day which is huge, unless they lock-in some high powered retail deals and support the retail channel through marketing (which it looks like they might be committed to do).
I'm very interested in the govn't angle and see the $25MM contract referenced all over the place - I'm guessing that is for the Stealth (retail $79) and most certainly discounted based on volume. Assuming a gov't price of $50-60, that would be 450,000 to 500,000 of the Stealth babies. Any idea of the total US active duty military now? Could the $25MM represent 10-20% of the active military potential????
Anyway, many questions and quick math on my part. Oh, and for a couple cents? What's the downside????
AI
