Full article published: 09/07/2010
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TWST: Please begin with a brief overview of your company, including some key highlights from its history and a summary of its primary business lines.
Mr. Ullman: CHDT Corp. is a holding company that actively manages our operating subsidiaries. We're a holding company that provides services, like human resources, financial services, accounting, legal services and marketing. Right now we have one subsidiary, which is called Capstone Industries. We bought Capstone Industries in 2006; they manufacture consumer products overseas and mostly sell to most of the major retailers in the U.S. We also sell to some distributors in South America. The products across most channels of distribution were in mass drug, grocery, catalogs, online retailers, warehouse clubs, office supply and numerous specialty retailers. The company has gone through a number of changes in the past 10 years. I came on board in 2001, and we were just a shell from 2001 to 2003. And then in 2003 I sold one of my companies into the shell, which was a China trading company. We ran that business for about three years, and then we saw Capstone Industries. And what interested us about acquiring Capstone is that they had all these valuable vendor members with most of the major retailers, and at that time, they were a very niche business selling book lights - that's all they were doing. They were doing about $1 million, $1.2 million in sales, so we bought them in 2006. Of course, the assumption was with all those vendor numbers, all we have to do is create more products and that will increase our revenue. So that has happened. In 2006 we did about $1.2 million, and now this year we're up to $6.5 million, $7 million in revenue. And it's been a nice ramp up from $1.2 million to $2.8 million to $6 million. So we've been growing organically, not through acquisition, by just creating new products.
Tickers included in this excerpt: CHDO
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